#GOTIME
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AMERITRADE>
L2 TRADE ARCHITECT
TY for your input stuffit.. I marked your board when I 1st signed on..TY again.
would be nice to see that $50 during the summer. LOL was wondering why this insane spike..nobody seems to be ranting about the oil this spike like it was a latter years
GM mam. TY for the news I was WODERIN what waz the Dillio..Have a nice day
Fairholme Vs Fannie Mae, Freddie Mac On ‘Net Worth Sweep’: Filing
http://www.valuewalk.com/2013/07/fairholme-fannie-mae-freddie-mac/
Fairholme Fund (MUTF:FAIRX – NAV), the mutual fund managed by Bruce Berkowitz filed a lawsuit (full court document below) against the United Stated government in behalf of the shareholders of preferred stocks of Federal National Mortgage Association/ Fannie Mae (OTCBB:FNMA) and Federal Home Loan Mortgage Corp/Freddie Mac (OTCBB:FMCC).
Waterstone Fannie Mae
The mutual fund is seeking just compensation for holders of preferred stocks of Fannie Mae (OTCBB:FNMA) and Freddie Mac (OTCBB:FMCC) under the Fifth Amendment of the Constitution of the United States.
According to the mutual fund, its lawsuit against does not challenge the emergency investments or bailout money provided by the government to the mortgage giants during the 2008 financial crisis, instead it is disputing the implementation of “Net Worth Sweep” related to the Government stock documents.
See Republicans Planning To Wind Down Fannie Mae, Freddie Mac In 5 Years
Fannie Mae, Freddie Mac Net Worth Sweep
Under the “Net Worth Sweep” the 10% dividend due on Treasury’s Government stock was changed to 100% on all current and future profits of the Fannie Mae (OTCBB:FNMA) and Freddie Mac (OTCBB:FMCC) forever.
Fairholme Fund emphasized, “The result of Net Worth Sweep circumvent the rules of priority and to expropriate for the government the value of the preferred stock and common stock held by private investors.”
The mutual fund also cited the previous statement of the Treasury Department that the objective of the Net Worth Sweep was to ensure that every dollar earned by Fannie Mae (OTCBB:FNMA) and Freddie Mac (OTCBB:FMCC) will benefit taxpayers.
Fairholme Fund argued that the mortgage giants did not receive or any other meaningful value from the Treasury Department in exchange of the Net Worth Sweep. According to the mutual fund, the action of the government “effectively nationalized” Fannie Mae (OTCBB:FNMA) and Freddie Mac (OTCBB:FMCC), two of the largest financial institutions in the country.
See Waterstone: Freddie Mac, Fannie Mac Common Shares ‘Worth Zero’
Bruce Berkowitz Argument Against Fannie Mae and Freddie Mac
The mutual fund noted that the mortgage giants paid huge sum of money ($66.3 billion around June 30, 2012) to the Treasury Department under the Net Worth Sweep. On other hand, without the implementation of Net Worth Sweep, Fannie Mae (OTCBB:FNMA) and Freddie Mac’s (OTCBB:FMCC) obligation to the Treasury was only $4.7 billion (10% original coupon rate on Government stock).
The Treasury does not consider the $61.7 excess as a return on capital invested instead, it is a “windfall” dividend on its Government stock. Fairholme Fund pointed out that the government’s rate of return annually under the Net Worth Sweep is not 10% but, 140%. It also anticipated that Fannie Mae (OTCBB:FNMA) and Freddie Mac (OTCBB:FMCC) will be required to pay the same large dividend to the Treasury over the next quarters.
Fairholme Fund pointed out that the Net Worth Sweep eliminated the ability of Fannie Mae (OTCBB:FNMA) and Freddie Mac (OTCBB:FMCC) to generate funds and rebuild capital reserves, to redeem Government stock held by the Treasury, or to distribute dividends to the owners of preferred stocks.
See Fannie Mae, Freddie Mac Shareholders Bitter over ‘Double Standard’
In addition, the mutual fund emphasized that the Net Worth Sweep “eliminated and destroyed the property and contractual right of holders of preferred stock to receive a liquidation preference upon the dissolution, liquidation, and winding up” of the mortgage giants.
According to Fairholme Fund, the owners of preferred stock did not received any compensation from the government for taking up their vested property rights impacted by and under the Net Worth Sweep.
Federal National Mortgage Association/Fannie Mae (OTCBB:FNMA),Federal Home Loan Mortgage Corp/Freddie Mac (OTCBB:FMCC) Filing
H/T Alison Frankel of Reuters
way to put your FOUR cents into thangz..reminds me of that Chevy commercial..whats that saying??...like a ROCK~~
Good Evening Stuffit>
I notice this INSANE OIL price.. do you have an Docs on why this UP in OIL PPS?
This is INSANE high..for what? thanks Man~
and them ALL CAPS ARE JUST ANNOYING..i bet its a WOMAN like HSA
NICE
Could it be that all that bashing last week drove the price down to levels that your boss has now taken a long position?
i hear dat!
KINGMADE JERKY ?@KingmadeJerky
And...BOOM!!! The anticipation is over!!! What couldn't be yours is now YOURS!!! http://Kingmadejerky.com doin' it LIVE!! NOW IS THE TIME!
T Y TY smmOOKinNN Jammy
RELAX and JAM~Sanjiva - Four dimentional inter action
so its going to go back up..are you an insider ? do you definitive proof on this ASSUMPTION?? links ? DD?? what if it dont?? are you going to pay anyone back for helping them loose THEIR MONEY? what did u get paid to pump this dumper stock..U are making money.. its ILLEGAL FOR PROMOTERS TO TRADE so how HOW are you making money?
There
are terrible people all over hate to mention any alias but really.. FOR WAHT.. MONEY> they cat even show their face..just some worthless name alias! they aint real!
my split ends are crossing my toes
it got raped, pillaged, and kicked to the curb all week ..it need that EOD rally!
anytime just ask and yur welcome bud..GLTU!
GREEEEEEEEEEEEEEEEEENNNNNNNNNNNNNNN!!!
someones buying 50 k blocks
300k on 1.57 BANGERRRRRRRRRRRR
TRIX is rounding..2 more week IMO..let m play games now
weeeeeeeeeeeeee
sweet!
mmeeep meeep
haha
really i wouldnt say the BEST by far.. a SCAM is the best to desecribe it you pay to post and get deleted..yah thats fair!
LIKE THE PUMPERS HERE GOING TO 10 DOLLARS AND IT CANT GET PAST 1.75...THERES YOUR BROTHER IN ARMS!! NEXT TARGET 100 DOLLARS TOMORROW
thanks
Fence dewd can you please reiterate in a more simpler terminology.. TIA~
FnF, Bear trap... FnF privatizing right under everyone's nose with non government backed bond sales on 7/11, and dividend reclamation via todays suit on the heels of the non profit suit demanding rule of law to be followed.