Fannie Mae (FNMA)

[LuLeVan]

Hi familymang,

very interesting calculation.

There is just one slight mistake. You wrote (bold by me):

- That works out to UST getting $216b (92.5% * 200b equity value) in value and fannie JPS getting $15b (7.5% * 200b equity value which is ~80% recovery for fannie JPS).

Correct is (IMHO):

- That works out to UST getting $185b (92.5% * 200b equity value) in value and fannie JPS getting $15b (7.5% * 200b equity value which is ~80% recovery for fannie JPS).

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Total future worth of Fannie in 3 to 4 years would be $200b, of which UST gets $185b, Fannie-JPS get $15b (21% haircut), and commons get almost nothing.