Warren Buffett on Fannie Freddie in August

Back in August(post here), this is what Warren Buffett told about Fannie and Freddie:

* Fannie Mae and Freddie Mac-Buffett says due to implicit government backing, the two GSEs could borrow without the usual checks and balances. Then needed to keep earnings growing to keep stock market happy and turned to accounting to do it. Agrees they are "too big to fail." Buffett says they would have been gone a long time ago if the government hadn't been behind them. He thinks Freddie and Fannie will survive but shareholders could "lose a lot of money."

*Buffett says that while Fannie and Freddie have looked for cash from the private sector, it won't be enough to save them. Government will have to step in.
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Today both stocks closed below $1. No wonder shareholders lost everything.....