Replies to post #756315 on Fannie Mae-No Politics (FNMA)

[Wise Man]

Dividends can't be distributed out of a negative Retained Earnings account. Also, capital distributions (dividends and today's SPS increased every quarter that you mention) are restricted by law and the CFR1237.12 while undercapitalized, unless it's applied towards the exceptions.

Besides, the courts are precluded from talking about the Conservatorship, in the USC §4617(f).

This is how the SPS were fully repaid: