Fannie Mae (FNMA)

[cummingga]

This section of that document is disturbing -
Conservatorship and Board Authorities
On September 6, 2008, the Director of FHFA appointed FHFA as our conservator in accordance with the GSE Act. As
conservator, FHFA succeeded to all rights, titles, powers and privileges of Fannie Mae, and of any shareholder, officer
or director of Fannie Mae with respect to Fannie Mae and its assets. As a result, our Board of Directors no longer had
the power or duty to manage, direct or oversee our business and affairs.
As conservator, FHFA reconstituted our Board of Directors and provided the Board with specified functions and
authorities. Our directors serve on behalf of the conservator and exercise their authority as directed by and with the
approval, where required, of the conservator. Our directors owe their fiduciary duties of care and loyalty solely to the
conservator. Thus, while we are in conservatorship, the Board has no fiduciary duties to the company or its
stockholders.