Fannie Mae (FNMA)

[brandemarcus]

1. Actually it's the government that only wants to take. The gse's have completely paid back the 132 billion they borrowed with 55 billion in interest until 2012. Then the government has continued to take with more than 50 billion after that plus at least 100 billion value in the warrants.

2. We have been over and over the fact that the historical cost of both the implied and explicit back stop is negative 40 billion in actual losses to the government.

3. As far back back as the 10q on 8/10/2010 (page 7), Fannie has admitted they over-provisioned their loss reserves. This was well before the housing recovery began. Using the same accounting standards as Fannie , Bank of america would have been toast. The difference was the government wanted Bank of America to survive and was charging them only 5% interest.