<blockquote><span style="font-size:90%">Quote:<hr/><i>i generally see it as them being perceived as irresponsible if they don't make as much money as they can for the government when restructuring their equity position. </i></span><hr/></blockquote> <br /> <br /> I agree. It makes far, far more sense to focus on Treasury's incentives rather than those of shareholders below them in the capital structure. <br /> <br /> <blockquote><span style="font-size:90%">Quote:<hr/><i>and for that reason, i think you need a legal case, not a moral/ethical case to support your reasoning.</i></span><hr/></blockquote> <br /> <br /> Well said. If FHFA and Treasury have thus far acted contrary to what one believes is moral or ethical, why on earth would one expect them to do differently in the future? <br /> <br /> Instead it's better to think about what is legal and practical. And contrary to a somewhat popular belief, a senior-to-common conversion is both.