PDA

View Full Version : Barney's Favorite Agencies Prepare to Channel AIG


freedom0in0exile
March 18th 09, 10:44 PM
http://finance.yahoo.com/news/Fannie-plans-bonuses-of-up-to-apf-14679491.html

WASHINGTON (AP) -- Fannie Mae plans to pay retention bonuses of as
much as $611,000 each to key executives this year as part of a plan to
keep hundreds of employees from leaving the government-controlled
company.

Rival mortgage finance company Freddie Mac is planning similar awards,
but has not yet reported on which executives will benefit.

The two companies, which together own or back more than half of the
home mortgages in the country, have been hobbled by skyrocketing loan
defaults. Fannie recently requested $15 billion in federal aid, while
Freddie has sought a total of almost $45 billion.

Fannie Mae disclosed its "broad-based" retention program in a recent
regulatory filing with the Securities and Exchange Commission. The
company was only required to disclose the amounts for the top-paid
executives, who will pocket at least $470,000 on top of their base
salaries. The bonuses are more than double last year's, which ranged
from $200,000 to $260,000.

A company spokesman declined further comment.

Fannie Mae said regulators determined that the bonuses were needed
because keeping key employees "was essential to ensure our viability
through 2010, which would allow Congress, the administration and other
parties involved time to determine what the form and function of the
company will be in future years."

The bonuses were authorized last year by the Federal Housing Finance
Agency, which seized control of Fannie and Freddie in September and
ousted the companies' former CEOs.

"It was critical to retain their most important asset -- their
employees -- who are being asked to play a vital role in the nation's
economic recovery," James Lockhart, the agency's director, said in a
statement. "As the previous senior management teams left, it would
have been catastrophic to lose the next layers down and other highly
experienced employees."

But the generous paychecks could prove politically touchy amid outrage
over roughly $165 million in bonuses paid out over the weekend by
bailed-out insurance giant AIG.

Michael Williams, Washington-based Fannie Mae's executive vice
president and chief operating officer, is due to receive a $611,000
retention award on top of his $676,000 base salary. David Hisey, the
company's deputy chief financial offer is expected to receive a
$517,000 retention award this year in addition to his $385,000 salary
and $160,000 cash bonus.

The company's two top executives, Chief Executive Officer Herbert
Allison and Chief Financial Officer David Johnson, did not receive the
awards because they were new to the company last year. Allison is
taking no salary, while Johnson is receiving a base salary of $625,000
and no bonus.

BobB
March 19th 09, 12:41 AM
freedom0in0exile wrote:
> http://finance.yahoo.com/news/Fannie-plans-bonuses-of-up-to-apf-14679491.html
>
> WASHINGTON (AP) -- Fannie Mae plans to pay retention bonuses of as
> much as $611,000 each to key executives this year as part of a plan to
> keep hundreds of employees from leaving the government-controlled
> company.
>
> Rival mortgage finance company Freddie Mac is planning similar awards,
> but has not yet reported on which executives will benefit.
>
> The two companies, which together own or back more than half of the
> home mortgages in the country, have been hobbled by skyrocketing loan
> defaults. Fannie recently requested $15 billion in federal aid, while
> Freddie has sought a total of almost $45 billion.
>
> Fannie Mae disclosed its "broad-based" retention program in a recent
> regulatory filing with the Securities and Exchange Commission. The
> company was only required to disclose the amounts for the top-paid
> executives, who will pocket at least $470,000 on top of their base
> salaries. The bonuses are more than double last year's, which ranged
> from $200,000 to $260,000.
>
> A company spokesman declined further comment.
>
> Fannie Mae said regulators determined that the bonuses were needed
> because keeping key employees "was essential to ensure our viability
> through 2010, which would allow Congress, the administration and other
> parties involved time to determine what the form and function of the
> company will be in future years."
>
> The bonuses were authorized last year by the Federal Housing Finance
> Agency, which seized control of Fannie and Freddie in September and
> ousted the companies' former CEOs.
>
> "It was critical to retain their most important asset -- their
> employees -- who are being asked to play a vital role in the nation's
> economic recovery," James Lockhart, the agency's director, said in a
> statement. "As the previous senior management teams left, it would
> have been catastrophic to lose the next layers down and other highly
> experienced employees."
>
> But the generous paychecks could prove politically touchy amid outrage
> over roughly $165 million in bonuses paid out over the weekend by
> bailed-out insurance giant AIG.
>
> Michael Williams, Washington-based Fannie Mae's executive vice
> president and chief operating officer, is due to receive a $611,000
> retention award on top of his $676,000 base salary. David Hisey, the
> company's deputy chief financial offer is expected to receive a
> $517,000 retention award this year in addition to his $385,000 salary
> and $160,000 cash bonus.
>
> The company's two top executives, Chief Executive Officer Herbert
> Allison and Chief Financial Officer David Johnson, did not receive the
> awards because they were new to the company last year. Allison is
> taking no salary, while Johnson is receiving a base salary of $625,000
> and no bonus.
>

the democrat party rakes in the political donations from these very
executives they are squawking about up on the Hill.

AnAmericanCitizen
March 20th 09, 09:48 PM
On Wed, 18 Mar 2009 15:44:09 -0700 (PDT), freedom0in0exile
> wrote:

>"It was critical to retain their most important asset -- their
>employees -- who are being asked to play a vital role in the nation's
>economic recovery," James Lockhart, the agency's director, said in a
>statement. "As the previous senior management teams left, it would
>have been catastrophic to lose the next layers down and other highly
>experienced employees."

Okay for Barney Frank's cohorts but not AIG? What suckers the American public
are....AAC