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Ron, could this be connected to the agreement made between JPM, Deutsche Bank, the FDIC and WMI that was agreed on in 2017 or 18? If so, and if my memory serves me right, that was supposed to be the last agreement in the waterfall before shareholders started getting wet. I specifically recall a quote from one of the court filings where JPM and Deutsche Bank had outlined the percentages each would get “if” funds came back from the FDIC. If the FDIC is currently calculating Libor adjustments, that ought to reduce if not eliminate - or even change the outcome to be in WMI’s favor, since both JPM and DB were implicated in the Libor scandal.
In reading Lemoncat's post, and then the entire abstract that was linked in it, it seems to me that an inaccurate interpretation could have been drawn here. To me, the highlighted quote being interpreted as a negative would be contradictory to what the 2 sentences preceding the ones highlighted from Lemoncat's post state:
The previous 2 sentences state:
Everything in your post refers to "any Liquidating Trust Interest to be redistributed."
Once you understand the following, you might be the one weeping, because the balance of the Liquidating Trust Interest (with the exception of funds reserved exclusively for any of its potential legal costs) is zero ($0.00).
The 75/25% ratio was established solely to deal with any substantial remaining funds that the Liquidating Trust would still be required to distribute to legitimate claimants.
The WMILT (Washington Mutual Incorporated Liquidation Trust / http://www.wmitrust.com/WMITrust) was originally and mainly established to handle paying off WMI's outstanding claims. When WMI was determining the amount of funds to distribute to the WMILT (again - SOLELY for it's purpose of paying off the legitimate claims against WMI), funds to cover any shareholder/equity claims were not included.
However, included in the legitimate claims against WMI, there was a fairly sizeable claim that had not yet been settled at the time the WMILT was established. If that large claim had been denied, then those funds would have been distributed to shareholders using the 75/25% ratio.
If the WMILT is still a viable destination for any cash assets that belong to WMI - highly unlikely, given that the Chapter 11 bankruptcy/reorganization is now closed, then the WMILT would be legally required to report any addition of funds to its coffers. Until that happens, I doubt there will be any weeping other than from those who are overly attached to the 75/25% ratio being applied to any funds/money/interests which are beyond the purview of the WMILT.
*************************************************
In response to your post:
"??READ IT AND WEEP!
SORRY, BUT IT'S FOR REAL.
75%-25% Reality Just saying! Stirring the Pot!
Treatment of Preferred Equity Interests. Commencing on the Effective Date, and subject to the execution and delivery of a release in accordance with the provisions of Section 41.6 of the Plan, each holder of a Preferred Equity Interest, including, without limitation, each holder of a REIT Series, shall be entitled to receive such holder’s Pro Rata Share of seventy-five percent (75%) of (a) subject to the right of election provided in Sections 6.2(b), 7.2(b), 16.1(b)(ii), 18.2(b), 19.2(b) and 20.2(b) of the Plan, the Reorganized Common Stock, and (b) in the event that all Allowed Claims and Post-petition Interest Claims in respect of Allowed Claims are paid in full (including with respect to Allowed Subordinated Claims), any Liquidating Trust Interest to be redistributed.
Treatment of Common equity Interest. Commencing on the Effective Date, and subject to the execution and deliver of a release in accordance with the provisions of Section 41.6 of the Plan, each holder of Common Equity Interests shall be entitled to receive such holder’s Pro Rata share of twenty-five percent (25%) of (a) subject to (i) the right of election provided in Sections 6.2(b), 7.2(b), 16.1(b)(ii), 18.2(b), 19.2(b) and 20.2(b) of the Plan and (ii) the rights of holders of Dime Warrants pursuant to the LTW Stipulation , the Reorganized Common Stock, and 9b0 in the event that all Allowed Claims and Post-petition Interest Claims in respect of Allowed Claims are paid in full (including with respect to Allowed Subordinated Claims), and Liquidating Trust Interest to be redistributed.
Equity interest is the ownership share of a shareholder in a business. For example, having a 15% equity interest in a company means that a shareholder owns 15% of the business. An equity interest does not necessarily mean that a shareholder is entitled to a proportionate share of the income generated by an investee.
Equity interest refers to an ownership interest in a business entity, and the concept is based on the premise that equity is equal to ownership. Equity interest can mean many things depending on the person holding the equity or the issuing company. Equity interest can mean any of the following: The partnership interests in a partnership company"
I think most new agencies have a policy to not report on penny stock companies that are on the OTC/OTCQB, because so many of them are scam companies. Once the government labs start reporting their positive/promising analysis regarding Brilicidin to the "right" people, the news coverage will hopefully follow.
I should have been more clear; I was referring to the flu (that had been compared to the corona virus in the post I was replying to) when I said this: "And interestingly enough, no major interruptions in any health care clinic, hospital or shortage of personal protection equipment"
And interestingly enough, no major interruptions in any health care clinic, hospital or shortage of personal protection equipment. Not to mention having to build new hospitals or convert convention centers to handle to overflow of sick people.
Funny how a sudden surge in something that has few if any effective treatments, can make comparing it to a flu (that has a vaccine and effective treatment methods) almost completely irrelevant.
