Mr Cooper Group Inc (COOP)

[monkeyfrog]

Most interesting thing here so far is the new dynamic if/when WAMUq gets the neary 4 billion cash. When the FDIC made there statement that the common was not likely to recover anything they did say that the preffered should file a claim.. meaning to me that there was indeed some value left after the takeover. This was the FDIC's opinion before anyone knew about the 4 billion that apparently is still WAMUQ'S.


http://www.fdic.gov/bank/individual/failed/wamu.html#possible_claims

VII. Possible Claims

On September 25, 2008, Washington Mutual was closed by the Office of Thrift Supervision and the Federal Deposit Insurance Corporation was named receiver. Subsequent to the closure, JPMorgan Chase acquired the assets and most of the liabilities, including covered bonds and other secured debt, of Washington Mutual Bank from the FDIC as Receiver for Washington Mutual Bank. Claims by preferred stockholders, subordinated debt holders, and unsecured senior debt holders of Washington Mutual Bank were not acquired; these claims, together with proof of the claims, must be submitted in writing to the Receiver at the following address:
FDIC as Receiver of Washington Mutual Bank
1601 Bryan Street
Dallas, TX 75201
Attention: Claims Agent
The closure and the receivership do not affect the claims by equity, debt holders or other creditors of Washington Mutual, Inc., the holding company for Washington Mutual Bank.
The holders of equity, subordinated and unsecured senior debt in Washington Mutual Bank are creditors of the receivership for Washington Mutual Bank and should file claims in the receivership for recovery of any amounts that may be due to them. Please note that under federal law, 12 U.S.C. § 1821(d)(11), claims by equity and subordinated debt holders are subordinated to claims by general creditors of the institution. At this time, the FDIC as Receiver for Washington Mutual Bank does not anticipate that equity and subordinated debt holders will receive any recovery on their claims.

Preferred stock, subordinated debt, and senior debt holders of Washington Mutual Bank need [/B] to file a claim. [/U]

Note= last updated Setember 26th 2008

Fast forward to this week- If the FDIC thought preffered stock holders and senior debt holders might get paid WITHOUT the 4 billion in assets- looks to me that our deep pocketed fellow common holders will most certainly make a case for everyone getting something.

IMO Buy the preffered if you really want to take a looooong term outlook here, or take a shot at the common which will likely have several "tradeable" events going forward thru the reorganation process.