Replies to post #377117 on Fannie Mae-No Politics (FNMA)

[tcj]

I don't disagree with anything you're saying and I am a firm believer in the idea that a deal or investment is never done until it is. Nothing turns my stomach more than 90% of what is posted on boards celebrating as if victory has already been achieved. It's total bullshit from naive, novice investors who haven't been screwed like the examples given.

My real hope as I said is that Trump/Mnuchin find the truth of what really happened with FnF through the major litigants, the documents, the Ken Blackwells and allies of the admin. A positive ruling in Perry would be a huge help. I think Trump will look out for shareholders and I pray that he uses the situation to expose the truth to the public. That said, you are spot on that the forces against us and the $$$ involved are cause for concern every second until this is complete. I'm heavily invested because I think the probability for success is high, but I'm nervous every single day and am constantly focused on the black swan far more than the success.

[obiterdictum]

But there is a lot of text in recently issued articles that seem to indicate movement in the direction of Berko's earlier plan to privatize. There have been TWO recently that basically said "Mnuchin should just put some non-bank hedge funds in a room and let them come up with a way to recapitalize and privatize Fannie and Freddie."

Can you please provide the links to the two articles (and any other articles) you refer to in the above statement?

Thanks.

[HaloHat]

From Fairholme Funds home page -

"Fannie Mae and Freddie Mac. We believe that these two companies may be the most important financial institutions in the United States – perhaps the world – and directly support housing affordability and accessibility, including the uniquely American 30-year fixed-rate mortgage. They are a major reason why our country did not descend into a second Great Depression. Millions of American families depend on Fannie Mae and Freddie Mac to lower the costs and improve access to homeownership. In times of stress, these two have helped to ensure the continued functioning of the U.S. housing market. They have no substitutes. Fairholme’s investment in Fannie and Freddie demonstrates a commitment to ignore the crowd and invest in valuable, systemically important institutions – even those that are politically unpopular."

Sounds quite different than the link below - Though it reads a lot like other plans on replacing Fannie and Freddie which also amount to "we take over their operation and continue their successful operations using current resources and we just rename the two companies". I'd love to see Tim Howards opinion on the "Offer" linked below.

http://online.wsj.com/public/resources/documents/FairholmeOffer.pdf

Still long on both FNMA and FMCC.

I think Trump would like a positive legacy and a second term. Screwing common shareholders will not help as the truth of the current administrations lies and fraud are becoming know to all a bit more every day.

[FastEddie18585]

Good observations, Yank. As someone who lost out in the GM debacle-- thinking they were too big for the Government to let them fail-- I'm taking nothing for granted. Fortunately in the case of GM, I had a relatively small holding. If this one went south it would hurt a whole lot more.

[DSUPERB1969]

Remember that guy who wrote the dumb letter to the judge in the Exide case? Yeah well he should of listened to you. You absolutely were right on with your views, comments and information. When everyone else was bashing. Thank you for the continued support here.