Replies to post #401633 on Mr Cooper Group Inc (COOP)

[Donotunderstand]

Did the REIT preferred trade? What symbol? (Or are these those shares that got converted to WMI from WMB etc?) (memory is getting weak on details)


And - seriously - if they were trust preferred why are they not in the same tranch as H PIERS which I believe were also trust preferreds . Could they be REIT backed preferreds by not debt of the issuer but equity (i.e. not trust preferreds while still in a different form of equity?)


As I understand it and watched it

Trust Preferreds have been viewed since origination by accountants to use pre profit money to pay dividends and as there is a loan to the parent from the "trust" they are DEBT v Equity. (As we see with H - debt but lowest class of debt)

Since and during the 2008 crash the courts and gov and all players have indeed viewed trust preferreds as debt not equity - thus my question why not in Tranch 4 if trust preferreds?