Fannie Mae and Freddie Mac on the brink of insolvency

Reuters: Government mulls Fannie Mae, Freddie Mac takeover.

"The New York Times said the government is considering a plan that would place the companies into conservatorship, citing people briefed about the plan. This would mean the shares would be worth little or nothing, and the losses on home loans they own or guarantee -- half of all U.S. mortgages -- would be paid by taxpayers."

Did I just read it correctly, holy crap.