Replies to post #3111 on Washington Mutual WAHUQ Trust Prf (fka WAHUQ)

[Rumble]

Happy to help; I've been following this since WMI filed bankruptcy many years ago. There are a lot of moving parts and it is certainly a complex puzzle.

Let me clarify a few points.

1.) LT should be able to pay most if not all of the remaining 65%. I agree with this statement; when is the question.
2.) WMIH and the LT are completely separate. They do not share obligations or assets in any way. Think of the notes as an asset; the LT distributed the asset to its claimants; they have nothing left to do with notes. WMIH would have paid the note holders directly, nothing would have flowed back through the LT when we received cash earlier this month.
3.) If there is residual value in WMMRC after the notes are extinguished that value will stay with WMIH. The benefit in this case is only the current shareholders of WMIH.
4.) As a note holder earning 13% interest I'm in no particular hurry to have WMIH pay off the remaining balance; except taking too long may erode value and the ability to pay off the balance. Much less of a concern now that 98% of the senior notes are paid.
5.) As a shareholder in WMIH (I too hold shares) we want WMIH to payoff the balance of the notes as quickly as possible to extinguish the interest expense and hopefully maintain a strong balance sheet in WMMRC - or at least some value!