Mr Cooper Group Inc (COOP)

[David West]

WMI Liquidating Trust
Case Number:
08-12229
http://www.wmitrust.com/WMITrust

Chapter 11 Case No. 08-12229 (MFW)
Proposed Disclosure Statement 9 January 2012
http://www.kccllc.net/documents/0812229/0812229120109000000000015.pdf#page=170

III. General Overview of The Seventh Amended Plan; subparagraph B, Significant Features of the Seventh Amended Plan; subparagraph 4:

Liquidating Trust:

The Liquidating Trust will receive, manage, and liquidate all assets belonging to the Debtors that are not directly distributed to creditors under the Seventh Amended Plan, apart from the assets allocated to the Reorganized Debtor. These Liquidating Trust assets include potential litigation claims that have not been resolved (by settlement or otherwise) against a number of entities and individuals who may have contributed to WMI’s failure, including accountants and underwriters. Distribution of any money obtained as these assets are liquidated will follow the priority scheme in the Bankruptcy Code, and creditors will be made whole before any money can be distributed to WMI preferred or common shareholders.

Apparently, to many, the first sentence in the paragraph above simply means that WMILT has not received the assets belonging to the debtor, and will receive them at anytime during the life of the WMILT - during or after the court declares the bankruptcy as ended.

VI. Summary of the Seventh Amended Plan; subparagraph D, Liquidating Trust; subparagraph 3:

Liquidating Trust Assets

The Liquidating Trust shall consist of the Liquidating Trust Assets. On the Effective Date, the Debtors shall transfer all of the Liquidating Trust Assets to the Liquidating Trust. The Liquidating Trust Assets may be transferred subject to certain liabilities, as provided in the Seventh Amended Plan or the Liquidating Trust Agreement. Such transfer shall be exempt from any stamp, real estate transfer, mortgage reporting, sales, use or other similar Tax, pursuant to section 1146(a) of the Bankruptcy Code. Upon delivery of the Liquidating Trust Assets to the Liquidating Trust, the Debtors and their predecessors, successors and assigns, and each other Entity released pursuant to Section 41.6 of the Seventh Amended Plan shall be discharged and released from all liability with respect to the delivery of such distributions. In addition, the Liquidating Trust shall assume all of WMI’s rights and obligations pursuant to Section 2.4 of the Global Settlement Agreement, and WMI shall have no further liability or obligations thereunder, to the extent that the transfer to the Liquidating Trust shall not impose any additional obligations or liabilities on JPMC.

The second sentence in the paragraph above clearly states:

On the Effective Date, the Debtors shall transfer all of the Liquidating Trust Assets to the Liquidating Trust.

The debtors (WMI) transferred any asset not exempt from the bankruptcy process to the Liquidating Trust on the effective date of POR 7.

The effective date of POR 7 has passed.