Fannie Mae Preferred S (FNMAS)

[44centsAKAchoccake]

Umm, sell portfolio, raise cash. They've been reducing their portfolio fairly quickly in the last coupla years. That's one way to raise cash.

Pay dividend, use cash.

But, if it's a big one-time sr. pref. dividend payment, borrow money at a low interest rate to raise cash, use that cash to pay dividend.

I think that's what they said they did.

None of these transactions affect book equity capitalization. Sure they took on more debt, to make a big one-time payment, so what.