Fannie Mae-No Politics (FNMA)

[jeddiemack]

Wanted to point out the error in your writing.

The situation is the the government did not pay anything for the "warrants" to acquire 80% of these entities. Since they've not acquired the interests, the courts have stated the claim, the taking claim is not ripe,regardless of the case and the fact that having these "warrants" is a total wet blanket on the price of the shares and completely destroys the entities ability to raise capital or do anything.

The fact is, the 80% interest and control excercised by fhfa also a part of govnerment from an accounting perspective they should be on the balance sheet of the federal government.

So, the 1/1000th of a penny price is the "excercise" price. Which will be the price to be paid. Fair value, as determined not by share price but value... (think 20Billion of Earnings / 1.1B shares x pe of 10 or so = $$$!!!) So, when the govnerment does this, they are going to owe the shareowners quite a lot.