Hopefully an effective treatment will be found soon so that this ordeal can end - and hopefully Brilacidin will feature prominently in that treatment.
Yes, I heard the same thing. I think it was about 28-29 minutes into the audio where the judge seemed to suggest that none of the shareholders would be served by keeping the bankruptcy cases open.
I think Jamie Dimon deserves to be in prison for what he did to Washington Mutual; and in all due respect if the United States Constitution said anything at all about bankers who used their office for personal gain, committed fraud or did not honor the allegiance they swore to protect the United States Constitution, I'm sure that back in 2008 the GOP would have also had their panties in a wad then.
Does anyone know how or if the Griffin objection might affect the closing of the WIIMC bankruptcy? Must the 2 bankruptcy's close at the same time?
What newflow stated is in the document, right there in black and white on page 12:
http://www.kccllc.net/wamu/document/0812229191031000000000005
It refers only to the remaining escrow shares that have yet to be distributed
Here's the original filing from Oct 5th
http://www.kccllc.net/wamu/document/0812229181005000000000002
Somebody better tell all these companies that they can't be where they are then... and this is just a partial list of 4-lettered ticker symbols that are on the NYSE:
AAMC
ABBV
ABEV
ACCO
ADNT
ADSW
AFGE
AFGH
AFGL
AFSS
AFST
AGCO
AINC
AJRD
AJXA
ALEX
ALLE
ALLY
BABA
BANC
CAAP
CABO
CACI
CADE
DATA
DAVA
FBHS
GATX
GBAB
GCAP
HCAC
HCFT
IBIO
JBGS
KAMN
KDMN
LBRT
MAIN
MANU
MATX
NAVB
PAGS
PANW
PARR
QGEN
QTWO
QUAD
QUOT
https://www.nyse.com/listings_directory/stock
Even if there is not an ownership change on July 31st, I think it is still possible for a S4V to happen. I just don't think it will be happening simultaneously with the merger, is all I'm saying.
However, upon the release of WMI's safe harbored assets, and once their restricted cash proceeds from the last 10 years are distributed to the rightful recipients, I believe it would be possible for any remaining illiquid assets to be purchased from escrow owners with shares (or more specifically, the escrow holders percentage of ownership interests in the illiquid assets to be purchased with shares). I would imagine such an offer to be made in a similar fashion as with NSM - each holder of escrows could opt for shares or cash in exchange for their percentage of ownership interest in those particular assets. (But where the purchase of NSM seems to have been protective of shares, maybe with this purchase they will be more protective of cash? I think it was critical for WMIH to purchase a company that has a proven track record in processing/dispensing loans, but with them being a "shell" company, cash would have been more necessary to accomplish this; in the future, shares will speak more loudly to those who understand their potential value.)
Unrelated to the merger with NSM, but related to the S4V scenario, I think it could be likewise with any other assets that may become available; such as if there are any assets that JPM does not want to purchase/pay fair market value for (IE: troubled assets from WMB, old branch buildings, property originally owned by WMB, such as the rumored land in the Permian basin, etc),I think it would be fair and reasonable for WMIH to bid on these possible assets, and for them to at least offer a portion of the purchase price to be done with shares. Certainly the FDIC (who would be facilitating the liquidation process on behalf of the WMB estate) would not hesitate to make WMIH the first potential buyer of anything that they might have to liquidate during their process of reconciliation of the PA&A with JPM. (Perhaps this is another scenario that required the purchase of NSM or similar company first?). However, I think this particular scenario, is probably quite a few months away. And of course with this scenario, I would trust that if the value of assets surpassed what could be offered in shares, then that particular asset would be liquidated and we would receive cash.
As for the safe harbored assets of which WMI is a direct owner (no involvement with JPM or FDIC), it is my understanding that escrow holders own a percentage of their value and so upon release of safe-harbor status, it does seem likely we will see some sort of payment once the SH status is lifted.
For the assets that have been performing (with their cash proceeds now presumably sitting in restricted bank accounts), I think we will receive our portion of that cash. But for the WMI trusts that are not 100% liquid yet, it seems like a good business move, to me anyway, for WMIH to make an offer to purchase escrow holders' remaining ownership interests in them with shares. Not only would this be an acquisition that the company could make with little or no upfront cash, but it would also provide them with additional cash with which to make new loans (they now will have the platform to do so again with the purchase of NSM) because of the guaranteed and subsequent continuing cash infusion; a continuing source of cash that would also cause the share price to immediately increase in value. I believe in this scenario we would potentially see real-time value that would otherwise be delayed as we waited for the cash distributions to happen. Yes, the cash distribution wouldn't happen immediately for WMIH, but a conservative estimate based upon them could be recorded into their receivables which usually translates into an immediate increase in share value.
Additionally, perhaps for those of us preferring to be paid with shares, since we would be helping WMIH increase their ownership interest, maybe we would be offered more shares than the equivalent value at the time of purchase (IE: if the illiquid portion of a trust is valued at 5B, our percentage of that 5B would be calculated into the current equivalent share value).
