FMCC - Freddie Mac - Page 27

fact sheet on the conservatorship from Treasury:
http://www.treas.gov//press/releases...0708hp1128.pdf

fact sheet on the Senior Pref Stock Purchase Agreement from Treasury:
http://www.treas.gov/press/releases/...8%20hp1128.pdf

Look on page two of the second link to read about the warrants I mentioned above.

FRE-What to do, what will you do, what would you do, if you had FRE in your portfolio

Right now I am holding 660 at $5.09 FRE shares.

I am on the fench in what to do with my shares on monday.

the thoughts in my head are that, by the time I will be able to trade (when the market opens, my zecco account does not allow pre-market trading) the price will be <$2.

If i sell along with everyone else the second the market opens, I will be in part of the massive dip at the start. No doubt this will continue through out the early trading period. However, when shorts cover, will this be the best time to sell instead?

I understand the idea that I will have near nothing left, however, what is the likely chance of this stock recovering to $5 within a year?

I also dont see any chance of this trading in the green on monday yet some of you have replied saying it might, your just messing around right?

thanks in advance and I appriciate all replies.

freddie mac

Does this mean shares are worthless or will they just drop in value?

first things first

pose your question here...

http://www.hotstockmarket.com/forums...&highlight=fre

freddie mac

I also just read on TD Ameritrade the analysts say hold

I really dont think their is going to be a problem. The pre market is gonna be buying up shares at 4.00 .It is taken over now their is no reverse split or dillution happening its business as usual with new solid players I wouldnt be suprised to see it open at 8 or 9 bucks Uncle Sam is rockin the babys to sleep and covering the college fund!!!!!!!!!

hmm, nevermind.

8 or 9 i wouldnt touch this stock, wayyyy to much risk involved

Futures on all major stock indexes rose about 2 percent in electronic trading Sunday night, another sign of investor relief about the takeover plan

I'd say forget what an analyst would say. I believe what ngredler said is right.

Anyways, I personally don't think it's a good thing for the shareholders. FRE is a lotto ticket, not a stock. I got mine and got out with profit and I'm happy enough although I didn't sell at the top

Don't buy a lotto ticket with the money you can't afford to lose.

freddie mac

I think I`ll just hold on and see.I do think some will panic causing a sell off.I would rather take my chances than let it go for a dollar or less.I have 2000 shares I bought @under 5.00 (I also bought Bear Stearns when it plunged before the takeover,and I still own it) It took a huge nose dive and I took a chance.Within a few days I was up a pretty fair amount.It will be very interesting tommorrow.Thank you so much for your knowledge sharing your thoughts.

Are you guys serious? Would you all not expect to see this fall below $1 by the end of the day.

Perhaps this will be good for all but FRE and FNM.

I hope you all dont hold the same views. How could this be positive news when there are no div's for common shareholders in the near future?

HA!!! I only play with the $$ I can afford to lose.Ya win some and ya lose some.Its the final tally thats important.

The Treasury Department said it was prepared to put up as much as $100 billion over time in each of the companies if needed to keep them from going broke, in exchange for senior preferred stock. Treasury will immediately be issued $1 billion of such stock from each company, which will pay 10 percent interest. Further purchases of preferred stock will be triggered if quarterly audits find that the companies’ capital cushion is below prudent standards.

The government, which will receive warrants representing ownership stakes of 79.9 percent in each company, is hoping that its moves will reassure nervous investors that they can continue to buy the debt of the two companies.

i think 26-30

After the Treasury Department’s announcement, credit rating agency Standard & Poor’s downgraded Fannie and Freddie’s preferred stock to junk-bond status, but reaffirmed the U.S. government’s triple-A rating.

The Federal Reserve and other federal banking regulators said in a joint statement Sunday that “a limited number of smaller institutions” have significant holdings of common or preferred stock shares in Fannie and Freddie, and that regulators were “prepared to work with these institutions to develop capital-restoration plans.”

I really split we will see...

who actually has long positions in this stock and is not going to sell premarket or at the open?

i have no confidence in holding my 660 (bought at 5.09) when the market opens.

every where else i have read , everyone is shitting themselves and going to sell asap and you all are suggesting to hold?

"Warrants for the purchase of common stock of each GSE representing 79.9% of the common stock of each GSE on a fully-diluted basis at a nominal price"

freddie mac

I`m sure panic will cause a sell off and the price will plunge.After that it may ease back up.If you can sell and lose a buck or so a share it won`t be the worst thing.I may sell half at open and keep half to see what plays out.