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MelWatt.jpg

MelWatt.jpg

Federal Housing Finance Agency (FHFA) Mel Watt defended his decision to approve the pay hikes, which will raise the Fannie and Freddie CEOs' pay from $600,000 to $4 million, as vital to "promote CEO retention, allow reliable succession planning and ensure the continuity, efficiency and stability" now that both companies have returned to financial health. (Associated Press)

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20110919-200121-pic-768564937.jpg

Edward DeMarco, acting director of the Federal Housing Finance Agency, says reshaping Fannie Mae and Freddie Mac requires spreading lending risks. (Associated Press)