Fannie Mae-No Politics (FNMA)

[Bryndon]

"convert Treasury’s senior preferred stock to common stock."

Well, if you had any doubts about which class of shareholders are being represented by the Collins plaintiffs, you can lay them to rest.

I thought all along that this was the wrong case to address the NWS – using a constitutional loophole, of all things. And now for them to request this kind of alternative relief, knowing full well that if it’s granted it will devastate existing common shareholders. Unbelievable. I wonder if Marcus Liotta was consulted on this alternative.

In the end, however, the Collins case will not be the one to bring real relief to both common and preferred shareholders of Fannie Mae and Freddie Mac. It will come from the derivative cases in the USCFC.