Replies to post #782942 on Fannie Mae-No Politics (FNMA)

[nagoya1]

Who cares about the fanniegate zero, GSE pref silution dilution malarkey.
FNMA

[EternalPatience]

oh You own JPS?

Geez..We diddnt know that. We all thought you owned commons and is a staunch supporter of common shares.. Good that you told us atleast now, at the n'th hour before exit... in case we want to follow you and change our mind, its a good heads up

Going forward please tell us few days, few weeks, few months, few years or atleast a few decades ahead, so that we can be prepared

[EternalPatience]

And where in his post did he ever talk about share holders, what type is good and what type is bad...

Comprehension is the least of your skills.. Learn that.

All he is talking about is the future state of the companies and the housing market.

You will go crazy (mental), if you keep on thinking about the same thing day in day out

[Wise Man]

Your JPS valuation is to claim:"anti dilution protection", which is laughable since it forms part of the Net Worth and currently the JPS are worthless with only $118B Net Worth, but $310B SPS outstanding, including the ones absent from the Balance Sheets.
So, 100% dilution. That is, wiped out.
Mnuchin is a bond guy and he was thinking of a debt restructuring.
The SPS would need a haircut.
Both measures boost the common stock price.

Watch the chart in my signature image below, with the evolution of the Net Worth in Freddie Mac (SPS + JPS + Common Equity) during Conservatorship and when the Cs and JPS started to have some value, under the Separate Account plan, which is the same chart as a normal Conservatorship.

Then, you'll get the par value for your stock because that's the stock's fair value today.
Fair Value calculated using a 6% discount rate to the moment that it's estimated Fannie Mae should have resumed the dividend payments under the Table 8 (Payout ratio) of the Capital Rule, as seen in this chart:

[Donotunderstand]

keep saying - JPS have absolute protection - if that helps you sleep at night

in the mystery crazy world of FNMA and courts that are blind and blinder ---- nothing is concrete - nothing