Linda is biotch...! LOLz JayKay
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I little late E-Trade. An alert sent at about 6:00 pm to have the ballot faxed early the following morning by 10:00 pm, EASTERN STANDARD TIME. LOL
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Wed Feb 08 17:57:26 2012 Attention Brokerage Customer
Dear E*TRADE Customer,
Please be advised that we were notified by the bankruptcy agent that we need your ballot for your WAHUQ shares. We need the ballot by 2/9/2012 @ 10:00am EST. Please fax the ballot to 866-650-0003 Attn: Corporate Actions. Please complete pages 6, 7, 10, & 11.
(c) 2010 E*TRADE Securities LLC, Member FINRA/SIPC. All rights reserved. The information contained in this Smart Alert does not constitute a recommendation by E*TRADE Securities, and is subject to the Smart Alerts Terms and Conditions and the E*TRADE Securities Customer Agreement. We cannot respond to e-mails sent to this mailbox. If you have questions, please contact us through the Online Service Center.
Objectors Line Up Against WaMu Chapter 11 Plan
Investors in Washington Mutual Inc.'s trust-preferred securities and die-hard litigants pursuing cases stemming from the largest collapse in U.S. banking history are readying for a last-ditch fight against the company's $7 billion Chapter 11 plan.
The former parent of Washington Mutual Bank, or WaMu, will makes its third attempt to win plan confirmation Feb. 16. The polls close Thursday on voting on the distribution scheme, the latest version of a Chapter 11 exit strategy that has twice been rejected.
Two groups of investors in the trust-preferred securities filed objections to the Chapter 11 plan by a Tuesday deadline, along with two sets of plaintiffs in suits linked to WaMu.
Mostly financial institutions, the plaintiffs have been doggedly pursuing their cases in federal court for years and contend it is unfair to let provisions of Washington Mutual's Chapter 11 plan cramp their litigation.
Objectors are hoping for a third confirmation loss, or at least rulings that the company must set aside hundreds of millions of dollars in case they win lawsuits over WaMu's wreckage.
Distressed-debt investors are betting on a win this time for Washington Mutual, with most bond issues trading above par. If the Chapter 11 plan is confirmed, hedge funds that bought Washington Mutual's debt at a deep discount stand to collect the face value of their holdings, with interest.
Trouble for the Chapter 11 plan comes from lower-ranking creditors, mostly trust-preferred investors who will be treated as preferred shareholders under the Chapter 11 plan.
Shareholders are getting stakes in the reorganized Washington Mutual, an enterprise that will run a fading insurance operation. Trust-preferred investors say they're entitled to $4 billion worth of securities instead.
In spite of a series of losses in bankruptcy court, trust-preferred investors are fighting Washington Mutual's decision to give the securities to JPMorgan Chase & Co. as part of the deal underpinning the Chapter 11 plan.
Trust-preferred investors say confirmation of Washington Mutual's Chapter 11 plan can't cut them out of their chance to get the issue before a higher court. They labeled the plan a "death trap" that forces them to sacrifice their rights or risk a total loss.
One group of trust-preferred investors has already laid the groundwork for a race to the Third Circuit Court of Appeals after confirmation. The other is threatening to revive allegations of insider trading that stung four major hedge funds into a deal in Washington Mutual's Chapter 11 case.
The hedge funds deny wrongdoing, but they agreed to relinquish value so shareholders could get something out of the hard-fought bankruptcy.
Washington Mutual filed for Chapter 11 protection in September 2008 after regulators marched in and took over WaMu, fearing its collapse would undermine the U.S. financial system.
Much of the legal trouble spawned by that act will be settled if Washington Mutual wins confirmation of its Chapter 11 plan. However, litigants who claim their suits will survive objected to the plan, warning it could dent their chances of collecting.
Led by Boilermakers National Annuity Trust Fund, one collection of litigants recently won the right to vote on the Chapter 11 plan. The so-called Boilermakers say Washington Mutual can't get out of bankruptcy unless it leaves behind $435 million--the amount the so-called "Boilermakers" say they're entitled to get if they win their securities class-action lawsuit.
Filed in 2009, the Boilermakers case in federal court in Seattle tags WaMu's former parent with blame for losses in mortgage-backed securities. Washington Mutual says the case won't stick.
A second group of objecting plaintiffs led by American National Insurance Co. say Washington Mutual's Chapter 11 plan poses a threat to the case they're pursuing in federal court in Washington D.C.
