My reduced role in the company will allow for a smooth management transition, while enabling me to spend more time with my family and on my other ventures.

I don't think they are going to split. Management has indicated that while they are a public company, they would like to run themselves as if they were a private company and you could argue that's a similar path as Berkshire.

However, by retaining a sizeable shareholding and a share in the management of the company, they are able to hold on to a good proportion of the company's profitability into the future.

If they vote with management of a company that is not performing, I think that will require some explaining, given that individual investors are more attuned to issues.

This company is very deep in skilled management, so my guess is that this will have little enduring impact, ... But so far, this stock market hasn't been applauding (Prince), and if that's a measure of how he's performed to date, he gets a mixed review.

Freddie Mac ( FRE ) takes these issues, which relate to prior management of both the company and its government relations operation, very seriously. The settlement announced today is part of the company's ongoing efforts to put behind us regulatory and legal issues dating back to 2003 and earlier.