On May 24, 2006, Standard&Poor's Ratings Services said that its 'AA-' risk to the government, subordinated debt, and preferred stock ratings on Fannie Mae remain on CreditWatch Negative, where they were placed on Sept. 23, 2004. This follows Fannie Mae's agreement to implement corrective measures and pay a penalty of $400 million as part of collective settlements with the Office of Federal Housing Enterprise Oversight (OFHEO), its primary regulator, and the SEC. The agreement was reached in conjunction with an initiation of cease and desist proceedings against Fannie Mae, the issuance of a consent order by OFHEO, and the release of OFHEO's Report of the Special Examination of Fannie Mae, May 2006. As part of the consent order,
