No Capital Injected Into Fannie and Freddie

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Despite the new lending facilities and a commitment to maintain a positive net worth in Fannie Mae and Freddie Mac, the Treasury has avoided actually injecting capital into the two companies. The consideration for the $1 billion in preferred stock each company issued to the government is the commitment by the Treasury.
No doubt Fannie and Freddie would have preferred an actual handover of taxpayer protection. It's a good sign that Treasury was able to resist what was almost certainly a demand by Fannie and Freddie for a more direct and immediate subsidy.
"The preferred stock comes with an annual dividend yield of 10% and warrants giving the Treasury the right to acquire 79.9% of the companies' common stock 'at a nominal price,'" the Wall Street Journal points out.
So while the Treasury has made a commitment to buy as much as $100 billion of preferred stock in each company, so far it hasn't spent any of that.

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