Their case is premised on a theory that J.P. Morgan set WaMu up for failure as part of a scheme to get the thrift on the cheap. JPMorgan denies wrongdoing.
The Federal Deposit Insurance Corp., which brokered the sale of WaMu to J.P. Morgan, is part of the settlement that is at the core of Washington Mutual's Chapter 11 plan. The American National plaintiffs say their case can't be extinguished under the plan because the FDIC allegedly participated in the wrongdoing and has its own reasons for wanting the litigation to go away.
$10'ish imo/eom
If we had TPS's counsel and more aggressive members on the EC who cannot not be "baught off" or "enticed", I am pretty sure equity would not have settled for a piss poor settlement. EC couldn't even agree of a percentage split. This just shows how they are not even on the same page.
I rather it be hedge funds vs hedge funds. More money at play/risk for a worthy settlement.
imo
I would not worry about your position on your H's.
IMO, they will get paid in full (minus the contractual subordination) and sooner than you think.
Good day.
imo
I do find it interesting that Us are down as much as Ps are up - *FINALLY*, we're starting to approach value parity. Very surprised it's taken this long.
At that level each NewCo share would be worth just over $1, implying a value for existing WaMu shares of around 3.2 cents. As it happens, WaMu shares were quoted on the Pink Sheets this past week at 3.7 cents.
It is 2 years AFTER the PREVIOUS ownership change.
There is no ownership change. The first ownership change will be the first merger/buy out. Then it is 2 years from that point and then throw in the word "generally".
imo
"............For one thing, federal law generally prohibits a company from using tax losses if it changes ownership within two years of a previous ownership change. The losses have to be used by the entity that generated them in the first place, and the company has to be engaged in broadly the same line of business that led to the losses.
Yes, the subordination contract basically guarantees that CT will not be cancelled until they are no longer needed or the waterfall is depleted
The main thing about the subordination is that it benefits the senior notes holders and the estate.
By not canceling the CTs, there is no write off/down on NOLs to the estate and the way they effect seniors, is that any distribution that were directed to CTs, are then taken away and re-distributed to senior note holders. By doing this, the senior note holders get more of a return/recovery then the other creditors in the same tier or non subordinated claims/debt and CTs still with nothing because of subordination.
At this point, Lehman's seniors/creditors are expected to receive between 21%/27% recovery of face. Until it is paid in full of the allowed claims, then it will trickle down to CTs.
Bottom line: If your main contention of this being cancelled after the effective date, then I would put that to slim to none.
Risk is very high since seniors, even after taking CTs distribution is still only at 21/27% recovery of face, which these waaayyy out of the money.
Do not trade on any of my posts.
imo
I never said caps would be canceled after the effective date. I said they are needed intact to enforce subornation clause. You don't even know what you are talking about. LOL
Okay man, you feel free to come back and laugh at all of us when caps are still trading after the effective date, i'll be here. Until then i'm done with you.
With this last post, you seriously need a professional to interpret it for you. I suggest you hire one and consult with them. You clearly do not understand what is going on at all.
Reality awaits you.
Don't bet your lunch money. imo
I must admit, this debate on the total allowed claims vs. estimated recovery subject I am not an expert on so pardon my ignorance where at least this aspect is concerned. The only chapter 11's that I have been involved there was nothing left for shareholders except in one case it was just shares in a reorganized company. If there are $280 billion in allowed claims but $65 billion is the estimated total recovery for all creditors....are the creditors going to hang around and request disclosure on all assets sold until they receive the total $280 billion of allowed claims? Or is it a possibility Lehman may have many (unliquid) asssets hidden that they will not need to disclose and after $65 billion is paid out, creditors vamoose? I have always taken it as the $65 billion is what creditors have agrred to take on the low end and whatever the liquid assets are sold at anything above the $65 billion is collectable as well. Keep in mind though Lehman planned on purchasing all of Archstone (they own the majority percentage already) and Lamco. New money/profits they collect after reorganization is not collectable from old creditors just old assets they are liquidating I thought allthough Lehman did mention a plan of an Archstone IPO to help pay creditors. Lehman plans on doing business again they are not dead. At the same time they can't just cancel any debt (CTs included) which is why I think we will continue to trade with possible dividends reinstated. I may be way off tho, sorry for the lengthy post. We wait.
I never claimed $24 plus, that is all kool aid. You should know the flavor since that is what you drink.
