Critics say they have used their clout and unusual status to create a sort of regulation-free zone around their businesses. When times are good, shareholders and executives of the companies are richly rewarded. When times are bad, as now, taxpayers could be left holding the bag.

"Congress created this problem by creating special rules at Fannie Mae and Freddie Mac and ignored the problem for years," said Sen. Jim DeMint, R-S.C., a sharp critic of what he sees as a looming federal bailout.

Other stories of interest:

Paul Adams reports today about fallout from a television news report about Eastern Savings Bank of Hunt Valley. WMAR-TV said the bank could close due to financial troubles -- but later corrected the report:

A producer at the station mistakenly concluded that Eastern was in danger of closing after it was included in an ABCnews.com report of private analyses of banks carrying a high percentage of delinquent loans, a WMAR news director said.

... Eastern officials said such figures are a result of the bank's unconventional business model, which includes buying defaulted loans at a discount from other banks and trying to collect what it can from the borrowers.

Meanwhile, Karen Shih reports about narrow houses in Brooklyn Park -- 12 and 18 feet wide:

While building on these infill lots in mature, developed communities with established roads, sidewalks and other infrastructure is considered "smart growth," residents of Brooklyn Park say the skinny houses threaten the community's identity and decrease property values. While there's nothing neighbors can do about the homes already built - which are legal under zoning law and, local real estate agents say, examples of affordable new housing in the county - the community is fighting the construction of the third narrow home.