Mr Cooper Group Inc (COOP)

[JusticeWillWin]

Thanks UncleBo. Let me add one thing: I never understood when some people said the $40.2B "asset related equity adjustments" on the "Inception Balance Sheet" roughly represent the $31B that JPMC wrote down. IMO that can NOT be the case. That would reduce the value TWO TIMES. I think either the FDIC can reduce the value on the balance sheet, then JPMC pays "book value" for everything AFTER this correction, but then can not write down the values to market value.

Or JPMC pays "book value" for the original values (as in the books of the bank with 26B in equity, which they must do IMO according to the P&AA which clearly states BOOK VALUE) and AFTER that they can write down the value to real market value. But not both?!? Buying the already reduced assets and wirte it down a second time?!?

Excellent post, Justice and simple math...

I might add the so called "net assets" of 26.4B were outright construed were plugged into the 40B figure because...they JPM/FDIC didn't know how the assets would perform in reality. I know that JPM said we wrote them down by 31B. However, nobody wants to talk that this number was really a Mark To Market at the time. We have have seen a very, very different number for the actual loss or write down as provided with the filings of DBNTC with the CA probate court 17.7B.

So if we do this 26.4B-17.7B = 8.7B is the real "net assets", close to one one posit as THJMW said.

What is also important is that these "assets" were actually income stream from ABS and they cannot be sold so the more interesting question is the accumulated interest from those as AZ has pointed out multiple times. That does not belong to JPM and there is plenty for everyone. Finally, from the whole shebang there are still "assets" in those trusts which issued the ABS although less than 8% at this point IMO and as we saw in the DB case. This is nothing to scoff at...

Uncle Bo

P.S. Pay attention also to the footnote - the asset related equity adjustments CAN BE REVERSED!!!