Replies to post #7863 on Fannie Mae Preferred S (FNMAS)

[betahighlander]

Net zero- what happens-
Well of course pfd divi issue comes front and center-

I am guessing this will cause them to make another ammendment.

from now changing the sweep to build capital until "hard assets" are restored to some level.
Hard assets would NOT include the DTA- goodwill if any, illiquid assets.

Or they may go the Newco route. I do not think the securitization platform will be ready by then.

It will be interesting.

Of course it would be HUGE to pay the pfd divi.