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Thank you, Spider-man,
Happy Easter to you too
Stay safe… Stay healthy
Good luck to you
And have a great day
Wwhatthe
Large Green
Thank you for that post.
We differ on some points, but we both agree on a large recovery coming...
I'm sure nobody cares about how it gets here, as long as it gets here.
I've always agreed with your thoughts on the Depository Trust Company.
Because It's in the Disclosure statement.
Good luck to you
Wwhatthe
CAL622003
You asked a good question.
I'm only an investor but, for Sits and giggles...
I would like to try to answer your question...
How on earth would anyone ever be paid?
All IMHO...
But first, Keep in mind,
The company’s liquidating trust pays off the creditors and distributes the new company shares.
The WMI liquidating trust had 200,000,000 new shares to distribute...
And only $7.3 Billion Dollars in cash...
This is because the FDIC seized $307 Billion in assets.
When the WMI liquidating trust closed... this indicated that all the creditors were paid,
and all the new company shares were distributed.
To illustrate my point...
This is a statement from judge MARY F. WALRATH
before the UNITED STATES HOUSE OF REPRESENTATIVES COMMITTEE,
It's after the bankruptcy,
She says…
Quote,
In excess of $7 billion was distributed to
creditors and shareholders. Virtually all creditors received
100% of their claims with post-petition interest and shareholders
received stock and warrants in a subsidiary that was capitalized
with $150 million in new money… End Quote
This excerpt shows us the creditors received about $7 billion Dollars and shareholders received new company stock.
The quote says,
“was distributed to creditors and shareholders”
But we're interested in,
How or in which way was that distributed?
So,
Let's start here,
This is from pdf page# 355/755 of the,
DISCLOSURE STATEMENT
It is about our tracking markers or contra-CUSIP positions.
It’s also about our escrow positions and the Depository Trust Company... (DTC)
Quote…
…The Trustees may conclusively rely upon the distribution instructions received from the debtors or their agents with respect to contra-CUSIP positions and escrow positions set up by the Debtors or their agents with the Depository Trust Company, and the Trustees shall close and terminate the original CUSIPS after making initial distributions of Creditor Cash and shall have no further distribution obligations thereafter…
End quote
Here where it says,
“may conclusively rely upon the Distribution instructions received from the debtors or their agents with respect to contra-CUSIP positions and escrow positions set up by the Debtors or their agents with the Depository Trust Company”
They are talking about our escrow position which according to the above excerpt, was set up by the Debtor (the company).
Every class has an escrow position... Every class has a Trustee.
The company had your information on record,
and because of the bankruptcy... it was used to set up your escrow position with the Depository Trust Company.
If you own your shares by street name... which means your shares are registered in your brokers name on the company's books... Which most do.
So, if you purchased your shares through a brokerage firm, they have your W9 tax information and would know how many shares you had.
Or,
If your shares are registered in your name on the company's books.
They know how many shares you had, but you may have had to provide a W9 tax form.
Either way, the company and TDC would have your name and information... including the use of your W9 tax information from your broker.
Our escrow positions... is because...
When you purchased shares in WMI, you created an equity position in WMI (the company).
When WMI filed for bankruptcy your equity position... also became an escrow position.
It's,
The Debtors (the company) or their agents who set up our escrow positions with the Depository Trust Company.
IMO... Not if, but when,
Anything comes back the Depository Trust Company has all the information they would need to make a distribution.
It would be the same as when it was done for the creditor’s cash, and our new company shares.
The contra-CUSIP number is assigned by DTC for use in reorganization activities, such as distributing company shares or cash.
For example, from the plan,
Some elected to receive shares...
So, some common and preferred shareholders received new company shares and were owed shares from the Disputed Equity Escrow Account.
So,
The Depository Trust Company knows if you are allowed to have shares or not...
That's because of the distribution instructions it received from the debtors (the company).
A contra-CUSIP number was used to distribute the 200,000,000 new shares.
Likewise,
The creditors were owed $7.3 Billion Dollars in cash.
A contra-CUSIP number was used to distribute the cash.
All from the Depository Trust Company with instructions from the debtors (The company).
The contra-CUSIP position is temporary... once the shares and the cash are distributed the numbers are no longer needed and they are removed.
Again,
The company’s liquidating trust pays off the creditors and distributes the new company shares.
There were 200,000,000 shares...
And only $7.3 Billion Dollars in cash...
When the WMI liquidating trust closed... this indicated that all the creditors were paid,
and all the new company shares were distributed.
Now,
Our focus should be on the FDIC’s $307 Billion in assets...
Because if the creditors are paid, then everything the FDIC has is equity and it belongs to the shareholders.
To illustrate this point.
This is from one of the SETTLEMENT AND RELEASE AGREEMENT’s
keep in mind,
WaMu is the Bank... and the Bank is owned by the WMI shareholders.
Quote,
FDIC-R succeeded to all rights, titles, powers and privileges of WaMu, including those with respect to its assets. Among the assets to which FDIC-R succeeded were all of WaMu's claims, demands and causes of action against mortgage brokers that originated mortgage loans for WaMu.
End quote.
The FDIC is a Conservatorship and Receivership...
As Conservatorship the FDIC protects the individuals and their estate.
As Receivership the FDIC preserves the value of the property.
The Estate and property are owned by the WMI shareholders.
One more about the FDIC...
This is from one of the court documents...
Quote,
“In its role as receiver for a failed depository institution, the [FDIC-R] has a statutory obligation generally to maximize the return on the sale or disposition of the receivership estate’s assets. The receiver distributes any funds realized from its liquidation efforts to the failed institution’s creditors and shareholders in accordance with the FDIC’s priority scheme.”
end quote.
So, the FDIC-R, sells the WMB’s assets and distributes the funds in accordance with the FDIC’s priority scheme…
Which is also, the distribution procedure and priority in the Plan on page 141 of the D/S…
And would also use the Depository Trust Company.
Keep in mind the creditors have already been paid by the WMI liquidating trust.
Also,
The FDIC is not a for-profit organization It's independent.
Their primary mission is to maintain stability and public confidence in the banking system,
The FDIC doesn't have shareholders or owners who receive profits... So, they do not generate profits. The FDIC is funded by premiums paid by insured banks, not by selling goods or services.
I know this post is getting long...
But,
Let's add this statement from JPMorgan Chase.
Because they purchased these assets from the FDIC-R...
Here in a statement Dated, Jan 13, 2010
JPMorgan Chase, Testimony before the Financial Crisis Inquiry Commission.
JPMC states…
With the acquisition, we purchased approximately $240 billion of mortgage and mortgage related assets… with $160 billion in deposits…. and $38 billion in equity… We immediately wrote down most of the bad or impaired assets (approximately $31 billion) …. and established proper reserves for the remaining assets, ….as well as for severance and close-down costs.
So,
To answer your question...
How on earth would anyone ever be paid?
Our escrow positions were set up by the Debtors or their agents with the Depository Trust Company,
The Depository Trust Company received Distribution instructions from the company... including your W9 tax information it had from your broker... we don't have to do anything but stay updated with our brokerage firm.
And,
We don't get paid for our escrow shares/markers...
We get paid for our Escrow position.
Sorry for the long post...
All IMHO...
Good luck to you.
You may also be interested in my post #720961
"We don't get paid for our escrow shares/markers... We get paid for our Escrow position"
Thank you for reading my post.
Stay safe… Stay healthy
And of course,
Just my opinion, research, and curiosity…
Wwhatthe
Continued... Just a little Research and all IMHO...
We don't get paid for our escrow shares/markers...
We get paid for our Escrow position... Everyone has an escrow position.
For those that are serious,
and to illustrate where the escrow shares came from and where they went.
As a kind of visual...
Let's go into depth using the new company's share distribution...
And,
Backtrack through the liquidating Trust Quarterly summary reports
Using the wording and numbers in the: Disputed Claims Reserve and the: Disputed Equity Escrow documents.
Now,
We started with 200,000,000 new company shares…
The first 5% or 10,000,000 new shares went to the Settlement Note Holders for their capacity as lenders to the new Reorganized Debtor. (WMIHC /WMIH)
So,
200,000,000 shares - 10,000,000 shares = 190,000,000 new shares,
From these 190,000,000 new company shares,
75% or 142,500,000 went to the Preferred shareholders,
from these 142,500,000 shares,
2,109,051 shares were placed in reserve for “disputed preferred claims” …
These 2,109,051 shares are the Preferred shareholders Disputed shares. (The escrow shares)
So, 142,500,000 shares minus 2,109,051 disputed shares equals 140,390,949 shares...
These 140,390,949 shares were the Preferred shareholder’s initial distribution of new WMIHC shares.
(Note that these initial shares have nothing to do with escrow markers.)
So, that's the preferred shareholders new company's share distribution.
And the 2,109,051 preferred escrow shares.
Now...
We have the common shareholder’s new company shares and disputed shares.
So, from the 190,000,000 new company shares...
25% or 47,500,000 shares went to the common shareholders.
From these 47,500,000 shares,
4,165,750 shares went to the dime shareholders,
693,806 shares went to principal financial claims,
And,
2,631,933 shares were placed in reserve for “disputed common claims” …
And were added to the Disputed Equity Escrow Account… (The escrow shares)
The remaining 40,008,511 shares were distributed to commons shareholders.
This was the common shareholders, initial distribution of new WMIHC shares.
(Again, note these initial 40,008,511 shares have nothing to do with escrow markers.)
So,
The Disputed Equity Escrow Account, contains,
the 2,109,051 shares for Preferred disputed claims and,
the 2,631,933 shares for common disputed claims, for a total of 5,040,984 shares…
(again, the liquidating Trust states there was about 5,329,499 disputed shares in the Escrow Account)
Its these 5,329,499 disputed shares that were distributed to your Escrow CUSIPS or Escrow markers… not cash.
So, the Escrow marker was created specifically for the disputed shares in reserve.
So, again...
After the initial distribution,
approximately 5.3 million shares were placed in a disputed Equity Escrow Account…
As the claims are dismissed, these shares are distributed to your CUSIPS or markers.
After all the shares in the disputed Equity Escrow Account are distributed, the CUSIPS or markers are no longer needed, and they are removed.
The Escrow CUSIPS are only used for distributing the 5,329,499 disputed shares that are in the Escrow account... They have nothing to do with the cash distribution.
The above showed where the escrow shares/markers or Escrow CUSIPS came from.
We can go further into depth... By showing where the escrow shares went...
The distribution dates are at the end of March, June, September and December.
This is the distribution of the 5.3 million Disputed Equity shares…
which were distributed to your markers.
On March 31, 2012, we start with approximately 5.3 million disputed shares…
So, in 2012,
On June 30, 2012, there were approximately 5.3 million shares…
with a scheduled August 1, 2012, distribution of approximately, 1 million shares (927,862 shares) to class 22…
5,300,000 - 927,862 = 4,372,138 shares remaining
We see 4,372,138 shares remaining...
On, September 30, 2012, there was a scheduled November 1, 2012, distribution of, 58,000 shares to class 22…
4,372,138 – 58,000 = 4,314,138 shares remaining
We see 4,314,138 shares remaining...
On, the distribution date December 31, 2012, there were approximately 4.3 million shares…
We still see 4,314,138 shares remaining.
Now in 2013,
On March 31, 2013, there were approximately 4.3 million shares… with a scheduled May 1, 2013, distribution of, 1.4 million shares to class 19…
Still see same 4,314,138 shares remaining
Then on June 30, 2013, there were approximately 2.9 million shares…
This is because on May 1, 2013, the distribution of, 1.4 million shares to class 19 were distributed…
4,314,138 – 1,400,000 = 2,914,138 shares remaining
We see 2,914,138 shares remaining
Then on,
September 30, 2013, we see the same 2.9 million shares…
2,914,138 shares remaining
On December 31, 2013, we see the same 2.9 million shares…
2,914,138 shares remaining
Now we're in 2014...
On March 31, 2014, we see the same 2.9 million shares…
2,914,138 shares remaining
On June 30, 2014, the same 2.9 million shares…
2,914,138 shares remaining
On September 30, 2014, the same 2.9 million shares…
2,914,138 shares remaining
On December 31, 2014, the same 2.9 million shares…
With an approved distribution, but an appeal was filed…
So, we still see the same 2,914,138 shares remaining
Now we're in 2015...
On March 31, 2015, the same 2.9 million shares…
With an approved distribution, but an appeal was filed…
We still see the same 2,914,138 shares remaining.
Then...
June 30, 2015, the same 2.9 million shares… but the appeal has been dismissed… approximately 1.4 million shares will be redistributed on the next Distribution Date…
still, we see the same 2,914,138 shares remaining
Now on,
September 30, 2015, there were approximately 1.5 million shares… approximately 1.4
million shares were redistributed on August 1, 2015.
2,914,138 – 1,400,000 = 1,514,138 shares remaining
On December 31, 2015, there were approximately 1.5 million shares…
We see 1,514,138 shares remaining
Now we're in 2016...
On March 31, 2016, there were approximately 1.5 million shares…
1,514,138 shares remaining
June 30, 2016, there were approximately 1.5 million shares…
The same 1,514,138 shares remaining
September 30, 2016, there were approximately 1.5 million shares…
Same 1,514,138 shares remaining
December 31, 2016, there were approximately 1.5 million shares…
Same 1,514,138 shares remaining
Now we're in 2017...
On March 31, 2017, there were approximately 1.5 million shares…
The same 1,514,138 shares remaining
June 30, 2017, there were approximately 1.5 million shares…
Same 1,514,138 shares remaining
September 30, 2017, there were approximately 1.5 million shares…
Same 1,514,138 shares remaining
Then...
On Feb 11, 2022, the last 1.5 million shares in the Escrow account were distributed...
and the escrow markers were removed.
We see zero shares remaining.
So,
The escrow markers only represent 5.3 million shares out of 200 million new company shares.
We can see,
Where the WMIHC escrow shares/markers or Escrow CUSIPS came from.
And We can also see where the escrow WMIHC shares went...
And,
What is meant… when they said…
“The Escrow CUSIPS were established solely to facilitate potential distributions, if any, of shares of WMIHC common stock”.
And…
“The Escrow CUSIPS do not, in and of themselves, represent an entitlement to any possible future cash distributions”.
And why on March 18, 2018,
I said...
When the last 1.5 million shares in the Escrow account are distributed, the escrow markers will disappear…
Many understood this back then...
and many know this now.
So,
We don't get paid for our escrow shares/markers...
We get paid for our Escrow position... Everyone has an escrow position.
Still waiting for the FDIC to finish up what they're doing.
All IMHO…
Have a Merry Christmas and happy new year
Stay safe… Stay healthy
and GLTA.
Jiminy…
Jiminy Christmas…
Escrow shares, Escrow markers, Escrow CUSIPS?... Just a little Research and all IMHO...
We don't get paid for our escrow shares/markers...
We get paid for our Escrow position.
Your original Shares in WASHINGTON MUTUAL, INC., got you your escrow position.
(Your WMI shares)
You received escrow markers,
because you have an escrow position,
and because you elected to receive new company shares in WMIHC...
(Your WMIHC shares)
Everyone has an escrow position. but not everyone has escrow shares/markers.
What this means is,
Everyone has an escrow position, so everyone gets paid. (Section 41.5)
And, for some...
Because you have an escrow position... and you elected to receive new company shares,
You get paid and you also receive escrow markers for the new company shares that were in dispute.
(Section 41.6,)
The escrow markers have nothing to do with getting paid.
It's your escrow position that gets you paid.
So,
If you are still asking about Escrow shares/markers... then you don't understand the Escrow shares/markers...
This is for you.
But first...
let me pat myself on the back and give myself a, attaboy... because...
about 5 years ago... on March 18, 2018,
in my post number 513999,
I wrote...
Quote,
When the last 1.5 million shares in the Escrow account are distributed, the escrow markers will disappear.
End quote.
That was in early 2018
Then four years later, in early 2022...
On Feb 11, 2022, the last 1.5 million shares in the Escrow account were distributed... and the escrow markers were removed.
I'm not saying this was a prediction...
What I'm saying is many understood this back then...
and many know this now.
We don't get paid for our escrow shares/markers.
There's a big difference between escrow position and escrow shares/markers.
The Escrow markers/Escrow CUSIPS,
were established for the distribution of the 5,329,499 disputed Escrow shares of WMIHC new common stock, “that were in dispute”.
Which were placed in a Disputed Equity Escrow Account.
After several distributions...
On September 30, 2017, there were only 1.5 million shares remaining in the Disputed Equity Escrow account. (The escrow shares)
On Feb 11, 2022, the last 1.5 million shares were distributed... and the escrow markers were removed.
I hate to post this... because, it's been posted so many times...
I feel most everyone already understands this…
But, for those that don’t,
And to illustrate my point...
Here’s an excerpt from a press release dated, March 16, 2017 – WMI Liquidating Trust…
From the bottom of the press release, it reads…
Quote,
As stated above, the Escrow CUSIPS were established solely to facilitate potential distributions, if any, of shares of WMIHC common stock.
The only source of common stock available for any such a distribution would be from the 1.5 million of shares remaining on deposit in the Disputed Equity Escrow.
Specifically, the Escrow CUSIPS do not, in and of themselves, represent an entitlement to any possible future cash distributions from the Trust, WMIHC or the Federal Deposit Insurance Corporation (either in its corporate capacity or as the receiver for Washington Mutual Bank), as the case may be.
End quote.
So,
From this press release we know; we don't get paid for our escrow markers or Escrow CUSIPS.
It says we receive shares of WMIHC common stock from the Disputed Equity Escrow account.
and,
From others shared documents... we know...
The Disputed Equity Escrow Account contained,
2,109,051 shares for Preferred disputed claims and,
2,631,933 shares for common disputed claims,
For a total of 5,040,984 disputed shares…
(The liquidating Trust stated there were 5,329,499 disputed shares in the Escrow Account)
The Escrow markers were created specifically for the 5,329,499 disputed shares in reserve.
The escrow markers have nothing to do with getting paid, It's a share distribution.
The escrow markers were no longer needed, after the last 1.5 million shares in the Escrow account were distributed,
So, the Escrow markers were removed.
As a kind of visual...
Let's go into depth using the new company's share distribution...
And,
let’s backtrack through the liquidating Trust Quarterly summary reports
Using the wording and numbers in the: Disputed Claims Reserve and the: Disputed Equity Escrow documents.
(I know,
This post is getting long... so for those who are serious... take a break and come back...)
Continued on next post...
We don't get paid for our escrow shares/markers...
We get paid for our Escrow position... Everyone has an escrow position.
All IMHO…
Have a Merry Christmas and happy new year
Stay safe… Stay healthy
and GLTA.
Jiminy…
Jiminy Christmas…
Newflow
that's a good question... I never asked myself why I post...
I have said to myself... I wish I had the time and energy to post more...
You may have noticed I only had 58 posts in the last nine years... Which is kind of sad.
In fact, I've had more followers than I do post... Which is kind of Weird... but cool, thank you
like many here... I'm an investor.
I enjoy reading the research and opinions.
There's a lot of intelligent and knowledgeable people here, including you...
All with a fair grasp on this bankruptcy.
I believe sharing their knowledge and
Having a forum like IHUB to share research, opinions and information is huge...
This is the largest and most complicated bankruptcy ever, and we're all part of it.
Not sure what it would be like... if we didn’t have the internet or IHUB...
But I guess...
Like many here, I'm reading, and waiting for the end of the WMI story,
and hopefully... the happily ever after. $$$$$$$$
Thank you for your post.
Good luck to you...
wwhatthe
Ron, thank you for your post...
But my post wasn't referring to, or talking about Libor...
These Court cases are about companies that sold bad mortgage loans to wamu...
The FDIC is suing these companies on behalf of wamu in order to recoup some of the money wamu Shareholders lost in the receivership... The FDIC is trying to maximize the value of the Wamu estate.
I do agree that the Libor settlement will benefit and bring value to the wamu estate... Because wamu securities, other than the common shares... are tied to the Libor interest rate. Which was manipulated and that caused harm to wamu.
I also believe these court cases will be settled simultaneously and not one after the other... hopefully.
Good luck to you
wwhatthe
Nightdaytrader
Thank you for posting the,
Notice of Termination of Receiverships...
I'm wondering if you or anyone are following these court cases or has any information on these court cases...
As you know...
The FDIC is suing these companies on behalf of wamu in order to maximize the wamu estate... Which is part of their mandate.
IMHO… This, and any money they have would be all equity, and would be distributed to the wamu equity Shareholders, on or before termination...
It looks like there were 22 cases and one has settled... but I'm not sure...
This is from bard...
Here is a list of all court cases with respect to the Federal Deposit Insurance Corporation (FDIC) as Receiver for Washington Mutual Bank, and the date filed, and which ones have settled, and which ones have not:
1) 8:22-cv-01832, FDIC-R v. Guild Mortgage Company LLC, 02/09/2022, No
2) 8:22-cv-01692, FDIC-R v. Everett Financial Inc., 02/07/2022, No
3) 8:23-cv-00348, FDIC-R v. NJ Lenders Corporation, 01/05/2023, No
4) 8:23-cv-01370, FDIC-R v. Primary Residential Mortgage, Inc., 03/06/2023, No
5) 8:23-cv-01458, FDIC-R v. Cal Coast Financial Corporation, 03/28/2023, No
6) 3:23-cv-01470, FDIC-R v. PNC Bank, N.A. as successor to National City Bank and National City Mortgage, 04/07/2023, No
7) 8:23-cv-01483, FDIC-R v. Lennar Mortgage, LLC, 04/14/2023, No
8) 8:23-cv-01500, FDIC-R v. The Mortgage Link, Inc., 04/21/2023, No
9) 8:23-cv-01522, FDIC-R v. Mortgage Management Consultants, Inc., 05/05/2023, No
10) 8:23-cv-01553, FDIC-R v. American Nationwide Mortgage Company, Inc., 05/18/2023, No
11) 7:23-cv-07438, FDIC-R v. RealFi Home Funding Corporation, 06/09/2023, No
12) 8:23-cv-01617, FDIC-R v. CTX Mortgage Company, LLC and Pulte Mortgage LLC, 06/23/2023, No
13) 1:10-cv-04022-CAP, FDIC-R v. Cincinnati Insurance Company, 08/05/2010, No
14) 1:11-cv-00044, FDIC-R v. Certain Underwriters at Lloyd’s London, 08/05/2011, No
15) 1:11-cv-00838, FDIC-R v. St. Paul Mercury Insurance Company, 08/05/2011, No
16) 5:11-cv-05133-PKH, FDIC-R v. St. Paul Mercury Insurance Company, 08/05/2011, No
17) 1:11-cv-03972, FDIC-R v. OneBeacon Midwest Insurance Company, 08/05/2011, No
18) 1:11-cv-00167, FDIC-R v. St. Paul Mercury Insurance Company, 08/05/2011, No
19) 2:11-cv-00610-MHT-WC, FDIC-R v. Federal Insurance Company, 08/05/2011, No
20) 3:11-cv-00145, FDIC-R v. The Cincinnati Insurance Company, Inc., 08/05/2011, No
21) 5:11-cv-00990-M, FDIC-R v. St. Paul Mercury Insurance Company, 08/05/2011, No
22) 8:22-cv-00281, FDIC-R v. American Financial Network, Inc., 06/23/2022, Settled
I appreciate your opinion and any information you have... Thank you
Maybe we can check these off as they are settled.
