WASHINGTON, DC-Executive ranks at Freddie Mac are shaking up with the departures of several top executives, starting with its CEO Charles E. "Ed" Haldeman, Jr., who will resign within the next year.
The Federal Housing Finance Agency, which reported Haldeman’s departure, also said that the chairman of the governing board and two board members would be leaving as well. These departures come at a time when the future path of Freddie Mac and Fannie Mae is unclear--their fate still to be determined by Congress and the Administration.
Haldeman has served as CEO since August 2009, when his predecessor David Moffett resigned. It was a rocky period for the GSE, with the housing market in free fall, the economy in turmoil and the GSEs taken into conservatorship. Freddie Mac’s CFO had recently committed suicide as well.
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Chairman John Koskinen is also leaving. The departing board members are Robert Glauber and Laurence E. Hirsch. Koskinen will be replaced by Christopher Lynch, a director at American International Group. Other replacements, though, have not yet been identified.
The departures are bound to complicate the GSEs’ attempts to remain active in the economy--losing a brain trust of top executives, not once but twice in two years, is a blow for any institution. Recent signs, though, point to a somewhat more positive future. The Federal Housing Finance Agency, in a separate announcement, said the costs to the government for bailing out the GSEs is expected to be less than first thought--$124 billion through 2014, instead of $154 billion.
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