Fannie Mae-No Politics (FNMA)

[kthomp19]

See Navy's take on Post 710427

I'll just post a link to my response rather than repeat it here.

Ackman's thesis for owning the common is that Treasury has an incentive to maximize the per-share price of the commons. That stops being true in a senior-to-common conversion scenario.

But I also doubt that's what Treasury will do. When you are addicted to cash, hard to turn down a free hit.

That sounds like you're coming around to my way of thinking in regards to the probability of a senior-to-common conversion. You really think Treasury would take all the steps they have to get all this cash and then stop short at the end?