Replies to post #515954 on Mr Cooper Group Inc (COOP)

[JusticeWillWin]

We know that JPMC got "only" $258,576,810,000 in assets, according to this FDIC page (in the middle of the page, search for "washington mutual")

https://www.fdic.gov/bank/individual/merger/2008/closebmerger.html

Here is a screenshot:



And according to the inception balance sheet, there were $298,791,522,367 assets at inception. There is a negative(!) -$40,214,712,639 in parentheses (the yellow marked line) "asset related equity adjustment".

NOTE: That is exactly the sum of the $13,835,062,288 liabilities of the not assumed WMB Notes (senior and junior) and the complete remaining "Net Assets" of $26,430,109,131 (plus some minor "Administrative Liabilities") ==> see the orange lines and calculation



Adding those "excluded" $40.2B to the $258,2B from the first link you have the $298B assets again.

I do not believe that the 40.2B were a correction to market value. You remember, JPMC wrote down the aquired assets by (another) $30B after they acquired them. That would mean down $30B in addition(!) to the -$40.2B (or -$26.4B if you leave out the bonds)??? I don't think so.

In my opinion, JPMC got not everything, but all the other predictions of $300B or more coming back ignore the fact that JPMC also assumed most of the liabilities (including all deposits).

Your post:

Problem is that we don't know what JPM got for 1.9B? We can say we should we would all day long and it is still a done deal, water under the bridge.

We need to go back and study the PAA to see what is included in the 1.9B? Some assets such as SH are off limit to JPM. And assets that WMI owns are also off limit to JPM. Off limit only means that JPM has to buy at fair value but I think that everything that JPM wants hae been sold. There are a number of risky subprime loans that JPM didn't want to buy. What was bad in 2008 may be good in 2018,

My guesstimate is that there are 50B of assets that JPM has to pay 5B to get it.