I would assume there are going to be loan portfolio write downs. I just don't expect them to be large enough to justify the current trading price of the stock.
What we know now is that this wasn't some giant Ponzi scheme worth zero the way Bass portrayed it.
Remember that the fund de-levered after the attack, which will hurt distribution potential quite a bit. They can always add leverage once this is all over. For example, they had borrowed $170 million. Assuming an interest rate of 7%, that would cost $12 million in interest. But that $170 invested at 13% would generate $27 million in interest income. So, that's $15 million of income from being levered. I don't recall dividends prior to all this but that could be 1/3 of them.
As I understand REIT laws, a REIT can make a tax distribution in a subsequent year and have it count towards the previous year as long as it is done by the time it files its taxes. So, it is possible they extended tax filing. Take this with a grain of salt because I really don't know.
Perhaps there were enough portfolio impairments to cause a loss for the year.
Part of the lawsuit detailed damages due to lost opportunity. In other words, the money that UDF could have made if Bass didn't allegedly interfere.
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