Fannie Mae-No Politics (FNMA)

[RumplePigSkin]

Bradford, some observations ...

think that makes it clear to anyone who is honest with what has happened and transpired that the net worth sweep is illegal

I agree.

and so they aren't stealing money to pay lawyers to fight so that they can steal more money.. the cash payments are being retained by the companies

so if you're the government, in 6 months you have a choice.

do you want to pay out of your own pocket to fight a losing battle with contingent $100B+ cash liabilities?

Yea, I agree with that.

or do you want to settle this and profit and close the trade and fix the companies and follow the letter agreement.

And how does the Government profit further on top of the $124+ billion they've already made? By exercising the warrants you say ... oh, ok, so are we back in court? Doesn't that restart the clock on recapitalization without settling legal issues.

Because almost every other TARP bailout recipient received the option to repurchase the warrants. Surely, if SCOTUS directly or via remand put the issue on an academic path favorable to shareholders, a path without diluting the companies by 80% can be found to allow the companies a path forward.

Surely, you aren't implying the government will, after receiving over $300 billion netting a profit of $124 billion that they will easily dilute the companies as a final act of profiteering.

But, wait, there is more, and if direct claims are allowed do a whole slew of dismissed claims become resintated, also postponing a capital raise based on settlements. There are more variables to be solved in front of JPS than commons ...

The political, legal, and financial variables must be baked in ...