TMST Inc. (fka THMRQ)

[akasidney86]

Thanks Navy. That looks great, as 'Tier 1' equity is defined as shareholder equity, and the 'Tier 1' capital ratio required by law is max 4%. Therefore, that $1,000,000 would, by my lay read, allow the bank to make fresh loans of up to a total of $2.5 billion... which would cover the needs of Thornburg.

Sound right? I'm no expert, but that seems to be the way to a green light to me: FBC assumes the THMR paper due in March for a total cost of (a relative chump change amount given what they already have a risk) $1 million more of MP's money, thereby lowering the pistol from THMR's head and ALSO (hopefully) providing them with a source of funds to begin loaning again. I'm sure it's far more complicated than that, but that seems to me to be a viable understanding of the larger moves. All, of course, JMHO.