Fannie Mae Preferred S (FNMAS)

[rosen62]

Now, I am not sure your messages are all that "clear thinking".

The Srs' investment was not in the same line as the Jrs'. It was designed specifically to strangle the companies with the ultimate goal of never let them see the light again. The intent had a very negative undertone to it and it was probably the smartest way to kill the companies without bringing them within the federal books which would have ruined US' credit rating for good.

As fourcents said again and again the fact that the government stayed put gave the companies (and the real estate market) the time to turnaround and only this provided us with a better chance.

I also think DTA's issues are a lot more complex than what they appear to be. A crossing into 79.9% ownership line by the government will instantly kill them. Then, there is the uproar created by AIG when they, in turn, used theirs. BTW, Benmosche on a recent interview on TV touched the subject and repeatedly said "it is the law" when asked about all the questioning surrounding their use of DTAs. DTAs only have value to the extent they can be put to earnings so they won't immediately realize full value.