And for those who don't want shares? Who are concerned about possible dilution? For those who only want the cold hard cash? Then fine, each escrow holder could opt for that - no harm, no foul; it would only mean that the percentage of WMIH's ownership interest in the ongoing trusts wouldn't be increased by their amount (and they would probably receive regular cash distributions on whatever schedule the trust/s have been operating on, whether that is quarterly, semi-annually or whatever).
I think it would be a win-win-win for all concerned.
As for the NSM shareholders who would only be along for the ride during this exchange, how could they cry foul when an infusion (a potentially huge infusion of +24B) of assets and cash is exponentially increasing the value of their shares? It would be no different really than buying another company after this merger is complete; there would be costs involved, whether it be with cash or shares.
This is of course my own opinion. I could be wrong on any number of things, but this has been a complicated matter and there is still much that most of us do not know with certainty.
Large Green,
As much as I would like to receive additional shares, I'm not sure I agree there will be an ownership change. We do know KKR will hold 43% of the company after/upon the merger, but who else is holding greater than 5% which would account for the remaining 8% that would trigger the change in ownership?
(https://investorshub.advfn.com/boards/read_msg.aspx?message_id=140380270)
There are a lot of institutions holding, but from what I can see, no one else will be holding more than 55.85M shares that would make them a 5% holder at the time of merging when there will be 1.117B shares in the combined new company. (1.117B X 5% = 55.85M).
(from the PowerPoint presentation done by NationStar: https://platform.mi.spglobal.com/Cache/1001233292.PDF?O=PDF&T=&Y=&D=&FID=1001233292&iid=4288863)
Right now, with their warrants, KKR owns 68% of WMIH and so their ownership percentage will actually be going down upon the merger.
“An ownership change occurs if immediately after an owner shift or an equity structure shift; the percentage by value of stock of the loss corporation owned by one or more 5 % shareholders has increased by more than 50 percentage points over the lowest percentage ownership of such shareholders.”
(from page 9 of your link:
http://media.straffordpub.com/products/section-382-limits-on-nol-usage-following-an-ownership-change-2011-09-21/presentation.pdf)
I think #3 on your list might be the most important. A disapproval from governmental officials would have a profound effect on everything else on your list. The agenda of the annual meeting would certainly have a different tone, with #'s 4, 5, 6 & 8 becoming moot, and with a huge curve ball being thrown into the theories behind #7.
Not sure what the probability of a disapproval might be (I'm inclined to think an approval is much more likely), but it seems prudent to remain cautious until the official approval has been granted.
I don't think we'll hear anything key before the government gives it's approval. Once it does, I expect the rest will fall into place pretty much as you've numbered them.
From the first page of your linked court document:
"J.P. Morgan Chase Bank, N.A. (as purported Successor-in-Interest to Washington Mutual Bank, WaMu Capital Corp., Long Beach Securities Corp., and WaMu Asset Acceptance Corp.)"
pur·port
verb
past tense: purported; past participle: purported
appear or claim to be or do something, especially falsely; profess.
"she is not the person she purports to be"
synonyms: claim to be, profess to be, pretend to be
what's this then? It's regarding Series B, but still... it is a WMIH filing on January 26, 2018... which is what everyone is talking about.
http://www.secinfo.com/d14D5a.jWap.htm
Quite an interesting read. Thanks for posting this.
https://www.scribd.com/doc/301439944/moller-expert-report-28ss-29-28mtm-29-2c-1-6-2014-docx
Where is your $40B hypothesis coming from? According to the WMIIC Bankruptcy filing (on page 1) WMIIC's estimated assets were between "$500,000,001 to $1 billion."
http://www.kccllc.net/wamu/document/0812228080926000000000001
Since WMI was 100% owner of equity in WMIIC wouldn't that make it an asset to have been included in it's own bankruptcy liquidation process?
Or is it possible that these $500M to $1B assets were allowed to grow and/or mature for 8 years?
From your own yellowed highlights: "as of the Petition Date"
On the Petition Date, they could not have legally listed assets still involved in a very real legal dispute (between JPM and FDIC regarding which assets were included in the 1.88B sale price); a dispute/legal reconciliation process that is rooted in a legal event (bank seizure) that occurred prior to the bankruptcy filing. The legal wranglings regarding the assets transferred with the seizure have legal priority and nothing can be liquidated -or even listed as "maybe eligible for liquidation at some point in the future" - from those disputed assets until the FDIC makes their formal/legally binding decision/final reconciliation. The Bankruptcy Court has had to proceed as if those assets were gone for good until a decision by the FDIC gives them the okay to claim/liquidate them.
The 4 Billion in deposits was settled in 2010.
http://www.nbcnews.com/id/35839280/ns/business/t/wamu-settles-jpmorgan-fdic/
ASM MICROBE 2016 HIGHLIGHTS June 16-20
Opening Keynote Session with Bill Gates
A Conversation with Bill Gates: Bringing the Frontiers of Science to the Front Lines of Development
The event is also being supported in part, by Merck and Roche
http://asmmicrobe.org/
CTIX is presenting on Monday, the 20th
Here is the info again specific to Cellceutix's presentation (as originally posted by Amatuer17)
http://www.abstractsonline.com/pp8/#!/4060/presentation/18096