Fannie Mae-No Politics (FNMA)

[big-yank]

Tim Mayopolous, Fannie Mae's CEO clearly stated in the Q3 conference call that he sees hard times ahead as profit opportunities are increasingly difficult for the GSE to project.

YOU said Fannie needed no bailout. If so, why did they take the money? And why did they pay it back? And why did their Board agree to the conservatorship in the first place?

10% interest on loans to near-bankruptcy firms in 2008 was a bargain. Check out the rates for DIP financing extended to auto-makers during the same period. The FED hadn't yet dropped the I-rate to near zero.

More draws from Treasury on the horizon. More draws = insolvency and liquidation.

Bye-bye commons.

LOL.