Good luck to you...
And,
Good luck to all...
Stay safe, stay healthy
wwhatthe
Yeah, that was supposed to say This is a question to Bard... lol
but, my 15 min. were up... Ay,caramba
It's just a question, take it as you will...
This is a question to Bart... 9/1/23
On the third Quarter 2015 CFO Report to the Board to the FDIC, on page 7
it says Excludes WAMU with total assets of $299 billion and zero estimated losses to the DIF...
The WASHINGTON MUTUAL BANK, Fund Code:10015, Failure Date:9/25/2008- Receivership Balance Sheet Summary for Period Ending June 30, 2023, (in $000's) shows Total Liabilities as $ 14,809,661.
What happens to assets after the liabilities are paid?
Answer from Bart...
Quote,
The remaining assets after the liabilities are paid are called net assets or owner's equity.
In the case of Washington Mutual Bank, the net assets are $284,190,339,000.
This means that if the bank were to sell all of its assets and pay off all of its liabilities,
there would be $284,190,339,000 left over for the shareholders.
In the case of a bank failure, the FDIC (Federal Deposit Insurance Corporation) will take over the bank and try to sell off its assets. The proceeds from the sale will be used to pay off the bank's liabilities, including the insured deposits of its customers.
Any remaining assets will be distributed to the bank's shareholders.
In the case of Washington Mutual Bank, the FDIC was able to sell off most of the bank's assets and pay off all of the insured deposits.
The remaining net assets were distributed to the bank's shareholders.
Here is a summary of what happens to the assets after the liabilities are paid in a bank failure:
The FDIC takes over the bank.
The FDIC tries to sell off the bank's assets.
The proceeds from the sale are used to pay off the bank's liabilities, including the insured deposits of its customers.
Any remaining assets are distributed to the bank's shareholders.
In the case of Washington Mutual Bank, the FDIC was able to successfully complete these steps and return most of the money to the bank's customers and shareholders.
End quote.
Please ask the question to Bart for yourself...
GLTA
Just my opinion, research and curiosity…
wwhatthe
Lodas
Like many here I'm only an investor, waiting and hoping for the best.
I believe you are helpful,
Asking questions that should be answered...
Like,
23.3 Cancellation of Preferred Equity Interests
But,
Do you agree that the term Impaired,
Only means you are entitled to vote to accept or reject the Plan.
And it just gives you the right to vote,
and has nothing to do with being paid or not being paid.
I'm asking just so we won't have to come back to this...
30.2 Impaired Classes Entitled to Vote on Plan:
The Claims and Equity Interests in Classes 2, 3, 5, 6, 8, 9, 10, 11, 12, 12A, 13 through 16, 17A, and 18 through 22 are impaired and receiving distributions pursuant to the Plan, and are therefore entitled to vote to accept or reject the Plan;
Respectfully speaking
wwhatthe
Iodas
Thank you for posting...
I for one, enjoy reading your post... thank you.
The term Impaired,
Means you are entitled to vote to accept or reject the Plan. It just gives you the right to vote and has nothing to do with being paid or not being paid.
For example,
30.1 Impaired and Unimpaired Classes:
Claims in Classes 1, 4, and 7 are not impaired under the Plan. Claims and Equity Interests in Classes 2, 3, 5, 6, 8, 9, 10, 11, 12, 12A and 13 through 22 are impaired under the Plan.
30.2 Impaired Classes Entitled to Vote on Plan:
The Claims and Equity Interests in Classes 2, 3, 5, 6, 8, 9, 10, 11, 12, 12A, 13 through 16, 17A, and 18 through 22 are impaired and receiving distributions pursuant to the Plan, and are therefore entitled to vote to accept or reject the Plan; provided, however, that, in accordance with the Original Disclosure Statement Order, entitlement to vote in Class 19 does not include the right to elect to receive any portion of the payment provided for by JPMC in Section 23.1 of the Plan.
Here where it says,
are impaired and receiving distributions pursuant to the Plan, and are therefore entitled to vote to accept or reject the Plan...
It's because you are impaired,
That you are entitled to participate in the voting.
Your vote releases the debtors... (the company)
If we understand the release... Section 41.5 and Section 41.6,
everything should fall into place...
For example,
When the plan was voted on and was accepted, then confirmed... everyone executed the debtor release. (Section 41.5)
Again...
The debtor release is voted on... (this is your ballot).
It was voted on... it was accepted... by those who are impaired... then confirmed...
So,
If you objected to the plan, then your objection was overruled...
and if you did not vote for the plan, or if you did not vote at all, it doesn't matter.
The plan was accepted by the majority, and was confirmed...
This means,
Everyone is bound by the plan, and the plan is binding between everyone.
Whether you voted or not... or signed or not.
In the plan, Section 41.5, “the debtor release”,
everyone released the released Parties and AAOC...
So, everyone gets paid. (As per the plan voting)
There is no...
Some will not be paid,
Or,
Some will not be paid, because some did not sign the release.
In Section 41.5, everyone released.
So,
In Section 41.5… If you have a Claim or Equity Interests, you get paid.
In Section 41.6... If you have a Claim or Equity Interests in Section 41.5... and you sign the non-debtor release... you get new company shares in the new company.
So, recap...
In the “non-debtor release”,
The non-debtors, (everyone except the debtor)
are releasing the released Parties and AAOC...
from any and all Causes of Action. (You must sign)
In the “debtor release”, (or the company)
By your vote... the debtors are releasing the released Parties and AAOC...
from any and all Causes of Action. (This is voted on)
The non-debtor release must be consensual between the non-debtors (everyone) and AAOC...
So, the “non-debtor release” must be signed by each individual non-debtor.
Of the two...
Only the non-debtor release must be signed.
The debtor release is voted on.
So basically,
Being impaired entitled you to participate in the voting. (The debtor release)
As always... Just a little Research and all IMHO…
I wish you good luck,
stay safe, stay healthy
wwhatthe
Civil War General
Thank you for reading my post.
You said quote,
“Furthermore, referring to “The Prospectus” of the common stock and the preferred stock as somehow guiding the possible future distributions ignores the fact that they were cancelled in bankruptcy.”
End quote.
The fact is…
Everyone’s rights Starts with, and ends with, the stock Prospectus…
I believe you would agree, no one is special here.
In your post, you are referring to,
23.3 Cancellation of Preferred Equity Interests
in Section 23.1 Treatment of Preferred Equity Interests:
which is just before…
23.3, Cancellation of Preferred Equity Interests.
it explains…
What the Preferred Equity Interests are entitled to receive…
which is 75% of the Reorganized Common Stock… and if everyone above them is paid, then the “Preferred Equity Interests” are paid their claim.
In 23.3 Cancellation of Preferred Equity Interests:
The first sentence states,
“Notwithstanding the provisions of Section 23.1 hereof,”
Which means everything in Section 23.1 is still valid and will be carried out in spite of “23.3 Cancellation of Preferred Equity Interests”.
You do not lose your rights just because the shares are canceled.
Quote…
23.3 Cancellation of Preferred Equity Interests: Notwithstanding the
provisions of Section 23.1 hereof, on the Effective Date, all non-REIT Series Preferred Equity
Interests shall be deemed extinguished and the certificates and all other documents representing
such Equity Interests shall be deemed cancelled and of no force and effect.
End quote.
So, your rights as the Preferred Equity Interests, are enforced… then Preferred Equity Interests is canceled.
It can’t be the other way around otherwise, no one gets anything.
Also,
You said, quote.
“The $300+ billion in WMB is in deposits and loans, not cash or liquid assets. “
This is from the FDIC Receivership Balance Sheet.
Deposits. (it’s in $000's)
Quote…
Subtotal - Proven Deposit Claims $ 151,150,664 100%
Less: Dividends Paid to Date 151,150,664 100%
Total Unpaid Deposit Claims $0 0 %
End quote.
All or 100%, of the deposits were transferred to JPMC, Leaving zero Deposit Claims.
This is from the FDIC;
the assets and deposits are listed separate.
Quote.
Total Assets: $307.022.00,000 (as of June 30. 2008)
Retail Deposits: $ 134.700,000,000 (as of September 17, 2008)
Uninsured Deposits: $8,452.029,625 (as of September 17, 2008)
End quote.
This is also from the FDIC…
The assets are in separate categories… which are not deposits.
WASHINGTON MUTUAL BANK
Fund Number: 10015
Statement of Assets & Liabilities in Liquidation (unaudited)
Inception Date: 09/25/2008
Securities $5,658,961,475
Consumer Loans $16,197,587,675
Commercial Loans $2,284,976,331
Real Estate Mortgages $191,532,334,532
Other Assets/Judgments $26,712,206,061
Owned Assets $3,964,153,726
Net Investments in Subsidiaries $52,441,302,567
Total Assets $298,791,522,367… and if we round up, it’s the… $299 BILLION DOLLARS
If we add…
$299 BILLION plus the $8 BILLION in Debtor assets, held for the debt… it equals to the $307 Billion Dollars in assets.
These are assets not deposits.
I’m trying to keep this post short…
Thank you for posting
Stay safe… Stay healthy
Good luck to you.
Wwhatthe
Nightdaytrader
An issued and outstanding share of WMI stock … prior to or on the Petition Date.
Does not mean the stock cannot be traded… purchased or sold…
It’s the total amount of shares recognized by the Debtors.
It means the directors or management can not issue any new WMI shares.
The petition date, September 26, 2008… is not a deadline.
The Effective date is the deadline… March 19, 2012.
If you own shares before or on March 19, 2012… then your part owner of WMI.
all IMHO…
Good luck to you.
Wwhatthe
UpTickMeASAP
Thank you for Posting.
You are right, when you stated…
Quote…
Escrows were deleted, deemed worthless, with no further distribution, by order of the trust.
End quote.
But,
You’re only talking about the assets at the WMILT,
more specifically, you’re talking about the 5,329,499 shares in dispute.
The WMILT pays the creditors and distributes the new common stock.
That is what Doreen Logan is charged with.
I’m sure you would agree…
In doing research…
The first thing we should understand is… who is who and what is what.
Here’s information we all should consider.
It’s about WMB’s Total Assets. (LINK)
Quote,
SUBJECT: Washington Mutual Bank,
Henderson, Nevada
Failing Bank Case
Total Assets: $307.022.00,000 (as of June 30. 2008) (LINK)
Retail Deposits: $ 134.700,000,000 (as of September 17, 2008)
Uninsured Deposits: $8,452.029,625 (as of September 17, 2008)
End quote.
All of WMB’s assets are at the FDIC,
not at the WMILT.
These assets were sold to JPMorgan Chase… by the FDIC.
And the Deposits were transferred to JPMorgan Chase.
If we look at page 54 of the Disclosure statement… (PDF page 235/755, LINK)
This is a visual representation of WMI’s corporate organizational chart
prior to the FDIC Receiver’s seizure of all of WMB’s assets.
Everything in blue was at the WMILT… which was about $7.3 Billion Dollars in assets.
We’re interested in everything in green. which are WMB’s assets… $307 Billion Dollars in assets.
The WMILT pays the creditors… the WMILT is closed… Which means, all creditors are paid…
Which also means, all of WMB’s assets are now all equity.
Total Assets: $307.022.00,000
But,
With respect to the Escrow CUSIPs/ Escrows markers.
This is from the FAQ. #20
It explains that,
The Escrow CUSIPs are for the common stock distributions… from the Disputed Equity Escrow Account.
They were not for any cash distributions… (And there lies the confusion)
Quote.
… It should be noted that
the Escrow CUSIPs are relevant solely to distributions of common stock from the DEE
and have no relevance in connection with cash distributions by the Trust.
End quote.
Again…
WMB’s assets are not at the WMI Liquidating Trust.
WMB’s assets are at the FDIC, (seized by the FDIC)
So,
The Escrow CUSIPs, are about the distribution of the new common stock.
The last of the new company common stock in the DEE, have all been distributed,
The Escrow CUSIPs are no longer needed…
And so,
the Escrows CUSIPs were deleted… (As per Doreen’s email)
But, again…
we’re not interested in the Escrow CUSIPs/ Escrows markers…
Because…
We don’t get paid for our Escrow CUSIPs/ Escrows markers or Escrows shares.
We get paid for our original WMI shares.
which represents our equity interest in WMI…
Preferred Equity Interest is defined as…
“An issued and outstanding share of preferred stock of WMI prior to or on the Petition Date”
That’s your original shares…
The Petition Date is September 26, 2008
The Effective date is March 19, 2012.
Common Equity Interest is defined as…
“one of the 1,704,958,913 shares of common stock of WMI issued and outstanding as of the Petition Date” …That’s the original shares.
In Annex C,
it States …
…Further, distribution to Tranche 6 will be shared 75% and 25% pro rata between claims on account of Preferred Equity Interests and Common Equity Interests, respectively.
As an example,
The Preferred Equity Interests claim is $7.5 Billion Dollars. Based on our Stock Prospectus,
If the initial distribution was $4 Billion Dollars…
$3 Billion would go to the Preferred Equity Interests. (75%)
$1 Billion would go to the Common Equity Interests… (25%)
And so on…
Until the Preferred Equity Interests is paid in full. (APR)
Then the rest goes to the Common Equity Interests.
The Preferred Equity Interests and Common Equity Interests, is outlined in the Stock Prospectus.
The following provisions kick in… in the event of certain “reorganization events”
The anti-Dilution Adjustments…
which are our, new shares in the new company… If you released. (done)
and,
The Liquidation Rights…
which comes into effect after satisfaction of all the liabilities to creditors. (The WMILT is closed)
For the Preferred Equity Interests its $1,000 per share… Plus, interest.
For K’s its $25 per share… Plus, interest.
For Common Equity Interests, its whatever is left, divided by the 1,704,958,913 Common shares
Again…
The Escrow CUSIPs are relevant solely to distributions of common stock from the DEE
and have no relevance in connection with cash distributions by the Trust.
Thank you for posting.
Stay safe… Stay healthy
As always…
Just my opinion, research and curiosity…
Good luck to you.
Wwhatthe
AZCowboy
Thank you for Posting…
I agree, the common shareholders own the Estate…
The WMI common shareholders own the “WMI Estate”.
And the Preferred shareholders invested in the WMI Estate.
Which means the Preferred and Common shareholders have an Equity Interests in the WMI Estate.
The Preferred and Common shareholders are the old original “WMI” Equity shareholders.
WMI is “WMI Holdings Corp.” and,
The shareholders own, WMI Holdings Corp subsidiaries and all their assets.
So…
I want to point out… (respectfully)
WMIH… WMIHC… or Coop, is not “WMI”,
and they do not own WMI’s subsidiaries assets.
The assets did not move from WMI to WMIHC to WMIH, and now Coop…
The old Equity shareholders, which are determined by their original shares (whether you released or not) … are the owners of the WMI Estate, which refers to all of WMI’s assets.
It’s all about the WMI shareholders.
The original WMI shareholders own everything…
Not… WMIHC to WMIH, and now Coop.
It’s specifically specified in all the documents.
For example…
This is in all the quarterly and Annual reports or documents…
This one is from WMIH-10q july-27 2018…
(“WMI Holdings Corp” is WMI)
It says…
WMIHC… “WMI Holdings Corp” refers only to WMI Holdings Corp., without regard to its subsidiaries.
It also says…
WMIH… refers only to WMIH Corp. “WMIHC”, without regard to its subsidiaries…
And…
WMMRC… means WM Mortgage Reinsurance Company, Inc. (a wholly-owned subsidiary of WMIH);
This part where it says…
WMIHC… refers only to WMI Holdings Corp., without regard to its subsidiaries.
This means, WMI’s Holdings Corp. subsidiaries, and their assets are not part of WMIHC.
And, this part where it says…
WMIH… refers only to WMI Holdings Corp. “WMIHC”, without regard to its subsidiaries.
This also means the WMI’s Holdings Corp subsidiaries, and their assets are not part of WMIH.
This part where it says…
WMMRC… means WM Mortgage Reinsurance Company, Inc. (a wholly-owned subsidiary of WMIH);
This means WMMRC is a subsidiary of WMIH.
This is because all of the WMI’s Holdings Corp subsidiaries and their assets went to the liquidating trust to be liquidated and turned in to cash… (it’s the $314.3 Billion Dollars in assets)
If the asset is not associated with reorganizing the new company…
then it is liquidated and turned into cash and it’s used to pay the creditors, and the rest goes to the WMI’s equity shareholders.
Not… WMIHC to WMIH, and now Coop.
This is the full statement from the documents…
Quote…
(i) WMIH Corp. (formerly WMI Holdings Corp. and Washington Mutual, Inc.) and its subsidiaries on a consolidated basis;
(ii) “WMIH” refers only to WMIH Corp., without regard to its subsidiaries;
(iii) “WMIHC” refers only to WMI Holdings Corp., without regard to its subsidiaries;
(iv) “WMMRC” means WM Mortgage Reinsurance Company, Inc. (a wholly-owned subsidiary of WMIH);
(v) “WMIIC” means WMI Investment Corp. (formerly a wholly-owned subsidiary of WMIH); and
(vi) “Merger Sub” means Wand Merger Corporation (a wholly-owned subsidiary of WMIH).
End quote,
Everything is owned by the original WMI Holdings Corp. shareholders… including WMB and WMB’s subsidiaries and WMB’s FSB…
So,
Everything is owned by the original WMI shareholders… that’s You.
Not COOP, Not WMIH and Not WMIHC…
This is from the DISCLOSURE STATEMENT. Page 52.
1. Overview
Quote…
WMI is a holding company incorporated in the State of Washington and headquartered at
925 Fourth Avenue, Suite 2500, Seattle, Washington 98104.34 WMI is the direct parent of WMI
Investment (discussed below).
Prior to the Petition Date, WMI was a multiple savings and loan holding company that
owned WMB and such bank’s subsidiaries, including FSB. WMB primarily provided banking services to consumers and small businesses in major U.S. markets. WMI was the largest savings and loan holding
company and WMB, together with its subsidiaries, was the seventh largest U.S.-based bank. As of the
Petition Date, WMI also had several non-debtor subsidiaries. Like all savings and loan holding
companies, prior to the Petition Date, WMI was subject to regulation by the OTS. WMB and FSB, in
turn, like all depository institutions with federal thrift charters, were subject to regulation and examination by the OTS. In addition, WMI’s banking and non-banking subsidiaries were overseen by various federal and state authorities, including the FDIC.
End quote.
I underlined WMI’s banking and non-banking subsidiaries,
Because this illustrates the WMI’s WMB’s corporate structure… and the WMI’s Non-Banking corporate structure.
WMI is equal to the WMB’s corporate structure… ($307 Billion Dollars) plus,
the WMI’s Non-Banking corporate structure… ($7.3 Billion Dollars).
The FDIC seized the WMB’s corporate structure, which is valued at $307 Billion Dollars…
Which is still owned by the original old WMI shareholders. (that’s You)
This left the WMI’s Non-Banking corporate structure… ($7.3 Billion Dollars).
So, after the WMB’s corporate structure was seized… WMI was only valued at $7.3 Billion Dollars.
The creditors were paid with this $7.3 Billion Dollars.
This is the WMI Debtors Estate… there’s nothing left from the Debtors Estate…
After the creditors were paid… any assets remaining are non-Debtors assets…
Which makes up the non-Debtors Estate ($307 Billion Dollars).
The WMI Estate is equal to the WMB’s corporate assets… plus, the WMI’s Non-Banking corporate assets.
The interest is not from the subsidiaries assets themselves.
The assets were sold for $307 Billion Dollars.
The interest generated is from this $307 Billion Dollars, invested for 14 +years.
Everything was liquidated and turned into cash…
Quote…
“Assets unassociated with the reorganizing debtor are distributed to a liquidating trust for the benefit of creditors and/or equity holders.”
End quote.
There’re no hidden assets and nothing disappears.
The creditors have been paid…
Now… how about us equity holders.
Again, respectfully speaking…
Coop is a publicly traded company…
And in IMHO it is a great company to invest in.
To suggest WMI’s assets will suddenly appear as Coop’s assets is wrong, and only brings up questions about the integrity of the Coop company itself… “I’m just saying”
WMIH… WMIHC… or Coop, is not “WMI”,
Good luck to You…
wwhatthe
Continued from…
Understanding our understanding… Just a little Research and all IMHO…
This excerpt is from investopedia.com… (Link at Bottom)
It’s about Winding up a business.
Quote…
Winding up refers to closing the operations of a business, selling off assets, paying off creditors, and distributing any remaining assets to the owners.
End quote.
Everything up to this point has been about the Debtor’s Estate Bankruptcy.
Which was “selling off assets, paying off creditors.”
Now we have… “distributing any remaining assets to the owners.”
Which is the non-Debtor’s Estate Bankruptcy… ($307 Billion Dollars)
I want to point out…
Washington Mutual, Inc. and WMI Investment Corp., as debtors and debtors in possession (collectively, the “Debtors”)
Are not the two Bankruptcies…
It’s one Bankruptcy… the first or Lead Case.
