Replies to post #759492 on Fannie Mae-No Politics (FNMA)

[bradford86]

the longer this goes, the greater the spspa gets, and it is already more than the available post restructuring equity value.

so i would argue that commons are vanquished no matter how long this takes from here

good try though

[Wise Man]

Exactly. Earnings are earmarked for the Common Equity as always and as seen in my signature image below.
The SPS increased for free as compensation to UST are a capital distribution and thus, restricted. Beside barred in the FHFA-C's Rehab power because the offset attached (reduction of the Retained Earnings account) reduces the Core Capital (concealed with Financial Statement fraud: these gifted SPS are missing on the balance sheets, to avoid recording the offset and peddle the lie of "FnF build capital")