Fannie Mae (FNMA)

[Guido2]

The plaintiffs are asking the corporations to pay the dividends to shareholders. Freddie capital will be reduced by amount paid to preferred and common. Fannie capital will be reduced only by dividends paid to preferred. Fannie shareholders don't lose unless they want immediate dividends. If plaintiffs win, FNMA should have a huge increase in share price. Those impatient to hold for dividends till they are fully capitalized can sell at that point.