It’s WMI the “Debtor’s Estate Bankruptcy”.
It’s about, “selling off assets, paying off creditors.” and reorganizing the Debtor’s Estate.
It’s not…
Washington Mutual, Inc. (WMI) the debtors… as Bankruptcy one,
And,
WMI Investment Corp., debtors in possession… as Bankruptcy two.
Instead…
Together they are the “Debtor’s Estate Bankruptcy”.
(Only the creditors have LTI’s in the Debtor’s Estate Bankruptcy)
As we know…
The Debtor’s Estate Bankruptcy is now closed…
which means all of the Creditors, or debt has been paid in full…
It also means that…
The old Debtor’s Estate has been reorganized, into the new Debtor’s Estate (the new company).
And,
all of the new company shares, including the disputed shares have been distributed.
Now…
We are at the Winding up and dissolution of WMI.
Which is “distributing any remaining assets to the owners.”
Dissolution, is when the company formally under law ceases to exist.
This should be of interest… it’s about after the Termination of the WMI Liquidating Trust.
This quote is from the terms and conditions of the engagement between Alvarez & Marsal (“A&M”) and the WMI Liquidating Trust… (Link at Bottom)
Quote…
5. Termination.
(d) The provisions of this Agreement that give the parties rights or obligations beyond its termination shall survive and continue to bind the parties.
End quote.
So, its Alvarez & Marsal (“A&M”) that handles everything… including LTI’s, the distributions, and the FDIC… even beyond the termination of the WMI Liquidating Trust.
Another thing I want to point out is…
The "Escrow Markers" or "Escrow CUSIPs" ARE WORTHLESS!!!
But, according to the documents…
"Escrow Markers" or "Escrow CUSIPs" have nothing to do with a pay out to Preferred shareholders and Common shareholders.
(Which are the Equity Shareholders… or the non-Debtor’s Estate)
We don’t get paid for "Escrow Markers" or "Escrow CUSIPs"
We get paid for our escrow positions… our original shares…
This is just me…
Understanding our understanding…
Good luck to all…
Thank you for Posting, and reading my Post.
Stay safe… Stay healthy
Jiminy…
Jiminy Christmas…
Just my opinion, research and curiosity…
Not intended to serve as a basis for investment in any security of any issuer. GLTA
DISCLOSURE STATEMENT page 64 or pdf page# 245/755.
DISCLOSURE STATEMENT page 54 or pdf page# 235/755.
Investopedia.com… about winding up
Alvarez & Marsal (“A&M”) and the WMI Liquidating Trust
Understanding our understanding… Just a little Research and all IMHO…
I believe…
In order to be as right, as right can be…
We have to understand that our understanding…
may not be as right, as right can be.
-----------------------------------------------------------------
For this reason,
we have to check, recheck, and then check again.
This is my understanding… of my understanding.
I want to point out a couple of things…
The first thing is… all of WMI’s assets/sub are in Bankruptcy…
So,
All assets are used in the Bankruptcy…
They’re ether used in the reorganization by the reorganizing debtors or they’re Liquidated in order to pay creditors and equity holders.
There’re no hidden assets and nothing disappears.
We have Debtor’s assets and non-Debtor’s assets…
We’re looking at $307 Billion Dollars for the WMB’s corporate structure… plus, about $7.3 Billion for the WMI’s Non-Banking corporate structure including cash.
Which is $314.3 Billion Dollars in total assets… (this is the WMI Estate and nothing disappears)
The Debtor’s assets are for Creditors… and,
The non-Debtor’s assets are for equity shareholders… which are the original Preferred and Common shareholders.
It’s broken down into two Bankruptcy…
Which is…
The Debtor’s Estate Bankruptcy… and,
The non-Debtor’s Estate Bankruptcy.
The first or Lead Case, is the Debtor’s Estate Bankruptcy…
It’s for creditors and reorganizing the Debtor’s Estate.
Only the creditors have a Liquidating Trust Interest, (LTI) … in the Debtor’s Estate Bankruptcy.
Which means…
The Preferred and Common shareholders (which are the Equity shareholders) do not get paid in the Debtor’s Estate Bankruptcy.
(Which is now closed)
The non-Debtor’s Estate Bankruptcy… is for distributing what’s left over to the Equity shareholders… which is the winding up and the dissolution of WMI.
So, there’s two parts…
There’s…
The Debtor’s Estate Bankruptcy…
And…
The non-Debtor’s Estate Bankruptcy.
But, its one WMI Bankruptcy.
For example,
This is from page 64 or pdf page# 245/755 of the DISCLOSURE STATEMENT (Link at Bottom)
7. Assets of WMI’s Non-Debtor Subsidiaries, Other than WMMRC
Pursuant to applicable law, and as stated by the Bankruptcy Court at the March 21, 2011
hearing, the Bankruptcy Court’s jurisdiction is limited to assets of the Debtors and not to those of any non-Debtor subsidiary.
In this excerpt…
The Court is only interested in the Debtor’s assets… this is the first or Lead Case.
Which are the WMI’s Debtor’s Estate Bankruptcy assets… $7.3 Billion Dollars in assets.
And not, any of the non-Debtor’s assets.
Which are WMB subsidiaries assets… the non-Debtor’s Estate Bankruptcy assets,
(which are the equity shareholders $307 Billion Dollars in assets… nothing disappears)
This can be visualized… on page 54 or pdf page# 235/755 of the…
DISCLOSURE STATEMENT… (Link at Bottom)
Everything in blue are the Debtor’s Estate Bankruptcy assets.
Everything in green are the non-Debtor’s Estate Bankruptcy assets…
I believe jointly administered cases… refers to these two cases and their subsequent cases.
This next excerpt is from investopedia.com… (Link at Bottom)
It’s about Winding up a business.
Continued on next Post…
Good luck to all…
Thank you for Posting, and reading my Post.
Stay safe… Stay healthy
Jiminy…
Jiminy Christmas…
Just my opinion, research and curiosity…
Not intended to serve as a basis for investment in any security of any issuer. GLTA
DISCLOSURE STATEMENT page 64 or pdf page# 245/755.
DISCLOSURE STATEMENT page 54 or pdf page# 235/755.
Investopedia.com… about winding up.
Winding up vs. Bankruptcy… Just a little Research and all IMHO…
My thoughts on Winding up vs. Bankruptcy.
And how, winding up a business is not the same as bankruptcy, but it is usually an end result of bankruptcy…
It’s all about…
The Creditors and the Equity shareholders.
Which is…
The “Debtor Estate” and the “non-Debtor Estate”.
The Debtor’s assets and the non-Debtor’s assets.
WMI and WMB.
WMI had $314.3 Billion Dollars in assets…
Which is the “WMI” Bank corporate structure, plus the “WMI” non-Bank corporate structure.
The FDIC seized the “WMI” Bank corporate structure, which is $307 Billion Dollars in assets… (WMB)
Which included all of the Debtor’s assets. (Estimated at $8 BILLION Dollars)
This left “WMI” with the “WMI” non-Bank corporate structure, which is $7.3 Billion Dollars in non-Debtor’s assets.
So,
After WMI’s Bank was seized, WMI was only valued at $7.3 Billion Dollars.
In the WMI’s Debtor’s Estate Bankruptcy…
The Debt to the Creditors was paid with $7.3 Billion Dollars in non-Debtor assets.
After paying this Debt… everything left over are now, non-Debtor’s assets…
non-Debtor’s assets, are property of the equity shareholders…
These assets are converted into cash, and that cash, belongs to the equity shareholders.
The non-Debtor’s assets are equity… (Its $307 Billion Dollars)
Nothing disappears…
Here are all of WMI’s assets… “its $314.3 billion Dollars in assets”
Turn to page 54 or pdf page# 235/755 of the DISCLOSURE STATEMENT… (Link at Bottom)
Everything noted here is “WMI” before WMI Bank was seized.
Note, these assets have nothing to do with the deposits…
For example…
This excerpt is from the FDIC Receivership Balance Sheet. (Link at Bottom)
About the Deposits. (it’s in $000's)
Quote…
Subtotal - Proven Deposit Claims $ 151,150,664 100%
Less: Dividends Paid to Date 151,150,664 100%
Total Unpaid Deposit Claims $0 0 %
End quote.
So, all or 100%, of the deposits were transferred to JPMC, Leaving zero Deposit Claims.
This list of assets, are WMI’s WMB corporate structure assets… That were seized by the FDIC… minus the (Estimated) $8 BILLION in assets held for the debt.
They are non-Debtor subsidiary assets… or Equity shareholders assets.
This is from…
WASHINGTON MUTUAL BANK
Fund Number: 10015
Statement of Assets & Liabilities in Liquidation (unaudited)
Inception Date: 09/25/2008 (Link at Bottom)
Securities $5,658,961,475
Consumer Loans $16,197,587,675
Commercial Loans $2,284,976,331
Real Estate Mortgages $191,532,334,532
Other Assets/Judgments $26,712,206,061
Owned Assets $3,964,153,726
Net Investments in Subsidiaries $52,441,302,567
Total Assets $298,791,522,367… and if we round up, its the… $299 BILLION DOLLARS
If we add…
$299 BILLION plus the $8 BILLION in Debtor assets, held for the debt… it equals to the $307 Billion Dollars in assets.
This would be the WMB corporate structure. “Everything in green”
WMI’s Total assets…
Would be, everything in green plus everything in blue.
Everything in green is the WMI Bank corporate structure… its $307 Billion Dollars in assets.
Everything in blue is the WMI non-Bank corporate structure… its $7.3 Billion Dollars in assets.
Everything in blue was used to pay the creditors.
Everything in green goes to the Equity shareholders. (it’s all Equity)
The entire Bankruptcy is about liquidating all of WMI’s assets… (done by the WMILT)
Then pay off the creditors. (The first Bankruptcy…The Debtor’s Estate Bankruptcy… “WMI”)
Then distribute what’s left over to the Equity shareholders. (The second Bankruptcy… The Non-Debtor’s Estate Bankruptcy… “WMB”
Which IMHO, is the voluntary Winding Up of the WMI’s WMB subsidiaries.
For example,
This is from page 245/755 of the DISCLOSURE STATEMENT (Link at Bottom)
7. Assets of WMI’s Non-Debtor Subsidiaries, Other than WMMRC
Pursuant to applicable law, and as stated by the Bankruptcy Court at the March 21, 2011
hearing, the Bankruptcy Court’s jurisdiction is limited to assets of the Debtors and not to those of any non-Debtor subsidiary.
So, from this excerpt…
The Court is only interested in the Debtor’s assets.
(Which are the WMI’s Debtor’s Estate Bankruptcy assets… $7.3 Billion Dollars in assets)
And not, any of the non-Debtor’s assets.
(Which are WMB subsidiaries assets… the non-Debtor’s Estate Bankruptcy assets,
which are the equity shareholders $307 Billion Dollars in assets… Everything in green)
Another example,
This quote is from Brian S. Rosen…
Quote…
“Unfortunately, Griffin chooses to disregard the separateness of WMI and its subsidiaries and claims that certain assets of WMI’s subsidiaries, especially those of WMB which were seized by the FDIC and sold to JPMC, are assets of the Debtors and the Debtors’ chapter 11 estates”
End quote.
In this quote,
“Assets of the Debtors and the Debtors’ chapter 11 estates” … refers to the Debtor’s Estate or the Debtor’s Estate assets… which is the “WMI” Debtor’s Estate Bankruptcy assets. (WMI’s $7.3 Billion Dollars in assets)
And,
The subsidiaries of WMI or WMI’s subsidiaries… refers to the non-Debtor’s assets or the non-Debtor’s Estate.
Which is the “WMB” non-Debtor’s Estate Bankruptcy assets. (The equity shareholders $307 Billion Dollars in assets… Everything in green)
The closing of the Debtor’s Estate Bankruptcy… “WMI” … indicates that Tranche 2 thru 5 have been paid in full… which means all the creditors have been paid.
Tranche 1 is the Tax man… and has the highest priority, but is paid last… this is because the total tax bill is unknown until everyone has been paid.
We need information from the FDIC-C, not the FDIC-R…
We need information about, the non-Debtor’s Estate Bankruptcy assets …
Not the WMI, Debtor’s Estate Bankruptcy assets.
Or,
We need information about the Winding up of the WMB’s subsidiaries, $307 Billion Dollars in assets.
That would be Tranche 6, in Annex C.
Quote…
Annex C to the Agreement was revised to clarify that holders of Preferred Equity Interests and Common Equity Interests will be issued Liquidating Trust Interests in Tranche 6 on account of those interests…
when Tranche 2 through Tranche 5 Liquidating Trust Interests have been satisfied in full, and…
that the distribution to Tranche 6 will be shared 75% and 25% pro rata between claims on account of Preferred Equity Interests and Common Equity Interests, respectively.
End quote.
Annex C, does not say “IF” … It says “WHEN” …
It says…
“When Tranche 2 through Tranche 5 Liquidating Trust Interests have been satisfied in full,”
And with the WMI, Debtor’s Estate Bankruptcy closed… Tranche 2 through Tranche 5 have been satisfied in full.
I’m waiting for some kind of news release from Alvarez & Marsal (A&M) or the FDIC-C, on behalf of the WMILT… about LTI’s for Preferred Equity Interests and Common Equity Interests… Tranche 6.
I’ll stop here…
Just my thoughts on Winding up vs. Bankruptcy… All IMHO.
Good luck to all…
Thank you for Posting, and reading my Post.
Stay safe… Stay healthy
Jiminy…
Jiminy Christmas…
Just my opinion, research and curiosity…
Not intended to serve as a basis for investment in any security of any issuer. GLTA
page 54, or pdf page# 235/755 of the DISCLOSURE STATEMENT
FDIC Receivership Balance Sheet
WASHINGTON MUTUAL BANK Inception Date: 09/25/2008
page 245/755 of the DISCLOSURE STATEMENT
955
You can find what you’re looking for on the bottom of page 4, in the,
WMI LIQUIDATING TRUST AGREEMENT
1.6 No Reversion to Debtors. In no event shall any part of the Liquidating Trust Assets revert
to or be distributed to any Debtor or Reorganized Debtor.
here is a link to the page…
1.6 No Reversion to Debtors
you may be interested…
I talk about this in my Post #469239 from 2016…
Link to Post #469239
Thank you for your DD and research…
GLTU
wwhatthe
hotmeat
Thank you for reading my Post.
The “Separateness”, # 660985
And the Separateness, Continued, # 660986
But from reading your Post…
You absolutely misinterpreted my post…
The contra-CUSIP positions (Escrow Cusips) … is not associated with any cash distribution…
There were two Positions set up…
A contra-CUSIP positions and the escrow positions
The escrow position is for receiving cash.
And is based on liquidation preference amount of our original shares.
(Which includes all shares released or not)
The contra-CUSIP positions is for receiving your portion of the 5 million disputed shares. (for those that released)
The Escrow Cusips numbers is used in your contra-CUSIP positions to identify the 5 million disputed shares.
So, if you have Escrow Cusips, then you have a contra-CUSIP positions.
The Escrow Cusips and contra-CUSIP positions is just temporary until the last 5 million disputed shares are handed out… then its canceled.
So, your Escrow Cusips / contra-CUSIP positions, is for shares only,
Some believe the Escrow Cusips will be used to receive cash…
Which they believe will be distributed to the 3 Escrow Cusips numbers…
CUSIP# 939ESC992, CUSIP# 9393ESC84 and CUSIP# 939ESC968.
But these 3 CUSIP numbers are set up to distribute or to receive the last 5 million disputed shares.
The contra-CUSIP positions / Escrow Cusips… is not associated with any cash distribution…
So, there’s no cash distribution associated with the contra-CUSIP positions / Escrow Cusips.
Your original shares, which is your escrow position is for receiving cash.
WMI FREQUENTLY ASKED QUESTIONS (“FAQS”) … #20.
Quote…
… It should be noted that
the Escrow CUSIPs are relevant solely to distributions of common stock from the DEE
and have no relevance in connection with cash distributions by the Trust.
End quote.
so,
If you believe,
we will be getting paid cash for the 3 Escrow CUSIP numbers,
CUSIP# 939ESC992, CUSIP# 9393ESC84 and CUSIP# 939ESC968…
Which are the markers.
Then you are confusing our contra-CUSIP positions with our escrow positions…
They are separate.
Thank you for reading my Post.
All IMHO
GLTU
wwhatthe
Separateness, Continued… Just a little Research and all IMHO…
(The Separateness of WMI and its subsidiaries)
Which are…
Debtor’s assets and non-Debtor’s assets.
-----------------------------------------------------------------------------------------------------------
Some are confusing our contra-CUSIP positions with our escrow positions…
The contra-CUSIP positions is with respect to the new company, “disputed shares” …
And only the “disputed shares”.
The contra-CUSIP, was used to complete the reorganization function of WMIHC.
Which, was the distribution of the last, 5 million, new company shares that were in dispute.
There were only about 5 million disputed shares, out of 200,000,000 new company shares.
These 5 million disputed shares are identified by the 3 CUSIP numbers,
CUSIP# 939ESC992, CUSIP# 9393ESC84 and CUSIP# 939ESC968.
And has nothing to do with a cash distribution.
The 3 CUSIP numbers, have no relevance in connection with a cash distribution.
(DTC or NOT)
This is from,
WMI FREQUENTLY ASKED QUESTIONS (“FAQS”) … #20. (Link at Bottom)
Quote…
… It should be noted that
the Escrow CUSIPs are relevant solely to distributions of common stock from the DEE
and have no relevance in connection with cash distributions by the Trust.
End quote.
The above quote says…
There is no cash distribution with respect to the 3 Escrow CUSIP numbers,
CUSIP# 939ESC992, CUSIP# 9393ESC84 and CUSIP# 939ESC968.
Just to clarify the meaning of… “contra-CUSIP”
This is a Definition from…
Business Terms… dtcc.com
Quote,
“contra-CUSIP”:
The CUSIP used to indicate your tendered position (representing instructions submitted by Participants to surrender securities).
For example, a contra-CUSIP is set up to complete a reorganization function.
End quote.
Also,
“contra”, means: Challenging or opposing.
As in our, disputed shares.
So…
The reorganization function, was the distribution of WMIHC’s 5 million disputed shares.,
There’s no cash distribution with respect to the 3 CUSIP markers… only disputed shares.
This is from the DISCLOSURE STATEMENT… pdf page# 355/755 (Link at Bottom)
Quote…
…The Trustees may conclusively rely upon the distribution instructions received from the debtors or their agents with respect to contra-CUSIP positions and escrow positions set up by the Debtors or their agents with the Depository Trust Company, and the Trustees shall close and terminate the original CUSIPS after making initial distributions of Creditor Cash and shall have no further distribution obligations thereafter…
End quote
From this excerpt from the DISCLOSURE STATEMENT…
We can see the reference to the contra-CUSIP positions and the escrow positions.
And, that they are two different “Positions”.
Like the Debtor’s assets and the non-Debtor’s assets, being different.
The contra-CUSIP positions and escrow positions, are different from each other.
The contra-CUSIP positions does not distribute cash, (Like some are advocating)
and the escrow positions does not distribute shares.
The contra-CUSIP positions is for the distribution of the disputed shares.
And,
Whether you’re a note holder, creditor or Equity holder, your escrow position is your Claim on account.
So, with respect to the preferred and common shareholders.
Our…
escrow position, is for the distribution of the $307 Billion Dollars in non-Debtor’s assets.
The escrow positions,
were created when the bankruptcy court agreed with our claim,
and it was based on our original shares.
Which is based on liquidation preference amount of our original shares.
(Which includes all shares released or not)
Also, our escrow position has nothing to do with our release… (the contra-CUSIP positions)
And has nothing to do with Coop…
The release was so that we can receive our new company shares.
The 3 CUSIPS numbers, was so that we can receive the new company, disputed shares… if they were allocated to us.
WMIH and Nationstar is the new company… which is now Coop.
But,
WMIH was the Disbursing Agent for the new company shares.
And the Disbursing Agent for the new company, disputed shares.
Also,
WMIH was the Disbursing Agent for the Runoff Notes.
And now…
WMIH is the Disbursing Agent for the old shareholders, non-Debtor’s assets.
Which is $307 Billion Dollars in cash… plus interest.
This is how I see the numbers…
I believe the Deutsche’s Bank MBS lawsuit amount, is included in the creditors and note holders $7.3 Billion.
(If not, subtract $3 Billion from common shareholder’s amount.)
So,
From $314.3 Billion Dollars in, Total assets.
$7.3 Billion went to the creditors and note holders… and the DB lawsuit.
$7.5 Billion will go to the preferred shareholders…
And the rest
$299.5 Billion Dollars, will go to the, Common shareholders…
released, and/or not released… all treated equally.
Divided among the 1,704,958,913 total common shares
Plus, the interest…
So, about the 3 Escrow CUSIP numbers.
If you believe,
we will be getting paid cash for the 3 Escrow CUSIP numbers,
CUSIP# 939ESC992, CUSIP# 9393ESC84 and CUSIP# 939ESC968…
Which are the markers.
Then you are confusing our contra-CUSIP positions with our escrow positions…
They are separate.
This is just my thoughts and opinion,
and how I see it in the documents,
Just let me say,
I think…
The escrow markers, is WMI’s most misunderstood topic...
Other than…
The safe harbor assets…
The bankruptcy remote assets…
Disputed Equity Escrow shares… Escrow CUSIPS…
Common Equity Interest… Preferred Equity Interests…
Liquidating Trust Interests… the Liquidating Trust…
The debtors, the non-debtors… the Reorganized Debtors… Reorganized WMI…
debtor’s assets… non-debtor’s assets… MBS… ABS…
The releases… the REIT… Washington Mutual Capital Trust 2001…
WMI… WMB… WMIH… Coop… and the 75/25.
Other than that, … I think we’re all spot on… ;)
Thank you for reading my Post…
I wish you all the best.
All IMHO and GLTA…
Stay safe… Stay healthy
Jiminy…
Jiminy Christmas…
Just my opinion, research and curiosity…
Not intended to serve as a basis for investment in any security of any issuer. GLTA
FINDINGS OF FACT, CONCLUSIONS OF LAW, AND ORDER CONFIRMING THE SEVENTH AMENDED JOINT PLAN
DISCLOSURE STATEMENT
WMI LIQUIDATING TRUST FREQUENTLY ASKED QUESTIONS (“FAQS”)
The “Separateness” … Just a little Research and all IMHO…
My thoughts on this part of the document.
Which is the whole problem.
(The Separateness of WMI and its subsidiaries)
And,
some are confusing our contra-CUSIP positions with our escrow positions…
Quote…
“Unfortunately, Griffin chooses to disregard the separateness of WMI and its subsidiaries and claims that certain assets of WMI’s subsidiaries, especially those of WMB which were seized by the FDIC and sold to JPMC, are assets of the Debtors and the Debtors’ chapter 11 estates”
End quote.
So, from the above excerpt…
We have WMI and its subsidiaries,
And,
the Debtors and the Debtors’ chapter 11 estates.
all IMHO…
WMI had subsidiaries with Debt… and subsidiaries without Debt.
So, we have Debtor’s assets and non-Debtor’s assets.
Which is also,
the FDIC-R (the Debtor’s assets)
and the FDIC-C (the non-Debtor’s assets) …
The bankruptcy,
is about paying back the Debt.
Which is paid from, $8 Billion Dollars in Debtor’s assets at the FDIC-R.
(Which is our Debtor’s Estate)
What the court is saying is…
The preferred and common shareholders will not receive anything from the Debtor’s Estate’s,
$8 Billion Dollars in assets.
IMO,
The only way,
Preferred and common shareholders, would receive a distribution from the $8 Billion Dollars, Debtor’s Estate assets…
Is if AAOC was found guilty, with insider trading, and were denied their claim…
By the way,
This is also an example of the 75% 25%... so, bear with me for a moment…
The 75%, 25%... is there… just not the way some think it is…
If The AAOC’s claim were denied …
The AAOC’s claim assets, (the distribution) would be distributed 75% to the preferred shareholders claim, and 25% to the common shareholders claim.
The wording in the document is not, everything will be divided 75% to the Preferred shareholders and 25% to the Common shareholders.
But instead, it reads, 75% to Preferred shareholders Claims on account of Allowed Claims, and 25% to Common shareholders Claims on account of Allowed Claims.
The language is specific to what is owed to that class.
So, you need to know what is your Claim.
As in RRR…
RRR. No holder of a Claim or Equity Interest will receive more value than such respective Claim or Equity Interest (based on liquidation preference amount).
For instance… The preferred shareholders Claim is $7.5 Billion Dollars.
So,
If there were $4 Billion Dollars available for Distribution from the first distribution.
(Which would be from the $8 Billion Dollar… Debtor’s Estate)
The preferred shareholders would receive 75%, or $3 Billion Dollars, and the Common shareholders would receive 25%, or $1 Billion Dollars.
Then…
The preferred shareholders (which are equity holders) would receive the rest of their claim… ($4.5 Billion Dollars)
from the second distribution, which is from the FDIC-C. (the non-Debtor’s assets)
The preferred shareholders would receive 75% from each distribution, until they are paid in full… which is $7.5 Billion Dollars. (Or $1000 Dollars per/share)
The $7.5 Billion Dollars is our… “claim on account”.
(No holder of a Claim or Equity Interest will receive more value than such respective Claim or Equity Interest (based on liquidation preference amount).
So,
The 75% / 25%, is there…
It’s just not 75% of everything, will go to the preferred shareholders… after the Debt is paid.
It’s actually…
After the Debt is paid… 75% of any distribution, will go to pay the preferred shareholders claim, until the preferred shareholders claim is paid in full.
Sorry…
about the 75% / 25%... sidetracking.
But,
The words claim on account, is the preferred shareholders $7.5 Billion Dollars escrow position.
What I was trying to say is…
The excerpt above says,
There are two sets of assets… and they are separate…
The Debtor’s Estate assets,
(FDIC-R)
and the non-Debtor’s assets. (FDIC-C)
And it also says…
The preferred and common shareholders won’t receive anything from the Debtor’s Estate assets. Which are assets used to pay the $8 Billion Dollar Debt.
This is the “Separateness”.
From page 13 of the revised DISCLOSURE STATEMENT,
K. Assets of WMI’s Non-Debtor Subsidiaries
Pursuant to applicable law, and as stated by the Bankruptcy Court at the March 21, 2011
hearing, the Bankruptcy Court’s jurisdiction is limited to assets of the Debtors and not to those of any non-Debtor subsidiary.
So,
The Debtor’s Estate assets are the Debt… and the Bankruptcy Court’s jurisdiction is limited to The Debtor’s Estate assets.
The non-Debtor’s assets are the preferred and common shareholders, equity…
Debtor’s Estate assets. And non-Debtor’s assets are different and handled separate.
As we know,
Equity is… total assets, minus total liability/Debt
So,
With $307 Billion Dollars in assets at the FDIC,
And about $7.3 Billion, from the WMI’s Non-Banking corporate structure, including cash.
We have $314.3 Billion Dollars in Total assets… all cash.
The $8 Billion in Debt, was settled for $7.3 Billion Dollars in the Bankruptcy.
So,
$314.3 Billion Dollars in Total assets… minus $7.3 Billion Dollars in Total Debt,
Brings it back down to the $307 Billion Dollars.
$307 Billion Dollars is Total Equity…
or all of the “non-Debtor’s assets”.
So…
Now we should consider QQQ. And RRR. from the…
FINDINGS OF FACT, CONCLUSIONS OF LAW, AND ORDER CONFIRMING
THE SEVENTH AMENDED JOINT PLAN.
Because,
some are confusing our contra-CUSIP positions with our escrow positions…
Our contra-CUSIP positions… or our 3 CUSIP numbers…
Are for the distribution of the new company, disputed shares only…
And our…
escrow position, is for the distribution of the $307 Billion Dollars in non-Debtor’s assets.
QQQ. and RRR. Refers to are escrow position. Which is our, Allowed Claim.
But…
This Post is getting a little long…
I’ll stop here and continue on a new Post.
About…
our contra-CUSIP positions and our escrow positions…
All IMHO and GLTA…
Stay safe… Stay healthy
Jiminy…
Jiminy Christmas…
Just my opinion, research and curiosity…
Not intended to serve as a basis for investment in any security of any issuer. GLTA
-------------------------------------------------------------------------------------------------------------------------------
Notes,
This is from the Disclosure Statement…
(it’s about our escrow positions. Which is our Allowed Claim and is based on our original shares.)
QQQ. The Plan provides for payment of Allowed Claims and, if appropriate, Postpetition Interest Claims on account of Allowed Claims. Id. ¶ 67. Distributions to claimants will be made in Cash, Liquidating Trust Interests that represent the right to receive future Cash distributions from the Liquidating Trust and, in certain circumstances, Runoff Notes and/or Reorganized Common Stock.
Id. No Class is projected to recover more than one hundred percent (100%) on account of the Claims or Equity Interests, as the case may be, classified in each Class. See Conf DX 432C - Disclosure Statement, Ex. C at 4-5.
RRR. No holder of a Claim or Equity Interest will receive more value than such respective Claim or Equity Interest (based on liquidation preference amount).
------------------------------------------------------------------------------------------------------------------------------------------
This is from pdf page# 355/755 of the DISCLOSURE STATEMENT
(It’s about our contra-CUSIP positions and escrow positions.)
Quote…
…The Trustees may conclusively rely upon the distribution instructions received from the debtors or their agents with respect to contra-CUSIP positions and escrow positions set up by the Debtors or their agents with the Depository Trust Company, and the Trustees shall close and terminate the original CUSIPS after making initial distributions of Creditor Cash and shall have no further distribution obligations thereafter…
End quote
And from…
WMI LIQUIDATING TRUST
FREQUENTLY ASKED QUESTIONS (“FAQS”)
(This is about our contra-CUSIP positions. And is based on our Disputed shares)
#12. What are Escrow CUSIPs?
…Upon resolution of those Claims, the related portion of the shares maintained in the
Disputed Equity Escrow will be distributed to claimants holding the newly allowed claim or, if
the claim is disallowed, the related portion of the shares will be redistributed to beneficiaries of
the Trust in accordance with the distribution mechanics set forth in the Plan. In the event any
future distributions of Reorganized WMI’s common stock are made from the Disputed Equity
Escrow, DTC will be instructed to allocate such common stock to each of the Escrow CUSIPs on a pro rata basis.
GLTA.
About the REITs… Just a little Research and all IMHO…
This Post is mostly from the DISCLOSURE STATEMENT (D/S), but it’s also with respect to the Global Settlement Agreement and the Purchase and Assumption Agreement…
Which states that…
As of the Effective Date, JPMC is the sole legal, equitable and beneficial owner of the Trust Preferred Securities. (the REIT’s)
Which means, as of the Effective Date,
WMI no longer owns the Trust Preferred Securities or the Trust Preferred Securities assets.
The Effective date is March 19, 2012.
The documents,
Show the creation of the Trust Preferred Securities in 2006.
And that the TPS Trust assets consist of residential mortgages, home equity loans, and other permitted investments.
These are the REIT’s assets…
Also known as… Washington Mutual Preferred Funding LLC (WMPF)… and have a liquidation preference value of $4 Billion Dollars.
This is from page 83, or pdf page 264/755. Of the…
DISCLOSURE STATEMENT FOR THE SEVENTH AMENDED JOINT PLAN OF AFFILIATED DEBTORS PURSUANT TO CHAPTER 11 OF THE UNITED STATES BANKRUPTCY CODE (Link)
Quote…
In February of 2006, Washington Mutual Preferred Funding LLC (“WMPF”) was formed
to issue securities qualifying for regulatory capital under applicable banking rules and regulations. The only assets of WMPF were indirect interests in various residential mortgage and home equity loans and other permitted investments. In 2006 and 2007, WMPF issued approximately $4,000,000,000 liquidation preference value of perpetual fixed and fixed-to-floating rate preferred securities (representing 40,000 shares) which were acquired by various issuer trusts which issued the Trust Preferred Securities in a like amount to investors.
End quote.
(Then the exchange event)
Same page 83.
Quote…
On September 26, 2008, pursuant to a letter from the OTS, dated September 25, 2008,
WMI issued a press release stating that it had exchanged the Trust Preferred Securities issued by WMPF for 4,000,000 depositary shares, each representing 1/1,000th of a share of a related class of WMI’s preferred stock…
End quote.
So, before the exchange event…
The Trust Preferred Securities, (the original REIT’s shares), total was 40,000 shares with a liquidation preference value of $4,000,000,000 Dollars.
And after the exchange event…
The original REIT’s shares changed to, 4,000,000 depositary shares of “WMI’s preferred stock”, with the same value of $4,000,000,000 Dollars or $1000 per share.
(so, no more REIT’s shares… all shares are WMI’s preferred stock shares)
This next excerpt shows us, that…
In the Global Settlement Agreement and the Purchase and Assumption Agreement…
The REIT’s underlying assets were sold to JPMC… for $4,000,000,000 Dollars. In order to pay the TPS investors.
And,
in addition, and separate from the $4,000,000,000 Dollars…
Each Releasing REIT Trust Holder will receive from JPMC, or from the Disbursing Agent on behalf of JPMC, $12,500.00 in cash or JPMC stock.
This is from page 35. Or pdf page# 50/767 of the… (Link)
SEVENTH AMENDED JOINT PLAN OF AFFILIATED DEBTORS
PURSUANT TO CHAPTER 11 OF THE UNITED STATES BANKRUPTCY CODE
(c) Transfer of Assets to JPMC.
In further consideration for the satisfaction, settlement, release, and discharge of, and in exchange for, the JPMC Action and the JPMC Claims, and the payment by JPMC of the amounts specified in the Global Settlement Agreement, the WMI Entities, the FDIC Receiver and the Receivership shall sell, transfer, and assign to the JPMC Entities, and the JPMC Entities shall acquire, pursuant to the Plan and sections 363 and 365 of the Bankruptcy Code, any and all right, title and interest any of the WMI Entities, the FDIC Receiver and the Receivership may have in
(i) the Trust Preferred Securities,
(ii) the WMI Medical Plan,
(iii) the JPMC Rabbi Trusts and the JPMC Policies
(iv) the WaMu Pension Plan and the Lakeview Plan and all of the sponsor’s interest in the assets contained in any trusts or otherwise associated with such plans…
(vi) the Visa Shares and the VISA Strategic Agreement
(vii) the Transferred Intellectual Property, the WMB Intellectual Property and the Unidentified Intellectual Property,
(viii) JPMC Wind Investment Portfolio LLC and (ix) the Bonds, in each case under clauses (i) through (ix) inclusively, free and clear of all Liens, Claims, interests and encumbrances of any Entity, except for any claim that is an Allowed JPMC Assumed Liability Claim.
Then on Page 37. Or pdf page# 52/767 (Link)
(The Effective date is March 19, 2012)
(h) Settlement with REIT Series Holders
on the Effective Date, JPMC shall pay, or transfer to the
Disbursing Agent, for payment to each Releasing REIT Trust Holder its pro rata share of Fifty
Million Dollars ($50,000,000.00), determined by multiplying (a) Fifty Million Dollars
($50,000,000.00) times (b) an amount equal to (i) the principal amount of REIT Series held by
such Releasing REIT Trust Holder on the Voting Record Date divided by (ii) the outstanding
principal amount of all REIT Series (which is Four Billion Dollars ($4,000,000,000.00));
All IMHO…
(the Disbursing Agent, from the above excerpt is the FDIC-R… the WMILT and the FDIC work in conjunction to get all claims paid… so, the $4,000,000,000.00 would be at the FDIC-R waiting to be distributed to the TPS/REIT’s investors.)
I believe…
The FDIC-R is the Disbursing Agent and Trustee, for the Preferred Equity Interests and the Common Equity Interests, and the FDIC-R will distribute the funds with respect to the Debtors distribution instructions. (Debtors /WMILT)
Which, would include removing the appropriate Tax and sending it to the IRS.
This next excerpt is from the D/S, page 83. pdf page, 264/755 (Link)
Quote…
Pursuant to the Global Settlement Agreement, and as more fully set forth therein
(a) JPMC or its designee will be deemed to be the sole legal, equitable and beneficial owner of the Trust Preferred Securities,
(b) the WMI Entities will be deemed to have sold, transferred, and assigned any and all right, title and interest the WMI Entities may have or may ever have had in the Trust Preferred Securities,
(c) any obligation of WMI to transfer the Trust Preferred Securities to WMB, including in accordance with that certain Assignment Agreement will be deemed to have been fully satisfied by the contribution to WMB of the Trust Preferred Securities as of September 25, 2008 and thereafter sold and transferred to JPMC in accordance with the Purchase and Assumption Agreement, and
(d) all Claims against the Debtors, the WMI Entities, the JPMC Acquisition Entities, the FDIC Receiver, or FDIC Corporate with respect to the Trust Preferred Securities will be released and withdrawn, with prejudice.
End quote.
And from the Bottom note…
On Page 42. Or pdf page 223/755, of the DISCLOSURE STATEMENT (Link)
Quote…
(iv) Additional Payment to REIT Series Holders from JPMC
Each Releasing REIT Trust Holder will receive from JPMC, or from the Disbursing Agent on behalf of JPMC, $12,500.00 in cash or stock for every One Million Dollars ($1,000,000.00) in principal amount outstanding of Trust Preferred Securities related to the REIT Series shares they held on the voting record date for the Sixth Amended Plan.
End quote.
What the above excerpts from the documents tell us…
Besides, do your own due diligence and compare answers with other fellow investors.
Is that, as part of the Global Settlement Agreement, and in accordance with the Purchase and Assumption Agreement…
the Trust Preferred REIT’s Securities, were exchanged into WMI’s preferred stock.
and,
the Trust Preferred Securities underlying assets…
were sold to JPMC, and the proceeds was used to pay the TPS investors claim.
Which means…
The REIT’s were basically dismantled…
The securities were converted into WMI preferred stock…
And the underlying assets were sold to JPMC.
So, with respect to the REIT’s shareholders…
The REIT’s shareholders recovery consists of…
$4 Billion Dollars, or $1000 per share of WMI’s preferred stock.
Plus…
$12,500.00 in cash or JPMC stock for every One Million Dollars in principal amount outstanding of Trust Preferred Securities related to the REIT Series shares.
And plus…
their share of the new company stock… (WMIHC/ WMIH, now known as COOP)
So…
There’s no REIT 90% rule for old WMI shareholders, or any future payments or cash dividend coming from the REIT’s assets.
And it’s the same for the PIERS Capital Trust assets…
The PIERS Capital Trust underlying assets were sold to JPMC.
And the proceeds were used to pay the PIERS investors.
So, there is no share dividend for 31 quarters or 51 quarters.
This is from, WMI FREQUENTLY ASKED QUESTIONS (“FAQS”) #19
Quote…
What is the status of the PIERs Trust?
Is the PIERs Trust a subsidiary of WMILT or Mr. Cooper Group Inc. (f/k/a WMIH Corp.)?
WMILT is aware of questions regarding the status of the PIERs Trust, including whether
the PIERs Trust is currently a subsidiary of WMILT or Mr. Cooper Group Inc.
A Certificate of Cancelation covering the PIERs Trust was filed with the Delaware
Secretary of State’s office in April 2012. As result, it no longer exists as a legal entity.
To the best of our knowledge, the PIERs Trust was never a subsidiary of either WMILT or
Mr. Cooper Group, Inc. (including any predecessors thereto).
We believe that information contained on one or more Bloomberg internet posts suggesting that the PIERs Trust is a subsidiary of Mr. Cooper Group Inc. is erroneous. A discussion of the PIERs structure can be found in the Disclosure Statement for the Plan.
End quote.
all assets are sold, and we are paid from the cash received from those assets.
It doesn’t mean equity shareholders don’t get anything from the REIT assets, or the PIERS Capital Trust assets.
It means the equity shareholders…
cashed in the REIT assets and the PIERS Capital Trust assets, then paid off the TPS investor’s claim and the PIERS investor’s claim. And, if there is anything left, then it belongs to equity shareholders.
Equity shareholders get paid by the FDIC… with distribution instructions from the Debtors. (WMILT)
For REIT’s… it’s their liquidation preference of $4 billion dollars, or $1,000 per/share
For Series R or P’s… it’s their liquidation preference of $3 billion dollars, or $1,000 per/share
For Series K… it’s their liquidation preference of $500,000,000 dollars, or $25 per share.
And what ever is left is distributed among the 1,704,958,913 shares of common stock.
All IMHO and GLTA…
Stay safe… Stay healthy
Jiminy…
Jiminy Christmas…
Just my opinion, research and curiosity…
Not intended to serve as a basis for investment in any security of any issuer. GLTA
Howard Hughes, thank you for posting this.
My thoughts on that article.
You said…
ESCROWS WILL NOT BE PAID....EVER!
That’s true… But,
That’s because…
We don’t get paid for our Escrow Markers or Escrow CUSIPs …
We get paid for our Equity Interest.
You Posted,
Quote…
(…As previously disclosed, however, former positions represented by such Escrow Markers or Escrow CUSIPs are not entitled to receive any distributions under the terms of the Plan and they do not, in and of themselves, represent an entitlement to any possible future distributions from the Trust, Reorganized WMI or the Federal Deposit Insurance Corporation)
End quote.
Here where it says…
“former positions represented by such Escrow Markers or Escrow CUSIPs”
The words “former positions represented by such Escrow Markers or Escrow CUSIPs” …
Refers to those shareholders that released and received new company shares…
plus, they received their Escrow Markers or Escrow CUSIPs, for their disputed shares.
At this point…
All new company shares including disputed shares, have now been distributed…
So, that “former positions” is completed and now has no meaning.
“former positions” …
Only includes those Preferred and Common shareholders that released…
and received Escrow Markers or Escrow CUSIPs…
“Equity Interests” …
Includes all Preferred and Common shareholders, whether you released or not.
So…
Equity Interests represents shareholders that released… and shareholders that did not release.
Or “all shareholders”.
What the paragraph is saying is that…
Any future distribution…
does not only go to those shareholders that released, or to only those that have a,
former position… represented by such Escrow Markers or Escrow CUSIPs
This is because…
We don’t get paid for our Escrow Markers or Escrow CUSIPs … we receive new company disputed shares for our Escrow Markers or Escrow CUSIPs.
We get paid for our Equity Interest.
Which, includes all Preferred and Common shareholders shares, whether you released or not.
Or includes “all shareholders”.
From page 21, or pdf page# 36/767 from the…
SEVENTH AMENDED JOINT PLAN OF AFFILIATED DEBTORS (Link)
1.170 Preferred Equity Interest: An Equity Interest represented by an issued
and outstanding share of preferred stock of WMI prior to or on the Petition Date, including,
without limitation, those certain (i) Series K Perpetual Non-Cumulative Floating Rate Preferred
Stock, (ii) Series R Non-Cumulative Perpetual Convertible Preferred Stock, and (iii) the REIT
Series.
The Petition Date is September 26, 2008
So…
Issued and outstanding shares… refers to all the shares of your class, not just those shares that released.
It’s the total amount of shares, prior to or on September 26, 2008… which includes everyone’s shares… released and/or not released.
For REIT… it’s 4,000,000 shares with a
liquidation preference of $4 billion dollars or $1,000 per/share
(not the 3,729,658.260 shares released)
For Series R or P’s… it’s 3,000,000 shares with a
liquidation preference of $3 billion dollars or $1,000 per/share
(not the 2,906,421 shares released)
For Series K… it’s 20,000,000 depositary shares with a
liquidation preference of $500,000,000 dollars, equivalent to $25 per depositary share.
(not the 18,166,565 shares released)
Total Preferred Equity Interest is equal to 4,000,000 shares plus 3,000,000 shares plus 20,000,000 depositary shares or, 27,000,000 total shares… with a liquidation preference of $7.5 billion Dollars.
It’s not the 24,802,644.26 shares that released, with a “former positions represented by such Escrow Markers or Escrow CUSIPs”.
Or… Preferred Equity Interest is equal to $7.5 billion Dollars.
This is where Common Equity Interest is defined…
Pdf Page# 221 of 755 from the DISCLOSURE STATEMENT It states… (Link)
The Seventh Amended Plan defines “Common Equity Interest” as collectively, (a) an
Equity Interest represented by the 3,000,000,000 authorized shares of common stock of WMI, including, without limitation, one of the 1,704,958,913 shares of common stock of WMI issued and outstanding as of the Petition Date
It’s not the 1,194,340,178 shares that released, with a “former positions represented by such Escrow Markers or Escrow CUSIPs”.
So…
Common Equity Interest is equal to 1,704,958,913 shares which represents all the common shares… released and/or not released.
Equity Interest has nothing to do with released shares or a former position… represented by such Escrow Markers or Escrow CUSIPs.
Creditors are paid by the bankruptcy.
Equity or our Equity Interest, is paid by the FDIC.
Thank you for your Post on that article, it gave me a chance to point this out.
all IMHO…
Stay safe… Stay healthy
GLTU
wwhatthe
AZCowboy, thanks for Posting
You said…
“Only the DTC can actually issue ESC Cusips and only the DTC can cancel them”.
Which is actually incorrect.
The Depository Trust Company (DTC) takes instructions from the Debtors…
which represents the WMI’s shareholders as a whole. And is managed or represented by the WMILT and their Trustees…
The DTC can’t do anything… or wouldn’t want to do anything… without the instructions received from Brian S. Rosen and the other Attorneys for the WMI Liquidating Trust (WMILT) or their Trustees.
This is from pdf page# 355/755 of the DISCLOSURE STATEMENT (Link)
Quote…
…The Trustees may conclusively rely upon the distribution instructions received from the Debtors or their agents with respect to contra-CUSIP positions and escrow positions set up by the Debtors or their agents with the Depository Trust Company, and the Trustees shall close and terminate the original CUSIPS after making initial distributions of Creditor Cash and shall have no further distribution obligations thereafter…
End quote
Yes, DTC may push the keys on the computers,
But not without instructions received from the Debtors.
So, it’s the WMILT that sets up the CUSIP or escrow positions…
And it’s the WMILT that terminates the CUSIP or escrow positions.
Stay safe… Stay healthy
GLTU
wwhatthe
AZCowboy, thanks for Posting.
I’m confused about your assertion or opinion, regarding WMIH’s initial assets.
Are you saying WMI’s assets are Reorganized WMI /WMIH’s assets?
Reorganized WMI, (which is WMIH, formerly known as WMIHC) emerge from bankruptcy with only two major assets, the runoff portfolio of mortgage insurance policies (WMMRC) and about $6 Billion Dollars in NOL’s. (per the D/S)
It sounds like you’re suggesting the,
“original WMI Holding Company, now reorganized into the WMIH Holding Company,
Is “WMI” and merely changed its name to WMIH, and WMIH now owns all of WMI’s assets, and it’s a secret.
Including the REIT’s assets and the PIERS Capital Trust assets, which were sold to JPMC, in order to pay the TPS investor’s claim and the PIERS investor’s claim.
And it should be noted, On September 25, 2008,
WMI exchanged the REIT’s/TPS investor’s, preferred stock, issued by WMPF, into WMI’s common/regular preferred stock… so, there are no REIT’s Securities… or 90% rule.
You’re also implying WMI’s assets still exist, but the assets were sold and converted into cash.
Which is why we are all waiting for our cash distribution.
This is from Page 16 of the… DISCLOSURE STATEMENT, (link)
It says…
…The use of a liquidating trust structure is common to reorganization cases where assets
unassociated with the reorganizing debtor are distributed to a liquidating trust to be liquidated for the benefit of creditors and/or equity holders.
“Assets unassociated with the reorganizing debtor” …
Means every asset, except WMMRC and the $6 Billion Dollars in NOL’s.
Which means every asset, except WMMRC and the NOL’s were converted into cash.
So, the recovery for equity holders comes from the proceeds from the sale of the WMI Estate assets, which is done at the FDIC/FDIC-R.
Are you saying the WMI’s assets were not converted into cash, but they are at the “now reorganized into the WMIH Holding Company”?
Including the REIT’s assets and the PIERS Capital Trust assets?
Thank you for posting I appreciate your effort.
GLTU
Sincerely
wwhatthe
About our Equity Interest… Just a little Research and all IMHO…
We don’t get paid for our Escrow shares… we get paid for our Equity Interest.
And, we all get paid the same way.
Whether you’re talking about note holders or creditors… or a preferred shareholder… or a common shareholder.
We all get paid by selling WMI’s assets…
Which turns the assets into cash and that cash is used to pay your claim.
And after all claims have been paid…
if any cash is left over, it belongs to the common shareholders, That’s their claim /their Equity Interest.
Every bankruptcy is designed this way…
You sell the underlying assets, then you pay their claim.
You can’t pay Billions of Dollars in claims, without selling Billions of Dollars in assets.
So, the underlying assets are sold…
Which means there’s no future payments or cash dividend coming from the assets…
Your cash comes from the proceeds from the sale of the assets.
And we have assets used in the bankruptcy, and assets at the FDIC.
The cash to pay your claim… is coming from the sale and liquidation of the WMI Estate.
Which… from the FDIC/OTS and DISCLOSURE STATEMENT, (D/S)
The WMI Estate is equal to, WMI’s WMB’s corporate structure, “$307 Billion”, plus
WMI’s Non-Banking corporate structure, “$7.3 Billion”.
which is $314.3 Billion Dollars.
The $7.3 Billion is the amount used in the bankruptcy.
Keep in mind…
The TPS/REIT’s are owed $4 Billion Dollars, which does not come out of the $7.3 Billion used in the bankruptcy.
So, the TPS/REIT’s will get paid out side of WMI’s bankruptcy…
Which would come from the $307 Billion at the FDIC.
The REIT’s $4,000,000,000 Dollar claim is Large enough, so that it’s stands out in the documents and on the FDIC-R balance sheet.
What I mean by this, is that it’s not a $ 10 Million- or $100 Million-Dollar claim… it’s $4,000,000,000 Dollars.
This part is interesting… because the REIT’s were converted to preferred shares…
The REIT’s and preferred shareholders are now both class 19…
So, when class 19 gets paid, all the preferred shareholders get paid…
And we know the REITs will get paid…
All IMHO…
The WMILT and the FDIC work in conjunction to get all claims paid. So, what doesn’t get paid in the bankruptcy… will get paid out side of the bankruptcy by the FDIC’s $307 Billion.
For example,
The TPS/REIT’s and P’s/k’s… are all class 19 preferred shareholders (equity holders).
So, they should be paid by the FDIC… and not from the bankruptcy…
Class 19 are equity holders…
So, being paid from the bankruptcy, is like suing yourself…
Being paid from the FDIC, is like receiving your allowed portion of what’s left.
On the Receivership’s Balance Sheet, it lists the claims in three categories…
General Creditor… Senior Debt Holders… and Subordinated Debt Holders. (link at Bottom)
In September of 2010. the General Creditor claim was stated at, $ 16,815 (in $000's)
Then in 2017, after the Deutsche Bank lawsuit settlement.
The General Creditor claim was stated at $ 3,025,141 (in $000's).
So,
The General Creditor category is mostly money allocated to the Deutsche Bank settlement.
Which leaves, the Senior Debt Holders category and the Subordinated Debt Holders category.
And we know the REITs are not a Senior Debt Holder…
Which means the REITs are in the Subordinated Debt Holders category.
The Subordinated Debt Holders category is stated as $ 7,723,052 (in $000's). or $7.7 Billion.
So, the REIT’s $4,000,000,000 Dollar claim,
must be allocated for, in this $7.7 Billion Dollars.
And the REITs and P’s/K’s, preferred shareholders are all Class 19…
So, Class 19…
The REIT’s $ 4,000,000,000 Dollar claim, and the
P’s and k’s, preferred shareholders $ 3,500,000,000 Dollar claim,
must be allocated for, in this $7.7 Billion Dollar amount, from the Subordinated Debt Holders category.
This would be payment for the REITs and the P’s/K’s, preferred shareholders, from outside of the WMI bankruptcy.
All so,
Because this is outside of the WMI bankruptcy… and we get paid for our Equity Interest and not our Escrow shares…
our recovery is divided between all shareholder’s “Equity Interest”, and not just those that released in the bankruptcy, in order to get their new company shares.
All IMHO…
So…
Our recovery comes from our assets at the FDIC…
WMI’s assets were “liquidated” by the FDIC-R, in order to pay all claims…
Including the preferred shareholders.
But,
To understand who is paying who…
This quote is from Investopedia.com, titled…
“What Rights Do All Common Shareholders Have?” (link at Bottom)
Quote…
If the company is liquidated, common shareholders have the right to assets and income of the company after bondholders and preferred shareholders are paid.
End quote.
So,
The WMI’s common shareholders are the debtors, it’s their Debt… they owe money to investors and creditors.
Including money owed to the PIERS…
(which assets are from Washington Mutual Capital Trust 2001… which were liquidated in order to pay the PIERS)
And money owed to the TPS/REIT’s…
(which assets are from Washington Mutual Preferred Funding LLC… which were liquidated in order to pay the TPS/REIT’s)
And the WMI’s common shareholders, owe money to the WMI Preferred Shareholders.
(Which money comes from the liquidation of WMI’s WMB’s assets.)
You can’t pay the PIERS, TPS and P’s/K’s, without liquidating Billions of Dollars in assets…
So…
Everything is with respect to, and on behalf of, the common shareholders “the Debtors”, and them trying to pay everyone’s claim…
And the FDIC, is the middle man, between WMI’s common shareholders “which are the Debtors”, and the acquiring Bank, JPMC… (everything was sold to JPMC)
So, how do we get paid? …
We go to court and sell the common shareholders assets.
To show that the assets are liquidated, and sold to JPMC…
These next excerpts are about the sale of the REIT’s assets…
And the sale of the PIERS, Washington Mutual Capital Trust 2001 assets.
But… this Post is getting a little long… so, I’m going to stop here, and continue on my next Post.
I just want to say…
Our recovery has nothing to do with Escrow shares, Escrow CUSIPS or Escrow markers, other than getting our new company shares.
Or, anything to do with WMIH/COOP.
“WMI’s” assets, are not “reorganized WMI’s” assets.
Reorganized WMI, (which is WMIH, formerly known as WMIHC) emerge from bankruptcy with only two major assets, the runoff portfolio of mortgage insurance policies (WMMRC) and about $6 Billion Dollars in NOL’s. (as it is stated in the Disclosure Statement)
The Reorganized WMI (WMIH), was only comprised of WMMRC and the NOL’s.
Everything else is WMI, and was liquidated or turned in to cash.
(see page 64 of the D/S… pdf page 245/755)
(and page 20, of the D/S… pdf page 201/755.)
Your recovery does not come from Reorganized WMI’s assets…
It comes from WMI’s assets.
One more thought,
For me, this one excerpt, is the most significant of all…
Because this statement comes after they are explaining, that the TPS’s assets were sold to JPMC, in order to pay the TPS investors.
Also, because…
The TPS/REIT’s and P’s/k’s… are all class 19. (equity holders)
This is from the D/S, page 84. or 265/755
So, after explaining, that the TPS’s assets were sold to JPMC, and knowing that the TPS will get paid from these assets…
Quote…
Since the Petition Date, WMI has not made any distributions on or in relation to the Trust
Preferred Securities or paid any dividends on account of any class of WMI’s equity securities, including preferred stock relating to the Trust Preferred Securities.
End quote.
which says…
“Since the Petition Date”, the Trust Preferred Securities… including any Class 19, equity securities… have not been paid… “YET”.
All IMHO and GLTA…
Stay safe… Stay healthy
Merry Christmas everybody
Jiminy…
Jiminy Christmas…
Just my opinion, research and curiosity…
Not intended to serve as a basis for investment in any security of any issuer. GLTA
DISCLOSURE STATEMENT
Investopedia.com, “What Rights Do All Common Shareholders Have?”
Receivership’s Balance Sheet, 2010
Receivership’s Balance Sheet, 2020
Hotmeat…
I hope you don’t mind me saying, but you might want to consider this…
This is directly from a JPMorgan Chase News release, dated Sept. 25, 2008. (link at Bottom)
Quote,
As part of this transaction, JPMorgan Chase will make a payment of approximately $1.9 billion to the FDIC.
Unquote.
This statement is from JPMorgan Chase themselves…
So, the $1.9 billion Dollars is only a payment. ($1.88B + $50million)
It’s the “Initial Payment” at inception on 09/25/2008.
The “Initial Payment” is explained in the
PURCHASE AND ASSUMPTION AGREEMENT
And…
We can see the $1.9 Billion Dollar payment on the,
WASHINGTON MUTUAL BANK Inception document Date: 09/25/2008
This is also from,
JPMorgan Chase themselves… (no longer linked)
January 13, 2010.
JPMC states…
With the acquisition, we purchased approximately $240 billion of mortgage and mortgage related assets…
So, on 09/25/2008 there’s the “Initial Payment” and on January 13, 2010, there’s the mention of the purchase of approximately $240 billion of mortgage and mortgage related assets.
Then on November 5, 2015, the FDIC states it has $299B in WAMU total assets.
So… If WMI’s, WMB assets were seized by the FDIC and sold to JPM… (and they were.)
And, if the $1.9 billion is a payment… (and it is.)
Then it’s a payment for WMI’s, WMB’s assets…
It’s been stated in the documents, there are two sets of assets,
There’s the WMI’s WMB assets, and WMI’s non-bank assets…
The WMI’s non-bank assets are gone… (just like you said, used up in the bankruptcy)
So, there’s only the WMI’s WMB assets left.
The $299B in WMB assets, the FDIC is talking about… is the only source for a recovery…
GLTU, All IMHO,
Take care…
wwhatthe
from my Research, Post# 611579
and Post# 611591
JPMorgan Chase News release, dated Sept. 25, 2008
Boris the Spider,
You wrote, quote…
wwhatthe, correct, but the FDIC came back saying the amount was 299B not the 307B
unquote.
$299B is Correct, but…
The $299B… is “WMI’s, WMB’s assets”, minus “WMI’s Debt”.
Which is $307B in assets, minus WMI’s, $8B in Debt… which equals to $299B (I agree)
BUT,
The $8B in WMI’s, Debt was settled in WMI’s bankruptcy for $7.3B… and was paid with nonbank subsidiary’s assets and cash on hand.
So, IMHO…
When the FDIC reconciles with WMI (LT)
The FDIC won’t need to pay the $8B in Debt… so, this $8B the FDIC has, should come back to the old shareholders… along with the $299B…
$299B + $8B = $307B
All IMHO of course.
What I was trying to show,
In Post# 611579
And
Post# 611591
Is that the $1.9B is just a payment for WMI’s WMB’s assets.
I’m curious… (based on JPMorgan Chase News release, dated Sept. 25, 2008)
Would you agree,
That the $1.9B is only a payment for WMI’s WMB’s assets?
GLTU…
wwhatthe
Continued from Post# 611579… About the $1.9 Billion Dollars…
Just a little Research and all IMHO…
So…
The $1.9 billion, is stated as a payment in the JPMorgan Chase news release on 09/25/2008, (link at bottom)
It’s also stated… (as we will see)
As the Initial payment in the PURCHASE AND ASSUMPTION AGREEMENT. (link at bottom)
And…
We can see this $1.9 Billion Dollar payment on the,
WASHINGTON MUTUAL BANK Inception document Date: 09/25/2008 (link at bottom)
(note the Inception document Date: 09/25/2008 and JPMorgan Chase news release Date is the same Date, 09/25/2008)
The “Initial Payment”
As it is explained in the
PURCHASE AND ASSUMPTION AGREEMENT.
It states…
Initial Payment = Bid Amount + Required Payment
The “Bid Amount” …
This is from Page 20, of the P&AA… it states…
Article VII - The Assuming Bank has submitted to the Receiver a positive bid of $1,888,000,000.00 for the Assets purchased and Liabilities Assumed hereunder (the "Bid Amount").
So…
the "Bid Amount" equals to $1,888,000,000.00 Dollars.
This next part is the “Required Payment” …
it’s from Page 7, of the P&AA. It states…
"Required Payment" means $50,000,000.00.
(This $50,000,000.00 is for administration fees.)
And this from Page 5.
"Initial Payment" means the payment made pursuant to Article VII, the amount of which shall be either (i) if the Bid Amount is positive, the Bid Amount plus the Required Payment
So, the…
Initial Payment = Bid Amount + Required Payment
Which is…
$1,938,000,000 (payment) = $1,888,000,000 (Bid Amount) + $50,000,000 (Required Payment)
Or approximately $1.9 billion. (the Initial Payment)
Again, from JPMorgan Chase…
“As part of this transaction, JPMorgan Chase will make a payment of approximately $1.9 billion to the FDIC “
And…
Not only is it stated as a payment in the JPMorgan Chase news release,
and the PURCHASE AND ASSUMPTION AGREEMENT…
We also see this $1.9 Billion Dollar payment on the
WASHINGTON MUTUAL BANK Inception document Date: 09/25/2008.
If we Look at the Inception document Under…
Premiums Received / (Paid) at Resolution $1,888,000,000
(This is the Bid Amount)
Look under…
Subtotal - Administrative Liabilities $50,458,840
(This is the Required Payment ($50,000,000) + additional liabilities incurred at the time at Inception)
So, from the WMB Inception document, we have…
Initial Payment = Bid Amount (Premiums Received / (Paid) $1,888,000,000.00) + Required Payment (Administrative Liabilities +$50,000,000.00)
Which is…
$1,938,000,000.00
Or approximately $1.9 billion Dollars.
This is only the cash representing the Initial Payment in the Cash and Investments account.
To calculate total cash in the Cash and Investments account…
We add assets and Liabilities…
Assets + Liabilities…
The Bid Amount cash and Administrative Liabilities cash, is money collected and placed into the Cash and Investments account, where it generates interest/income…
Then at the end… when the FDIC reconciles with WMI, we subtract assets and Liabilities. (assets - Liabilities)
And whatever is left over, goes back to WMI shareholders.
To get the total… in the Cash and Investments account… which is total Assets/cash at the end of December 31, 2008 (which at the time was $1,942,656,004)
We add…
1,) $50,458,840 (cash received for the Administrative Liabilities from JPMC) plus,
2,) $1,888,000,000 (Premiums Received / (Paid) at Resolution from JPMC) plus,
3,) $4,197,164 (Income / Loss of the Liquidation Since Inception) this is interest generated from 1, And 2, minus Expenses incurred from 09/25/2008 to 12/31/2008.
Which equals to… $1,942,656,004
The payment ($1,938,000,000) is part of the $1,942,656,004 in the Cash and Investments account, as of December 31, 2008…
When a WMB asset is liquidated or turned in to cash, the cash is put into the Cash and Investments account… which is obviously then invested and managed by A&M.
So… IMHO
And in keeping with…
JPMorgan Chase news release…
the PURCHASE AND ASSUMPTION AGREEMENT…
and the, WASHINGTON MUTUAL BANK Inception document.
Yes…
The $1.9 Billion Dollars is a payment.
It’s a payment towards WMI’s, WMB’s assets… which is $307 Billion Dollars in total assets.
All IMHO and GLTA…
Stay safe… Stay healthy
Jiminy…
Jiminy Christmas…
Just my opinion, research and curiosity…
Not intended to serve as a basis for investment in any security of any issuer. GLTA
JPMorgan Chase News release, dated Sept. 25, 2008
PURCHASE AND ASSUMPTION AGREEMENT
WASHINGTON MUTUAL BANK Inception document Date: 09/25/2008
About the $1.9 Billion Dollars… Just a little Research and all IMHO…
A payment, or not a payment.
(this comes up every now and then)
Some believe the FDIC sold WMI’s, WMB’s assets to JPMorgan Chase for $1.9 Billion Dollars…
and WMI, will only receive $1.9 Billion Dollars for WMB and all its assets.
It’s been answered many times…
But…
Some answers are more convincing when they come from the source,
In this case, JPMorgan Chase themselves…
What I mean is …
When JPMorgan Chase themselves, says the $1.9 Billion Dollars is a payment, then it is a payment.
This is directly from a JPMorgan Chase News release, dated Sept. 25, 2008. (link at Bottom)
(I separated the statement into 4 parts, so that it can be read easier, It’s still word per word from JPMorgan Chase.)
Quote …
New York, Sept. 25, 2008 – JPMorgan Chase & Co. (NYSE: JPM) tonight announced it has acquired all deposits, assets and certain liabilities of Washington Mutual’s banking operations from the Federal Deposit Insurance Corporation (FDIC), effective immediately.
Excluded from the transaction are the senior unsecured debt, subordinated debt, and preferred stock of Washington Mutual’s banks.
JPMorgan Chase will not be acquiring any assets or liabilities of the banks’ parent holding company (WM) or the holding company’s non-bank subsidiaries.
As part of this transaction, JPMorgan Chase will make a payment of approximately $1.9 billion to the FDIC.
Unquote.
Obviously. This last part of the statement, clearly says, it’s a payment …
“As part of this transaction, JPMorgan Chase will make a payment of approximately $1.9 billion to the FDIC. “
This statement is from JPMorgan Chase themselves… so yes, it’s a payment.
It’s the “Initial Payment” at inception (09/25/2008)
The “Initial Payment” is explained in the
PURCHASE AND ASSUMPTION AGREEMENT
And…
We can see the $1.9 Billion Dollar payment on the,
WASHINGTON MUTUAL BANK Inception document Date: 09/25/2008
Also, from JPMorgan Chase themselves…
January 13, 2010.
JPMC states…
With the acquisition, we purchased approximately $240 billion of mortgage and mortgage related assets…
So, on 09/25/2008 there’s the “Initial Payment” and on January 13, 2010 there’s the mention of the purchase of approximately $240 billion of mortgage and mortgage related assets.
So, if this is a payment… (and it is.)
Then it’s a payment for WMI’s, WMB’s assets…
The FDIC seized WMB’s assets… ($307 Billion in assets) and sold them to JPMorgan Chase.
These assets are not used in the bankruptcy.
