Fannie, Freddie Overseer Lockhart To Join WL Ross

   DOW JONES NEWSWIRES 
 

James Lockhart III, director of the federal agency that oversees mortgage lenders Fannie Mae (FNM) and Freddie Mac (FRE), has been named vice chairman of WL Ross & Co., the distressed investment affiliate of money-management giant Invesco Ltd. (IVZ).

Lockhart, director and chairman of the Federal Housing Finance Agency's oversight board, will start his job at the distressed-asset investor in September.

WL Ross is controlled by billionaire investor Wilbur Ross, who earlier this year made a foray into U.S. banking by picking up a large piece of BankUnited Financial Corp. (BKUNQ).

"With his extensive government experience, deep knowledge of the U.S. mortgage markets and strong background in public/private finance, Jim is ideally qualified to help expand the financial services portfolio of the funds we manage," Ross said.

Lockhart said WL Ross and Invesco's "large global platform and growing portfolio of companies positions them extremely well to participate and aid in the recovery of the financial services sector. "

The Federal Housing Finance Agency is a more powerful incarnation of Fannie and Freddie's former overseer, the Office of Federal Housing Enterprise Oversight. Lockhart also oversaw Ofheo.

From 2002 to 2006, he was deputy commissioner and chief operating officer of the Social Security Administration. He was a member of President George W. Bush's Management Council and its Executive Committee. Lockhart also served in the previous Bush administration as executive director of the Pension Benefit Guaranty Corp. from 1989 until 1993.

Invesco's shares recently traded at $19, down 0.4%. The stock has gained a third this year but is still down a quarter from last August.

-By Kathy Shwiff, Dow Jones Newswires; 212-416-2357; [e-mail]