Fannie Mae May Have to Restate Earnings

WASHINGTON – A day after Fannie Mae agreed to regulators’ demands to boost its capital cushion against risk and revamp its accounting, officials said Tuesday that the possibility of the beleaguered mortgage giant having to restate its earnings had been raised in the negotiations.

With investigations by the Office of Federal Housing Enterprise Oversight and the Securities and Exchange Commission still underway, it isn’t known whether the massive recalculations ordered for Fannie Mae by the housing oversight office will force the company to correct its past earnings.