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  "docSlug": "73d490b5bd52",
  "documentTitle": "Fannie Mae & Freddie Mac (FNMA / FMCC)",
  "authorId": "01_Pershing_Square",
  "authorName": "William Ackman",
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  "presentationDate": "2014-05-05 00:00:00",
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  "notes": "The slide uses a waterfall-style comparison to justify a capital increase.",
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      "kind": "callout",
      "text": "A 2.5% equity ratio would provide the GSEs with a fortress balance sheet that would provide 5 times more capital than historical levels for their guarantee business",
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      "text": "A 2.5% equity ratio would amount to more than 4 times the cumulative losses in the GSEs' guarantee business during the financial crisis, based on our estimate of the GSEs' actual credit losses excluding the elevated losses from subprime and Alt-A MBS",
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      "text": "Equity Requirement for Guarantee Business ($ in billions)",
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      "text": "equity ratio: 2.5%",
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      "text": "Source: Company filings and Pershing Square estimates. Note: Capital ratios based on a total guarantee portfolio of $4,800bn. Adjusted Cumulative Losses (2007-2011) represents Fannie and Freddies' cumulative fully-taxed net losses from 2007-2011.",
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      "text": "Significantly Increase Capital Requirements",
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