CBAO9, you sent the following reply to boarddork that I have underlined.
First of all, I would like to thank you for sharing your experience, knowledge and thoughts regarding this case.
In just a few short paragraphs, you have confirmed most of what properly aligned WaMu equity investors (who have signed timely releases by 2/8/2012) have been discussing for years.
Only you have been able to use your knowledge and pull together in a few paragraphs to explain the process that has taken place. No doubt in my view, "the beginning of the end" will start very soon.
Thank you again for everything and keep it coming. This ABSOLUTELY backs up what we have been working on for a long time!
boarddork - It must be Yuuuuuge, and coming soon!
I look to the Outlier entities, namely SPE's, having a significant impact on the value of the estate.
One only has to reflect on the investment titans that have flocked to WMI. Together, and would not doubt some individually, oversee HUNDREDS OF BILLIONS OF ASSETS. Hmmm.. why such a mass of interest?
Christmas is on its way and for those that have waited patiently
- Do you see what I see?
Remember asset backed securities, via SPE's were the underpinning of WMI and its affiliates. Providing robust securitized profits and protecting assets thru the isolation of these bankruptcy remote entities. Yes, as said to the examiner, they will still be there.
Diversity / complexity, within both securitized transactions and consolidation accounting can make if difficult to truly grasp the wealth that lies hidden. For example in consolidation accounting all inter company transactions are eliminated. So the revenue generated to the parent entity by it's subsidiaries are not shown. Reason consolidation is to reflect via one entity concept. Then there are the off - balance sheet transactions.
SPE's that meet the true accounting tests of off balance sheet accounting must still reflect retained interest. Side note if WMB reflects any retained interest it cannot be 100 % of the retained interest in SPE's. Reason - to qualify as true accounting treatment there must be a shared participation. Most likely the amount reflected would be 50 %. Hmmm..wonder whom shares the other 50% participation.