So…
If this $1.9 billion, is only a payment…
And old shareholders haven’t received any of this cash yet…
Then we’re still waiting for the FDIC to reconcile with the WMILT, (assets - Liabilities)
And whatever is left over, goes back to WMI shareholders.
Continued on my next Post…
All IMHO and GLTA…
Stay safe… Stay healthy
Jiminy…
Jiminy Christmas…
Just my opinion, research and curiosity…
Not intended to serve as a basis for investment in any security of any issuer. GLTA
JPMorgan Chase News release, dated Sept. 25, 2008
Thanks, xoom
About the timeline… Your guess is as good as mine… here’s hoping for it being quick.
I was just trying to say, if there is anything coming back, its coming back from the FDIC... IMHO
GLTU
About WMI and WMB and their Distinct Assets … Just a little Research and all IMHO…
Two sets of assets.
There are WMI assets used in the bankruptcy…
and there are WMI assets at the FDIC…
There are only these two sets of assets… (or, sources for a recovery)
All IMHO…
WMI filed for bankruptcy with $32.9 Billion Dollars in assets and with $8 Billion Dollars in Debt… These assets are part of the WMI’s WMB corporate structure, which is $307 Billion Dollars in total assets… (this is source 1.)
The FDIC seized WMI’s, WMB’s corporate structure… (the $307 Billion Dollars in assets).
This includes the $32.9 Billion Dollars in assets… which are the assets at the FDIC-R.
These assets, ($307 Billion Dollars in assets) were seized and cannot be used in the bankruptcy…
The assets used in the bankruptcy are from the nonbank subsidiary’s assets, about $7.3 Billion Dollars in assets. (this is source 2.)
The nonbank subsidiary’s assets, have all been liquidated and the money was used to pay the noteholders and creditors… so, there are no more nonbank subsidiary’s assets.
So… we have WMB’s corporate structure assets, that are at the FDIC. (this is one set of assets, source 1.)
and we had nonbank subsidiary’s assets, used in the bankruptcy… now $0 are left. (this is one set of assets, source 2.)
Here’s my point…
Some will take the $32.9 Billion in assets and subtract $8 Billion in Debt to get $24.9 Billion in assets/cash… (which is true and straightforward)
If… You are going after the $24.9 Billion in assets/cash… then you are going after the assets at the FDIC. (source 1.)
This $24.9 Billion Dollars in assets/cash, are the assets at the FDIC-R, minus the debt... which is part of the WMB’s corporate structure, $307 Billion Dollars, that was seized by the FDIC.
Ask yourself, where is the $24.9 Billion in assets/cash? … your answer should be, at the FDIC.
So…
If you are going after the $24.9 Billion Dollars in assets/cash, at the FDIC…
Then you’re also going after the $307 Billion Dollars in assets/cash, at the FDIC…
Because you’re going after your WMB’s corporate structure.
(which is $307 Billion Dollars in assets).
There are only two sets of assets… nonbank subsidiary’s assets and WMB’s corporate assets.
At this point, the nonbank subsidiary’s assets are at $0…
So, if you believe $10 Billion or $24.9 Billion or $307 Billion is coming back… It’s coming back from the WMB’s corporate structure assets at the FDIC. (source 1.)
The LIQUIDATING TRUST has been trying to explain that there are two entities and two sets of Distinct Assets… WMI and WMB…
Both owned by the debtors… which is “WMI” or all of us, collectively.
This quote is from the…
REPLY OF WMI LIQUIDATING TRUST IN SUPPORT OF APPLICATION
FOR AN ORDER… …AUTHORIZING, …CLOSING of THE CHAPTER 11 CASES OF
WASHINGTON MUTUAL, INC. AND WMI INVESTMENT CORP. (Link at bottom)
Quote,
4. WMI and WMB Were Distinct Entities with Distinct Assets
Washington Mutual, Inc. is incorporated in the state of Washington and is a savings and loan holding company. It owns two banking subsidiaries, Washington Mutual Bank ("WMB") and Washington Mutual Bank fsb ("WMBfsb"), as well as numerous nonbank subsidiaries.
Unquote.
So, from the above excerpt…
Washington Mutual, Inc. (WMI), or YOU/we the Debtors… are the owners of Washington Mutual Bank ("WMB") and Washington Mutual Bank fsb ("WMBfsb") and the numerous nonbank subsidiaries.
These are all the WMI estate’s assets.
In other words, you own the WMI Estate assets…
you own WMB, WMBfsb and the nonbank subsidiaries… these are all the assets.
Your nonbank subsidiaries assets were turned into cash and you paid off your debt… (which was money owed to the noteholders and creditors) …
Your WMB and WMBfsb assets were seized by the FDIC and you were forced to sell them to JPMC…
The FDIC has the cash from that sale. This cash belongs to WMI (You).
The WMI Estate is equal to the WMB’s corporate structure ($307 Billion) … plus, the WMI’s Non-Banking corporate structure (about $7.3 Billion).
Which is $314.3 Billion Dollars…
The total WMI corporate structure is separated into two part’s…
(these are the “Distinct Entities”)
There’s the WMI-Bank corporate structure and the WMI Non-Banking corporate structure.
Just a note…
You cannot take seized-WMI-Bank corporate assets (for example, MBS) and place them with the WMI Non-Banking corporate assets, then use them in the bankruptcy, because they are separate Entities with separate assets. And that money would have ended up going to the creditors.
So… we have bank assets and non-bank assets…
Washington Mutual Bank ("WMB") and Washington Mutual Bank fsb ("WMBfsb")
Is WMI’s Bank corporate structure… its $307 Billion Dollars in assets and was seized by the FDIC and sold to JPMC (or turned in to cash).
these assets cannot be used in the bankruptcies, this includes the $32.9 Billion in assets at the FDIC-R.
The nonbank subsidiaries, are WMI’s Non-Banking corporate structure, about $7.3 Billion Dollars in assets… these are the bankruptcy assets, which are used in the bankruptcy.
They are two distinct Entities with distinct Assets.
The FDIC seized WMI’s, WMB’s corporate structure…
This left WMI, (the Debtors) with the Non-Banking corporate structure (about $7.3 Billion Dollars in assets)
Up to this point, we’ve only seen the WMI’s Non-Banking corporate structure… about $7.3 Billion Dollars in assets…
these are the assets used in the bankruptcy and so… there are now $0 assets left in source 2…
What about the WMB’s corporate structure assets? (source 1.)
This next excerpt, has been stated several times by the liquidating trust… please note the reference to the “possible future distributions” from the FDIC and the FDIC-R.
From…
WMI Liquidating Trust to Initiate Final Distribution and Wind-Down of Operations
(link at Bottom)
Quote…
As previously disclosed, however, former positions represented by such Escrow Markers or Escrow CUSIPs are not entitled to receive any distributions under the terms of the Plan and they do not, in and of themselves, represent an entitlement to any possible future distributions from the Trust, Reorganized WMI or the Federal Deposit Insurance Corporation (either in its corporate capacity or as the receiver for Washington Mutual Bank), as the case may be.
Unquote.
The “FDIC” was noted here as a possible source, for a future distribution… (source 1.)
IMHO…
The $32.9 Billion in assets, would be at the receiver for Washington Mutual Bank…
and the rest of the assets would be at the FDIC corporate.
So…
Now that our WMI’s Non-Banking corporate assets were liquidated and used to pay off our debt… and there’s no more Non-Banking corporate assets left…
Now…
We go after our, WMB’s corporate assets at the FDIC ($307 Billion Dollars in assets).
I believe part of the winding down of the liquidating trust is to reconcile with the FDIC…
Which would bring the $307 Billion Dollars in cash to the liquidating trust…
Then the liquidating trust, can issue LTI’s to the common and preferred shareholders…
Aka…
Part B… Annex C… Tranche 6.
What I’m trying to say is, if there is anything coming back, its coming back from the FDIC.
Just my thoughts on THE END.
All IMHO and GLTA…
Stay safe… Stay healthy
Jiminy…
Jiminy Christmas…
Just my opinion, research and curiosity…
Not intended to serve as a basis for investment in any security of any issuer. GLTA
REPLY OF WMI LIQUIDATING TRUST IN SUPPORT OF APPLICATION
WMI Liquidating Trust to Initiate Final Distribution and Wind-Down of Operations
Continued from last post… Just a little Research and all IMHO…
About retained assets and retained interest and the $299 Billion Dollars…
All IMHO…
We know…
WaMu had retained assets and retained interest in the mortgage backed security portfolios.
Retained assets…
Some of the mortgages or assets in the mortgage portfolios were not converted into mortgage backed Securities …
So, WaMu owned or kept these assets (mortgages) and kept the monthly income stream from these mortgages.
(this is the retained assets part… these assets were sold to JPMC… so the FDIC has this cash)
About the Retained interest:
WaMu also kept, or retained some of the interest payment from each mortgage…
(this is the retained interest part)
The mortgage portfolio is an investment…
WaMu’s portion and the MBS investor’s portion are interwoven and cannot be separated.
For example,
Let’s say… we are looking at one mortgage portfolio and it has $4 Billion Dollars in mortgages, and for simplicity let’s say some of the mortgages have an interest rate of 4% and some at 5% and some at 6%...
And let’s say 75% or 3 Billion Dollars in mortgages were bundled into mortgage backed securities at 3% and sold to the MBS investors… (these are the securities in safe harbor)
So, from the 4% mortgages, 3% of the interest payment was converted into a mortgage backed security and WaMu kept or retained 1% of the interest payment…
From the 5% mortgages, 3% of the interest payment was converted into a mortgage backed security and WaMu kept or retained 2% of the interest payment…
And from the 6% mortgages 3% of the interest payment was converted into a mortgage backed security and WaMu kept or retained 3% of the interest payment…
So, the interest payment is shared between WaMu and the MBS investors… WaMu’s portion of the interest payment is WaMu’s retained interest. (which is not a security… but an asset of WaMu’s and has to be liquidated/sold)
We said 75% of this mortgage portfolio was sold to the MBS investors as securities (safe harbor) …
So, for WaMu’s 25% part of the portfolio (WaMu’s assets).
We add up WaMu’s retained interest from the interest payments and retained assets (the mortgages not converted into MBS) …
We would add up the 1% retained interest, from the 4% mortgages… plus,
the 2% retained interest, from the 5% mortgages… plus,
the 3% retained interest, from the 6% mortgages…. and plus,
the retained assets, (the mortgages not converted into MBS)
and it would equal to 25% of the mortgage portfolio or 1 Billion Dollars.
So…
WaMu’s retained interest,
(which is the 1%,2% and 3% of the home owners interest payments),
and the MBS investor’s interest,
(which is 3% of the home owners interest payments),
are interwoven or intertwined… they can’t be separated.
The FDIC seized all the mortgages…
The FDIC would sell this $4 Billion Dollar mortgage portfolio to JPMC for $1 Billion Dollars,
Because 75% or $3 Billion Dollars of this portfolio, belongs to the MBS investors and is in safe harbor.
Book value for this $4 Billion Dollar mortgage portfolio would be 25% or $1 Billion Dollars.
WaMu’s part (25%) … of the portfolio is not in safe harbor, and has to be liquidated.
WaMu’s retained interest are WaMu’s assets… these assets were sold to JPMC… so the FDIC has this cash.
So,
If we add up all of WaMu’s MBS portfolios, and the mortgage related assets…
It would come out to the $299 Billion Dollars the FDIC has… (this is only WaMu’s part of the assets in the portfolios)
And the 1 Billion Dollars in my example, would be part of the $299 Billion Dollars.
Notice the MBS investor’s 75% or $3 Billion Dollars is not included in the $299 Billion Dollars…
This is because the $299 Billion Dollars are the proceeds from WaMu’s assets and not the MBS investor’s assets.
The money owed to the MBS investors is not part of the $299 Billion Dollars.
Also, MBS are considered a liability… because they are a debt obligation…they come with a financial obligation to the MBS investors…
and their performance depends on the home owner making their monthly payments… so, they have a risk associated with them (a liability).
The $1 Billion Dollars in my example, is book value for the $4 Billion Dollar mortgage portfolio.
So, JPMC would pay $1 Billion Dollars for this mortgage portfolio and assume the financial obligation to the MBS investors. (JPMC would assume/purchase this liability)
Similarly,
The $299 Billion Dollars is book value for all the mortgage portfolios and the mortgage related assets.
So, JPMC would pay $299 Billion Dollars for all the mortgage portfolios and assume the financial obligation to the MBS investors. (JPMC would assume/purchase this liability)
In an asset minus liability calculation, like this example…
$307 Billion minus $272 Billion is $35 Billion!
This would imply WaMu had $272 Billion Dollars in debt, (which is incorrect)
We know WaMu had $8 Billion Dollars in debt…
The mortgage back securities are an asset and a financial obligation (or liability)
JPMC would purchase the assets, ($272 Billion Dollars in assets) and assume the financial obligation to the MBS investors, the liability.
The $272 Billion in liabilities in the above example… would actually represent part of the proceeds from WaMu’s portion of the MBS that were sold to JPMC. (the FDIC has this cash)
This $272 Billion Dollars would be part of the $307 Billion…
The money owed to the MBS investors is not part of the $307 Billion Dollars.
So, we mean to say,
$307 Billion minus $8 Billion is $299 Billion!
I’m going to end here with a quote from MICHAEL WILLINGHAM.
Notice,
He starts with “And, of course” …
which says to the listener, that what he is about to say is common knowledge…
From item 31. Of the…
DECLARATION OF MICHAEL WILLINGHAM…
He says…
…And, of course, common shareholders would recover through the waterfall only if over $7 billion in preferred stock liquidation preference were fully satisfied.
So, IMHO…
Now we go after the $7+ Billion Dollars for the preferred shareholders and whatever is left, will go to the commons.
Stay safe… Stay healthy
All IMHO and GLTA…
Jiminy…
Jiminy Christmas…
Just my opinion, research and curiosity…
Not intended to serve as a basis for investment in any security of any issuer. GLTA
WMI Liquidating Trust Mar 24, 2015 news release
DECLARATION OF MICHAEL WILLINGHAM, item 31.
Inception document 09/25/2008
Not, save harbor… Just a little Research and all IMHO…
Where is the money coming from?
And,
My thoughts on save harbor assets, retained assets and retained interest …
All IMHO…
None of WaMu’s assets… are in safe harbor.
(In this excerpt…
I added the numbers 1), 2), 3), and 4) because I wanted to point out these 4 sources.)
On Mar 24, 2015, (link at Bottom)
The WMI Liquidating Trust Provided a news release stating…
…the Escrow CUSIPs were established for any potential distributions of shares of WMIHC common stock…
…Specifically, the Escrow CUSIPs do not, in and of themselves, entitle their holders to any possible future cash distributions from the 1) Trust, 2) WMIHC or the 3) Federal Deposit Insurance Corporation (either in its corporate capacity or as 4) the receiver for Washington Mutual Bank).
(I added the numbers 1), 2), 3), and 4) because I wanted to point out these 4 sources.)
As stated by the news release…
Money will not come from the Escrow CUSIPs themselves… the Escrow CUSIPs are for the distributions of WMIHC new shares only. But you can sell the shares for cash.
After the last of the shares are distributed our Escrow CUSIPs will disappear.
Which means no more Escrow Markers/Escrow CUSIPs,
No more, Section 41.6 of the Plan.
No more, distributions to only those that signed timely releases. (this is only in the bankruptcy)
No more, 75%, 25%, (this was for new company shares and any cash left in the bankruptcy, $0)
No more, bankruptcy.
IMHO…
Any distribution outside of the bankruptcy will go to the 27,000,000 total preferred shares… with a liquidation preference of $7.5 billion Dollars.
And the 1,704,958,913 total common shares
Not the signed timely releases…
24,802,644.26 preferred shares that released or the 1,194,340,178 common shares that released.
So, IMHO…
Everyone benefits outside of the bankruptcy.
Unintentionally, the above excerpt also says…
Any possible future cash distributions are from...
the Trust… WMIHC… the Federal Deposit Insurance Corporation…
or the receiver for Washington Mutual Bank.
So…
Money will only come from these 4 sources…
1, The Trust, (all money goes through the trust for tax purposes)
2, WMIHC, (this was money from the proceeds of the WMMRC insurance policies valued at $140 million, this money was used to pay off the run-off notes.)
3, the FDIC, ($274.1 Billion Dollars in assets… this is WaMu’s portion of the mortgage backed securities portfolio which are non-Debtor’s assets that were seized and sold by the FDIC.)
You are the Debtors; these are your assets.
4, the FDIC-R, (this is the Debtor’s Estate, which are all the Debtor’s assets… it’s $32.9 Billion in assets with $8 Billion in Debt.)
Some take the $32.9 Billion and subtract $8 Billion in Debt and get $24.9 Billion Dollars,
This $24.9 Billion Dollars is only from the Debtor’s assets at the FDIC-R, and does not account for the non-Debtor’s assets at the FDIC ($274.1 Billion Dollars).
$24.9 Billion plus $274.1 Billion equals to $299 Billion Dollars. (per/ the FDIC)
Quote from the FDIC…
“Excludes WAMU with total assets of $299 billion and zero estimated losses to the DIF”
And from the Inception document 09/25/2008. (Link at bottom)
Total assets $ 298,791,522,367
So…
To get these assets/cash, the WMILT will have to go through the courts…
So, after the bankruptcy, the LT will have to sue the FDIC for these assets. (Tranche 6)
I believe this lawsuit is just a formality or procedure, to make it legal, final and to release the FDIC.
We also have non-Debtor’s assets that were not seized by the FDIC, this was WMI’s Non-Banking corporate structure (about $7.3 Billion Dollars, this money was used to pay off the creditors)
$32.9 Billion plus $274.1 Billion plus $7.3 Billion Dollars equals to $314.3 Billion Dollars.
These are all WaMu’s assets… and these assets are not in safe harbor.
All IMHO…
Safe harbor assets, are assets that cannot be seized by the FDIC… then sold, by the FDIC.
Safe harbor assets cannot be seized then sold to JPMorgan Chase or to anyone else.
These assets are in safe harbor.
As we know…
The FDIC seized WaMu’s assets…
And we know…
All of WaMu’s assets have to be liquidated and converted into cash (sold)…
Including WaMu’s, WM-Bank’s assets (WMB)…
Which are assets within Assets and are owned by WaMu…
So…
If WaMu’s assets are seized and converted into cash…
Then…
WaMu’s assets are not in “safe harbor”.
Save harbor assets can not be seized and liquidated.
So…
It’s not WaMu’s assets that are in save harbor…
It’s WaMu’s securities that are in safe harbor…
It’s all WaMu’s securities…
The securities are owned by the investors…
Safe harbor, protects the investors from the FDIC.
Specifically, it’s the mortgage backed securities that are in safe harbor.
Not WaMu’s assets… WaMu’s assets have to be sold.
The mortgages are pooled together and converted into marketable securities then moved into a special purpose vehicle where they are isolated and away from a bankruptcy or the FDIC.
Bankruptcy remote refers to the special-purpose vehicle that is formed that holds the assets.
A mortgage backed securities portfolio is partly owned by its sponsor (WMI) and the mortgage backed securities investors…
So, there are two entities that own the mortgage portfolio, WaMu, and the investors.
We have WaMu’s portion of the mortgage portfolio and the investor’s portion of the mortgage portfolio.
Most of the cash ($299+ Billion Dollars) is from JPMorgan Chase purchasing WaMu’s portion of the mortgage portfolio… (these assets are not in safe harbor)
WaMu’s part of the mortgage portfolio, are WaMu’s assets and are not securities.
These assets have to be liquidated/sold.
The investors part of the mortgage portfolio are securities and are in safe harbor…
When WaMu filed for bankruptcy … the FDIC had the power to breach any contract entered into by WaMu… but not the securities.
The FDIC has the power to take WaMu’s assets, which are not securities, and convert those assets into cash, then use that money to pay off… the debt, the creditors, and the investors.
Although all of the mortgage backed securities (MBS) were seized…
It’s WaMu’s portion of the portfolio that was seized by the FDIC, then sold to JPMorgan Chase.
The MBS investor’s portion of the portfolio was not sold to JPMorgan Chase (safe harbor).
All of these MBS’s are still active and producing income for its investors.
And so, the investors will receive their payments plus the interest, until the mortgage is refinanced or paid in full.
And because JPMC purchased WaMu’s portion of the portfolio, JPMC will receive WaMu’s payments and interest, until the mortgages are refinanced or paid in full.
The $299 Billion Dollars the FDIC is holding…
is made up of the proceeds from the sale of WaMu’s portion of the mortgage portfolio… to JPMC… This $299 Billion Dollars belongs to WaMu.
JPMC purchased WaMu’s portion of the mortgage portfolio, plus any mortgage related assets.
WaMu’s assets are not in safe harbor.
This is from January 13, 2010 - Testimony before the Financial Crisis Inquiry Commission
(sorry, no longer linked)
JPMC states…
With the acquisition, we purchased approximately $240 billion of mortgage and mortgage related assets… with $160 billion in deposits…. and $38 billion in equity… We immediately wrote down most of the bad or impaired assets (approximately $31 billion) … and established proper reserves for the remaining assets, ….as well as for severance and close-down costs.
So…
This “$240 billion of mortgage and mortgage related assets” in this excerpt, is part of the $299 Billion Dollars the FDIC is holding…
And so…
With respect to the MBS’s and safe harbor…
It’s the MBS investor’s portion of the portfolios, (or their assets/securities) that are in “safe harbor” not WaMu’s assets.
But as investors in a bankruptcy, we want all of WaMu’s assets converted into cash… then pay the debt and creditors… then, outside of the bankruptcy, return whatever is left to the investors (the owners of the company).
So… IMHO…
Where is the money coming from?
From the FDIC…
We’re currently waiting for the bankruptcy to close, then we pursue the $299 Billion the FDIC has.
About retained assets and retained interest and the $299 Billion Dollars…
All IMHO…
Continued on next post…
Stay safe… Stay healthy
All IMHO and GLTA…
Jiminy…
Jiminy Christmas…
Just my opinion, research and curiosity…
Not intended to serve as a basis for investment in any security of any issuer. GLTA
excellent work ItsMyOpinion, Thank you sir
About our release and APR… Just a little Research and all IMHO…
You cannot calculate how much cash you will receive,
based on how many shares you released…
The cash from Annex C/ Tranche 6/ the second bankruptcy,
Is based on total issued and outstanding shares…
not total released shares.
