Outrageous Severance Deals For Fannie/Freddie CEOs--Paid For By You

[Crewleader]

Henry Blodget | Sep 7, 2008 9:20 PM


Taxpayers are now on the hook for tens of billions of dollars of capital necessary to save Fannie Mae (FNM) and Freddie Mac (FRE). The CEOs of both companies--the ones who ran them into the ground--have thankfully been shown the door. But they're taking a nice pot of money with them.

Specifically, Dan Mudd, the CEO of Fannie Mae, is getting $9.3 million of severance for destroying his company. Richard Syron, the CEO of Freddie Mac, is getting $14.1 million--in part because of a clause he added to his employment contract two months ago, when it was clear the company was headed for disaster.

richardsyron.jpgThese severance payouts, of course, are chump-change relative to the usual CEO departure deals. And Mudd and Syron have taken it on the chin with shareholders, as their options and restricted stock are now largely worthless.

http://www.businesssheet.com/2008/9/outrageous-severance-deals-for-ceos-who-blew-up-fannie-and-freddie?

[Bob Dobbs]

1. These thieves committed fraud throughout their tenure to inflate numbers and get huge bonuses.

Worse than Enron accounting. These criminals need to be put UNDER the prison.

Read what reformed economist Michael Hudson says about this and other economic scams (taxes et al) here:

http://counterpunch.org/whitney09082008.html

"Fannie and Freddie have been loading up on risky mortgages for ages, under-stating the risks largely to increase their stock price so that their CEOs can pay themselves tens of millions of dollars in salary and stock options. "

[Crewleader]

2. Thanks Bob Dobbs, I posted it friend and this

http://www.fedupusa.com/


I certainly agree with you, these criminals need to be put Under the prison.

[Crewleader]

3. Charlie Rose - Fanny Mae and Freddie Mac / Steve Coll

Charlie Rose - Fanny Mae and Freddie Mac / Steve Coll - 56 min - Sep 9, 2008


http://video.google.com/videoplay?docid=-5312102411952767244&ei=MTXHSKLCAYSKqQOyoPS2Ag

[Crewleader]

4. Pimco fund makes $1.7 billion in a day after bailout

http://lansner.freedomblogging.com/2008/09/08/pimco-fund-makes-17-billion-in-a-day-after-bailout