Fannie Won't Get Delisted

The company remains subject to quarterly review at the Big Board, though.
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Fannie Mae

(FNM)

said the

New York Stock Exchange

confirmed it won't delist the delinquent mortgage giant for the time being.

In a

Securities and Exchange Commission

filing late Friday, Washington-based Fannie said the NYSE "granted Fannie Mae's request for the continued listing of Fannie Mae's common stock and other listed securities even though the company has not yet filed ... its 2004 Form 10-K, which was due March 16, 2005."

The NYSE told Fannie its continued listing "is subject to quarterly reviews by the NYSE, as well as ongoing monitoring of Fannie Mae's progress toward restating its financial statements and filing its periodic reports with the SEC."

That's not all. "Fannie Mae is engaged in regular discussions with the NYSE staff regarding the status of the restatement and continued listing through completion of the restatement," the NYSE said. "Until Fannie Mae is current with its SEC periodic reporting requirements, the NYSE will identify Fannie Mae as a late filer on its Web site and will disseminate on the consolidated tape an indicator of the company's late-filer status."

Regulators led by former Office of Federal Housing Enterprise Oversight(OFHEO) chief Armando Falcon in 2004 forced Fannie to change its derivatives accounting, leading to the demise of the company's previous management, led by CEO Franklin Raines. The company has since failed to file timely financial reports while indicating its restatements could mount well into the billions of dollars.

TheStreet.com's

Peter Eavis

predicted the company's problems in columns running back to 2003.