The mortgage finance companies known as Freddie Mac, and sister company Fannie Mae, are both in danger of losing their listings
on the New York Stock Exchange (NYSE). One of the requirements to hold a listing on the NYSE is that the average closing price of the stock is above $1 a share for over a 30-day period, at this time Freddie Mac nor Fannie Mae meet this requirement.

In an effort to raise the stock price, these finance companies may be compelled to undertake a reverse stock split. This would mean that Freddie Mac and Fannie Mae would have to decrease the number of shares and increase the share price in proportion. Freddie Mac claims that the company plans to meet these requirements by May 18th of 2009.

This entry was posted on Wednesday, December 3rd, 2008 at 12:06 pm and is filed under General, National Real Estate News. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.