Posted on September 9, 2008 by bostonkayakguy
Former South Natick resident Richard Syron, joined Freddie Mac in 2003. This week’s developments in the mortgage titan’s business operations means that Freddie Mac’s CEO will now be added to the running tally of monthly job losses.
According to a report published in today’s Boston Globe Syron’s departure from Freddie Mac may be accompanied by a severance package reportedly in the vicinity of $6.3 million, although an article in the NY Times states Syron’s payout could be at least $14.1 million.
*Photo courtesy of BusinessWeek.com
Syron’s severance package is still being negotiated with the Federal Housing Finance Agency.
While at the helm of Freddie Mac, Syron’s compensation was more than $15 million in salary and bonuses, the Globe reports, according to an executive compensation specialist who has reviewed the Securities and Exchange Commission filings.
The former head of Boston’s Federal Reserve Bank was cited by the NY Times in August for ignoring warning signs. At the time of the NY Times article, many bloggers took issue with many of the Times’ perceived omissions including the pressure put on Fannie Mae and Freddie Mac by Congress to pursue “social missions.”
Syron joined Freddie Mac, following his tenure as chairman of Waltham’s Thermo Electron Corporation, and after chairing the American Stock Exchange. Syron is a former deputy assistant Treasury Secretary, asssistant to Federal Reserve chairman Paul Volker, and president of the Federal Reserve Bank of Boston.
Prior to his arrival, Freddie Mac had revealed that the company had “manipulated earnings by almost $5 billion.”
Richard Syron, reputedly the first high school graduate in his family, holder of a Ph.D. in economics from Tufts, unpretentious, politically astute, and with a stellar track record, has apparently indicated that he “doesn’t anticipate receiving nearly that much,” referring to media speculation about his multimillion dollar severance pay package.
In addition, the Wall Street Journal is reporting that a person close to Syron said he is unlikely to take the $8.8 million payment representing compensation for “forfeiting recent equity grants,” which has been reported as part of the exit package.
Richard Syron's Compensation*
ANNUAL COMPENSATION*
| Salary |
$1,200,000 |
| Bonus |
$3,450,000 |
| Total Annual Compensation |
$4,650,000 |
STOCK OPTIONS*
| Restricted Stock Awards |
$8,662,876 |
| All Other Compensation |
$771,585 |
| Exercisable Options |
240,487 |
| Unexercisable Options |
222,913 |
| Total Number of Options |
463,400 |
TOTAL COMPENSATION*
| Total Annual Cash Compensation |
$4,650,000 |
| Total Short Term Compensation |
$4,650,000 |
| Other Long Term Compensation |
$9,434,461 |
| Total Calculated Compensation |
$18,289,575 |
Your thoughts??
*Financial Information Courtesy of BusinessWeek.com
Related:
Freddie Mac :Richard F. Syron Bio
Costly Swan Song
Ex Fannie and Freddie CEO’s May Collect Millions
Washington Post Reports
Golden Parachutes of the Past
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JOHN PRESCOTT
-BostonKayakGuy
Top Real Estate Agent for more than 14 years, serving the real estate needs of Wellesley, South Natick, Weston, Needham, Wayland, Newton, Framingham and other MetWest communities. www.johnprescott.net
JOHN PRESCOTT
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