Fannie Mae-No Politics (FNMA)

[big-yank]

Something like 60% of the home mortgages backed by FNMA were underwater. Foreclosures were rampant. Bankruptcies were rampant. The housing market, housing sales and housing construction came to an abrupt halt. Fannie and Freddie would have collapsed under the weight of mass sub-prime default if Uncle hadn't stepped in and bailed them out.

The S/P of FNMA and FMCC stock was sub-$1 when the housing bubble burst. That was the market value of shares, not what they are worth today or might be worth at some future point.

FnF shares, today, are valued based on speculators running them up in hopes of some miracle in court. A lot of what FnF has divvied out to Uncle is from settlements extracted from the same TBTF banks you guys constantly claim the FHFA and Treasury were somehow in cahoots with from the outset... a RIDICULOUS claim, IMO.

It actually would have been better NOT to have bailed out these millstone's on free enterprise. Then no Crapo or Corker bills would be needed to shut them down, they'd already be GONE and the further risk to taxpayers would be cancelled out at long last.