Replies to post #747121 on Fannie Mae-No Politics (FNMA)

[FNM500K]

I think it's going to be around 10T common shares.

[kthomp19]

I know what an R/S is, just stop selling nonsense like there will be a 100-1 R/S after they issue 2-3 Trillions of NEW Commons shares, OK?

Why is a 100:1, or even 1000:1, reverse split out of the question? What would prevent it from happening?

I sincerely hope you have a better reason than "it's never happened before". Neither had a 14+ year conservatorship or a Net Worth Sweep that was deemed by courts to be legal and not even a takings.

Also keep in mind that the reverse split could happen before the senior-to-common conversion, which would stop the share count from ever going above 1.8B (or any other number FHFA chooses). So the idea that "trillions of shares is just too damn much!" is both moot and irrelevant.