Fannie Mae-No Politics (FNMA)

[LuLeVan]

If, as seems likely, the SPS and JPS are converted simultaneously into commons, it is conceivable that the government will forego additional warrant exercise. The dilution would already be so extreme that an additional warrant exercise would hardly make sense. There is not much difference between owning 99.5% and 99.9% of all pre-IPO commons.

Still think those warrants are going to get cancelled? Seriously?