Mr Cooper Group Inc (COOP)

[barefoot123]

Jestiron and Desperado

I was just trying to figure where all the assets went to. The 69B in subprime mtg was in an article that W3 Research posted. Another poster who has 1 and ½ tons of information said it was true, so for now I will go with that and agree that there was 307B of assets. I am not an accountant and maybe the deposits are listed as assets. I am wondering how they at least got dwindled down to the 30B that Justin Nelson mentioned in court. Those higher up in the waterfall got a slice of the pie, but it seems there should be many servings left over even if the mortgages were a total loss.

307B assets
sour loans @ 58% of total is 69B
that puts total loans at 119B
to ease the answer to a stupid question lets just say all the loans were bad and subtract the 119B from 307B and you get 188B assets. If the deposits are listed as liabilities and are not considered assets what else gets taken away from the 188B.


http://www.bizjournals.com/seattle/stories/2009/09/28/story1.html?s=print

Within two hours of the call, regulators took control of a company with $307 billion in assets and sold it to rival JPMorgan Chase & Co. for $1.9 billion, a fraction of what the New York powerhouse led by Jamie Dimon had offered just months earlier.

Under former CEO Kerry Killinger, WaMu had written subprime and option-ARM loans to hundreds of thousands of home buyers with shaky credit, particularly in California. The loans generated healthy fees, and the bank could offload the risk by selling them to firms that turned them into mortgage-backed securities. But when the market for those securities crashed along with the housing market in mid-2007 and borrowers were foreclosed on, WaMu and other banks were left holding large numbers of bad loans. WaMu all but stopped writing these sorts of loans in late 2007, but it was too late. At the end of June 2008, there were still $69 billion of them on WaMu’s books — 58 percent of all its home loans.