Replies to post #653903 on Fannie Mae-No Politics (FNMA)

[Louie_Louie]

Who's #1 in the capital stack right now? That's right, the government. Nothing else you ponder matters.

[kthomp19]

Thanks for bringing up what looks like another confirming data point with AHT. Do you have a link so I can read more about it?

Citi's conversion is the first precedent showing that Treasury is willing to have its warrants diluted by a conversion offer and that a shareholder-elected board with a fiduciary duty to common shareholders still offered a very generous conversion offer to its preferred shareholders for the express purpose of increasing tangible common equity, equivalent to CET1 capital.