DOW JONES NEWSWIRES

Fannie Mae (FNM) and Freddie Mac (FRE), the mortgage finance companies bailed out by the U.S. government, have each bid to manage home loans under the U.S. Treasury's plan to purchase bad mortgage bets, the Reuters news agency reported Tuesday, citing two unnamed sources familiar with the bids.

The Treasury earlier this month said it was seeking a large financial company to manage the purchased mortgage securities, along with another to manage the loans, Reuters said.

It is expected to award that contract in the coming days, the news agency said.