Well, the legal analysis will have to wait so I can address the news today regarding Former FHFA head James Lockhart. James became the first head of the FHFA when the government intervened and placed Fannie and Freddie into conservatorship.Let’s take a look at an excerpt from a statement he released as head of the FHFA when Fannie and Freddie were put into conservatorship…..”Therefore, in order to restore the balance between safety and soundness and mission, FHFA has placed Fannie Mae and Freddie Mac into conservatorship. That is a statutory process designed to stabilize a troubled institution with the objective of returning the entities to normal business operations. FHFA will act as the conservator to operate the Enterprises until they are stabilized.” Fannie and Freddie are now totally stabilized, do you think he is looking forward to testifying under oath in the upcoming discovery? He is without question in the camp that would love to see Fannie and Freddie’s demise and now as their scheme is quickly unraveling they are furious. A big part of the governments case is their claim that the FHFA is totally independent of the government, James will soon have to address this and many other government lies under oath. He simply stated that he feels the shares will have no value. He offers no basis for this besides the tired old line that the GSEs would have no value were it not for the government intervention. He does not address the legal issues, nor the fact that the odds that this divided congress can pass sweeping housing finance reform is slim to none. It is pure lunacy for anyone to try and project the future value of Fannie and Freddie without addressing these key factors. James has given us the weakest most pathetic hatchet job they have rolled out yet. It’s become very apparent that they keep trying to beat Fannie and Freddies share price down just as we are picking up steam to discourage thousands of retail investors from opening or keeping positions open. The fewer voters that are invested, the easier it will be to get more congressman on their side. Don’t let them cost you your shares, take a little time and research the opportunity, don’t make decisions based on their lies. Keep the faith!