Replies to post #670091 on Fannie Mae-No Politics (FNMA)

[Wise Man]

That difference was recorded as a charge on the Additional Paid-In Capital account(shareholders' Equity)
That amount could also be challeged as a Direct Claim because, as you mention, the excersie price was well below the market price.
Never as Derivative claim which is what Guido and the plaintiff Fisher point out.

So, 2 Direct claims:
-The difference between the market price and the exercise price, that was charged on the shareholders' pockets in the 3Q 2008.
-If it's excercised, the damage caused by the dilution, because exercising the warrant isn't authorized in the law (collateral of the SPS)

Plus Moral and nominal Damages, assuming that the warrant should have been cancelled as collateral, when the SPS were redeemed under a Secret Plan, to uphold the law, because the warrant has prevented the stocks from trading at their fair value (now more than $200ps)