Mr Cooper Group Inc (COOP)

[fsshon]

Susman may have already settled this thing back in July in chambers, but is waiting for potential numbers from the Examiner and Solomon to confirm $$$$ amount “ceiling” (an upper limit of what is allowed) Ilene may have this right. So if Susman negotiated 15 Billion (that (50%) is a good percentage number, but 60% is better) for commons and all preferreds settled at their contract payoff/ceiling/assumption. Remember he had an asset valuation document in his hand per Sargent’s billing.

If the Examiner says there is 30 Bil (Nelson speaking out in court) in potential assets/claims for equity ( a good number) then he cannot go back and state we want 20 Billion. The court will just say Mr Susman you said in chambers you would be willing to accept this amount as your ceiling of recovery, you cannot come back and state it has changed because of the report from the examiner and you like what you see. Yes, your honor we asked for this number with current info at the time, but in light of what the examiner has uncovered (tortuous interference), we ask the court to withdraw the settlement in chambers and determine a reasonableness of our new offer. The “flip side” there would also need to be a floor or he would not have agreed to let them off the hook.

I keep going back to that 2 hour meeting and what was said.. It has to do with 2 things we know.
“It is over” (statement by Susman to Matt or Soto, lawyer on Yahoo who phoned Steve and talked with him ).
Per nadie01 statement by an Attorney in the hallway who after saying “it’s good for equity” to her mentioned this “ I think maybe they should have held out for more, but I think they decided to take what they could get." She followed up and I thank her for this “You mean about the terms for the examiner or the dollar amount of the settlement?” He said “I can’t tell you that.” A logical answer if there was not a settlement per se, would be to say “what settlement?”

So let’s say that in the meeting, Susman convinces JPM/FDIC attorneys to agree to a payout schedule when the examiner comes back with certain numbers (refer to his sealed doc). SS is one of the last people you want on the other side of the table from you, especially in chambers. He makes money by settling cases, not trying them. “it’s over” We have some very smart people on our side, who would have already advised SG of our potential value if the litigation claims are paid and true assets are calculated. SS did not go to court to argue the terms of the DS, he went there to go exactly where he ended up “in chambers” where he could dictate the meeting on his terms and in front of THJMW (2 people from each delegation), not on the phone or in a conference room. Rosen says "We need JPM/FDIC in here!" He went there to ink out a deal, so he could lay down the foundation of what he will and will not take on behalf of his client. This is what the man was hired to do and this is exactly what he will do for his client.

What is our fair value and how much have we lost as part of the "illegal" seizure and "bid-rigging" by the monopolization of JPMC. How much has TPG lost, How much has the BOD lost, How Much has the common every-day man (shareholder) lost? Well that can and will be determined by the Examiner. A percentage of that number is most likely what SS negotiated on our behalf. In the A&M billing, they have a reference to changing the DS, why would you change the DS (especially since THJMW has told them not to, unless you have an agreement between equity/others and yourself? THINK ABOUT IT! Why change the DS while the examiner is working. Why have a conference on it?

Now as for “how much” and “what” Susman Godfrey on behalf of their client (EC) will accept is completely up to them. If it is kind of the like the Prefs vs Commons scenario (the whole reason I started on this theory) it is better to get paid something, than nothing at all if "worse comes to worse." EC Chairman Willingham only owns Commons, so it has to include commons or he would advise his attorney to tell them to “stick it where the sun doesn’t shine” and lets go to the Examiner report. "We don't know if it's black or white," said Justin Nelson, an attorney with Susman Godfrey, which represents the equity committee. "But if it turns out to be black, we accept that. Another thing he said was “To say it was investigated to death is like saying a paper cut is a fatal injury,” translation: overemphasizing something to be bad, does not make it bad, having concrete evidence to prove it is bad or good is what makes it so.

JPM/FDIC have most likely already negotiated this thing, we are just waiting to see how close they want to get to the “ceiling” before they get exposed in a public examiner report.
Why would the examiner release the report to the parties on Oct 25th, well in advance of a supposed public release? Yeah, I know, it has to do with confidentiality, hardly, it has to do with the ceiling. Examiner knows what does and does not violate the confidentiality agreement, sealed documents etc.. He does not need to release it JPM/FDIC so they can take out the violations. This is not high school, this is professional law with well-established firms with teams working on the final report sections. They know what would violate that agreement.

They are only going to release it early, so it can be read by the other parties who are not privy to the SS settlement and therefore will not benefit from a JPM/FDIC/WMI equity settlement. They will need it to head over to JPM/FDIC headquarters with their hands out or threaten to boycott the sealing of the report. SS just needs his part to solidify his claim and the rest can fend for themselves, he was not hired to represent them, only equity.

Nadie0: “Fred is mad”, yeah because Fred Hofstra of Akin Gump represents the USCC (who is now using his power to force Avoidance actions). I have been wondering lately why I keep hearing all the rumblings about bondholders, I am speculating it has to do with SS negotiating something for equity and not bondholders (that’s Fred’s job). Fred wasn’t necessarily mad, he just knew he would have change his strategy if the bondholders are to recover anything at all from the WMI estate. He has to go after JPM/FDIC and he knows this. That is not as easy as trying to kill Equity and take their shares and company. Also Weil has said in a filing that they believe the estate will only be responsible for 1.2 Billion in actual claims. Now where did I read this? HELP

Would a public report benefit equity “heck yes, no, maybe” once the “dirty laundry is aired”, there is no reason for JPM/FDIC to settle, they can push this baby and the public’s attention out as far as they can. Meanwhile all the professionals bill the estate for upteen thousands of dollars “per hour” every business day and JPM/FDIC will have no reason to cooperate, the report is out. This is why we will never see the report, because if it is publicly released, it is not going to help us in the short-term.

