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Re: A deleted message

Sunday, 08/20/2023 7:48:19 PM

Sunday, August 20, 2023 7:48:19 PM

Post# of 796308
Sandra Thompson has worked towards preparing Fannie and Freddie for life after conservatorship.

Jared Bernstein has written and talked about private capital taking the first loss position and ending the conservatorships via recap and release.

A jury just gave a verdict saying FHFA lost and FHFA/Treasury breached the contracts.

I still am hopeful. The Biden admin can lock in its administrative priorities:
https://seekingalpha.com/article/4629381-dc-jury-decides-gse-shareholder-contracts-breached

If there is money in locking in the priorities (I am not saying there is), the new budget starts in October.

Warrants will be exercised and I expect the SPSPA to convert to common. Common thus have no security. Preferred will be made whole.