Fannie Mae has announced the appintment of Timothy J. Mayopoulos as president and CEO and a member of the board effective June 18, 2012.
Mayopoulos, who currently serves as executive vice president, chief administrative officer, and general counsel, leads key corporate functions and the company’s business transformation program. Mayopoulos assumes leadership of Fannie Mae at a pivotal point for housing finance. Since joining Fannie Mae’s executive management team three years ago, he has played a key role in rebuilding the company and leading it through fundamental change.
Mayopoulos has managed critical functions, including the company’s human capital strategy, communications and marketing, government and industry relations, and the legal function. He also has provided leadership and oversight of the company’s long-term strategies to achieve operating excellence and its efforts to improve the housing finance system.
His promotion follows an extensive search involving internal and external candidates.
“Our thorough and thoughtful evaluation of qualified and interested candidates focused on a singular goal—to secure the best leader for Fannie Mae,” said Philip Laskawy, Fannie Mae chairman of the board. “We achieved our goal by selecting Tim. He is an experienced and effective leader on a remarkable management team that has stabilized the company and positioned Fannie Mae to return value to taxpayers in the years ahead. Tim delivers a combination of proven leadership and execution focus. His deep understanding of the unique challenges Fannie Mae is facing and his effective working relationships with our regulator, management, the board, and external partners will serve the company and industry well. Tim’s appointment enables the company to sustain its rebuilding efforts and to accelerate our contributions to improving the nation’s housing finance system for the future.”
Mayopoulos will succeed Michael J. Williams, who announced in January his decision to step down after leading the company’s effective response to the housing crisis and the rebuild of the company since 2009. In the first quarter of 2012, Fannie Mae reported a net income of $2.7 billion and did not require funding from the U.S. Department of the Treasury. The company’s comprehensive income of $3.1 billion in the first quarter of 2012 was sufficient to pay the first quarter dividend of $2.8 billion. To date, Fannie Mae has paid $22.6 billion to Treasury through dividend payments.
“We applaud the Board’s selection and welcome Tim to this new role where he will lead efforts to continue strengthening Fannie Mae and provide critical foreclosure prevention services as we build the foundation for the secondary mortgage market of the future,” said Federal Housing Finance Agency (FHFA) Acting Director Edward J. DeMarco.
As chief executive officer, Mayopoulos will focus on ensuring that the company manages its legacy issues effectively, while driving the company’s contributions to a better housing finance system. Under his leadership, Fannie Mae will continue to provide essential funding to the market, assist homeowners in distress, and work to strengthen the company’s financial performance.
“I am honored with this extraordinary opportunity to lead Fannie Mae during this critical period,” said Mayopoulos. “We have a responsibility to return value to taxpayers and to contribute our expertise and experience to building a more effective and stable housing finance system for the future. Our nation needs and deserves a better system to support sustainable homeownership. Delivering on our responsibilities is a team effort, and I will maintain a sharp focus on attracting, developing, and retaining terrific people at all levels of the company. Together, I am confident that we have what it takes to achieve our priorities.”
Mayopoulos brings more than 25 years of experience to his new leadership post. Prior to joining Fannie Mae, he was executive vice president and general counsel of Bank of America Corporation. Previously, he served in senior management roles at Deutsche Bank AG, Credit Suisse First Boston, and Donaldson, Lufkin & Jenrette Inc. Earlier in his career, Mayopoulos was in private practice. He is a graduate of Cornell University and the New York University School of Law.