Fannie Mae Preferred S (FNMAS)

[KylieM]

I was going to say the same sort of thing. As Letgo says, Fannie traded at $70 in the old days with, say, one billion share outstanding. With recapitalization, FnF would need perhaps $200 billion of book equity capital. You need to sell a lot of new shares to get $200 b. Plus, the money from the warrants (80% of capital structure) would go to Tsy not FnF.

If 3rd Amendment is deemed invalid, the swept monies will be returned back to the GSE's, there shall be no issues of recap.