Mr Cooper Group Inc (COOP)

[marayatano]

Won't happen in my opinion, simply because it would be a gross violation of APR, because lumping DIMEs into Class 18 means they would receive nothing, despite being ahead of equity in priority. (Unless the POR is modified, and DIMEs are given some sort of compensation for being placed in Class 18.) Walrath knows this and her history of upholding APR speaks for itself.

Put it to you this way. Take out the known settlement.

(this is just an example) Judge rules class 18 for Dimeq. If the money stops at Class 16 and Dimeq is Class 18, there is no violation of absolute priority, because the distribution did not pass Class 16 for Class 18 to see distribution.

Now add the settlement agreement. Since Class 16 owns all of WMI2 (because that is where the distribution stopped), Class 16 traded their 100% ownership of WMI2 to EC for dropping the IT allegations.

That is why there is no violation of APR.

That is just an example. Not saying what the judge will rule. I understand Tuesday is the day we will all find out what class Dimeq will be in.

imo