I don't believe in fantasy like you.
imo
And by the way I never recall talking "ish" about you. I just wonder if you are such a chap 11 expert how those W common shares are working out for you right about now LMAO. Are they at $24 plus?
I never claimed to be a Chapter 11 expert, however, I certainly know a lot more than you.
As for the W, I traded it, and I am with a heck of a lot of "free shares". That is what you do in speculative and high risk investments, ie. take out your original investment so as to not risk it.
All the evidence is spelled out in the confirmed POR. If you need someone to interpret it for you, obtain counsel or stick to mutual funds.
Have a nice weekend.
imo
Unlike you, I never claimed to be a chap 11 expert. Allthough also unlike you I was smart enough to sell out of the W stock way before the reorg. and make money. So since I am so wayyyy off the mark, I invite you to post any links you feel are relevant to the subject that supports your theory. I doubt you will because you don't know more than anyone else here.
I also recall PFG Claimants that will also dilute common's share of that 30%, but it yet to be determined what the ratio is. Maybe during confirmation hearings, stip, or ???
I believe their claim portion is approx. $54 million that is to be diluted, and their remainder to be in Class 18, as a sub claim.
This could also be a factor as to why Dimeq settled they way they did, i.e. competing dilution from PFG claimants and the proposed 70/30 split.
I know no one talks about it though.
imo
Actually, under the proposed 70/30 pref/common split (which may or may not end up being what the judge approves), current commons, after the Dimes and SNH's get their cut, will get 26.5% of the newco, which would be about 53,000,000 shares.
Prefs will get 66.5% or 133,000,000.
SNH's get 5% (or 10,000,000), Dimes get 2.5% (5,000,000).
Wow, and you talk ish about me? After what you posted, now I know where you are coming from. You have absolutely no idea how this works and are waayyyyyyy off the mark.
Good luck!
imo
I must admit, this debate on the total allowed claims vs. estimated recovery subject I am not an expert on so pardon my ignorance where at least this aspect is concerned. The only chapter 11's that I have been involved there was nothing left for shareholders except in one case it was just shares in a reorganized company. If there are $280 billion in allowed claims but $65 billion is the estimated total recovery for all creditors....are the creditors going to hang around and request disclosure on all assets sold until they receive the total $280 billion of allowed claims? Or is it a possibility Lehman may have many (unliquid) asssets hidden that they will not need to disclose and after $65 billion is paid out, creditors vamoose? I have always taken it as the $65 billion is what creditors have agrred to take on the low end and whatever the liquid assets are sold at anything above the $65 billion is collectable as well. Keep in mind though Lehman planned on purchasing all of Archstone (they own the majority percentage already) and Lamco. New money/profits they collect after reorganization is not collectable from old creditors just old assets they are liquidating I thought allthough Lehman did mention a plan of an Archstone IPO to help pay creditors. Lehman plans on doing business again they are not dead. At the same time they can't just cancel any debt (CTs included) which is why I think we will continue to trade with possible dividends reinstated. I may be way off tho, sorry for the lengthy post. We wait.
Clueless... eom
Clueless... eom
... because there is a distinction that sets them apart from A, B C, etc. What is the distinction? I do not know, however, that distinction got A ahead.
imo
You mean you want to see the signed confirmation order.
BTW, I am not frustrated at all.
As for "give ups", show me where it benefits CTs in this Lehman case? Don't give me examples, because they are useless if the Lehman POR has already been approved for confirmation.
Seniors are still not paid in full.
Lehman Closes a Chapter
As $65 Billion Bankruptcy Plan Is Approved, Cheers and Tears Color Courtroom
By JOSEPH CHECKLER
Lehman Brothers Holdings Inc.'s $65 billion creditor-payment plan was confirmed, a milestone in the investment bank's record-setting bankruptcy case and a denouement in the saga of the collapse that tipped world economies into chaos in 2008.
Judge James Peck of U.S. Bankruptcy Court in Manhattan signed off on the proposal, which benefits creditors of Lehman's subsidiaries more than other groups. Tuesday's approval sets the stage for Lehman creditors to start getting their money back sometime early next year, an outcome that seemed unlikely as recently as earlier this year.
More
Lehman Names Its Wind-Down Board
Topics: Lehman Brothers
The voice of Weil, Gotshal & Manges LLP's Harvey Miller, Lehman's lead bankruptcy attorney, quivered as he recounted the early days of Lehman's collapse and the looks on employees' faces as they cleaned out their desks in September 2008.
