Fannie, Freddie CEOs denied exit bonuses: report

[The Backlash Cometh]

WASHINGTON (Reuters) - U.S. regulators will not allow mortgage giants Fannie Mae and Freddie Mac to pay their departing chief executives multimillion-dollar severance packages outlined in their contracts, The Washington Post reported on Sunday.

The Federal Housing Finance Agency (FHFA) has notified former Fannie Mae Chief Executive Officer Daniel Mudd and former Freddie Mac Chief Executive Officer Richard Syron that the so-called "golden parachutes" will not be paid, the Post reported, citing an agency statement.

Mudd and Syron were entitled to combined pay and bonus packages worth about $24 million as part of the government's plan to restructure the troubled companies, which own or guarantee about half of the $11 trillion outstanding home mortgages in the United States.

The Post said a spokesman for Syron had no immediate comment and a lawyer representing Mudd did not return a phone call or e-mail.

http://www.reuters.com/article/bondsNews/idUSN1446496320080915?sp=true

[JuniperLea]

1. Whoa!

I've never heard of such a thing! Excellent!

[spanone]

2. no shit

[aquart]

3. I don't believe it. An actual moment of fiscal sanity? In America?

What's the fine print?

[aquamarina]

4. Good - I've never understood how why these CEO's get

paid zillions for running their companies into the ground.

[mountainvue]

5. Good. That's how it should be. n/t