Sound,
All these years the Cheering Brigade was harping on 'Corporate Veil' which is correct by law but were always taking the 'escape route' of saying 'anything that they did not know about Assets of erstwhile WMB/WMI' was 'outside of BK Court' in 'BK Remote Safe Harbor' etc. BUT NOW, B Rosen has for the first time said it in 'Writing', in his written response to this BK Court of Judge Walruth, essentially that there are no substantial recoveries coming from 'Remote Safe Harbor' Assets to WMI/COOP(because it is COOP now). All this time AZ et Al said what B Rosen & WMILT were saying in filings 'is correct' but now he is saying we should not 'trust' what WMILT/BR says?? Really???
Here is what has happened, based on what B Rosen is unequivocally stating, which I was suspicious of All the time...
1. FACT: JPMC was in 'severe financial stress' in 2008, not because they had any undue MBS exposure, which they did not, comparatively BUT due to their enormous Derivatives Exposure to Europe and when the GReek & Spanish banks and Irish & British banks went down in Europe, they were facing extinction.
2. FACT: the FED/US Treasury HAD to save JPMC as they were one of the biggest Money Central banks providing liquidity to FOMC Operations which the FED had to expand 'substantially' to save the country and the World economy.
3. the FED Had to find a BIG Bank with BIG Depository Base and which had much superior TIER 1 Ratios - They fpund that in WaMU - the Perfect Candidate.
4. FACT: By Hook or Crook, UST & FED, had to 'scheme' with JPMC, to acquire WaMU.
5. FACT: WaMU Leadership was dead-set against being taken over by JPMC, rightfully so, as they felt they were getting Peanuts for actual Valuation of Wamu.
6. FACT: The UST, FDIC, FED STOLE WaMu for JPMC but had to do 'Legally' n fashion that it would comply "Contract Law" even though they could do things beyond 'their Charter' such as over-riding and 'taking over' OTS, which was the Regulatory Authority for FSBs & their holding companies.
7. So they found the SOLUTION:
The SOLUTION:
The Solution they found was that they just needed to Take over WMB - All its Deposits AND ALL its LOANS and ALL ITS Servicing and 'HAND IT OVER' to JPMC 'Thru an M&A Event' BUT without requiring JPMC to PAY for the (Assets - Liabilities) immediately. This was to allow JPMC 'sufficient time' to 'Keep ALL the Earnings' from those Loans AND The Earnings it will be making from the Depository Base and thereby allow JPMC to 'Survive & Thrive'.
So, what happened is the 'WMB Acquisition Event' has ALREADY Occurred - the One which RON66 has been saying 'in order to consummate' the 'GSA Contract'... AND JPMC has been Reaping ALL the Rewards ALL these 11 years... So whatever 'recoveries' have to come thru WMI/COOP have already come through the 'COOP shares' given.
WAMPQ: ANY recoveries we need to get from 'WMB' side, I think will come only through the MBS Trusts payments to the REITS AKA WAMPQs, directly from those Trusts, those were being accumulated due to the BKs 'Automatic Stay.
WAMUQ: Maybe 'recovery' from Price Appreciation of COOP PPS that we would get IF we 'Held On' to the COOP Stock we were given, I don't see any other Recoveries for WAMUQ Shares.
WAMKQ: I think we will see their redemption Price(FV of $25/PPS) + the Interest accrued from the time JPMC 'acquired' WMB.
Now, I can see Why the Hedgies DID Load up on the WAMUQ Shares on the cheap - at around $.035/share in the couple of days before the 'Cut-off date' for 'POR7 Voting period'... They did this Purely to get a substantial number of WMIH shares and SOLD them on the POP, some of them unloaded at the top when it peaked around $3.50/share after it started trading at $1.00 and the Hedgies also did a 'Further Loading' by driving its PPS to sub-50C level. So, they made around 600% Profits on WMIH Stock - A Very Handsome reward.., Once they saw the R/S Scheme by COOP Leadership, Tepperman EtAl Dumped their WMIH - and pretty much exited out of their entire positions. Those that are still holding are banking on appreciation in COOP PPS... That is All the Recovery we can get for any WAMUQ-converted WMIH/COOP Shares...