"It seems only like yesterday that we started this journey," Mr. Miller said. He later added, "Order evolved out of chaos."
[lehman] Agence France-Presse/Getty Images
Lehman's 2008 collapse led to thousands of lost jobs, including that of this London staffer.
In confirming the plan, Judge Peck said that while the Lehman bankruptcy "accelerated the financial crisis," the case represented the most "overwhelming outpouring of creditor consensus in the history of insolvency law. What a difference three years makes." The packed courtroom applauded after Judge Peck's remarks.
Lehman hopes for its plan to be effective by the end of January, and will be able to start paying back the creditors soon after that. The company will continue to exist, however, as it still has pending litigation with some parties, plus billions of dollars in assets—mostly in real estate. Money Lehman recovers from sales of assets would be distributed to the creditors, a process that will probably go on for years.
Lehman's latest plan, filed in June, gives those owed money from Lehman's various subsidiaries larger recoveries than they would have received under an original plan. For example, some creditors of Lehman's Specialty Finance Unit—the heart of the failed investment bank's derivatives business—will receive more than 30 cents on the dollar, but the plan sets limits on how much they can claim. Bondholders of the Lehman parent will get less: about 21.1 cents on the dollar.
Lehman's plan reflects not only a compromise between the creditors of its parent company and those of its nearly two dozen subsidiaries—two groups that themselves had filed competing plans earlier this year before withdrawing them—but also satisfies last-minute concerns of a host of creditors from all over the world. By Tuesday, Mr. Miller said all but one minor objection, from a firm called Dotson Investments Ltd., had been resolved.
A lawyer for the firm, which like other objectors thought Lehman's plan should be one of "substantive consolidation" that pays creditors from one big pot of money, wanted to examine Lehman witnesses. Lehman and a lawyer for its creditors each said Tuesday that such a plan would result in years of litigation and delay distributions to creditors. Judge Peck said the objection could be construed as an attempt at "coercion" toward a deal with Lehman for better recovery.
Since the investment bank's collapse in September 2008, a team of hundreds of bankruptcy professionals under the direction of Alvarez & Marsal Inc. has managed Lehman's assets—which include real-estate holdings, corporate debt and derivatives—for the benefit of creditors. Fees paid to professionals in the case are near $1.5 billion.
Lehman estimated earlier this year that there would likely be $322 billion in allowed claims against its bankruptcy estate, with $272 billion from the parent company and about $50 billion from its various subsidiaries.
"Confirmation of this plan is a testament to the enormous efforts of the many stakeholders who recognized the value of an economic compromise plan and did yeoman's work to achieve it," said Alvarez & Marsal's Bryan Marsal, Lehman's chief executive.
[1206lehman] Agence France-Presse/Getty Images
Lehman filed for bankruptcy protection on Sept. 15, 2008.
Despite the confirmation of its Chapter 11 plan, Lehman Brothers Holdings still has billions of dollars in real estate and other assets and will continue to exist as it unloads those investments. As part of its overall plan, Lehman on Monday named a new seven-member board of directors that includes executives and directors of businesses and subsidiaries related to Delphi Automotive PLC, Morgan Stanley, American International Group Inc. and Capmark Financial Group Inc., among others, according to court documents.
Toward the end of the hearing, Mr. Miller, Lehman's attorney, told Judge Peck, "Nobody thought this would be over in three years."
"Well, it's not over yet," Judge Peck responded.
Write to Joseph Checkler at joseph.checkler@dowjones.com
Why is there a Class 10A, 10B, 10C etc. ? Why not just one Class 10 ?
What does your "many, many examples where the "absolute priority rules" do not apply, as you suggest....I am collecting files of these examples" have to do with Lehman?
Lehman's Plan of reorganization has already been confirmed. It adheres to absolute priority.
You are too late with your examples.
You are obviously in unfamiliar territory and you are bound by APR per the Lehman POR.
Good luck.
imo
About $200 billion plus.
$65 billion represents about 27'ish% of available/projected to payout to seniors.
imo
No offense, but if you do not know that seniors creditors are satisfied in full before lower tier creditors sees a penny, then you are in unfamiliar territory.
This is even stated in the POR.
What is stated is a fact and is Bankruptcy 101.
imo
I really do not think you understand, that is not the way it works. Besides, this is Chapter 11, not 7 nor 13. The seniors' rights to payment in full are protected within the liquidating trust and bankruptcy court, even after emergence. "... read up on it ..."
