The president and chief executive who has guided the Federal National Mortgage Association through $180 billion in profits is leaving next week.
Timothy J. Mayopoulos was appointed president and CEO of Fannie Mae in 2012. He originally joined the Washington-based organization in 2009.
Since Mayopoulos has been in charge of the secondary mortgage lender, pre-tax income through mid-2018 has amounted to $180.4 billion.
But while Mayopoulos was at the helm of a company with a $3.3 trillion book of business, his compensation — which was reported at $648,000 for 2017 — is far short of the millions earned by his colleagues at comparably sized companies.
In July, Fannie announced that Mayopoulos would step down by the end of this year. On Monday, Fannie said he will leave on Oct. 16.
“Under Tim’s Leadership, Fannie Mae helped stabilize the housing market, while strengthening the company’s business model, returning it to profitability, and positioning it well for the future,” Fannie Mae Chairman Egbert L.J. Perry said in the announcement. “Tim has delivered for America’s housing market and for taxpayers.”
Board member Hugh R. Frater will take over as interim CEO, Fannie said. Frater has been on the board since 2016.
In addition to Fannie’s board, Frater sits on the boards of three other companies including Hippo Insurance, according to his LinkedIn profile. He was CEO and chairman of Berkadia, where he worked from August 2010 until December 2015.
Frater was a founding partner and managing director at BlackRock Inc.
“Hugh has a deep understanding of the housing and the financial services industries, and his experience on our board makes him an ideal choice to lead Fannie Mae as the Interim CEO,” Perry said
His approval as interim CEO is subject to final approval by the Federal Housing Finance Agency.
