Replies to post #519933 on Mr Cooper Group Inc (COOP)

[BBANBOB]

DMDMD
Gonna be interesting to see exactly how this all works out aint it?????????

[Split T]

Dmdmd2020, I am certainly going to print off your valuable calculations as it is apparent you've put forth a tremendous amount of work and thought into your endeavor. Kudos to you.

Less than a handful of people that I personally know have matched your effort.

[Split T]

Way to Go! Great DD.

[jerrylev]

Dmd, great DD. One small disagreement but important one, is that assets are not the same as cash.

For instance 300B assets are not equivalents to 300B cash but perhaps valued at 10% plus or minus some delta depending on the quality.

For instance a supermarket that has a few billions of meat and produce is not the same as an electronics company with a few hundreds of millions of electronics or a software company that has a few millions of PC.

I have no idea on how to valuate mortgage assets but you get the point.

The other thing is due to the corruption of the FDIC, they can sell a lot to JPM for 1.9B. Nobody knows exactly what was included in the 1.9B price tag because the PAA has a lot of redactments.


"If one believes that a Final Payment from JPMC needs to compensate for the mortgage loans, then JMPC would have to pay $301.828063 billion less $1.9 billion (Initial payment from the Purchase & Assumption Agreement)"


But I like this part and I think it will be closer to what we can be paid:

"JPM claimed on their 2009 annual report that they acquired $264 billion of WAMU assets as of 25Sep2008." Thus $350 billion - $264 billion = $ 86 billion (residual in FDIC-R)

3) Now, if we assume that $86 billion is controlled by the FDIC-R:

$86 billion - $14 billion (WMB Bondholders' claim) - $2.3 billion (DB settlement) - $35.77 billion (WMI beneficial interests in MBS Trusts which are bankruptcy remote) = $33.93 billion

[diamondguru-one]

funny taking this numbers is about

"2 TIMES VALUE PLUS" !!!! Hmmmmm

$90 Billion.....take 90 X .19 cents(per Billion dollars) = $17.10 per Escrow Hmmmm

Hmmmmm "2 TIMES VALUE PLUS"....Dammmmmm I'm good...

[hotmeat]

Nice post Dm. I may not agree with your numbers in regards to the valuation of assets, but thanks for providing some substance in making your compelling case.

[lodas]

DmDmd2020.....taking your figure of approximately 91 billion dollars returning to escrow holders, a cursory calculation of 25 percent to common escrow markers would be around 23 billion....if you take the outstanding shares of Wmi at about 2 billion? at the time of the receivership, that would make the escrow markers about 10 dollars per share....not too shabby...of course, I am dreaming, simply because I hold 195000 escrow markers.... maybe this is why the hedge funds were actively engaged in insider trading, and grabbing the old commons, until Nate Toma spilled the beans on them...anyway, great DD on your part, and thanks for sharing your insight.... you have made my day.....Lodas (who dares, wins)