Fannie Mae-No Politics (FNMA)

[M I A]

FHFA : Lower cap requirement to $180B.
Consent decree release with stipulation we withold.
dividends until certain cap percentage is reached.

TREASURY : Write down LP to zero/ deemed paid. SP gone.
Keep $27B overpayment in exchange for warrants.

FNMA / FMCC : Leave JP to trade on open market to receive.
full par. Once a % of cap req is reached.
reinstate dividends. As well for common.


So by 1st quarter of 2023:

FnF.hold $100B positive on the books.
Sp/Lp is gone.
Warrants are gone.
Jp is taken care of.
Common is taken care of.
3 to 4 years of earnings retention to reach full cap levels and full dividends.

No dilution needed. We all get fair value with dividends to follow. Government does not get into trouble or return any money. Govt will have made $83+B interest + $27+B warrants along side the TBTF settlement money they keep. After being repaid principal amount back.

That's FAIR, PRACTICAL, LOGICAL. But it's also the govt. So.......What the hell? I just solved a problem. Even though this whole c-ship is a sham and govt should return all money and be held accountable publicly, I am willing to compromise.

Whatever.
It's JMO.