Washington Mutual Preferred fka WAMPQ

[clawmann]

The P's (and - to a slightly lesser extent - the K's) are such an obvious better investment than the U's at the current respective PPS of each. If I had any U's remaining (I only hold 400 now), I would sell them and buy P's.

For an equal amount of money spent on P's and U's right now, the P's will net you about 5.4 newco shares and the U's only 3.1. At least that is how my math comes out. And that disparity could grow larger if the judge alters the split (which she might do if Class 19, the pref class, votes to reject the plan). This is why the heavy U holders hate TPS and the other prefs, because we are talking about voting to reject the plan; this makes sense from a pref holder point of view, but - because it might cause the judge to alter the split - it threatens to reduce the U's percentage in the newco.

I think a number of U holders have become irrationally attached to specific stock, and rather than ask the critical question "Where do I believe this money would earn a better return going forward from this moment", they engage in all sorts of illogical and emotional thinking. As an example there is the "Logic of of sunk costs". http://en.wikipedia.org/wiki/Sunk_costs