Fannie Mae-No Politics (FNMA)

[navycmdr]

Calabria Bla Bla Bla speak from MBA virtual conference ...

Calabria said the proposal, which the agency is redrafting after the director shelved
a previous capital plan proposed by his predecessor, should be out "very soon."

“I think it’s fair to say that even if Fannie and Freddie were ready to go to market today,
this probably isn’t the best environment to try to score a large IPO or a large re-offering,” he said.

“Going forward, obviously we will keep an incredibly close eye on this
and let the data drive our decisions,” he added.

“The entire housing system is at risk because Fannie and Freddie currently
do not have the capital to withstand a serious downturn in the housing market,”
he said. “And as we learned in 2008, when the enterprises fail, they are unable
to fulfill their mission and role as a countercyclical support to the market in times of stress.”