Mr Cooper Group Inc (COOP)

[David West]

"Backed away" sounds like rejection to me

FDIC has never supported the proposed Plan of Reorganization (POR) and has never publicly agreed to anything in the BK process. Rosen stated that there was a ‘universal understanding’ in the works and with that statement implied that FDIC was on board when they were not. You cannot back away from something when you were never close anyway. Regardless, it works out the same because apparently FDIC is not willing to be a player in the POR as submitted.

I think Rosen’s ploy was simply to meet the deadline for filing the POR. There is no way that an attorney of his caliber cannot know how weak the submitted document is, and not know how long the road will be to the final resolution of the BK. The bondholders have not given up, the EC has not even begun, and most of the creditors will go away to WMB/JPM. Every step that Rosen takes that causes WMI to stumble simply gives our team more time at bat. IMO