DOW JONES NEWSWIRES
Freddie Mac (FRE) named John A. Koskinen as interim chief
executive effective upon the resignation of current CEO David
Moffett.
The move comes after last week's announcement that Moffett would
resign no later than Friday as he looked to return to a job in the
financial-services sector. Moffett took over as CEO in September as
the Treasury Department and Federal Housing Finance Agency put
Freddie and Fannie Mae (FNM) into conservatorship to prevent their
potential bankruptcy. Before that, he served as chief financial
officer at U.S. Bancorp. (USB).
Freddie's shares were up 4.7% at 44 cents in premarket trading.
The stock is off 42% so far this year and has lost 98% of its value
since June.
Koskinen has served as chairman of Freddie Mac since September.
He will be replaced in that post by Robert F. Glauber.
Before joining Freddie's board, Koskinen was president of the
U.S. Soccer Foundation for four years and deputy mayor and city
administrator of Washington from 2000 to 2003. Prior to his
government service, he served as CEO of the Palmieri Co. and
participated in the restructuring of several large, troubled
entities.
Glauber joined Freddie's board in 2006. Before that, he served
as chairman and CEO of the National Association of Securities
Dealers from 2001 to 2006.
Freddie's board is continuing to work with the company's
conservator to appoint a permanent CEO. Once one is named, Koskinen
will return to the position of chairman.
Freddie and Fannie have been kept busy in recent months coming
up with programs to stem the tide of foreclosure and help rework
existing home loans to keep homeowners in their homes.
-By Kerry E. Grace, Dow Jones Newswires; 201-938-5089;
kerry.grace@dowjones.com