Dime Bancorp Inc (fka DIMEQ)

[Madclown]

The entire award wasn't subject to gross up, only the damages portion. In the scenario where we get the $356 million plus the $63 million I believe there is $169 million that was not subject to gross up. That's why the Tax amount called for in the writeup exceeds the $144 million grossup by approx $66 million. The gross up was allowed for in many of these legacy Goodwill cases to make the damages portion tax neutral at the "Bank" level. By adding in the gross up and then taxing the entire award it effectively renders the portion subject to gross up tax neutral.

If there are still some folks holding these LTW since their original issuance they probably have a strong case as to why they should not pay tax at the individual level in the event that they receive a distribution. I'm not so sure someone who purchased the LTWs in the open market after that time has such a strong argument. That's why I suggested contacting the IRS to avoid any doubt.