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5 September 1996 MEMORANDUM TO MICHAEL WALDMAN CC: Don Baer Tom Shea From: Harold Ickes HI Re: Sally Mae and the Panama City stop tomorrow (Friday) Today (Thursday) I received a call from Harry McPherson who represents Sally Mae in its effort to privatize. It is my understanding that the White House and the Treasury Department are very supportive of the initiative to privatize Sally Mae. Attached is a copy of my 30 July 1996 memorandum to Tom Shea and my 12 August 1996 letter to Harry McPherson on that subject. According to Harry, Sally Mae employs approximately 1,200 people in its loan processing office located in Panama City which is the largest "private" employer in the area. According to Harry, those employees believe that their futures depend on the privatization of Sally Mae. He strongly urges that the President say something positive about the privatization of Sally Mae. I don't know whether this makes any sense in the context of the proposed event. I have asked Tom Shea to check out this proposal with the appropriate people in Washington to see if there would be any objections. Attached is Harry McPherson's 5 September 1996 memorandum to me regarding this subject. Also attached is Betsy Wright's 5 September memorandum to me. From my point of view there is absolutely no urgency whatsoever to doing this and, therefore, you should use your discretion.