Fan­nie Mae, Fred­die Mac exit NYSE for de­but in pink sheets

Austin American-Statesman - - BUSINESS -

Shares of Fan­nie Mae and Fred­die Mac — the govern­ment-con­trolled fi­nanciers that own or guar­an­tee nearly half of all U.S. mort­gages — will be­gin trad­ing over the counter to­day, nearly a month af­ter the firms said they could no longer meet the re­quire­ments for list­ing on the New York Stock Ex­change.

Last month, the com­pa­nies’ reg­u­la­tor, the Fed­eral Hous­ing Fi­nance Agency, said that Fan­nie’s shares have been be­low the req­ui­site $1 av­er­age price level for 30 trad­ing days. Fred­die’s shares have hov­ered near the $1 mark.

In 2007, shares of both com­pa­nies traded above $60. As the hous­ing cri­sis deep­ened, the stocks lost al­most all of their value, plung­ing be­low $1 by Septem­ber 2008. On Wed­nes­day, shares in Fred­die Mac closed down 5 per­cent at 34 cents, and shares in Fan­nie Mae slid 17 per­cent to close be­low a quar­ter each.

Newspapers in English

Newspapers from USA

© PressReader. All rights reserved.