An excellent analysis by AZCowboy.
I would add that WMI planned the bankruptcy long before the date of the seizure. The filing of the bankruptcy itself was fairly boilerplate, but the intricate details of how to cancel equity and come to an agreement with all others in the form of a POR was complex. The key to the desired outcome of the plan was to cancel equity, which is normal in almost every bankruptcy.
Additionally, several things make it difficult to analyze what happened to the value of the estate, which was the prize being sought by the bad-guys. The value of the estate was in the mortgages and WMI/WMB hid the mortgages in plain sight, which the written law allowed. This act prevented all parties involved in the BANKRUPTCY from mentioning or using the value of the mortgages in the negotiations. It is similar to finding the murder weapon in a murder case, and having the judge disallow it because of how the prosecutor found it. It exists, but no one can mention it, not even in WithCatz DD about the BANKRUPTCY.
However, things are not that simple when dealing with an entity as large as Wamu. It is almost impossible not to mention the mortgages, and, in my opinion, the bulk of the sealed or redacted documents were those that did mention them. They had to be discussed, but could not be used as evidence in the outcome of the negotiations due to how they were protected by law. In other words, as far as the BANKRUPTCY was concerned, the mortgages (the value of Wamu) did not exist. Therefore, in line with existing evidence WithCatz is on track. The bankruptcy is over and there is no value to escrow.
The other difficult thing to keep in mind is the role of the FDIC-R, and the fact that during their receivership and accounting of the assets they can reference the mortgages (of all kinds) at will. Most of the posters on the board have a good idea of their role, but end up overlapping the role of the FDIC-R into areas that have more to do with the bankruptcy than the receivership and accounting of assets of the failed estate. It is difficult to fathom, but the bankruptcy, POR, and the reorganized estate are separate from receivership and accounting of the assets. However, because the estate is so complex, the umbilical cord will still be there until one or more future events cause it to be severed (such as the closing of the P&AA, the settling of all debt, and the disbursing of anything left over).
In addition, it would be foolish to think the closing pf the P&AA will resolve everything, and cause the waterfall to start flowing cash within days.
Mostly fact.
