Mr Cooper Group Inc (COOP)

[Sculan]

Bizreader, have a look in the document, I referenced. That one is explaining the process quite well from my point of view. But as any legal talk it's better you get your own view on that.

The question was, is and always will be, how that structure of WAMU was internally...

DL confirmed, if we believe her of course, that WAMU Holding was not doing the securitization, but WMB was.

So what ONLY IN MY PERSONAL OPINION happend was the following:

WAMU Holding owned all the shares of WMB, WMB was building SPV/ABS/RMBS or whatever it was, and WMB held 100 % of the shares in that vehicle.

So in case, WMB would have become bankrupt, then all those assets would have been bankruptcy remote and fine. But be aware, the reason for having that bk remote vehicle is in first place to protect the investors in that vehicle and not the shareholders of the holding company...

The following is from a 2007 8-K:

Also on October 25, 2007, WaMu Delaware IV used the proceeds of its offering to purchase from Washington Mutual Bank, a subsidiary of WMI (“WMB”), a corresponding amount of the Fixed-to-Floating Rate Perpetual Non-cumulative Preferred Securities, Series 2007-B, liquidation preference $1,000 per security (the “Series 2007-B WaMu LLC Preferred Securities”) previously conveyed by Washington Mutual Preferred Funding LLC, a Delaware limited liability company (“WaMu LLC”), to WMB in exchange for mortgages.

Note, in that case everything was run by WMB, not the Holding Company.