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View Full Version : U.S. Issues Fannie, Freddie To Delist Stock From U.S. Exchanges


petegz28
06-16-2010, 08:20 AM
Fannie Mae and Freddie Mac said they intend to delist their stock from the New York Stock Exchange as the government-backed mortgage companies continue to struggle amid billions in losses.

The Federal Housing Finance Agency, the companies' conservator, said it directed them to delist their stock because of stock-exchange requirements for maintaining price levels above $1 per share.

"FHFA's determination to direct each company to delist does not constitute any reflection on either enterprise's current performance or future direction, nor does delisting imply any other findings or determination on the part of FHFA as regulator or conservator," said Acting Director Edward J. DeMarco.

After the delisting, the two stock of the companies will be traded in the over-the-counter market. Freddie said it expects the delisting of its common stock and the 20 listed classes of its preferred stock from the NYSE will happen on or about July 8. Fannie will delist from the NYSE and the Chicago Stock Exchange.

The crash in the U.S. housing market has pounded Fannie Mae and Freddie Mac with heavy losses on mortgage debt since 2007. Fannie shares have been below the $1 average price level for 30 trading days. NYSE rules require a company to take action to boost its shares or delist.

Shares of Fannie and Freddie closed at 92 cents and $1.22, respectively, on Tuesday. The stocks are down 22% and 17% so far this year.

The two mortgage giants have struggled heavily amid the housing market's woes. Fannie in May said its first-quarter loss narrowed on fewer write-downs and credit-loss provisions as it requested another $8.5 billion in aid from the federal government. Meanwhile, Freddie posted a narrower first-quarter loss and said it would need a $10.6 billion injection from the Treasury--its first request for aid in four quarters.

The U.S. government established Fannie Mae in 1938 to make mortgages more available to low income families. In 1979, the government created Freddie Mac, to expand the market for mortgages in the country.

Both firms were put into government conservatorship in August 2008, after the housing market collapsed, triggering the worst financial crisis since the Great Depression.

http://online.wsj.com/article/SB10001424052748704198004575310443796994402.html?mod=rss_whats_news_us

petegz28
06-16-2010, 08:22 AM
So, can someone please explain to me why Fannie and Freddie were left out of the all-out assault on banks?

talastan
06-16-2010, 08:35 AM
So, can someone please explain to me why Fannie and Freddie were left out of the all-out assault on banks?

Because they are best friends with Dodd and Frank, the banking gurus of Congress. :thumb: Love this new Congress with less lobbying and more transparency! Thanks Dems.

Chiefshrink
06-16-2010, 08:39 AM
So, can someone please explain to me why Fannie and Freddie were left out of the all-out assault on banks?

They need a "slush fund KITTY" to pull from at anytime!!! Freddie and Fannie are far more than just giving the poor a house. They are there for votes and lining the back pockets of all who are on the take.:thumb:

petegz28
06-16-2010, 08:48 AM
I just find it beyond ironic that the same Fed Gov that is dictating how banks and mortgage companies should do business seem to not be following their own advice they force upon others.

I mean seriously, here are the 2 worst mortgage companies that are owned by the Fed Gov and Obama & Co. are more worried about attacking Wall St.

Chief Henry
06-16-2010, 09:21 AM
Barney Frank needs to pay attention. He just might learn sumthun.

banyon
06-16-2010, 10:13 AM
Well, this set me back $300. F*ckers.

talastan
06-16-2010, 10:25 AM
Well, this set me back $300. F*ckers.

Invest in the US Government....Too big to fail!! :thumb:

stevieray
06-16-2010, 11:29 AM
Franklin Raines.... 90 million in bonuses.

Not to mention that Fannie and Freddie got the patent for carbon tax..the same day that Dems took control of congress.

alpha_omega
06-16-2010, 11:34 AM
Ahhh, the root of the problem.

petegz28
06-16-2010, 11:42 AM
Franklin Raines.... 90 million in bonuses.

Not to mention that Fannie and Freddie got the patent for carbon tax..the same day that Dems took control of congress.

Funny we don't hear Congress calling for him to forfeit his bonus as such.

KC native
06-16-2010, 03:39 PM
About time. These companies are done in their current form. The SEC should have prevented trading in them long ago seeing as how the equity is so diluted.

KC native
06-16-2010, 03:40 PM
They need a "slush fund KITTY" to pull from at anytime!!! Freddie and Fannie are far more than just giving the poor a house. They are there for votes and lining the back pockets of all who are on the take.:thumb:

Color me not surprised that you don't even understand what Fannie and Freddie actually do. You are aware that Fannie and Freddie don't actually make loans themselves right?

KC native
06-16-2010, 03:41 PM
Ahhh, the root of the problem.

