Fannie Mae-No Politics (FNMA)

[robert peebles]

The warrant conversion is why these stocks aren't already at $10-12/share.

I don't know what % chance the Govt says, we've been paid back, we are forfeiting the warrants, but the court decisions coming up could help prod the govt into not converting the warrants.

One of the to me, BIG things that is finally being shed to light, is that the judges hearing cases now have the insight of discovery that judges who made decisions on 4,3,2 years ago didn't.
The whole narrative of the death spiral defense was taken at face value....but now, if you listened to the lastest EnBanc appeal, and also realize in the court of claims case, all this new discovery will be vetted, the Govt will more likely be prodded to succumb to making a deal to forgo the warrants.

The warrants were put in place as a equity kicker and it is not an automatic given that the Govt will convert them.