RESTON, Va. - (05/30/06) Albert Lord, the man whoengineered the privatization of student loan marketer Sallie Mae,announced Friday he plans to sell down some of the massiveownership stake he has amassed in the company. Lord, who steppeddown as CEO last year and continues to serve as chairman of theboard, disclosed Friday he plans to sell as many as 720,000 sharesvalued at $40 million over the next 12 months as part of apre-arranged stock trading plan. Known locally for an exclusiveprivate golf course he is building in suburban Virginia, Lordearned more than $100 million in compensation since 2000. Thatincludes $45 million in realized gains on options and more than $16million of restricted shares. Lord owns 1.5 million Sallie Maeshares valued at $82 million at Fridays $54.63 closingprice, and 7.3 million options valued at $190 million, according toSallie Mae proxy statements filed with the Securities and ExchangeCommission. Under his compensation agreement as chairman of theboard, Lord received a grant for 300,000 options last year and willreceive a salary of $100,000. Lord transformed Sallie Mae from itsgovernment charter to provide a secondary market for student loansserving credit unions and banks, like Fannie Mae and Freddie Mac dofor the mortgage market. Since it was privatized, Sallie Mae hasgrown into a diversified financial services company that dominatesthe market for student loans, in direct competition with itsoriginal credit union and bank partners. The company claims arelationship with nine million student families and a student loanportfolio of $130 billion.
-
Consumer spending slowed and charge-offs rose during the first quarter, but Bread Financial said a pending late-fee rule may not be as devastating to its revenue as the Columbus, Ohio-based firm initially feared.
36m ago -
Artificial intelligence models are energy hogs. Climate First Bank and UBS are among the very few trying to solve this problem.
49m ago -
The FDIC board debated and ultimately withdrew two separate proposals to address asset managers' control over banks, but acting Comptroller of the Currency Michael Hsu said he couldn't support either and called for more research and debate about how asset managers' control over banks impacts safety and soundness.
2h ago -
The state's comptroller of public accounts is one of several notable non-depositories with access to the Fed's payments system, along with the Chicago Mercantile Exchange and the Tennessee Valley Authority. So why do they have accounts while some neobanks don't?
2h ago -
Mortgage rates rose 7 basis points this week, Freddie Mac said, and more increases are likely following a weaker than expected gross domestic product report.
2h ago -
While home lenders are seeing a decrease in issues coming through mobile channels, phone fraud spiked last year, accounting for 28% of losses, a new report found.
5h ago