Fannie Mae Preferred S (FNMAS)

[skibrian]

sambass...possible, not likely. my theoretical, and unlikely scenario, rests on this...from the freddie investor presentation that 4cents linked to back around christmas time, note last paragraph on page 5:

The Director of the Federal Housing Finance Agency (FHFA) placed Freddie Mac and Fannie Mae in conservatorship on September 6, 2008 in order to restore the balance between the GSEs’ safety and soundness and mission
?FHFA is the Conservator for both GSEs
»The Conservator assumed all powers of the Boards, management and shareholders
»FHFA reconstituted our board of directors and executive management
»FHFA stated that the GSEs will continue business as usual during the conservatorship
?At the time the GSEs were placed into conservatorship, FHFA indicated that the goals of the conservatorship included:
»Restoring confidence in the GSEs
»Enhancing the GSEs’ capacity to fulfill their missions
»Mitigating the systemic risk that has contributed to market instability
?At that time, FHFA indicated that a GSE’s conservatorship will end when the Director determines that FHFA’s plan to restore the GSE to a safe and solvent condition has been completed