It will help long-term, but that is not SG/SS modus operandi and it definitely will not benefit JPM either. But once it is out, it is out and let the chips fall where they may. JPMC is arrogant, but they are not stupidly arrogant, they had the government give them the banks and now they want the government to pay the bondholders and TPS.

Yes, we “message board” folks would bask in the glory that we were right, but in the meantime the estate keeps getting fleeced. The BOD is PO’ed because we blocked the best way they could either see or envision for a successful emergence and a shareholder meeting starts it all over again . THJMW appoints a case trustee and boom we go in Spring/Summer 2011, before we get moving again. We may have a new BOD, but what they see may be similar to what is being currently witnessed by the current board (please don’t beat me up for this comment).

We still have to emerge and sell equity to raise capital to operate or get all of our money back, but that takes time and eventually only the professionals “get rich” off the back of shareholders “once again.” We have to emerge with the current equity holders intact/RS’d or paid off to make this worthwhile for the EC to sign off and I am sure SS has put this on paper before he agreed to a ceiling..SS has already inked his deal. He just can’t tell you so, but he can sure hint to it in his billings.

THJMW: "Given the inability of the parties to fully investigate all of the claims, I'm not in a position to decide the reasonableness of the settlement and I believe the examiner is the way to go," said Walrath, who rejected the appointment of examiner earlier this year.

THJMW excerpts..(july 20 transcript) http://investorshub.advfn.com/boards/read_msg.aspx?message_id=52495617

Read it once, wait awhile then read it again, then wait a day and then read it again.

It seems that all parties are now on board that the appointment of an examiner may help the process here except the WMI Noteholders Group. (Aren’t they compensated in the POR and already signed by Wells Trustee?) Why would they care, they’re currently “in the money!”

Quite frankly I've found that the litigation process is not adequate in this case. There have been inordinate delays and impediments to discovery by all of the parties who have a stake in this case in connection with the confirmation process and that has just convinced me that an examiner is necessary, both to reduce the cost of litigation and to assure that all parties have a forum through the examiner for consideration of their positions. Not simply on the merits of the global settlement but on really the value of the Debtor's assets, both those being settled and those left behind, and the appropriate distribution of those assets under any Plan.

I will appoint an examiner, will do a dual track with the Plan process. There seems to be some agreement between the Equity Committee, or of the Equity Committee, with respect to the scope articulated by the Committee... Creditors' Committee (Fred). There has been some argument that the scope should be limited only to the merits of the settlement... global settlement agreement, and that no looking behind the scenes as to what the Debtor may not have considered is appropriate (oh that’s definitely Mad Fred!). I'm not at this point willing to agree with that limitation.

but I strongly urge the parties to consensually provide sufficient information to the examiner to convince them of their belief that any further investigation is not warranted.. (of them)

I will consider at the September 7 hearing the Disclosure Statement. I will not consider any additional revisions. If the Debtor has no further resolution of issues with the parties I will consider the adequacy of the Disclosure Statement as it is finalized by the Debtor (Debtors have not even tried to get DS confirmed, they are th eones delaying it now)

Almost every party in the case bears some risk from the examiner's report.
"We don't know if it's black or white," said Justin Nelson, an attorney with Susman Godfrey, which represents the equity committee. "But if it turns out to be black, we accept that."

I know many of you are going to trip over my words here, but the harsh reality is we are fighting 2 "HUGE" forces here and THJMW just wants this thing done with..

1. FDIC (Federal Government USA) "There's no substitution for a Congressional Investigation/Investigated to Death"

2. JPM (Largest banking conglomerate in USA) and influential in all political circles. Most likely bankrolling most players here.

THJMW: Quite frankly I've found that the litigation process is not adequate in this case. How does taking this thing into Litigation benefit any of the main players here? It doesn't and that comment "should have held out for more." Is a HUGE CLUE in what the outcome is going to be in terms of a settlement. In the CIVIL world Justice comes in the form of $$$$$ Not Jail time ... We will leave that up to Congress and DOJ. Hochberg/UST knows these channels. One of his tasks.

IMO: Susman has a "Solomon sliding scale" of settlement numbers and the Examiner has been tasked to figure out what the “final outcome” may be. THJMW denies a shareholder governance meeting in lieu of the Examiners findings. "ON WHAT GROUNDS?" Sargent asked her not to do this and she still did it. Weil deposes the EC (setting a future precedent for all EC members of all BK's to be on alert if they want to serve or better yet take out the BOD).. THJMW allows this.

None of it makes sense, unless "It is over" and we are just waiting to find out "How Much!"

Rosen Ominbus right after Examiner report is supposed to be made public. “Your honor I am happy to report with a have true global settlement with Equity” and then he will read the terms, just like he did on March 12th in court for the GSA. Who stands squarely in the way of him getting his DS/POR confirmed, Equity that’s who; with Equity he can win and get this thing over with, he has other things to do. Many more lies to tell and shareholders to fleece.

Disclaimer: This is my theory. It is only a theory/specualtion, I am not an expert and anything I say here should be viewed as such. Read the transcripts (in Ibox) listen to the words of THJMW, read the billings, they are clues to you. Research who Steve Susman is, who he hires (most have served Judges) and whom he associates with, understand the man who inked out the deal.

We will find out soon if this is close or completely “out there in left field” This was intended to stoke your conscience into thinking, into recalling and into commenting on what you are reading here. It is intended to get the board thinking about its contents and what could or could not have transpired. Think !!!

All comments are welcomed !!
GLTUA (Good Luck To Us All)
~Don~