Fannie Mae-No Politics (FNMA)

[jeddiemack]

Well... lets just figure you are not right.

Instead start with after tax ordinary income subtract preferred dividends (until repurchased) and divide by outstanding shares. The warrants are trash so put the BS to the side. You get a very healthy EPS. Now multiply that EPS by a stable multiple similar to other financial instituetions (or pre-crazy). Do that and you get preferreds at minimum par value (may be more market value due to the dividend rate) and you get common at $165+.

Do that, after returning the stolen money and you have a well capitalized pair of companies, paying$$$ in taxes, whose shareholders pay lots in taxes (when they sell shares / utilize their value) and all is good.

Now, that is the win.

Do this after settling the lawsuits for damages, yikes, can't steal and not pay for it rightfully.. and things can be normalized.

Government always likes to manipulate markets and they do so with these GSE's they've done it for years, and need to back a way some, by letting the companies run themselves, subject to larger guide posts. Its really not hard to do the right thing.. they just have to do it.

And that's very hard for government... doing the right thing honestly. VERY hard for them. Unless forced. Hope we live long enough to see it.