There’re issued and outstanding shares and there’re released shares…
issued and outstanding shares have nothing to do with released shares…
But… issued and outstanding shares has everything to do with Preferred Equity Interests" and "Common Equity Interests”
As in Annex C…
“the distribution to Tranche 6 will be shared 75% and 25% pro rata between claims on account of Preferred Equity Interests and Common Equity Interests, respectively “
You do not need Escrow markers to receive cash from Annex C, the second bankruptcy.
You only need your LTI-CUSIPS. (when issued) Which makes You an LTI holder…
The Escrow markers are with respect to the disputed new company shares only.
The LTI-CUSIPS is with respect to the total amount of issued and outstanding shares.
Which includes all shares, released and/or not released.
The LTI-CUSIPS is used to calculate the cash distribution from the second bankruptcy (Annex C).
Our release has nothing to do with, any cash or money coming back to only those that released or signed a timely release or having Escrow markers.
Our release allows us to receive our new company shares from the first bankruptcy “the Plan”.
Our release has nothing to do with receiving cash from the second bankruptcy “Annex C”.
Please refer to my previous post# 541634 for my thoughts on The Plan and Annex C.
(link at Bottom)
This can be illustrated by looking at the definition of "Preferred Equity Interests" and "Common Equity Interests" with respect to the definition of “released shares”.
For example,
These are the released shares from: Edgar G. Sargent’s email.
TPS, 3,729,658.260 shares provided releases
Series R, 2,906,421 shares provided releases
Series K, 18,166,565 shares provided releases
common granting releases in the total amount of 1,194,340,178 shares
Because, the above shares provided a release…
This next list… are the new company shares that each class received…
You also received markers for the new company disputed shares.
So… you received new company shares and Escrow markers for the disputed shares…
To calculate how many new company shares each class will receive, you must use their liquidation preference…
TPS and Series R or P’s have a liquidation preference of $1000 per/share.
Series K have a liquidation preference of $25 per/share.
This is from: Edgar G. Sargent… (same Email document)
Quote “The remaining 140,390,949 are distributed evenly by liquidation preference across the $7.5 billion of preferred shares. However, while the TPS are denominated in 1,000s, the Series K has a face amount per share of $25. “unquote
And so… using our liquidation preference.
TPS receive 73,849,406 new company shares
Series R receive 57,548,829 new company shares
Series K receive 8,992,714 new company shares
(per/ liquidation preference)
For their release…
The common shareholders received 47,500,000 new company shares.
For a total of 190,000,000 new company shares available for distribution.
75% of the 190,000,000 went to preferred shareholders and 25% went to common shareholders. These are shares from the Plan, not cash.
(Obviously all of this already happened)
For the Equity holders…
The Plan and 41.6 has nothing to do with distributing cash to the Equity holders… it’s a distribution of shares. (the first bankruptcy)
For the cash distribution to Equity holders… (the second bankruptcy)
We need to look at Annex C from the Liquidating Trust Agreement…
This is from Annex C… (Tranche 6, the second bankruptcy)
Quote…
…and that the distribution to Tranche 6 will be shared 75% and 25% pro rata between claims on account of Preferred Equity Interests and Common Equity Interests, respectively.
unquote
Preferred Equity Interest is defined as…
“an issued and outstanding share of preferred stock of WMI prior to or on the Petition Date”
The Petition Date is September 26, 2008
The Effective date is March 19, 2012.
So…
Preferred Equity Interest refers to all the Preferred shares issued and outstanding prior to or on the Petition Date… released and/or not released. This is our “claims on account” as of the Petition Date. It’s all the Preferred shares with a liquidation preference of $7.5 billion Dollars.
Common Equity Interest is defined as…
“one of the 1,704,958,913 shares of common stock of WMI issued and outstanding as of the Petition Date”
And so…
Common Equity Interest refers to all the Common shares issued and outstanding as of the Petition Date… released and/or not released. This is our Common’s “claims on account” as of the Petition Date. It’s all the Common shares… the last Class.
There’re issued and outstanding shares and There’re released shares.
Preferred Equity Interests and Common Equity Interest has nothing to do with released shares.
“the distribution to Tranche 6 will be shared 75% and 25% pro rata between claims on account of Preferred Equity Interests and Common Equity Interests, respectively.” This means between all the shares… and not just those shares that released.
As a note…
This is where Preferred Equity Interest is defined in the documents…
Preferred Equity Interest has nothing to do with released shares.
From page 21
SEVENTH AMENDED JOINT PLAN OF AFFILIATED DEBTORS
PURSUANT TO CHAPTER 11 OF THE UNITED STATES BANKRUPTCY CODE (Link at Bottom)
1.170 Preferred Equity Interest: An Equity Interest represented by an issued
and outstanding share of preferred stock of WMI prior to or on the Petition Date, including,
without limitation, those certain (i) Series K Perpetual Non-Cumulative Floating Rate Preferred
Stock, (ii) Series R Non-Cumulative Perpetual Convertible Preferred Stock, and (iii) the REIT
Series.
Also…
Under the Seventh Amended Plan, holders of equity interests represented by the outstanding shares of preferred stock of WMI issued prior to or on September 26, 2008 (referred to as "Preferred Equity Interests" in the Seventh Amended Plan and are classified in Class 19)
From the Plan page 19, about the Petition Date …
1.157 Petition Date: September 26, 2008, the date on which each of the
respective Debtors filed its voluntary petition for relief commencing the Chapter 11 Cases.
The Effective date March 19, 2012.
So…
Issued and outstanding shares… refers to all the shares of your class, not just those shares that released. It’s the total amount of shares, prior to or on September 26, 2008… which includes everyone’s shares… released and/or not released.
For REIT… it’s 4,000,000 shares with a
liquidation preference of $4 billion dollars or $1,000 per/share
(not the 3,729,658.260 shares released)
For Series R or P’s… it’s 3,000,000 shares with a
liquidation preference of $3 billion dollars or $1,000 per/share
(not the 2,906,421 shares released)
For Series K… it’s 20,000,000 depositary shares with a
liquidation preference of $500,000,000 dollars, equivalent to $25 per depositary share.
(not the 18,166,565 shares released)
Total Preferred Equity Interest is equal to 4,000,000 shares plus 3,000,000 shares plus 20,000,000 depositary shares or 27,000,000 total shares… with a liquidation preference of $7.5 billion Dollars.
(It’s not the 24,802,644.26 shares that released)
Or… Preferred Equity Interest is equal to $7.5 billion Dollars.
This is where Common Equity Interest is defined…
Pdf Page# 221 of 755 from the DISCLOSURE STATEMENT It states…
The Seventh Amended Plan defines “Common Equity Interest” as collectively, (a) an
Equity Interest represented by the 3,000,000,000 authorized shares of common stock of WMI, including, without limitation, one of the 1,704,958,913 shares of common stock of WMI issued and outstanding as of the Petition Date
(It’s not the 1,194,340,178 shares that released.)
So…
Common Equity Interest is equal to 1,704,958,913 shares which represents all the common shares… released and/or not released.
Common Equity Interest has nothing to do with released shares.
Also…
…and holders of equity interests represented by the issued and outstanding shares of common stock of WMI issued prior to or on September 26, 2008 (referred to as "Common Equity Interests" in the Seventh Amended Plan and are classified in Class 22,
and may also include holders of Dime Warrants in Class 21
Preferred Equity Interests and Common Equity Interest has nothing to do with released shares.
(This is for the distribution from Annex C, Tranche 6, the second bankruptcy)
So…
If the distribution to Tranche 6 will be shared 75% and 25% pro rata between claims on account of Preferred Equity Interests and Common Equity Interests, respectively…
And “Preferred Equity Interests” is equal to 27,000,000 shares… with a liquidation preference of $7.5 billion Dollars which represents all the preferred shares or the total amount of issued and outstanding share of preferred stock…
And not only those shares that released (24,802,644.26 shares).
And “Common Equity Interests” is equal to 1,704,958,913 shares… which represents all the Common shares or the total amount of issued and outstanding share of Common stock…
And not only those shares that released (1,194,340,178 shares).
Then…
The distribution to Tranche 6 will be shared 75% and 25% pro rata between claims on account of all the Preferred shares and all the Common shares, respectively… released and/or not released.
Preferred Equity Interests and Common Equity Interest has nothing to do with Escrow markers or released shares.
Just a note… IMHO…
(The preferred class received their new company shares from the Plan (the first bankruptcy) as per their liquidation preference…
In my view… The preferred class will also receive their cash from Annex C (the second bankruptcy) as per their liquidation preference… $7.5 billion Dollars plus FJR…
Then what’s left over will go to the last Class, the Common shareholders…
in my opinion there is no 75%,25% to the end.
The preferred class TPS and Series R (P’s) will receive $1,000 per/share plus FJR, and preferred class Series K will receive $25 Dollars per/share plus FJR, for a total of $7.5 billion Dollars plus FJR, this is their/our claims on account)
Preferred Equity Interests and Common Equity Interest refers to the total amount of issued and outstanding share, not released shares.
There are 27,000,000 total Preferred issued and outstanding shares (Preferred, and Preferred depositary shares, $7.5 billion Dollars)
There are 1,704,958,913 Common issued and outstanding shares.
There are 24,802,644.26 Preferred shares that released
There are 1,194,340,178 Common shares that released
The cash is distributed amongst the issued and outstanding shares, not the released shares.
The term “The distribution to Tranche 6 will be shared 75% and 25%”.
States…
That any cash from Annex C, (the second bankruptcy) ready for distribution, will be applied 75% to the Preferred claims, which is the 27,000,000 issued and outstanding shares, with a liquidation preference of $7.5 billion Dollars… which is their Preferred Equity Interests claim on account.
And 25% will be applied to the Common’s claim, which is the 1,704,958,913 issued and outstanding common shares… which is their Common Equity Interests claim on account.
So…
The distribution to Tranche 6 will be shared 75% and 25% pro rata between claims on account of Preferred Equity Interests (the Preferred 27,000,000 issued and outstanding shares)
And Common Equity Interests (the Common’s 1,704,958,913 issued and outstanding common shares), respectively…
Their claim is paid Until their claim on account is paid in full.
For Preferred shareholders it’s $7.5 billion Dollars.
Or, you will receive your pro rata share of the Preferred Equity Interests and/or Common Equity Interests until you are paid in full.
The Preferred shareholders get a Postpetition Interest Claims from the Plan or federal judgement rate (FJR) from the Plan… on top of their $7.5 billion Dollars.
In a theory that the distribution is distributed 75%,25% to the end…
Would mean that the cash would go directly to the Preferred shareholders (75%) and the Common shareholders (25%) regardless of their claim… and not to their claim on account.
Which would mean that there is no Postpetition Interest Claims or federal judgement rate (FJR) for the Preferred shareholders… Which is not true.
“The distribution to Tranche 6 will be shared 75% and 25% pro rata between claims on account” … and for the Preferred shareholders, plus their Postpetition Interest (FJR).
So, the 75%,25% to the end… does not fit and is not stated or expressed in words anywhere within “THE PLAN” or “Annex C”.
The 75%,25% to the end, is not true,
The Commons don’t get Postpetition Interest (FJR). Because it’s their money paying the Preferred and creditors… they get what is left over. (it’s everything over $8 Billion Dollars, which is the second bankruptcy, the non-debtor’s assets)
The cash distribution is through Annex C…
The cash distribution/Annex C/the second bankruptcy, does not just go to those shareholders that released or signed a timely release… or have Escrow markers.
It’s the new company shares that go to those of us that signed a timely release…
The cash (Annex C) goes to anyone who is an “Equity Security Holder of Washington Mutual, Inc.”
Which are ALL the old Preferred shares (27,000,000 shares, with a liquidation preference of $7.5 billion Dollars) and All common shares (1,704,958,913 shares) of WMI… released and/or not released and until the Claim is paid in full.
And so… It’s my opinion…
You do not need Escrow markers to receive cash from Annex C, the second bankruptcy.
Every shareholder will receive their pro rata share of the cash, not just those shareholders that released.
Sorry for the long post…
I’ll stop here and continue on my next post…
thank you for reading my post.
Stay safe… Stay healthy
Have a Merry Christmas and Happy New Year
GLTA…
Jiminy…
Jiminy Christmas…
Just my opinion, research and curiosity…
Not intended to serve as a basis for investment in any security of any issuer. GLTA
1.170 Preferred Equity Interest, Page 21, SEVENTH AMENDED JOINT PLAN
Common Equity Interest, Pdf Page# 221 of 755, DISCLOSURE STATEMENT
Link to my previous post# 541634, about the Plan and Annex C
About our Release, the Plan, Annex C and APR… Just a little Research and all IMHO…
I’m an investor just like you…
I believe…
Any assertion or theory must fit and be stated and expressed in words somewhere within “THE PLAN” or “Annex C”.
This is how I see the WMI’s reorganization and Liquidation. And why…
All IMHO…
“The Plan” and “Annex C” …
All assets are used in the Bankruptcy… they’re ether used in the reorganization by the reorganizing debtors or they’re Liquidated in order to pay creditors and equity holders.
There’re no hidden assets…
We’re looking at $307 Billion Dollars for the WMB’s corporate structure… plus, about $7.3 Billion for the WMI’s Non-Banking corporate structure including cash.
Which is $314.3 Billion Dollars… (this is the WMI Estate)
We have Debtor’s assets and non-Debtor’s assets…
But…
What’s more important is that we have “assets associated with the reorganizing debtor” and “assets unassociated with the reorganizing debtor”.
This is from Page 16 of the…
DISCLOSURE STATEMENT, (link at Bottom)
It says…
…The use of a liquidating trust structure is common to reorganization cases where assets
unassociated with the reorganizing debtor are distributed to a liquidating trust to be liquidated for the benefit of creditors and/or equity holders.
This is a reorganization (The Plan) and voluntary liquidation and dissolution or winding-up, of WMI (Annex C).
We have…
Assets associated with the reorganizing debtor.
And assets unassociated with the reorganizing debtor
(Forgive me if I repeat myself over and over)
The assets associated with the reorganizing debtor are assets used in the reorganization.
These are retained assets that ultimately became WMIH… Assets like, WMIIC and 31 others empty subs plus WMMRC and the NOL’s…
The assets unassociated with the reorganizing debtor, are not used in the reorganization,
instead they go to the Liquidating Trust and are turned into cash, then distributed to the creditors and/or equity holders as stated in the above excerpt.
So…
From the assets unassociated with the reorganizing debtor…
There are assets/cash that are distributed to the creditors…
And there are assets/cash that are distributed to the equity holders…
Both from the Liquidating Trust.
Assets not used in the reorganization are unassociated assets…
As we can see from the excerpt… all of the unassociated assets are placed into one pile…
That pile is the Liquidating Trust…
The assets are converted into cash and the cash is used to pay the creditors, and whatever is left over… goes to the equity holders. (this is all done from the Liquidating Trust)
There’s only $7.3 Billion Dollars in this pile, it does not include the FDIC-R’s pile ($32.9 Billion) or the FDIC-C’s pile ($274.1 Billion).
This next excerpt is from the WMI LIQUIDATING TRUST… it tells us there are two “distribution procedures and priorities” … one for the creditors and one for the equity holders.
It’s “the Plan” and “Annex C”.
It also tells us, they are managed and are part of the “Trust Agreement”. (two distributions from one pile of cash… “the Liquidating Trust”)
To confirm there are two distribution procedures and priorities…
This is from a 10-K of the WMI LIQUIDATING TRUST Dec 31, 2017 page 4, … (link at Bottom)
Distributions
The proceeds in excess of expenses and liabilities that are obtained during the life of the Trust will be distributed to LTI holders in accordance with the distribution procedures and priorities set forth in the Plan and Annex C of the Trust Agreement.
The Liquidating Trust has two types of distribution procedures and priorities…
There’s the distribution procedures and priorities for the Plan…
This is with respect to the Court paying the creditors and distributing the new company shares…
It distributes about $8 Billion Dollars to the Creditors… and the new company shares to the creditors and/or equity holders…
it’s the distributions to Tranche’s 1 thru 5 plus the new shares.
And…
There’s the distribution procedures and priorities in Annex C…
This distribution distributes everything over the $8 Billion Dollars, to the equity holders.
This is the distributions to Tranche 6… it’s everything left over after paying the debt in Tranche’s 1 thru 5.
It’s all cash and is distributed in accordance with the distribution procedures and priorities set forth in Annex C.
The above excerpt also tells us the distribution will be distributed to LTI holders…
So… in order to receive a distribution of any kind, you need to be issued an LTI.
The Plan deals with paying the debt to the creditors and reorganizing the new company. which includes distributing the new company shares.
The debt to the creditors is paid with $8 Billion Dollars in Debtor’s assets.
The assets in Annex C is not part of the debt and is not part of the reorganization.
Annex C’s assets are non-Debtor assets and only have to be processed… which means the assets have to be liquidated and distributed to the Equity holders.
Annex C is not part of the reorganization or “the Plan”.
So… what’s the difference between the distribution procedures and priorities in the Plan and the distribution procedures and priorities in Annex C…
This next excerpt is from page 13 of the revised DISCLOSURE STATEMENT, (Link at Bottom)
K. Assets of WMI’s Non-Debtor Subsidiaries
Pursuant to applicable law, and as stated by the Bankruptcy Court at the March 21, 2011
hearing, the Bankruptcy Court’s jurisdiction is limited to assets of the Debtors and not to those of any non-Debtor subsidiary.
So…
The “Filed Plan” or Bankruptcy Court, is limited to assets of the Debtors… (the Debt is about $8 Billion Dollars)
and not to those of any non-Debtor subsidiary.
(Annex C assets are non-Debtor assets and are assets unassociated with the reorganizing debtor)
And so…
The Bankruptcy Court’s jurisdiction, “the Plan” … is limited to those subs that have the Debt… which is estimated to be about $8 Billion Dollars… (its closer to $7.3 Billion)
So, the difference between the Plan and Annex C is…
The distribution procedure and priority in the Plan…
Distributes $8 Billion Dollars cash to the creditors… (Tranche’s 1 thru 5)
And if they elected to receive new company shares, the distribution also distributes new company shares to those creditors.
The creditors must give a release in order to receive the $8 Billion Dollars cash and the new company shares…
The Plan also distributes the new company shares to the old equity holders that gave a release. (75%, 25%... these are new company shares and not cash.)
So… “the Plan” is limited to a distribution of $8 Billion Dollars and new company shares.
Annex C receives everything over the $8 Billion Dollars.
Brian Rosen and the FDIC has always stated there’s no money in the plan for preferred and commons, this is because the Plan’s distribution procedure and priority, Distributes $8 Billion Dollars cash to the creditors…
The distribution procedure and priority for the preferred and commons is from Annex C… and Annex C is not part of the Bankruptcies reorganization… “the Plan”.
This can also be illustrated from…
MARY F. WALRATH
Statement before
UNITED STATES HOUSE OF REPRESENTATIVES COMMITTEE, (Link at Bottom)
She states the Debt was in excess of $7 billion Dollars… and all creditors received
100% of their claims with post-petition interest and shareholders
received stock…
This is the distribution procedure and priority in “the Plan” (Tranche’s 1 thru 5) … it Distributes about $8 Billion Dollars cash to the creditors and also the new company shares to those creditors and old equity holders that gave a release…
This is not the distribution procedure and priority in Annex C… (Tranche 6)
She says…
Quote,
In excess of $7 billion was distributed to
creditors and shareholders. Virtually all creditors received
100% of their claims with post-petition interest and shareholders
received stock and warrants in a subsidiary that was capitalized
with $150 million in new money… unquote
This excerpt shows us, in the Bankruptcy “The Plan” or “The Court” … the creditors received about $7 billion Dollars and shareholders received new company stock.
So, this helps confirm…
That the Bankruptcy Court or “the Plan”, is limited to about $8 Billion Dollars cash and new company shares… (this required a release).
Anything over the $8 Billion Dollars in cash is distributed by Annex C to the Equity holders … this is the Equity holder’s cash and is distributed among the Equity holders. (this does not require a release… more on this later)
From the above 4 excerpts…
We can see the difference between “the Plan” and “Annex C”
And the difference between the distribution procedure and priority in “the Plan” … and the distribution procedure and priority in “Annex C”
We can also see why Tranche’s 1 thru 5 must get paid before Tranche 6.
All the unassociated assets are converted to cash…
$8 Billion in cash is distributed through the Plan to pay the creditors…
The rest goes through Annex C to pay the Equity holders.
Both performed and executed by the Liquidating Trust.
One thing to note…
If the asset isn’t used in the reorganization, then it’s turned into cash.
(so, there’s nothing left)
All unassociated assets are converted to cash…
About are release and APR…
But… before this post gets to long…
I’m going to stop here then continue on a new post.
Before I stop here, I would like to say something about the value of the WMI Estate.
All IMHO…
From page 54 of the DISCLOSURE STATEMENT and Exhibit C …
The WMI Estate is equal to the WMB’s corporate structure ($307 Billion, this from the FDIC and OTS) … plus, the WMI’s Non-Banking corporate structure (about $7.3 Billion, this from Exhibit C, in the D/S).
The WMI Estate is equal to $307 Billion plus $7.3 Billion… which is $314.3 Billion.
The WMI’s, WMB corporate structure is made up of all the Debtor’s Estate assets and part of the non-Debtor’s Estate assets… (these assets were seized by the FDIC)
The WMB’s corporate structure can be broken down into three parts…
The Debtor’s Estate is $32.9 Billion in assets with $8 Billion in Debt.
So, the $32.9 Billion in assets are liquidated and $8 Billion Dollars is applied to the Debt, leaving $24.9 Billion Dollars…
This is the Debtor’s Estate… it’s $8 Billion Dollars in assets plus the $24.9 Billion Dollars in assets. (the Debtor’s Estate makes up the FDIC-R)
If we take the Total $307 Billion Dollars in assets and subtract the Debtor’s Estate $32.9 Billion in assets, we get part of the Non-Debtor Estate $274.1 Billion Dollars…
So, the three parts of the WMB’s corporate structure are…
1.) $8 Billion Dollars in assets… These are Debtor’s assets and are assets unassociated with the reorganizing debtor, these assets are not used in the reorganization, these assets are liquidated and are used to pay the creditors in the Plan.
