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Very agreed to your comments. If common stays alive, the bond would go to 80% of FV.
By the way, what is the cusip number for the bond? TKS
GLTA
Fully agreed. Thanks for the postings
Would preferable stocks (i.e. FNMAT) be also cancelled?
TIA
Similar to WMIH's NOLs which were shared with new commons. (i.e. all old and cold preferable and common stock holders, plus CTs opt in for common stocks).
Except, LBHI's NOLs will be included seniors too because all WMI,s seniors are paid off.
I had mentioned many many times before but no one believes.
Seniors want to suck every blood of LBHI, you're going to see there're more coming.
IMHO LBHI were holding too much real estate derivatives. If LBHI had gone through liquidation in 2010, the value of derivatives would have been extremely low. Rather, allowing LBHI more time (i.e. 3-4 years, then creditors could get better compensation from the appreciation of real estate. So, creditors got agreed to have initial compensation (i.e.18% of FV. Creditors anticipated more later from debtors.
Therefore, the terms --"satisfied in full" was created in a very tricky way because there is no way to determine the exact figure 3-4 years later. It does not mean seniors would discharge after 65B paid. They are looking the next compensation in terms of un-liquidated assets from Lamco.
Seniors would like to take whatever the instant liquidation, plus the future assets in terms of cash, shares or combination based on their advantages. I pretty guarantee you that "satisfied in full" is equivalent to "paid in full".
It seems that Enron's POR was based on substantive consolidation. Of course, CTs got something.
Unfortunately, our judge refused substantive consolidation because Peck said the difference is too large to be compromised.
Hmmm...good posts, and very interesting
I'm not sure that you could do it. For examples, new GM issued shares and 2 warrants, which are under different ticker and cusip.
That's my best wishes.
I wish that's the golden nugget(s).
what do BNYM say now?
BNYM told us Day One -- CTs have NO money, and even not bothered to mark us as "guaranteed".
glad to see you here, like class reunion from WAMU.
I hope so. I never sold ONE share of my CTs. Well, buy lotto is the best mind set at this moment.
WAMU BK was planned perfectly per 4 dirty HFs. Judge was totally lien toward JPM. Until the individual showed the inside trading, then CTs and all others got a little bite.
We don't have EC as well as rep. Judge gave us nothing even we were not considered as impaired parties ( = NO VOTING RIGHT, TOTALLY IMPARIED).
Lord, what can I tell you? Having our finger crossed, hoping Lamco has some NOLs left for us. Should we have to compete with OneShare, I don't know. In order to preserve NOLs, Lamco does NOT need us because Lamco has BigOne. BigOne would take anything provided from Lamco, and appreciate Lamco like a God.
Piers gave up because 4HF didn't want to go to civil courts. Also, seniors got the pay. POR has been approved by the vote from impaired parties. Piers finally gave up, and Piers have to pay themselves for the legal fee in the future. Court does allow them to go fight, but you have to select one or the other. Getting money then gave up, or the other way.
A lot of Dimeq holders refuse to take money, but I don't think their attorney are fight for them because you could not get any compensation from debtors anymore.
In our case, we have less position. First, we have no EC. If everything goes priority, then CTs and all below us got nothing if all NOLs were gone. It's sad, like Marayatano said "we are buying lotto".
Basically, seniors (WAMU) were paid in full plus all accumulated interest. TPS were categorized as CTs.
However, those 4 dirty HF have been caught of inside trading. So, the judge decided to punish them. So, TPS and CTs holders were shut up.
If everything had gone through those 4 HFs plan, WMIH should have been owned by 4 HFs. Once judge realized their tricks, the EC has been appointed. Therefore, preferred and common got new shares.
CTs got less money because CTs made the difference of FJR vs coupon rate to seniors. TPS was extremely mad, but could not do anything because of classification.
Overhere, Lehaman does not pay senior in full.If you were seniors, you saw everyone below you might get more than you. What is your response. Mik1's post is the last puzzle to give us all the clear picture.
It seems that you and I both went back to the time tunnel of WAMU. It's good and bad. The bad is that the share of WMIH is much less than our expectation, and good is that we got something.
Thanks for the information. I have been looking for it since Lamco idea popped up. I need to improve my DD and dig more into it.