Bottom line: Seniors get paid until it is paid in full of allowed claims until the waterfall stops. The waterfall is at $65 billion. Any excess goes to seniors until they are paid in full, then the next lower tiered creditors in line get paid.
imo
i think we all understood what 95% of creditors settled on the 65 billion means. LOL..and in bk when the company emerges, good luck collecting on the rest. BK law is grand and its sometimes cruel. The other 5% have their right somewhat chopped after BK...read up on it. Now i know why chp 7 and 13 are so powerful for personal stuff...go figure...devil
I do not have PM ability, but I do believe "yes". Not a "big" player unless merged with someone/entity somewhat known, plus the fact that it use to be in the narrow "re-insurnace" arena, however, it is now broadened into the "financial" sector, which opens this up to anything in that industry.
imo
Yes, I do agree. The thing is TPS has a very good argument, imo. Couple that with Willingham 's actions (which I won't get into), and Dimeq NOT diluting commons to oblivion (now only %2.5%).... but anything can happen.
I do believe that TPS "might" get a better deal than the 70/30, the question is what and how far?
We will find out from their Objections to the confirmation hearing and oral arguments during the confirmation hearing.
imo
Glad to see someone finally is understanding. $65 billion is NOT paid in full, nor is it a settlement.
Creditors are paid in full when their entire amount of allowed claims are paid, NOT $65 Billion as people are stating here. Allowed claims are NOT $65 Billion, it is over $100 Billion plus.
I may have read it wrong but to me we are DEAD IN THE WATER after the effective date PERIOD.
"LBHI does not expect holders of Trust Interests to receive any distribution because the creditors of LBHI and the other Debtors are not expected to be paid in full. "
Now see how much sugar we can throw at it...
LOL
APR is strict only in a straight BK, when there is a settlement, APR is only a template. That said, if a "release" is needed from commons, then "consideration" must be exchanged to obtain that "release".
I am pretty confident that commons will obtain distribution, but IMO, that 70/30 split of the NEW WMI2 "may" change in favor of preffereds.
I believe that TPS have an easy win on the liquidating trust as 100% going to prefferds because that is the way it is being followed within the POR, except until it hit equity.
Bottom line: Commons, imo, will get distribution under the current POR.
IMO
Walrath won't cut commons in the current POR, I am pretty confident in that because in order to get a "release" from commons, commons must have some "consideration" in the form of a "distribution".
imo
Equity Committee Nominates Four Board Members for Reorganized Washington Mutual, Inc.
SEATTLE, Feb. 3, 2012 /PRNewswire/ -- The Official Committee of Equity Security Holders (the "Equity Committee") of Washington Mutual, Inc. (Pink Sheets: WAMUQ.PK) ("WMI") announced the names of its four nominees to the Board of Directors for the reorganized Washington Mutual Inc. ("Reorganized WMI").
Reorganized WMI will emerge from bankruptcy if the currently proposed plan of reorganization (the "Seventh Amended Plan") is confirmed by the Bankruptcy Court. A hearing on the Seventh Amended Plan is currently scheduled to commence on February 16, 2012 at 9:30 a.m. The fifth member of the Board of Directors of Reorganized WMI will be nominated by lenders in a $125 million credit facility that will be made available to Reorganized WMI.
James Scott, a member of the Equity Committee, said, "We were pleased to see many quality candidates make themselves available to the board of directors for Reorganized WMI. We are particularly pleased with the four we selected."
Michael Willingham, chair of the Equity Committee and one of the four nominees to the Reorganized WMI board, stated, "The Equity Committee's primary goal was to maintain maximum flexibility for the reorganized company so that once the board is seated, it will be able to consider the widest range of options in creating a business plan. The diversity of backgrounds among these nominees will help meet that goal."
Ho Pham, another member of the Equity Committee, added "We believe that this board will have the experience necessary to succeed in the financial services sector."
