Freddie Mac 2010 Annual Report Download - page 66

PART II
ITEM 5. MARKET FOR REGISTRANT’S COMMON EQUITY, RELATED
STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES
Market Information
Our common stock, par value $0.00 per share, trades in the OTC market and is quoted on the OTC Bulletin Board
under the ticker symbol “FMCC.” As of February 11, 2011, there were 649,182,461 shares of our common stock outstanding.
On July 8, 2010, our common stock and 20 previously-listed classes of preferred securities were delisted from the
NYSE. We delisted such securities pursuant to a directive by the Conservator. The classes of preferred stock that were
previously listed on the NYSE also now trade in the OTC market.
Table 7 sets forth the high and low prices of our common stock on the NYSE and the high and low bid information for
our common stock on the OTC Bulletin Board for the indicated periods. The OTC Bulletin Board quotations reflect inter-
dealer prices, without retail mark-up, mark-down, or commission and may not necessarily represent actual transactions.
Table 7 — Quarterly Common Stock Information
High Low
2010 Quarter Ended
December 31
(1)
.............................................................................. $0.50 $0.29
September 30
(2)
.............................................................................. 0.44 0.24
June 30
(3)
.................................................................................. 1.68 0.40
March 31
(3)
................................................................................ 1.52 1.12
2009 Quarter Ended
(3)
December 31 ............................................................................... $1.86 $1.02
September 30 ............................................................................... 2.50 0.54
June 30 . . . ................................................................................ 1.05 0.53
March 31 . . ................................................................................ 1.50 0.35
(1) Based on bid information for our common stock on the OTC Bulletin Board.
(2) Based on the prices of our common stock on the NYSE prior to July 8, 2010 and bid information for our common stock on the OTC Bulletin Board on
and after July 8, 2010.
(3) Based on the prices of our common stock on the NYSE.
Holders
As of February 11, 2011, we had 2,153 common stockholders of record.
Dividends and Dividend Restrictions
We did not pay any cash dividends on our common stock during 2010 or 2009.
Our payment of dividends is subject to the following restrictions:
Restrictions Relating to the Conservatorship
As Conservator, FHFA announced on September 7, 2008 that we would not pay any dividends on Freddie Mac’s
common stock or on any series of Freddie Mac’s preferred stock (other than the senior preferred stock). FHFA has instructed
our Board of Directors that it should consult with and obtain the approval of FHFA before taking actions involving
dividends.
Restrictions Under the Purchase Agreement
The Purchase Agreement prohibits us and any of our subsidiaries from declaring or paying any dividends on Freddie
Mac equity securities (other than the senior preferred stock) without the prior written consent of Treasury.
Restrictions Under the GSE Act
Under the GSE Act, FHFA has authority to prohibit capital distributions, including payment of dividends, if we fail to
meet applicable capital requirements. Under the GSE Act, we are not permitted to make a capital distribution if, after
making the distribution, we would be undercapitalized, except the Director of FHFA may permit us to repurchase shares if
the repurchase is made in connection with the issuance of additional shares or obligations in at least an equivalent amount
and will reduce our financial obligations or otherwise improve our financial condition. If FHFA classifies us as
undercapitalized, we are not permitted to make a capital distribution that would result in our being reclassified as
significantly undercapitalized or critically undercapitalized. If FHFA classifies us as significantly undercapitalized, approval
of the Director of FHFA is required for any dividend payment; the Director may approve a capital distribution only if the
Director determines that the distribution will enhance the ability of the company to meet required capital levels promptly,
will contribute to the long-term financial safety-and-soundness of the company or is otherwise in the public interest. Our
capital requirements have been suspended during conservatorship.
63 Freddie Mac