Washington Mutual WAHUQ Trust Prf (fka WAHUQ)

[Rumble]

No, $3.40 per old H or per new LTI share (as I have estimated) is face value redemption or payout. The interest that is currently accruing to your LTI account is nominal. When distributed (unless redeemed by WMIH or Insurance sub) the notes will pay the going interest rate of 13% to its then new holder.

Currently the notes are yielding 13% but the holder right now is the Liquidation Trust, so they are earning the interest. Once distributed the note will be held by the investors (you and I) and the investor will then earn the interest until redeemed. (There is of course the possibility that the note could default - but the risk is much lower now than when it was issued based on market factors in "our" favor, i.e. the housing market recovery and reduced claims on the insurance fund.)