The Equity Committee's four nominees to Reorganized WMI's board are:
Diane B. Glossman, CFA—Ms. Glossman has 25 years of experience as an investment analyst, including for Salomon Brothers, Lehman Brothers, and UBS, where she was managing director and head of United States bank and brokerage research until her retirement in 2003. She specialized in money center, trust banks, and broker/dealers, but over the course of her career covered all aspects of the banking and financial services industries. Following her retirement from UBS, Ms. Glossman has served as an advisor and consultant to a number of financial institutions. Ms. Glossman is currently a board member of the Ambac Assurance Company (head of the compensation committee and a member of the special committee and the audit and risk assessment committee), as well as the Board of Directors of the Bucks County SPCA (Treasurer and member of the finance committee; past president). Previously, she sat on the Trustees Board of the SSgA Funds (a member of the audit, governance, valuation, and qualified legal and compliance committees); the Board and finance committee of the Internet payments company E-Charge Corporation; and the Board of the flavorings and botanicals company, A.M. Todd Group (chairman of the compensation committee and acting chairman of the audit committee). During her career as an analyst, Ms. Glossman was a frequent commentator on industry and company events for such entities as The Nightly Business Report, The Wall Street Journal, Financial Times, New York Times, The Economist, CNN, CNBC, and various trade publications.
Timothy R. Graham—Mr. Graham is currently the principal of Brookwall, LLC, a company advising on financial and operating restructurings. He has extensive transactional, management, and compliance experience in the restructuring, corporate, and venture capital arenas with particular emphasis on troubled insurance and financial entities. From June 2008 through August 2010, Mr. Graham was a consultant to Triad Guaranty Insurance Corporation and its mortgage insurance subsidiary where he assisted in formulating and implementing a partially deferred payment plan for policyholder claims allowing for the ongoing solvent runoff pursuant to an Illinois Insurance Department Order of its policyholder obligations arising from its more than $60 billion of insured mortgages. Prior to that engagement, Mr. Graham served as President and Chief Restructuring Officer of LaSalle Re Limited, the primary subsidiary of a distressed NYSE traded, international casualty/catastrophe reinsurer based in Bermuda, which completed the solvent closure with regulatory approval of its licensed reinsurance company primarily through consensual resolution of its policyholder obligations in less than four years. Mr. Graham also previously served as General Counsel, Director, and Chief Restructuring Officer/Counsel for Trenwick Group LTD., a NYSE traded holding company of an affiliated group of distressed insurance and reinsurance subsidiaries with aggregate assets exceeding $4.5 billion operating in the US, Lloyds of London, Bermuda, and Europe, as well as the General Counsel and a Director of Winstar Communications Inc., a broadband telecommunications, internet service and content provider with licensed operations throughout the US and in a number of major international markets. Prior to that, Mr. Graham was a principal in an investment fund focused on distressed and turnaround investments, as well as a partner in a New York based national law firm specializing primarily on international corporate transactions, reorganizations, regulatory compliance and business law. Mr. Graham has authored several books and a number of articles on international business law and has spoken or co-chaired a number of conferences on international insurance restructurings and related matters.
Mark Holliday—From 2003 through 2009, Mr. Holliday was a partner in Camden Asset Management, a multi-billion hedge fund focusing on convertible and capital structure arbitrage. Prior to becoming a partner with Camden, Mr. Holliday was with a number of investment firms, including Deephaven Capital Management, Heartland Capital Corp., Option Opportunities, and Continental Partners Group. Mr. Holliday has served on the boards of directors of a number of corporations and has extensive experience on board audit committees. His past and present directorships include YRC Worldwide, Inc. (audit committee chair, compensation committee), FiberTower Corporation (director and chair of the audit committee), Primus Telecommunications Group (audit committee chair, compensation and governance committee), Movie Gallery, Inc. (board chair, audit committee chair), Clear Choice Health Plans (special committee member), Assisted Living Concepts, Inc. (audit committee chair, special transaction committee chair), Reptron Electronics, Inc. (audit committee member), and TELETRAC, Inc. (audit committee member).
Michael Willingham—Mr. Willingham has been the chair of the Equity Committee since its formation in January 2010. Through his service on the Equity Committee, Mr. Willingham has developed substantial knowledge about WMI's current state of operations and also about the terms of the Seventh Amended Plan and related agreements involving Reorganized WMI. Mr. Willingham is currently working on issues necessary to prepare Reorganized WMI for emergence from bankruptcy. Mr. Willingham has extensive prior experience with complex securities agreements and financial instruments. He has served on committees or trust boards in prior bankruptcies including Mirant Corporation and Calpine Corporation. Mr. Willingham has also provided consulting services on a wide variety of issues, ranging from chapter 11 litigation to securities trading investigations, and has been engaged as a consultant in major bankruptcies including Enron. Prior to consulting, Mr. Willingham traded energy commodities and derivatives for two Fortune Global 500 companies.
