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Fannie and Freddie To Begin Trading on OTCBB (FNMA, FMCC)

July 8, 2010 8:43 AM EDT
Fannie Mae (NYSE: FNM) and Freddie Mac (NYSE: FRE) will both begin trading on the OTCBB today. Fannie Mae's new symbol is (OTCBB: FNMA) and Freddie Mac's is (OTCBB: FMCC).

Shares of both bailed-out government-sponsored mortgage purchasers plunged in June after announcing plans to delist from the NYSE.

The government was forced into taking over the two mortgage lenders in September 2008 they experienced a freefall following the housing market crash. The bailout of Fannie and Freddie has already cost the government $145 billion and will likely be the most expensive portion of the bailout effort.

Federal Housing Finance Agency Acting Director Edward J. DeMarco said the plan to delist "simply makes sense and fits with the goal of a conservatorship to preserve and conserve assets."

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