Replies to post #638385 on Fannie Mae-No Politics (FNMA)

[EternalPatience]

Whatever artifacts you produce, you will still get a false, incorrect, disagree, not correct, all of the above

[make it or break it]

govt are complete slugs, they wont do anything until the courts force them to

[trunkmonk]

If he holds current his astronomical cap reserves numbers, they won’t make it out without court help.

[FOFreddie]

American Banker Article was November 13, 2019 - Is it relevant?

Collins En Banc Decision - September 10, 2019

American Banker Quote - November 13, 2019

FHFA Seeks New Capital Rule - November 19. 2019

SCOTUS Seila Decision - June 29, 2020

FHFA Releases New Capital Rule - June 30, 2020

SCOTUS Collins Cert - July 9, 2020

FHFA Comment Period Ends - August 31, 2020


Maybe a little too much water gone under the bridge? -

[camaro4me]

Calabria will make sure they don't exit cship before his term is up, unless Scotus makes him

https://www.americanbanker.com/news/fannie-and-freddie-will-likely-exit-conservatorship-by-2024-calabria-says

Federal Housing Finance Agency Director Mark Calabria said Fannie Mae and Freddie Mac are expected to be out of government conservatorship by the time his term ends in 2024.

However, he said the U.S. takeover of the government-sponsored enterprises — which began more than a decade ago — will not end until Fannie and Freddie hold sufficient capital.

“I certainly hope and expect they will leave before I leave,” Calabria told reporters Wednesday. “If they’re not ready, they’re not ready. And I’m not going to force them out.”

[kthomp19]

Again, thank you for posting an article that proves my point.

“If all is going well, [in] 2021, 2022 we will see very large public offerings from these companies,” Calabria said at a Conference of State Bank Supervisors conference. “We will be allowing these companies to go out there and raise the capital they need so they can get out.”

Calabria is not going to allow FnF to just sit still and retain earnings to recap. Freddie's CEO also listed speed of exit as a top priority, and since exit is contingent on a capital raise, that means doing that capital raise ASAP. Not 4 years from now.

The quote "Again, Calabria reminded that the GSEs “have a large number of supervisory issues they need to fix” first." also shows why the lack of action on the big-ticket items (SPSPA amendment and settling the lawsuits) doesn't indicate a lack of urgency on his part. There is a lot of behind-the-scenes work to do.

And the quote "will not end until Fannie and Freddie hold sufficient capital" also reinforces a point I have been making: recap will precede release, or at least be simultaneous with it. The idea that Calabria will release FnF first and then just rubber-stamp whatever capital raise plan the boards come up with is completely wrong.