California to get $18 billion under mortgage deal

Reuters News
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Posted: Feb 09, 2012 9:58 AM
California to get $18 billion under mortgage deal

(Reuters) - California's attorney general said on Thursday her state will receive up to $18 billion in benefits under a federal-state mortgage settlement to be announced later today.

More than $12 billion will be used to cut mortgage debt for California's distressed homeowners and help with short sales, Attorney General Kamala Harris said in a statement.

U.S. Justice Department officials are expected to announce a $26 billion deal at 10 a.m. EDT (1500 GMT) on Thursday.

(Reporting By Aruna Viswanatha; Editing by Gerald E. McCormick)