Fannie Mae, Freddie Mac Shares To Be Pulled From NYSE story
Government-sponsored mortgage purchasers Fannie Mae and Freddie Mac plan to delist their shares from the New York Stock Exchange.
The companies' regulator, the Federal Housing Finance Agency, said Wednesday that it expects Fannie Mae and Freddie Mac shares to trade on the Over-the-Counter Bulletin Board, an electronic quotation service.
The move to delist the shares isn't a surprise. The crash in the housing market has pounded Fannie Mae and Freddie Mac with heavy loan losses 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.
Fannie is selling for about 50 cents, Freddie for 70 cents. That's aproximately 1% of what they were selling for for most of the last 10 years.
For anybody with long memories, both those outfits were considered a safe, long-term assured growth, investment. The demise of the two is remarkable.