Fannie Mae-No Politics (FNMA)

[FOFreddie]

You made a great point regarding share count.

Assuming the warrants are valid FNMA has 5.76 bn shares outstanding and FMCC hAS 3.25 bn shares outstanding.

This means that the book value per share of FNMA will increase by $0.1736 for every $1 of good news - whether it is a settlement, judgement payment or earnings.

FMCC book value per share will increase by $ 0.3077 for every $ 1 of good news.

Currently the BV is $ 2.53 for FNMA and $ 2.80 for FMCC.

I understand that the preferred settlement discussion is something like $30 billion - the question is how that will be split up.

Also - FNMA has more earnings power.

What will the BV per share on the Share offering. How do we get a higher offering price than BV given the massive amount of new capital that may be raised.