Mr Cooper Group Inc (COOP)

[FORTY-8]

TPS would die first. They don't call it the ABSOLUTE priority rule for nothing. Every one dollar assigned to the value of common = a 10% haircut for preferreds (and TPS).

It's not going to happen. Moreover, 3 of the 4 remaining EC members hold ONLY preferred ... so the likelihood of them voting for a 55% haircut (under your scenario) is wholly doubtful. Would YOU?

So look for another outcome ... one that will ultimately give TPS and the preferreds FV (and even dividends perhaps), while commons get a buck or two, all of the NOLs and ownership in NEW-CO. Such an end result would be nothing short of brilliant; just what Susman is capable of achieving.