Signed or not signed, it's not important anymore. At least, we finally saw a framework how lamco works. The reality is not far away from the skeleton. I have been looking this for a long time. Thanks for mik1.
I used up all my quota yesterday. Sorry for the late response.
From the collection of my memory, seniors, according to the POR, get 20+% plus another 5% from the contribution from the junior.
Someone may change my figure, but it should be close.
GLTA
Yes, it's cumulative for both seniors and CTs.
IMHO, possibly, our interest payment is transformed into shares.
yes, however if Lamco resumed LBHI's remaining liabilities, CTs would be possibly transformed into shares of Lamco.
IMHO, we might not see money but could see new shares, like WMIH (WAMU2) did for its old CTs, preferreds, and commons. Lamco needs to save money and not sell the assets in order to be back to a normal business.
CTs were in Class 10B in terms of the same responsibilities as sub-notes.
From the Lamco, the article mentioned that Lamco took 99% liabilities from LBHI. LBHI transferred all the assets to Lamco. It makes a very logical sense.
This agreement posted today is the best posts ever seen it for the past years. It clears all the doubts.
You're right that Lamco could use NOLs to offset anything Lamco sold. Marayatano mentioned the way could also be happened. We don't know what Lamco is going to do.
In either case, if Lamco resumed all LBHI's liabilities. we probably will get paid in some forms. Unless seniors demands liquidation. It seems that seniors are not going toward this way.
The reason POR did not mention the payment of interest because LTI has no money. Don' be bothered to mention.
Since seniors agree to get only 18% because Lamco resume the remaining liabilities. So, senior agreed to out of BK ASAP in order to save legal fees. It does not mean that seniors gave up their remaining rights.
Like wamu, CT (wahuq)paid seniors interest because CT have money. In wamu's case, you could opt in either shares of WAMU2 or $$$.
IMHO we probably get paid in shares of Lamco but not interest since all CTs are emerged into Lamco as well as other creditors.
All seniors are paid by the POR schedule. After that, Lamco will resume the remaining liabilities.
Also, nobody wants to sell Archstone since it is the cash cow. So, the alternative way is sharing Lamco.
Like Marayatano mentioned before, Lamco does not need CTs to preserve NOLs because Lamco has all preferreds and commons.
However, if Lamco resumes 99% liabilities from LBHI, then CTs might have slight chance of Lamco because of NOLs. NOLs are assets and could be shared among all creditors from LBHI.
Partially right, but partially disagreed.
Since LTI has to pay seniors in full, and don't be wrong since CTs are indeed getting paid. However, CTs reallocate to seniors like wahuq did.
Since there is no money left for CTs after liquidation. Therefore, CTs "hopefully" get something from Lamco because Lamco has the liabilities for CTs.
LTI had to separate CTs from OneShare because CTs have to pay seniors. So where did CTs go, go back to the market becomes tradeable. Once the CTs serve its purpose, then we have our finger crossed, and hope to get one bite in Lamco.
Hoping everyone has a little bite in Lamco since it assumes 99% LBHI's liabilities, including seniors, per some ratio in terms of priorities.
Oh, by the way, I forgot to mention that wahuq (CT)also paid its capital to cover the difference in interest for seniors. Therefore, the redemption had to drop from $34 to $10.29 if there is no more accident.
You should ask micmac tell all the coversation he had with Linda1. This subject (he filled under guaranteed) was discussed long long time ago.
Unfortunately, BK/POR overruled everything.
In wamu's case. the reason that seniors got paid in interest because LTI had money. Wahuq paid all earned interst reallocating to seniors because of priority rules. Seniors only got FJR instead of coupon rate, so wahuq paid the difference.
BNYM told the same thing to Linda1 TWO years ago.
As I keep telling this board, that's the truth.
FYI, also, because seniors are not paid in full, so BNYM did not file our claim under "guaranteed".
Capital has to be paid prior to interest. Since seniors's capital are not being paid in full, just forget the payment of interest.
Unfortunately, Kodak doesn't have equity committee vs WAMU.
Thank you very much.
Thanks your analysis.
What is your opinion of common in the future? Will EK cancel it before out of BK like others regardless it makes money in 2013.
TKS
Appreciate your knowledge. TIA
If I had bought BAC's stock during the Jan/09 and sold in a big lost, would I have entitled to get compensation?
Should I have to file the class action together with others in order to be qualified?
TKS