Fannie Mae-No Politics (FNMA)

[bcde]

"Then, why not issue new preferred shares at 2% interest to recapitalize & release immediately ? Suppose the GSEs need $200B, 2% interest will mean $4B interest payment a year which is totally affordable to the GSEs.
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Yes, Like this there are so many easy and better options. But K19 desperately tries to convince CS holders that JPS are better.

Why worry about JPS and the dividends, anyway JPS are non-cumulative. Just build the capital with retained earning and then just redeem JPS.

Or why worry about redeeming JPS, FnF can just buy JPS from the open markets for 20-30 cents on a dollar.