Replies to post #556278 on Fannie Mae-No Politics (FNMA)

[cclose1]

There will be no IPO without resolving 1) Senior Preferred and 2) Warrants. Exercising warrants will lead to another round of litigation that will create uncertainty in an IPO offering. New money wont touch with SP 10% dividend. A class of preferred stock could be used but NO DIVIDENDS in conservatorship. Out of conservatorship, the board of directors will determine the best course of action for raising capital, and it will not be an IPO of common shares. Even at 79.9% dilution this is a buy.

I personally think that F&F will be released as a "severely undercapitalized" enterprise, subject to an approved capital restoration plan. This restoration plan will include a substantial Credit Risk Transfer (CRT) program that will reduce as capital is built. An ongoing g-fee will be paid to the government, and the SPS will balance will be considered repaid (with an assist from the courts). Once capital is built the board will continue to raise capital in order to repurchase the warrants at a discount (giving $ to gov and possibly avoiding litigation).

[10bambam]

Didn't en banc conclude that treasury was paid back and more? Or was that Bradgord?
Go FnF!

[cfljmljfl]

Sogo the En Banc decision give shareholders right to pursue trials. The scope of that is .huge. If we don’t agree with all these gov p;and, the courts can not use that cover the court are excluded from acting. That is over and give shareholders leverage to fight the gov illegal acts as well as stopping IPOs, warrants exercise and preferred share conversion without shareholder approval. If shareholders view these actions not safe and sound for companies and shareholder value, we can stop through court sand sue for damages.

[Stockman1010101]

one thing everyone is forgetting. increasing the common share price increases the market capitalization of the company given it more strength to be independent and be able to use its shares like cash to use for recap and self growth and expansion. so its to Fannie's and Freddie's COs benefit to have their shares go up. We the outside shareholders are not the only people positively or negatively impacted when the share price goes up or down. We have many, many, many partners in this investment. in summary if the company screws its shareholders it will also screw itself. So that is why i am not worried about the insiders screwing me up with massive dilutions or reverse splits that does not benefit the shareholders. Also if the Co tries to wipe out the shareholders they will spending the next 100 years trying to settle 10,000 law suits. thats why the co shares have no place to go but up, up and away from here.
GLTA.