Replies to post #562709 on Fannie Mae-No Politics (FNMA)

[Donotunderstand]

kt

thank you

I do not see the math

FandF owe about 200B (you note a 199B liquidation preference - which I assume has many purposes but represents money in to FandF)

Up to 10% divvy is viewed as legal - right?

So would not the legal payments on senior preferred paper be viewed as dividends and not pay down anything a penny ?

If FandF owed 200B then over 10 years (is it a full ten?) then F and F owed 200B in dividends

That then is gone

That leaves 100B for FnF in one way or another as over payment

I do not see how the overage over 10% - on a NON declining balance equity investment - gets to pay off the 200B and leave 25B


?