And the green shoot hits just keep on coming. If you wondered why Fannie Mae (FNM) stock has been flying, here is your answer (and which the nearly departed Lockhart seems to have known a few days in advance).
Aug. 6 (Bloomberg) -- Fannie Mae, operating under a federal conservatorship, asked the U.S. Treasury for a $10.7 billion capital investment as its eighth straight quarterly loss once again drove the mortgage-finance company’s net worth below zero.
A second-quarter net loss of $14.8 billion, or $2.67 a share, pushed the company to request its third draw on a $200 billion lifeline from the government, Washington-based Fannie Mae said in a filing today with the Securities and Exchange Commission.
The company, which posted $86.8 billion in losses over the previous seven quarters, has already taken $34.2 billion in federal aid since April.
What a shroomed up circus this economy has become.