As the Federal Government scrambles to prop up Freddie Mac and Fannie Mae, investors have called it quits on the two companies. With their stock prices hovering around one dollar, The Hill is reporting that they are planning on delisting from the New York Stock Exchange.
If these were true public companies, the phrase “Putting a fork in them” would apply, but as they government has committed to bailing them out Fannie and Freddie will continue to stumble around like drunken sailors.
It is a sad day for many investors though.
Fannie Mae and Freddie Mac, the bailed-out mortgage giants, are expected to remove their shares from the New York Stock Exchange (NYSE), a government regulator said Wednesday.
The two companies would need to take steps to shore up their share prices to meet stock exchange rules. The Federal Housing Finance Agency (FHFA) directed the companies to delist their shares.
“The determination to direct delisting is related to stock exchange requirements for maintaining price levels and curing deficiencies,” said FHFA acting Director Edward DeMarco. via The Hill
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It’s comical how they are making it sound as if the delisting has nothing to do with performance. That is the only thing it has to do with! Drunken sailors indeed.