Fannie Mae-No Politics (FNMA)

[Wise Man]

No, Bradford. MBS purchases isn't a capital distribution, but investment.
What is restricted is capital distributions because it's when the capital affects Equity and it isn't regular expenses/investments result of operations.
Capital distributions:
1- Dividends and today's gifted SPS.
2- Stock buybacks
3- Payment of Securities Litigation judgments.
The grounds of the Separate Account plan, as #1 distributions have gone through and we applied them towards the exceptions in the law and CFR 1237.12 to legalize it (to reduce the SPS and recapitalization outside their balance sheets. The gifted SPS are simply a joke thanks to the FHFA-C's Incidental Power. All of them translate into Common Equity held in escrow). Besides, no dividend was available for distribution, out of an Accumulated Deficit Retained Earnings account. A dividend is a distribution of Earnings, whereas interest payments are expenses. Capital distribution vs No capital distribution.
It was extensively explained in this comment.
The phony MBA guy, Bradford, doesn't know basic financial concepts, even if those are written in the laws and regulations.
You are here to deceive and mess everything up. Playing the fool won't reduce your share of the $4.8 billion penalty required to the plotters (law firms, your boss Ackman, Pagliara, Howard, Moelis, etc)
There is a fine line between playing the fool and crazy talk, because the previous day you claimed that SPS and LP are two different securities, and also that the gifted SPS are in a separate account, when their absence is simply Financial Statement fraud.
Playing the fool is when you claim to don't understand something and crazy talk is when you just post gibberish.

how can FnF (while still in c'ship) spend capital on MBS repurchases when capital is so scarce that Lamberth can't even pay the plaintiffs in the jury trial?
It's $612 million for the plaintiffs versus tens of billions in MBS buybacks.