With the FRE / FNM bailout, the government took an option to purchase 79.9% stakes in each company, as well as $1 billion of senior preferred stock. So based on my back of envelope calculations, that would put a value of about $250 million on the existing common stock in each company. For what it's worth, FRE has a market cap of 167 million at today's close, and FNM 514 million. According to my reading, the reported bailout of AIG might take a similar form - a 80% stake in exchange for a $85 billion loan. Using similar calculations to the FRE / FNM situation, this would put a value of about $21.25 billion on AIG stock, which is well above its 4pm and 8pm values. So at first glance, this looks like a bailout for shareholders. Am I missing something?