Replies to post #12893 on Fannie Mae Preferred S (FNMAS)

[5bagger]

I used to think div. restore means > RV

If they restore divvy, then 8.25% on FNMAS *could* fetch $30... right?!

Sure, they would call them in... so, not much more than $25, but some.

It appears there might be a re-capitalization in the offing. All $25s = $25, $50 = 50. Well, that may be -or- not.

We shall see what Pershing (independent of Fairholme) devises, but in any case... the juices are flowing.

[Donotunderstand]

rosen

in the current proposal (sure to change and change)

preferreds have two options

1. Own NEWCO - if you want
2. Get paid at PAR - ahead of any dividend to common by OLDCO

preferreds will not get dividends - those not tendered for NEWCO common will be paid off by OLDCO


that is why I still hold preferreds - as I was afraid I had to tender for NEWCO - maybe with added cash - and I do not