Replies to post #813453 on Fannie Mae-No Politics (FNMA)

[HappyAlways]

In AIG case, the warrants were sold back to AIG. This will allow UST to make some profit with minimum dilution to shareholders. GSEs are different in that they have fully repaid their loans. 

[jog49]

"The warrants were only a backstop for the Gov’s $189 billion in case the GSE’s went BK or couldn’t repay them! "

And in finance, backstop is called what?

COLLATERAL

Winer, winner, Chicken dinner!!!!!!!!!!!!!!