Mr Cooper Group Inc (COOP)

[Dmdmd2020]

IHub Post#494095:

Thursday, 11/02/17 09:52:19 AM
Re: None 0
Post # of 574542
As I was researching equity tranches of MBS and CDOs, I found a clear example of how Greywolf was intricately involved with Goldman Sachs in a CDO Trust called Timberwolf I.

https://www.hsgac.senate.gov//imo/media/doc/Financial_Crisis/FinancialCrisisReport.pdf?attempt=2

Per the link from the congressional subcommittee, starting on page 393 (PDF page 400/646):

"Timberwolf I CDO. Timberwolf I was a $1 billion hybrid CDO2 transaction that referenced single-A rated securities from other CDOs. Those CDO securities referenced, in turn, RMBS securities carrying lower credit ratings, primarily BBB. Altogether, Timberwolf referenced 56 unique CDO securities that had over 4,500 unique underlying assets. Goldman served as the CDO’s placement agent, initial purchaser, collateral put provider, and liquidation agent. It also hired a hedge fund with former Goldman employees, Greywolf Capital Management, to act as the collateral manager. Greywolf selected the CDO’s assets, with Goldman’s approval. Goldman took a short position on approximately 36% of the $1 billion in assets underlying Timberwolf.1592"

Page 541 (PDF page 548/646):

"Partnering with Greywolf. Greywolf Capital Management was founded by a team of former employees of Goldman’s fixed income trading division.2357 It had experience in constructing and investing in CDOs. In the summer of 2006, Peter Ostrem, head of Goldman’s CDO Origination Desk, approached Greg Mount, a former Goldman trader working for Greywolf, and asked if Greywolf would be interested in managing a CDO2 transaction.2358 Goldman and Greywolf negotiated a risk sharing agreement, and worked through the profitability of the CDO2 under expected market conditions. Greg Mount, as well as Joseph Marconi, another former Goldman trader, obtained approval from Greywolf’s Chief Investment Officer to manage the CDO.
Greywolf agreed to purchase half of the Timberwolf equity tranche, sharing that risk with Goldman.2359 In addition, Greywolf agreed to share with Goldman the risk of the assets being purchased for the CDO falling in value before the CDO issued its securities. Greywolf also accepted the responsibility of selecting the assets with the approval of Goldman, which would then keep them in a warehouse account for the Timberwolf CDO. Greywolf agreed to provide ongoing surveillance of the performance of the assets in the CDO and liquidate any assets deemed to be impaired."


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IMO...Greywolf's owner, Savitz (Savitz holds more than 5% of WMI), has full knowledge of all insider information of many of the MBS Trusts within the subsidiaries of WMI, since Goldman Sachs was the underwriter for a plethora of MBS Trusts under WMI.

Therefore, I feel comfortable with the fact that if Savitz still holds WMI escrows and WMIH....then I am confident that he is looking for a sizable return from his WMI escrows and WMIH shares.

Per Timberwolf I Prospectus

https://www.hsgac.senate.gov//imo/media/doc/Financial_Crisis/FN2724-2831.pdf?attempt=2

Exhibit B “RMBS Reference Obligations” page B-4 (PDF page 357 of 442)

Approximately half way down the page:

“93934JAN4...WMABS 2006-HE2 M9...Washington Mutual Mortgage Securities Corp.”

_____________________

Per IHub post#498479:

“Sunday, 12/03/17 11:53:40 PM
Re: None 0
Post # of 574546
http://thjf.org/2013/09/21/residential-mortgage-trusts-in-2004/

835 TRUSTS REGISTERED WITH THE SEC IN 2004
WITH OFFERING AMOUNTS TOTALING: $599,934,541,655

http://thjf.org/2013/09/07/mortgage-trusts-in-2005/

1,045 TRUSTS REGISTERED WITH THE SEC IN 2005
WITH OFFERING AMOUNTS TOTALING: $908,928,982,721

http://thjf.org/2013/09/07/updated-mortgage-trusts-in-2006/

1,161 TRUSTS REGISTERED WITH THE SEC IN 2006 WITH OFFERING AMOUNTS TOTALING: $1,002,727,759,469


http://thjf.org/2013/09/25/residential-mortgage-trusts-in-2007/

745 TRUSTS REGISTERED WITH THE SEC IN 2007
WITH OFFERING AMOUNTS TOTALING: $598,417,576,873



http://thjf.org/2013/09/25/mortgage-backed-securities-loan-documents-the-banktrustees/

According to the Federal Reserve, there were about 54.7 million loans in the U.S. residential mortgage market in 2008, for a total mortgage debt of $10 trillion. Most of these loans were made from 2004 – 2007 when Americans were borrowing and refinancing at breakneck speeds. Most of these loans were sold to residential mortgage-backed trusts. These trusts were formed by both government-sponsored entities (“GSEs”), primarily Fannie Mae and Freddie Mac, and by securities companies. The trusts formed by securities companies are often called “private label” trusts.

Lynn E Szymoniak
403 S Sapodilla Ave
Ph 2-5
West Palm Beach, FL 33401-5772
Palm Beach County
Contact Lynn E Szymoniak
[phone]
Send E-mail Contact email address for Lynn E Szymoniak

http://www.legaldirectories.com/Contact-Szymoniak-Lynn-E-Atty-815942.aspx

http://www.legaldirectories.com/Szymoniak-Lynn-E-815942-Atty.aspx


https://www.federalreserve.gov/data/mortoutstand/current.htm

https://www.federalreserve.gov/pubs/supplement/2008/12/table1_54.htm

_____________________

Per IHub post#498578:

Excerpt:

“WASHINGTON MUTUAL ASSET-BACKED CERTS, WMABS TRUST 2006-HE2
$457,265,000
TRUSTEE: LASALLE BANK SUCCEEDED BY BANK OF AMERICA ”

_____________________

IMO...my conclusions as of May 09, 2019:

1) Greywolf and Goldman Sachs are not only intricately involved with each other via Timberwolf I, but they also have insider information on WMI subsidiary created MBS Trusts securitizations because Timberwolf I used “93934JAN4...WMABS 2006-HE2 M9...Washington Mutual Mortgage Securities Corp.” as an underlying RMBS
Reference Obligation.

2) As of 2015, Greywolf owned at least 7% of WMIH common stock :

Per IHub post#494178:

“Thursday, 11/02/17 05:17:37 PM
Re: Dmdmd2020 post# 494095 0
Post # of 574551
Per the SEC filing in 2015:

https://www.sec.gov/Archives/edgar/data/933136/000119312515070176/d838601dpre14a.htm

Page 43

Savitz/Greywolf owned approximately 7% of WMI. “

3) Now by virtue of the Underwriters Stipulation Settlement in March 28, 2013:
The Underwriters (i.e. Goldman Sachs, Morgan Stanley, Credit Suisse) own 1% of uncapped equity Class 19 claim.

Now ask yourself: Why did the underwriters fight so hard to keep their Class 19 claim?

My answer: IMO...The Underwriters (specifically Goldman Sachs along with Greywolf) know exactly how much WMI subsidiary created MBS Trusts will yield as recoveries to WMI Escrow Marker Holders!