Fannie Mae-No Politics (FNMA)

[Strykerd]

along4zride, there is no "Goverment Loan" to the GSEs. The Goverment bought senior prefered shares that have an annual 10% dividend, and a warrent to purchase commons equal to 79% of the commons issued. FnF did not recive TARP funds. You are correct that share holders get squat and the Goberment will get the rest minus the 3 bill fannie gets to keep. So how does this change? IMO once FnF have returned the ammounts (maybe 10% more or less)drawn from the treasury in the form of divvys and sweeps(within 12 months) the SPSPAs will be liqudated, warrent will be converted for the 79% commons and as these behemoths fly the govs commons will provide the taxpayer with more $$$$. this will trade at 10-30 times earnings in 2015 Q1 but with 79% more commons out there.