Fannie Mae-No Politics (FNMA)

[Louie_Louie]

When MC said capital raise will be up to the companies, I'm prerty ( my opinion) sure that means the BOD and shareholders. He and the fha will be involved for quite some time while cap level goals are attained. Consent decree release only takes the lowest cap level, so at that point fha/MC will still be involved, but at that point we are released and running of the companies is on the BOD who answers to common holders, not JPS. Ideally something happens with the warrants, seniors and the court cases by the time consent decree takes affect. I do not think JPS will be offered any conversion nor will commons be offered anything, other than what comes from the courts, before consent decree is instituted.

Why? Because that complicates the release a lot, relist and consent decree purpose, which is to start operating unobstructed out of the gate. JPS may very well be just JPS, awaiting a dividend or liquidation pref.