Fannie Mae-No Politics (FNMA)

[Wise Man]

they are assuming that Treasury will exercise the warrants.

But don't forget to add that, under SEC rules, they are compelled to report all their financial statements on a fully diluted basis. So, the management sees the exercise price of $0.00001 per stock and assumes that it'll be exercised.
Which reminds me that you also ignore that they must report on a consolidated basis, which means that the off-balance sheet exposures (MBS Trusts with their MBSs issued and underlying mortgages) are recorded on the financial statements like the Balance Sheet, and your "SPS LP increased for free, off-balance sheet", first, it's false, and secondly, it must show up regardless, along with their offset (reduction of Retained Earnings account).
The financial concepts aren't your forte.
This is why you remind me a lot of the DOJ's Mooppan before the SCOTUS: "3rd amendment, typical renegotiation of obligations. Thus, within the FHFA-C's powers".

Therefore, it's not an assumption whether the Treasury will or can really exercise it under the law or simply, part of a broad conspiracy that has gone wrong:

-Issued for free to skip the prerequisite in the authority of Treasury on purchases of securities, to (iii) protect the taxpayer (collateral). Then, collateral it is.

-Illegal in the Charter's Fee Limitation of the U.S. that always has to be taken into consideration regardless, as part of the Charter dynamics, except the original rate similar to Treasuries on any obligations, including the SPS. "Financing of the operations as a last resort": section Statutory Purposes.

-if it had more to do with tumbling the common stock price, so it mimics the initial collapse in the non-cumulative dividend JPS's fair value (Chart), and pretend that they are equivalent securities. Just like the "FnF shareholders" slogan in court or even the "ROE target". Each share class has its own specifications, legal claim and ROE.

-Covenant 2.1.: "shares assigned to any Person" (Source). The intentionality of assault on the ownership by Wall Street and the Community Banks.

-VOID. "the right to receive shares" can be assigned. These people don't know that that's the definition of Warrant, making it de facto transferable, which is barred in the clause 7: the Warrant is non-transferable.