SOURCE Official Committee of Equity Security Holders of Washington Mutual, Inc.
Equity Committee Nominates Four Board Members for Reorganized Washington Mutual, Inc.
SEATTLE, Feb. 3, 2012 /PRNewswire/ -- The Official Committee of Equity Security Holders (the "Equity Committee") of Washington Mutual, Inc. (Pink Sheets: WAMUQ.PK) ("WMI") announced the names of its four nominees to the Board of Directors for the reorganized Washington Mutual Inc. ("Reorganized WMI").
Reorganized WMI will emerge from bankruptcy if the currently proposed plan of reorganization (the "Seventh Amended Plan") is confirmed by the Bankruptcy Court. A hearing on the Seventh Amended Plan is currently scheduled to commence on February 16, 2012 at 9:30 a.m. The fifth member of the Board of Directors of Reorganized WMI will be nominated by lenders in a $125 million credit facility that will be made available to Reorganized WMI.
James Scott, a member of the Equity Committee, said, "We were pleased to see many quality candidates make themselves available to the board of directors for Reorganized WMI. We are particularly pleased with the four we selected."
Michael Willingham, chair of the Equity Committee and one of the four nominees to the Reorganized WMI board, stated, "The Equity Committee's primary goal was to maintain maximum flexibility for the reorganized company so that once the board is seated, it will be able to consider the widest range of options in creating a business plan. The diversity of backgrounds among these nominees will help meet that goal."
Ho Pham, another member of the Equity Committee, added "We believe that this board will have the experience necessary to succeed in the financial services sector."
The Equity Committee's four nominees to Reorganized WMI's board are:
Diane B. Glossman, CFA—Ms. Glossman has 25 years of experience as an investment analyst, including for Salomon Brothers, Lehman Brothers, and UBS, where she was managing director and head of United States bank and brokerage research until her retirement in 2003. She specialized in money center, trust banks, and broker/dealers, but over the course of her career covered all aspects of the banking and financial services industries. Following her retirement from UBS, Ms. Glossman has served as an advisor and consultant to a number of financial institutions. Ms. Glossman is currently a board member of the Ambac Assurance Company (head of the compensation committee and a member of the special committee and the audit and risk assessment committee), as well as the Board of Directors of the Bucks County SPCA (Treasurer and member of the finance committee; past president). Previously, she sat on the Trustees Board of the SSgA Funds (a member of the audit, governance, valuation, and qualified legal and compliance committees); the Board and finance committee of the Internet payments company E-Charge Corporation; and the Board of the flavorings and botanicals company, A.M. Todd Group (chairman of the compensation committee and acting chairman of the audit committee). During her career as an analyst, Ms. Glossman was a frequent commentator on industry and company events for such entities as The Nightly Business Report, The Wall Street Journal, Financial Times, New York Times, The Economist, CNN, CNBC, and various trade publications.
Timothy R. Graham—Mr. Graham is currently the principal of Brookwall, LLC, a company advising on financial and operating restructurings. He has extensive transactional, management, and compliance experience in the restructuring, corporate, and venture capital arenas with particular emphasis on troubled insurance and financial entities. From June 2008 through August 2010, Mr. Graham was a consultant to Triad Guaranty Insurance Corporation and its mortgage insurance subsidiary where he assisted in formulating and implementing a partially deferred payment plan for policyholder claims allowing for the ongoing solvent runoff pursuant to an Illinois Insurance Department Order of its policyholder obligations arising from its more than $60 billion of insured mortgages. Prior to that engagement, Mr. Graham served as President and Chief Restructuring Officer of LaSalle Re Limited, the primary subsidiary of a distressed NYSE traded, international casualty/catastrophe reinsurer based in Bermuda, which completed the solvent closure with regulatory approval of its licensed reinsurance company primarily through consensual resolution of its policyholder obligations in less than four years. Mr. Graham also previously served as General Counsel, Director, and Chief Restructuring Officer/Counsel for Trenwick Group LTD., a NYSE traded holding company of an affiliated group of distressed insurance and reinsurance subsidiaries with aggregate assets exceeding $4.5 billion operating in the US, Lloyds of London, Bermuda, and Europe, as well as the General Counsel and a Director of Winstar Communications Inc., a broadband telecommunications, internet service and content provider with licensed operations throughout the US and in a number of major international markets. Prior to that, Mr. Graham was a principal in an investment fund focused on distressed and turnaround investments, as well as a partner in a New York based national law firm specializing primarily on international corporate transactions, reorganizations, regulatory compliance and business law. Mr. Graham has authored several books and a number of articles on international business law and has spoken or co-chaired a number of conferences on international insurance restructurings and related matters.
