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Fannie's delusions of grandeur
Fannie's delusions of grandeur
Fannie Mae CEO Dan Mudd proves once again that his crystal ball is malfunctioning. In May, Mudd predicts that the government-sponsored mortgage lender will "feast" on weakened competition in the mortgage market - even as its own prospects dim amid mounting credit losses and asset writedowns.

By September, on the brink of collapse, Fannie gets a new owner - Uncle Sam - and Mudd loses a job. -- By Colin Barr, Fortune senior writer

What do you think was the year's Dumbest Moment in Business?Join the discussion now.

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Last updated December 31 2008: 10:36 AM ET
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