Williams Leads Government Foreclosures Program At Fannie Mae-spyair

Real-Estate A Fannie Mae insider, Michael J. Williams, will lead the government foreclosures program as he assumes the post of chief executive officer and president of Fannie Mae, the giant home mortgage provider acquired by the federal government in September 2008. Williams, a native of Philadelphia, was Fannie Maes chief operating officer before his promotion. He replaces Herbert M. Allison, who was nominated last week to direct the Treasury Departments Troubled Asset Relief Program and related government foreclosures programs. Williams, 51 years old, is said to have agreed to receive the same base salary he has been receiving as COO, which is $676,000 per year. He is also required to consult with Fannie Maes overseer, the Federal Housing Finance Agency, before implementing any major decision, including actions related to the government foreclosures programs. Fannie Mae and Freddie Mac were taken over by the federal government in September last year after they posted about $108 billion in combined losses in 2008 due to foreclosures. The CEO positions at Fannie Mae and Freddie Mac have been largely chief operating officer positions because of the veto power of regulator FHFA. The CEOs cannot yet develop long-term strategies because the federal government has not yet decided on what the two lending institutions will play in American society. Pay increases and bonuses have become sensitive issues in companies that received billions in bailout money and government foreclosures funding, as taxpayers are monitoring where their hard-earned taxes are being spent. Williams however got a retention incentive of $260,000 in 2008 and is set to get an incentive of $1.04 million in the first months of 2010. Among the achievements of Williams since he started working with Fannie in 1991 are the implementation of new business technologies and the restatement of corporate profits after the discovery of accounting violations in 2004. In the past several months, he has led efforts in implementing the government foreclosures program and initiatives to cut corporate losses. Daniel Mudd, the CEO who was forced to leave Fannie Mae in September, has good words for Williams, saying Williams is cool-headed and experienced in finance, technology and business administration. Fannie Mae said it has refinanced thousands of troubled loans worth $77 billion in March, the largest volume it has refinanced since 2003. It expects to refinance more distressed loans under the government foreclosures program. About the Author: 相关的主题文章: