It was three crosses of half a million. IMO prints mean nothing. It was trading pieces at 90 cents also.

Link to today's audio is stickied on wamuq board. If I was a wmi board member I'd be worried. I don't know exactly how much this helps us, but it feels good to hear Steinberg going after these weasels.

Madclown - Yes. Broadbill wasn't representing us, and as long a hedge fund is listed as plaintiff I'm not convinced we have representation.

I always assumed they tried to turn us into a class to share the legal fees. We are "sort of, kind of?" a class?

What would a committee cost and who pays?

They can't just "use" the nol's. A merger would be an ownership change.

If Tricadia has anything up it's sleeve it's most likely a debt for equity swap. I they probably want to wipe out the common as quickly as possible.

There is no "Mr Big".

The odds for the common are about 50 to one against.

Anyone buying this should understand that someone else here could be selling you stock.

This is all my opinion and I could of course be wrong. I have no inside connections. :*)

The topics to be covered list any communication between Melon and ltw holders and any between melon and wmi. There was none with ltw holders. If there was no communication with WMI it shows wmi ignored our interests. If there was, I guess Steinberg would like to know what it was.

I'm confused as to where this is going.

If Broadbill sold, which I think is likely, I think it was in the .90's when it was trading in chunks.

If we are classed as equity, we should receive the value of the anchor award in wamu common according to the formula in the warrant agreement. And we should receive new wmi for our wamu the same as other common holders. We would hugely dilute wamu in that case.

I think the class decision is a toss up, but if there is value to wamuq we should be ok.

And dime still hasn't moved with the recent news.

If we lose the class struggle and are classed as equity, we should be entitled to the same consideration as wamuq and be entitled to ownership of new wamu - shouldn't we?

From wamu news - "In return, shareholders would drop allegations that hedge funds who own $2.54 billion of WaMu’s debt used confidential information to guide their investments."

We'll toss you a few crumbs if you let us slide. Hedge funds are completely out of control in this country. Of course they used confidential information. That's what they do. We really should tax the crap out of them. Send them all to jail with Raj.

Could be that Broadbill has sold their stock.

This comes after Rosen was requesting trading records. What the judge allowed in the may 2 hearing was hard to figure out.

The class action status is still confusing. If we're a class, the class should be paying the legal fees, no?

Maybe this is the start of us being called a class.

Re-registration could just be for the transfer of ownership of the trups that tricadia bought. I think they're "re registered" on the books to a new owner.

You can shred the form. Do nothing with it and if we win you will receive the cash. The only good reason to send in the form is if you want to choose new wmi stock, also receivable only if we win.

That's it.

Artie asked me not to give out his cell phone number. I usually facebook him.

Mediation was mentioned in the May 2 hearing. Parties met and broke up with nothing settled. Mediator Kornfield asked to stay in touch with all parties and they agreed. Neither Rosen nor Steinberg sounded at all encouraged or enthusiastic about the prospects but just my opinion.

"With NOLS we get $650MM in potential tax write offs worth $250MM in cash. If Tricadia does a debt for equity swap along with the other creditors then all debt is extinguished and the creditors own the company. They would then be able to cash in on the NOLS."

Respectfully - Nol's are only valuable to a company that can earn 650mm, right? There is no company here for the creditors to own. Owning nol's with no business has very little value. Merger would be a change of ownership and would lose nol's.

If Mr big exists and is going to make this an $11 stock, why isn't he buying it here? Why doesn't he pay through a dime and own as much as he can? Heck why not pay through a dollar?

How long will the stock process take? To receive tradeable shares of new wmi? BK?

If we are classed as equity it's true that we'll be close enough to zero that liquidity won't be important.

Class 12 liquid stock, though, will be trading somewhere near cash value, discounted obviously for time.

The stock option has the allure of an even bigger home run. But it also adds uncertainty. Just in case there hasn't been enough already. I think odds are that it will trade higher than our value will be, but it's not certain.

I'm going back and forth. I've been making sales for some time and I may choose stock with what's left. Although I just remembered etrade wants an election by the 6th, which is ridiculous.

"either or, or can you choose both?" No idea, just to answer your question. I'm doing nothing.

http://www.viewip.net/WMI/Hearing/audio/20110502.mp3 From the wamu board. Steinberg - "Does anybody really believe them..."

We did have all hands mediation that did not result in settlement. Kornberg is reaching out to parties and suggested mediation remain open.

Mediation is still open. Sounded to me as is neither side was very enthusiastic about the process, or optimistic.

The way wmi has been pressing for trading records sounds as if they want to show that Bbill and Nantahala have been trading based on court information. This obviously has no bearing on the case as Stein and Silverman point out. They're trying to scare them. The judge doesn't seem to get a lot of this. There is no reason for Rosen to have Broadbill's trading records. The judge ruled no dates and no prices. I have no idea what this means.

Poor Alabama got hammered with storms.

I've just been reading a little background info on the Jeff sewer mess and came across this headline "Jefferson County needs $50 mil to save 1,000 jobs" I know this is old stuff for syncora investors, but it's really a tragedy what's happened here. Meaning the bond mess not the storms. At one point they owned 18 swaps and I'm sure had no idea what they owned. I'm ordering a book Where are the Customer's Yachts? from Amazon. Library doesn't have it. I have a feeling the title says it all. The lesson: never buy anything you don't understand from a salesperson, especially a Wall street salesperson.

Just rambling.

Receiver seeks control of $257 million in Jefferson County sewer cash and investments

http://blog.al.com/spotnews/2011/04/receiver_seeks_control_of_257.html

I don't know enough about this to comment, but I thought I'd post it.

Jared - Keep in mind they should be trading so you could make a sale before the cash distribution and have your long term gain. At least I think they'll be trading.

I'm wondering if there is a reason we've been coming down. It may just be that the big buyers in the 90's were H holders who have bought all they need. I'm tempted to buy here.

Choosing new WMI- Does anyone have any concrete reasons for why I should choose stock? I feel like it could be a real score, but is there history that says these deals work? Do we know anything about the new wmi, other than the nol's?

Jared I know you like the stock option. The "follow the hedge fund" strategy probably makes sense, but I don't know.

Zila - The form requires you to put in a number for your holdings. That number will be "tendered" if you're opting in or choosing stock. If you own 10 and you write in five, Five will be segregated and five will remain in your trading account.

Having said that, I'm just guessing, but I'd bet that's right. You should be free to tender whatever amount you want.

Obviously check with your broker rather than relying on me.

Election options - The way I read it:

Opt in or opt out. If you opt in your broker will "tender" your holdings with DTC. They will be non transferable until completion.
If you choose to do nothing, you will have one year from the effective date to opt in and collect cash, but only cash - no stock option.
I see no reason to opt out.

In order to receive the stock option, you must check the stock box on this form and submit by May 13. Your shares will be tendered and non transferable in this case also. You could still elect not to opt in yet, although I don't know why you wouldn't if you are tendering.

The only way to keep your shares tradeable is to do nothing. You will have no stock option. I guess this is the same as the other wamu securities. Time to sh%$#t or get off the pot. Can I say that here moderator?

Comments? Jared? You may be all "written out" today.

If we lose this fight, are classed as equity, and receive nothing in the bankruptcy, what would happen next?

A JPM suit? The WMI board? It doesn't seem that jpm is at fault. I don't get the idea Steinberg will want to give up.

Will the ltw be extinguished or might it still trade?

Yes great point about the Board. It's clear that wmi failed to protect the interests of the ltw's. We were completely forgotten in the jpm negotiations. They failed in their fiduciary responsibility and I can't imagine they want "disgruntled" ltw holders hanging around. Rosen has no skin in the game; they do.

Dated march 23 12:00

Specifically tri wants to change administrator that would make payouts to creditors following approval of plan.

Current plan calls for trups to share in any excess cash in Corus estate after high ranking creditor debts are paid including dusputed claim filed by fdic.
Bank asking for extension to may 30 to gain creditor support for its plan so it can continue to negotaite with tricadia.

Hearing on extension set for march 31.

From DJ bankruptcy review. Can't be cut and pasted.

Entering talks with tricadia and a smaller distressed debt investor that also holds these securities should result in a proposal that would pass muster with creditors, corus said.

That would be a significant turnaround from the "huge fight" that unsecured creditor commitee said it was expecting prior to tricadia entering.

Description of Tricadia and .....

Creditors that hold the trups overwhelmingly have cast ballots against the liquidation plan, but tru=icadia has indicated it will flip to a yes vote.

Hefge fund manager Tricadia capital's purchase of nearly a quarter of Corus bancsharesecurities related to collateralized debt obligations could break a deadlock in the bank's chapter 11 case and allow for creditors to finally see a payment some 18 months after regulators seized caorus.

Purchased trust originated preferred with face value of 109 million. The move is significant because it gives the holding company a stakeholder with which to negotiate its liquidation plan, Corus said in court pares.

Corus and other banks in chap 11 have struggled on how to address cdo on their books because the ultimate holders of the debt are typically disparate and sometimes impossible to even identify.

Hi there phillip. Thanks. That was helpful.

Does a mediator negotiate a compromise or settlement between both sides? A mediator will not declare a winner and loser right?

Does the mediator make it more likely that the dollar award is something less than the 345 or so million set aside? Might they agree on 200 for instance?

That's a lot of questions.

It sounds to me as if it didn't occur to Dan that you believe equity may still have value. He's responding as if the POL is basically a done deal and everyone understands that. If there was the chance that a por would make equity valuable, I can't imagine that he would mention "few minor changes to Corus' plan that should not affect the equity class." The only plan in place is a pol, and I think he's assuming everyone accepts that.

Of course, it's possible that he wouldn't know of a potential por.

CORSQ - On Topic - NOL's can be preserved while still wiping out common.

Corus has no ongoing business to realize value of NOL's, in contrast to Signature which did. NOL's are worthless without profits.

No, a profitable business cannot merge with new corus after a reorg.

As of June 30, 2010, the authorized common shares of the corporation are 20,500,000,000 at $0.001 par value, with 16,606,433,971 common shares outstanding. There are 20,000,000 shares of Series A Preferred stock issued and outstanding and 489,000,000 shares of Series B Preferred Stock issued and outstanding.

I don't know but i'd guess that the pref'd convert into an awful lot of common.

None of the legal fees submitted on 3/2 mention anything about a sponsor - "FTI worked with the Debtor and Counsel to review and
coordinate the transition of wind-down work streams to the Liquidating Trustee." "transition planning process" "wind down monitering".

It's been a while since a sponsor has been mentioned, and I think if there was one you'd get a whiff of it somewhere on these bills.

I had oatmeal for breakfast. In case I forget.

Hi Jared CRT capital in Connecticut. I do not get their research.
That was passed along to me by a friend. I know nothing about them.

I think the short interest is most likely just shorts. They know their risk in this case, and there's a chance it does go to zero. I know that CRT, who have done research on dime and wamu, have predicted that dime won't win the debt vs equity argument. They've been wrong so far but I'm sure some agree.

I don't think a short in this would hedge a long in any other vehicle, but I don't know. In any case I don't think a short of 1.2 million means all that much, except that there are some who believe dime will lose.

Errett - Thanks for your thoughtful reply.
Not to argue, but part of what I question here is the surety of a Mr. Big.

To answer common's question the 45 million shares purchased is speculation. There's no reporting of ownership. The short interest was about 20 million shares at one point which could account for the volume. The trading limits put in place are standard.

I believe wamu is preserving some of the nol's under the current por and equity is wiped out. right?

It's all a matter of risk/reward. Everyone here knows this could be a zero. Maybe I just think it's more likely than others. At a price it's still worth a shot.

Hestheman - ".I'm just wondering what factors here are there that are different from the Bank United deal to prevent them from wiping our shares out and presenting new ones like an IPO (basically like what Bank United did)."

I don't know that I can answer your question, but I notice no one else did. I don't know that there's anything different here. In fact, I think it's most likely that equity gets wiped out. At a penny I thought it was worth a shot. At three cents, I don't know.