I hope this is sarcasm.

KC native
06-16-2010, 03:42 PM
I just find it beyond ironic that the same Fed Gov that is dictating how banks and mortgage companies should do business seem to not be following their own advice they force upon others.

I mean seriously, here are the 2 worst mortgage companies that are owned by the Fed Gov and Obama & Co. are more worried about attacking Wall St.

Pete, you know better than this. What loans do Freddie and Fannie actually make?

petegz28
06-16-2010, 03:48 PM
Pete, you know better than this. What loans do Freddie and Fannie actually make?

Well don't you find it slightly hypocritical that the Fed Gov is slamming private banks for not verifying the incomes of borrowers on loans they didn't origniate? Specifically when a lot of these banks are no where close to the bad shape Fannie and Freddie are in?

KC native
06-16-2010, 03:51 PM
Well don't you find it slightly hypocritical that the Fed Gov is slamming private banks for not verifying the incomes of borrowers on loans they didn't origniate? Specifically when a lot of these banks are no where close to the bad shape Fannie and Freddie are in?

Fannie and Freddie will be killed off. There's really no way to fix them.

petegz28
06-16-2010, 03:59 PM
Fannie and Freddie will be killed off. There's really no way to fix them.

That's the sad part, they won't be. The Fed Gov will hang onto them for political reasons regardless of the cost to tax payers. And the people in charge of Fannie and Freddie will continue to make a shitload of money.

KC Dan
06-16-2010, 04:02 PM
That's the sad part, they won't be. The Fed Gov will hang onto them for political reasons regardless of the cost to tax payers. And the people in charge of Fannie and Freddie will continue to make a shitload of OUR TAX money.
fyp

HonestChieffan
06-16-2010, 04:15 PM
So, can someone please explain to me why Fannie and Freddie were left out of the all-out assault on banks?


Dems dont want anyone to be looking too deep into the books. They own most of the bad Morts anymore....Its your money they are losing, enjoy it.

KC native
06-16-2010, 11:22 PM
That's the sad part, they won't be. The Fed Gov will hang onto them for political reasons regardless of the cost to tax payers. And the people in charge of Fannie and Freddie will continue to make a shitload of money.

Fannie and Freddie will be killed off simply to get rid of the guarantee on their securities. New entities will be created to serve their same purpose but I guarantee the guarantee that comes along with their pass through securities will be gone.

Chiefshrink
06-17-2010, 08:43 PM
Fannie and Freddie will be killed off simply to get rid of the guarantee on their securities. New entities will be created to serve their same purpose but I guarantee the guarantee that comes along with their pass through securities will be gone.

What glue have you been "sniffin"??? Freddie and Fannie ain't goin anywhere. That's the Marxist Dems slush fund and will be added to by some 20billion here pretty soon.

The Dems are trying to take attention off of Freddie and Fannie because with all this so-called Financial Regulation that is being discussed people are starting to question as they should why Freddie and Fannie were not anywhere to be found in this bill for reform.

Bottom line: The Marxist Dems "kitty fund" will keep on purrrrrrrrrrrring just in a different "litter box".

Stewie
06-18-2010, 02:31 PM
What glue have you been "sniffin"??? Freddie and Fannie ain't goin anywhere. That's the Marxist Dems slush fund and will be added to by some 20billion here pretty soon.

The Dems are trying to take attention off of Freddie and Fannie because will all this so-called Financial Regulation that is being discussed people are starting to question as they should why Freddie and Fannie were not anywhere to be found in this bill for reform.

Bottom line: The Marxist Dems "kitty fund" will keep on purrrrrrrrrrrring just in a different "litter box".

$20 billion now, $1 trillion+ in total. It's estimated that these two gov't shitters hold so much worthless paper they will need more money than the TARP payout.

Chiefshrink
06-18-2010, 11:28 PM
$20 billion now, $1 trillion+ in total. It's estimated that these two gov't shitters hold so much worthless paper they will need more money than the TARP payout.

Figures:rolleyes: But are we surprised:shrug:

KC native
06-20-2010, 02:25 PM
What glue have you been "sniffin"??? Freddie and Fannie ain't goin anywhere. That's the Marxist Dems slush fund and will be added to by some 20billion here pretty soon.

The Dems are trying to take attention off of Freddie and Fannie because with all this so-called Financial Regulation that is being discussed people are starting to question as they should why Freddie and Fannie were not anywhere to be found in this bill for reform.

Bottom line: The Marxist Dems "kitty fund" will keep on purrrrrrrrrrrring just in a different "litter box".

So, you have absolutely no idea of what Fannie and Freddie do nor do you have an idea of why they were bailed out. Color me not surprised.