Craig Phillips: “When a company fails, the capital structure is typically eliminated and there are no shares left.”

Along with the increase to the baseline limit, caps on Fannie Mae, Freddie Mac and government-insured loans in high-cost areas would also rise, to as much as $760,000…

By the time recap and release is completed, an army of securities attorneys and investment bankers are going to rack up the billable hours…

The decision, hinted at in numerous (recent) press briefings by FHFA Director Mark Calabria, is not expected delay to companies’ exit from conservatorship.

Fannie seems to be blaming the FHFA for the departure of former CEO Tim Mayopoulos. The mortgage giant also warns: “If there were several high-level departures at approximately the same time, our ability to conduct our business would likely be materially adversely affected…”

However, the lender is considering reopening next year, potentially in another state. Massachusetts, New Hampshire, and Rhode Island are potential options...

The Department of Justice declared: “A separation of powers problem with an agency does not compel invalidation of the agency’s actions if those actions are subsequently approved in compliance with separation of powers requirements.”

The Treasury Department argued producing the documents would be “unduly burdensome” and “disproportionate to the needs of the case.”

It would be a radical change, but the FHFA may allow nonbank mortgage firms to become FHLB members, giving them access to advance window...