Mr Cooper Group Inc (COOP)

[ron_66271]

That Depends on the Interest Rate.

I don’t believe it is that high yet.

Then did the discussion start at referencing the $25 Billion?
?Six years, eight years after the plan as implemented?

RE = $20.78 Billion.
T = time in years.
R = interest Rate expressed as a decimal.
DCR1 = $25 Billion, said value from discussions.
DCR2= new DCR value.

The formula;
DCR1= RE(1+R*T)

Now solve for R.
R = 1/T(DCR1/RE-1)

With a different interest Rate calculation based on a different time span.

Example;
If the $25 Billion discussion stated six years after plan implementation (early 2012), then DCR2 becomes $26+ Billion at R = 2.54%.

Eight years;
DCR2 = $28.5 Billion, R = 3.34%

The interest rate looks high to me for the time period of 2018-2020, but Rosen did say that ‘they got a good deal’.



Ron