“WASHINGTON — Franklin Raines, who was forced out as Fannie Mae's (FNM) chief executive after five years, is slated to receive a monthly pension of more than $114,000 for life, . . .
Federal regulators have asked Fannie Mae to hold off paying out any compensation to Raines until they have time to investigate the package, and whether it was appropriate for the federally chartered lender to let Raines retire early rather than be dismissed.
An additional point of contention is Raines' retirement date. According to the filing, "Mr. Raines has asserted" to Fannie Mae that his retirement is effective June 22 — enabling him to receive an additional $600,000 in salary. That scenario also would add $100,000 to Raines' post-retirement monthly payment. In the filing, Fannie Mae did not agree to those terms. . .
The Office of Federal Housing Enterprise Oversight, or OFHEO — the company's chief regulator — pressured the board to act after the SEC said the company must make accounting corrections that could erase $9 billion of past profit dating to 2001.”
It’s this kind of never the less profiteering that drives the employees to indifference.
It sure to be happening at US Airways. Executives get sweetheart deals that guarantee
their prosperity regardless of the merits of their performance; it’s the grunt at the
front who gets it in the neck.