Mark Holliday—From 2003 through 2009, Mr. Holliday was a partner in Camden Asset Management, a multi-billion hedge fund focusing on convertible and capital structure arbitrage. Prior to becoming a partner with Camden, Mr. Holliday was with a number of investment firms, including Deephaven Capital Management, Heartland Capital Corp., Option Opportunities, and Continental Partners Group. Mr. Holliday has served on the boards of directors of a number of corporations and has extensive experience on board audit committees. His past and present directorships include YRC Worldwide, Inc. (audit committee chair, compensation committee), FiberTower Corporation (director and chair of the audit committee), Primus Telecommunications Group (audit committee chair, compensation and governance committee), Movie Gallery, Inc. (board chair, audit committee chair), Clear Choice Health Plans (special committee member), Assisted Living Concepts, Inc. (audit committee chair, special transaction committee chair), Reptron Electronics, Inc. (audit committee member), and TELETRAC, Inc. (audit committee member).
Michael Willingham—Mr. Willingham has been the chair of the Equity Committee since its formation in January 2010. Through his service on the Equity Committee, Mr. Willingham has developed substantial knowledge about WMI's current state of operations and also about the terms of the Seventh Amended Plan and related agreements involving Reorganized WMI. Mr. Willingham is currently working on issues necessary to prepare Reorganized WMI for emergence from bankruptcy. Mr. Willingham has extensive prior experience with complex securities agreements and financial instruments. He has served on committees or trust boards in prior bankruptcies including Mirant Corporation and Calpine Corporation. Mr. Willingham has also provided consulting services on a wide variety of issues, ranging from chapter 11 litigation to securities trading investigations, and has been engaged as a consultant in major bankruptcies including Enron. Prior to consulting, Mr. Willingham traded energy commodities and derivatives for two Fortune Global 500 companies.
SOURCE Official Committee of Equity Security Holders of Washington Mutual, Inc.
That is because people only want to hear good things about their investment and disregard the risk associated playing BK securities.
Certain individuals did not want to be open minded and hear anyone's opinion unless you said this was a Class 12 security. When you say something other than Class 12, they categorize your opinion as irrelevant and tell you they are only interested in the Judge's ruling, not yours. ... well, I guess it was a humbling experience for them...
imo
I am sure there was fraud involved, but we, as the "little people" have a hard time proving it.
Well, once the BK confirmation approved, that is the end of everything and the GSA will be consummated. With the way everything is structured, we will be giving our releases to the main "crooks".
After BK, it is just WMI2 and that is it.
There is really nothing we can do.
imo
Using the 363 sale, you are able to transfer/sale assets free and clear to other parties and it is legal under bankruptcy. Either no objected or the objections were steam rolled and approved.
I dont know when it happened.
imo
363 sale eom
Willingham/EC is the client. Willingham/EC says settle, S&G settles.
S&G are GM mechanics working on a Mercedes. S&G are out of their league and in unfamiliar territory.
Result: POR 7
imo
Yes. imo/eom
I will be doing the same:
My vote: (Actual scan)
I guess I'm one of the 5% who walks what he talks, then.
VooDoo, they are coming to get you. Better respond to them and say you know the former Trustee Joe Mahon:
INTERROGATORY 5.
Identify any aliases or screen names used by you, including any of your employees, agents, or representatives, to post my messages concerning the Debtors or the Seventh Amended Plan on any Internet message boards, including, but not limited to, Yahoo!, Ghost of WaMu, and/or InvestorHub.
ANSWER NO. 5.
Respondent objects to this Interrogatory on the grounds that it is overly broad and not reasonably calculated to lead to the discovery of admissible evidence, and is merely propounded to harass Respondent. At issue in the impending hearing is whether the Debtors’ Proposed Seventh Amended Plan of Liquidation satisfies the requirements of Bankruptcy Code §1129. The use of any screen name, and whether any screen name has been used, for posting any messages regarding these matters are entirely irrelevant to the confirmation of Debtors’ proposed plan. Therefore, this Interrogatory is not reasonably calculated to lead to the discovery of any admissible evidence, and instead, is intended solely to harass, embarrass and/or create additional expense and burden for Respondent.
I don't follow it, but my memory tells me $3ish. imo/eom