Replies to post #1603 on Fannie Mae Preferred S (FNMAS)

[taintedfud]

"the only problem 4 cent is that if they decide to sweep revenue in perpetuity to fund the national government there will be no cash to pay a preferred dividend which would leave them essentially worthless.

highway robbery if that happens...."

that's when the entity purchasing the 50K chunks(more today. maybe even 10 by the time the day is done)will bust them. he will have 1 to 20 million shares, and i do not know what or where, but i am certain that sacking and pillaging a company to avoid commitments is frowned upon, even when the united states government does the dirty deed.

there is lots of case law where a company has tried to bury cash to avoid payment, and that does not work out too well.