There were shares in the new Mr. Cooper COOP distributed to the holders of all 3 flavors securities, WAMUQ, WAMKQ, WAMPQ with conversion factors for each. And what amounts to litigation tracking warrants, through which further distributions, if any, may be awarded. If you had held to your COOP shares they did increase by roughly 400% since they were awarded. Really was a pretty good outcome generally for the post-petition holders. Pre-petition, not as good, but it was something. I am still looking forward to the end of the Wamu saga. The FDIC still has the seized assets, supposedly. Could be a little, could be a whole lot. But I am just going to keep living life in the meantime, and not pay too much attention to it anymore. I was 51 years old when the whole Wamu saga started. I am now 65.
As far as distressed bond investing, DD is a must, otherwise you will have to depend on being lucky. YMMV greatly. Think first about getting involved in something that involves litigation and ends up taking much, much longer than you ever would have imagined. I made some good trades early after the seizure so it was worth my while. I do not regret my Wamu experience. It was an interesting sideline thing that was going on while I was doing other things. Whatever I get now from Wamu will be gravy, and hopefully I can enjoy some of the fruits, otherwise leave it to my heir(s).
If you have any other questions. please post. Good Luck whatever you decide what you do.