2.) $24.9 Billion Dollars in assets… These are also Debtor’s assets, and are assets unassociated with the reorganizing debtor… these are not used in the reorganization… these are held by the FDIC-R… but the Debts been paid and so, these assets will eventually go to the Liquidating Trust to be distributed to the equity holders through Annex C.
3.) $274.1 Billion Dollars in assets… These are non-Debtor’s assets and are assets unassociated with the reorganizing debtor… these are not used in the reorganization… these are held by the FDIC-C and will eventually go to the Liquidating Trust to be distributed to the equity holders through Annex C.
If we add up the unassociated assets that are going to Annex C, we get…
$24.9 Billion Dollars, plus $274.1 Billion Dollars, which equals to $299 Billion Dollars
This is the WMB’s corporate structure after the Debt has been paid…
Again, All IMHO…
This is the cash… the FDIC-C and the FDIC-R are holding.
We can also take the WMB’s corporate structure (total assets $307 Billion) and subtract the Debt of $8 Billion Dollars…
And we get $307 Billion minus $8 Billion, equals to $299 Billion Dollars.
This is also, the WMB’s corporate structure after the Debt has been paid.
What’s really interesting is…
The WMI Estate is equal to the WMB’s corporate structure ($307 Billion) … plus, the WMI’s Non-Banking corporate structure (about $7.3 Billion).
Which is $314.3 Billion Dollars…
If we take the $314.3 Billion Dollars and subtract Judge MARY F. WALRATH’s “In excess of $7 billion” or $7.3billion… we get $307 Billion Dollars…
Which is the entire WMB’s corporate structure…
The debt to the creditors is paid from the reorganizing Debtors efforts first… then from the FDIC-R efforts… therefore, the FDIC must wait for the Bankruptcy to close…
The reorganizing Debtors paid the Creditors with cash on hand, plus cash from tax returns and the liquidation of the Non-Banking corporate structure… which Totaled out to $7.3billion Dollars.
So, the entire Debt was paid from the reorganizing Debtors efforts and not from the FDIC.
I believe the entire WMB’s corporate structure $307 Billion Dollars will be coming back to the Equity holders… plus interest.
To illustrate why…
This is from…
the AMENDED MEMORANDUM OPINION page 7,
ROSEMARY M. COLLYER
United States District Judge
“In its role as receiver for a failed depository institution, the [FDIC-R] has a statutory obligation generally to maximize the return on the sale or disposition of the receivership estate’s assets. The receiver distributes any funds realized from its liquidation efforts to the failed institution’s creditors and shareholders in accordance with the FDIC’s priority scheme.”
So, the FDIC-R, sells the WMB’s assets and distributes the funds in accordance with the FDIC’s priority scheme… which is on page 140 of the D/S…
Which is also, the distribution procedure and priority in the Plan and Annex C…
I’ll leave it here… thank you for reading my post.
And thank you all, for all your due diligence.
A special thank you, to GO4AWILDRIDE and muyuan51.
Those that Private Messaged me, I’m sorry but I don’t have that function for Private Messaging.
Stay safe… Stay healthy
All IMHO and GLTA…
Jiminy…
Jiminy Christmas…
Just my opinion, research and curiosity…
Not intended to serve as a basis for investment in any security of any issuer. GLTA
DISCLOSURE STATEMENT
10-K of the WMI LIQUIDATING TRUST Dec 31, 2017 page 4
revised DISCLOSURE STATEMENT page 13… K. Assets of WMI’s Non-Debtor Subsidiaries
MARY F. WALRATH Statement
For those that didn’t release… Just a little Research and all IMHO…
The Escrow CUSIPS, or the Escrow markers… have nothing to do with, any cash or money coming back to those that have, the Escrow CUSIPS or the Escrow markers.
The word Escrow, represents and refers to the last 5.3 million shares, which are in the Disputed Equity Escrow Account. (now only 1.5 million shares remain.)
The word CUSIP is a number that uniquely identifies your old shares, and how many you have.
Put them together, it reads Escrow CUSIPS…
The Escrow CUSIPS or Escrow markers, are paid with shares from the last 5,300,000 shares in the Escrow Account, It’s a distribution of the last 5,300,000 shares, not cash…
Just a thought…
If you take the number of shares available for distribution to your class, and divide by the number of shares released… then multiply by the number of shares you had… you end up with shares… and not cash… So, your Escrow CUSIPS distributes shares.
You don’t get paid cash, for your markers you receive shares…
It’s your LTI or Liquidating Trust Interests, that will be paid in CASH
If you did not release, you still have a Preferred Equity Interests or a Common Equity Interests…
For Common’s, 25% portion, of the new shares …
The distribution of new shares, is calculated using the number of shares released in your class, 1,194,340,178 shares…
For Common’s LTI…
The distribution of cash, (your LTI) its calculated using the number of shares of common stock issued and outstanding as of the Petition Date, which is 1,704,958,913 shares. (link at Bottom)
The LTI, includes all common shareholders … released or not released
All Preferred Shareholders should receive their liquidation preference, released or not released.
This is how I see the Bankruptcy Liquidation.
All IMHO…
I read a post a while back…
I can’t find the post. so, I’m not sure who posted it… (my apologies to you).
It had an excellent quote… short and simple, it was in respect to any assertion or theory…
I’m paraphrasing, but it went something like this…
Quote…
You can’t go beyond the borders of the POR. (plan of reorganization)
unquote…
Excellent quote because, any assertion or theory must fit and be stated and expressed in words somewhere within THE PLAN. (The plan of reorganization)
The first thing we must understand, is… this is a Bankruptcy Liquidation…
All assets must be sold…
So, if assets are generating income, the income belongs to someone else… (JPMC).
The WAMU Estate, received the cash from the sale of the assets.
Every Asset of WMI/WMIIC, must be liquidated…
The Mortgages must be sold…
WAMU creates a trust… WAMU puts Mortgages in the trust, this generates a monthly income stream… WAMU uses part of the income stream to create, Mortgage Backed Securities and sells them to the Mortgage Backed Securities investors…
The WAMU Trust can’t be dismantled or dissolved, not until all the Mortgage Backed Securities are paid in full. This is the safe harbor, it protects all involved with the trust or securities … When all the securities are paid in full… Then the Trust can be dissolved…
The Mortgages in the Trust, are WAMU’s Assets… WAMU’S Assets must be liquidated (Sold)…
WAMU sells the Mortgages to JPMC… Now JPMC, owns the Mortgages in the WAMU Trust…
The Trust still can’t be dismantled or dissolved… but…
The Mortgages, or WAMU’s part of the income stream, and the Trust, now all belong to JPMC…
Here in a statement Dated, Jan 13, 2010 (Link at Bottom)
JPMorgan Chase Testimony before the Financial Crisis Inquiry Commission
JPMC states…
With the acquisition, we purchased approximately $240 billion of mortgage and mortgage related assets… with $160 billion in deposits…. and $38 billion in equity… We immediately wrote down most of the bad or impaired assets (approximately $31 billion) …. and established proper reserves for the remaining assets, ….as well as for severance and close-down costs.
This demonstrates, that JPMC is the new owner of the Mortgages and the Trust…
It also shows, that, with the purchase of the Mortgages, JPMC also assumed the financial obligation to the Mortgage Backed Securities investors. So, the investors still get their part of the income stream.
WMI’s part of the income stream, no longer belongs to WMI, or the Estate… but, they did receive $240 billion for it… JPMC, also purchased the remaining assets.
The FDIC states they have a total of $299 Billion Dollars in WAMU assets…
Quote…” Excludes WAMU with total assets of $299 billion and zero estimated losses to the DIF” (Deposit Insurance Fund) … unquote.
These are the talked about assets…
“the assets are retained and therefore the liquidating trust can go ahead and pursue them”.
This is a Bankruptcy Liquidation…
Everything is sold and turned into cash.
The Liquidation… (plan of reorganization)
After voting and accepting the plan… the first thing that’s done, is cancel all the existing shares… this is done before you are issued new shares…
It ‘obvious… but to confirm this…
Here’s an excerpt from a news release dated July 30, 2012… (Link at Bottom)
It reads…
…In connection with the Distribution, eligible claimants in Class 22 who held shares of common stock issued by WMI prior to September 25, 2008, will receive 0.00076346 of a share of the Company’s new common stock for each share of WMI common stock they previously held. The common stock issued by WMI prior to September 25, 2008 was cancelled on March 19, 2012, the Effective Date of the Plan.
So, a statement, stating the old shares are not cancelled, is not true,
And, it’s outside the borders of the POR…
All WMI shares are cancelled…
No disrespect intended…
This is an example of being outside the borders of the POR. (plan of reorganization)
With respect to the Escrow CUSIPS…
It says in the POR…
The Escrow CUSIPS (or markers), were established solely to facilitate the distribution, of the shares of Reorganized WMI… (WMIH).
So, if your waiting to be paid cash for your markers… it’s not going to happen, because you’re outside the borders of the POR, (plan of reorganization).
The markers are paid in shares, not cash…
Any cash received was because there are no fractional shares… so, for those fractional shares, you received cash… which would have amounted to only change.
To illustrate that the Escrow CUSIPS or Escrow markers only distribute shares and not cash… and, that this statement, is within the borders of the POR…
Here’s an excerpt from a press release dated, March 16, 2017 – WMI Liquidating Trust…
(Link at Bottom)
From the bottom of the press release, it reads…
As stated above, the Escrow CUSIPS were established solely to facilitate potential distributions, if any, of shares of WMIHC common stock. The only source of common stock available for any such a distribution would be from the 1.5 million of shares remaining on deposit in the Disputed Equity Escrow. Specifically, the Escrow CUSIPS do not, in and of themselves, represent an entitlement to any possible future cash distributions from the Trust, WMIHC or the Federal Deposit Insurance Corporation (either in its corporate capacity or as the receiver for Washington Mutual Bank), as the case may be.
re-read, only the words in bold… it’s pretty convincing, (this statement is from – WMI Liquidating Trust, so it’s within the borders of the plan of reorganization) …
The Escrow CUSIPS… here they’re talking about the last 5,300,000 shares that were reserved and are in the Escrow Account… now, there’s only 1,500,000 shares remaining in the Escrow Account.
And to illustrate that your LTI or Liquidating Trust Interests, will distribute the cash … (when issued)
This next excerpt is from the same press release, it’s about the cash distribution…
When you monetize Assets, your turning them into cash…
it reads…
In accordance with the Plan, the Trust will issue Liquidating Trust Interests to WMI’s former shareholders if, and only if, the Trust is able to monetize Liquidating Trust Assets in amounts sufficient to pay-in-full claims held by beneficiaries of the Trust who are senior to members of Classes 19 and 22…
The WMI Liquidating Trust is an extension of the bankruptcy court, and its conformation order…
Anything that needs to be done, the liquidating Trust gets it done…
It then, reports back to the bankruptcy court.
So, anything from the liquidating Trust, is “the plan of reorganization” …
As stated, your Escrow markers or Escrow CUSIPS, are paid with a distribution of shares…
This is explained in every liquidating Trust Quarterly summary report under the title,
: Disputed Claims Reserve... then later under its own title: Disputed Equity Escrow
It’s also in every 8-K filed and 10k filed,
This next part is the 75% and 25% distribution, with respect to a release… And the new shares of the Reorganized WMI…
This excerpt is simplified, but it’s from the CONFORMATION ORDER … (Link at Bottom)
Class 19, page 58,
23.1 Treatment of Preferred Equity Interests
…subject to the execution and delivery of a release
…each holder of a Preferred Equity Interest
…shall be entitled to receive such holder’s Pro Rata Share of seventy percent 70% (now 75%) of…
…the Reorganized Common Stock
…in the event that all Allowed Claims
…are paid in full
…any Liquidating Trust Interests to be redistributed, (moves on to the next claim)
All IMHO…
In order… to receive your part ownership of the new company or your new common shares, you had to give a release…
If you did not give a release for your new common shares, you still have a claim… you just don’t have new company shares…
If you had old company shares, you still have a Preferred Equity Interests or Common Equity Interests…
For your Common Equity Interest LTI…
It’s the cash or Dollar amount available, or returned, divided by the number of shares outstanding as of the Petition Date… which is 1,704,958,913 shares…
Then multiplied by the number of old common shares you owned (your CUSIPS) … This is your pro rata share.
Just a thought…
Cash, divided by shares, then, multiplied by shares… the shares cancel each other out, and we end up with cash… So, your LTI distributes cash…
(The post-petition interest, for Common Equity Interest, would be coming from the interest generated from the cash and investment account).
The amount returned is divided by 1,704,958,913 shares, because… (link at Bottom)
Docket #9365 Date Filed: 1/9/2012
NOTICE OF FILING OF
(A) REVISED PROPOSED ORDER
(B) MODIFICATION OF SEVENTH AMENDED PLAN, AND
(C) DISCLOSURE STATEMENT, AS REVISED
On page 40 of the…
DISCLOSURE STATEMENT FOR THE SEVENTH AMENDED
JOINT PLAN OF AFFILIATED DEBTORS PURSUANT TO
CHAPTER 11 OF THE UNITED STATES BANKRUPTCY CODE
It states…
The Seventh Amended Plan defines “Common Equity Interest” as collectively, (a) an
Equity Interest represented by the 3,000,000,000 authorized shares of common stock of WMI, including, without limitation, one of the 1,704,958,913 shares of common stock of WMI issued and outstanding as of the Petition Date
And if we go to…
Annex C, (link at Bottom)
It states …
…Further, distribution to Tranche 6 will be shared 75% and 25% pro rata between claims on account of Preferred Equity Interests and Common Equity Interests, respectively.
Common Equity Interests is defined as 1,704,958,913 shares of the common stock outstanding…
This includes all common shares… released or not released… so, we divide by 1,704,958,913 shares. (it’s in the plan of reorganization)
Your Common Equity Interests Claim is whatever’s leftover, divided by the 1,704,958,913 shares, then multiplied by how many old common shares you had…
For your Preferred Equity Interests Claim… the amount is a set number… $1000 per share plus the Federal judgment rate of 1.95% times 10 years… Then multiplied by the number of old Preferred shares you owned… This is your pro rata share.
This is your documentation for your, “LTI” … Liquidating Trust Interests… (when issued)
Annex C…
(11) Holders of Preferred Equity Interests and Common Equity Interests will be issued Liquidating Trust Interests in Tranche 6 on account of those interests when Tranche 2 through Tranche 5 Liquidating Trust Interests have been satisfied in full.
So, With respect to when…
it states…
“when Tranche 2 through Tranche 5 Liquidating Trust Interests have been satisfied in full”.
(This includes all employees claims and any court case still open)
So, those that gave your release, you got Reorganized Common Stock and ownership in the new company… You received new shares, and not cash.
(when issued), everyone will receive their LTI… this is the cash…
This cash must go through the Liquating Trust, so that the tax liability is pass on to you… and not remain at the Liquidating Trust.
The 75%/25% cash distribution, that is distributed and applied to your claim, must go through your LTI,
This is explained in the WMI Liquidating Trust, frequently asked question section, and in Annex C.
As Tranche 6 receives its cash distribution …
75% of the distribution to Tranche 6, will be applied to the Preferred claim, until paid in full.
25% of the distribution to Tranche 6, will be applied to the commons claim, until the Preferred claim is paid in full… With the remaining going to the commons…
Just for clarity…
The first 75%/25% was a distribution of shares with respect to the 200,000,000 new shares of the new Reorganized WMI…
From the portion that went to Preferred and commons, 75% went to Preferred and 25% went to commons… after giving a release… these are shares…
This second 75%/25% is with respect to your LTI, this is the cash distribution going to the Preferred claim and the commons claim. To understand their claim, we need to know, what is their pre-petition claim.
IMHO…
For the Preferred Claims…
TPS and Series R or “P”, it is their liquidation preference of $1000 per share. plus, the Federal judgment rate of 1.95% times 10 years…
For Series K, Preferred Stock, it’s their liquidation preference of $25 per share, plus, the Federal judgment rate of 1.95% times 10 years…
With respect to your release… and, Escrow Account.
For your new company shares…
You took the number of new shares available for your Class, and divided by the number of shares that were released… Then multiplied by the number of old shares you owned… This is your pro rata share from the 200,000,000 new WMIH shares.
From the 200,000,000 new shares…
The first 5% or 10,000,000 new shares went to the Settlement Note Holders for their capacity as lenders to the Reorganized Debtor. (WMIH)…
From the remaining 95% or 190,000,000 new shares, 75% or 142,500,000 went to the Preferred shareholders, from these 142,500,000 shares, 2,109,051 shares were placed in reserve for disputed preferred claims… these shares are in the Disputed Equity Escrow Account.
The remaining 140,390,949 shares were distributed to Preferred shareholders.
(This was your initial distribution of new WMIH shares)
25% of the 190,000,000 new shares or 47,500,000 shares, went to the common shareholders.
From these 47,500,000 shares, 4,165,750 shares went to the dime shareholders, 693,806 shares went to principal financial claims, 2,631,933 shares were placed in reserve for disputed common claims… the shares in reserve, are in the Disputed Equity Escrow Account…
The remaining 40,008,511 shares were distributed to commons shareholders.
(This was the common shareholders, initial distribution of new WMIH shares)
The Disputed Equity Escrow Account, contains, the 2,109,051 shares for Preferred disputed claims and the 2,631,933 shares for common disputed claims, for a total of 5,040,984 shares…
(the liquidating Trust states there are about 5,300,000 shares in the Escrow Account)
Its these shares that are distributed to your Escrow CUSIPS or Escrow markers… not cash.
So, Escrow marker were created specifically for the shares in reserve.
When the last 1.5 million shares in the Escrow account are distributed, the escrow markers will disappear…
To illustrate this, let’s backtrack through the liquidating Trust Quarterly summary reports
Using the wording and numbers in the: Disputed Claims Reserve and the: Disputed Equity Escrow
After the initial distribution, approximately 5.3 million shares remained in the Disputed Equity Escrow Account… As the claims are dismissed, these shares are applied to your CUSIPS or markers.
After all the shares are distributed, the CUSIPS or markers are no longer needed.
The Escrow CUSIPS, are only used for distributing Escrow shares, that are in the Escrow account and not cash…
This is the distribution of the last 5.3 million shares…
March 31, 2012, there were approximately 5.3 million shares…
5,300,000 shares remaining
June 30, 2012, there were approximately 5.3 million shares…with a scheduled August 1, 2012 distribution of approximately, 1 Million shares (927,862 shares) to class 22…
5,300,000 - 927,862 = 4,372,138 shares remaining
September 30, 2012, there were approximately 4.4 million shares… with a scheduled November 1, 2012, distribution of, 58,000 shares to class 22…
4,372,138 – 58,000 = 4,314,138 shares remaining
December 31, 2012, there were approximately 4.3 million shares…
4,314,138 shares remaining
March 31, 2013, there were approximately 4.3 million shares… with a scheduled May 1, 2013 distribution of, 1.4 million shares to class 19…
4,314,138 shares remaining
June 30, 2013, there were approximately 2.9 million shares… May 1, 2013 a distribution of, 1.4 million shares to class 19…
4,314,138 – 1,400,000 = 2,914,138 shares remaining
September 30, 2013, the same 2.9 million shares…
2,914,138 shares remaining
December 31, 2013, the same 2.9 million shares…
2,914,138 shares remaining
March 31, 2014, the same 2.9 million shares…
2,914,138 shares remaining
June 30, 2014, the same 2.9 million shares…
2,914,138 shares remaining
September 30, 2014, the same 2.9 million shares…
2,914,138 shares remaining
December 31, 2014, the same 2.9 million shares… approved distribution, but an appeal was filed…
2,914,138 shares remaining
March 31, 2015, the same 2.9 million shares… approved distribution, but an appeal was filed…
2,914,138 shares remaining
June 30, 2015, the same 2.9 million shares… the appeal has been dismissed… approximately 1.4 million shares will be redistributed on the next Distribution Date …
2,914,138 shares remaining
September 30, 2015, there were approximately 1.5 million shares… approximately 1.4
million shares were redistributed on August 1, 2015.
2,914,138 – 1,400,000 = 1,514,138 shares remaining
December 31, 2015, there were approximately 1.5 million shares…
1,514,138 shares remaining
March 31, 2016, there were approximately 1.5 million shares…
1,514,138 shares remaining
June 30, 2016, there were approximately 1.5 million shares…
1,514,138 shares remaining
September 30, 2016, there were approximately 1.5 million shares…
1,514,138 shares remaining
December 31, 2016, there were approximately 1.5 million shares…
1,514,138 shares remaining
March 31, 2017, there were approximately 1.5 million shares…
1,514,138 shares remaining
June 30, 2017, there were approximately 1.5 million shares…
1,514,138 shares remaining
September 30, 2017, there were approximately 1.5 million shares…
1,514,138 shares remaining
We can see, what is meant… when they said…
“The Escrow CUSIPS were established solely to facilitate potential distributions, if any, of shares of WMIHC common stock”.
And…
“The Escrow CUSIPS do not, in and of themselves, represent an entitlement to any possible future cash distributions”.
When the last 1.5 million shares in the Escrow account are distributed, the escrow markers will disappear…
Then we wait for our LTI…
Also… The Deutsche Bank court case, has nothing to do with, any cash or money coming back to those that have the escrow markers.
With all due respect…
And as a legacy WMI, Preferred and Common investor, and a WMIH investor …
thank you… for all your due diligence.
Stay safe… Stay healthy
Sorry for the long post…
All IMHO and GLTA…
Jiminy…
Jiminy Christmas…
Just my opinion, research and curiosity…
Not intended to serve as a basis for investment in any security of any issuer. GLTA
Page 40, one of the 1,704,958,913 shares, DISCLOSURE STATEMENT
JPMorgan Chase Testimony
press release dated July 30, 2012, about shares cancelled on March 19, 2012,
News release March 16, 2017, about the Escrow CUSIPS
CONFORMATION ORDER
Annex C