Replies to post #682142 on Mr Cooper Group Inc (COOP)

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Doreen Logan’s Reply
March 3, 2022

Various parties have speculated over time relative to purportedly hidden or missing assets; however, as was evident from the Trust’s Schedule of Assets; the Disclosure Statement for the Plan; the Trust’s SEC filings; statements before the Bankruptcy Court; and the Trust’s FAQ, that is not the case. The Trust and its personnel marshaled the assets that were owned by WMI at the time the Chapter 11 proceedings commenced and liquidated such assets, thereby enabling significant distributions to stakeholders of the estate.

Specifically, I direct your attention to the following FAQs that may address your questions:

3. Other than as reported in its Quarterly Summary Reports and/or filings with the U.S. Securities and Exchange Commission, is the Trust holding any assets that are “Off-Book”, “Safe Harbor Assets” (e.g., “Washington Mutual Capital Trust 2001”, “Posit”, or “Retained Earnings”) or other assets? Is the Trust entitled to any income, cash or other forms of value related to the legacy home loan servicing operations of, or securitization transactions sponsored or consummated by, Washington Mutual Bank or its affiliates?

There are no material assets of the Trust other than the cash described above and any potential recoveries arising from the LIBOR litigations. As the Trust disclosed during the pendency of its Chapter 11 proceedings, all of the Trust’s material assets were disclosed by the Trust from time to time in its Quarterly Summary Reports and/or SEC filings and no assets were or are “hidden” or “unreported”.

The Trust’s administrators are aware that certain individuals who have expressed an interest in the operations of the Trust (e.g., legacy shareholders of Washington Mutual, Inc.) have suggested that the Trust is hiding assets or is entitled to value from the Washington Mutual Bank receivership or from legacy home loan servicing operations and/or securitization transactions engaged in by Washington Mutual Bank and its affiliates. Such suggestions are inaccurate: the Trust’s unaudited financial statements disclose all of the Trust’s material assets. Additional information regarding the Trust’s assets as of the Effective Date can be found in the Global Settlement Agreement, Disclosure Statement and Confirmation Order. We also refer you to the Trust’s Quarterly Summary Reports and SEC filings.


5. What role did Washington Mutual, Inc. play in connection with securitization transactions sponsored by Washington Mutual Bank and its affiliates? What role did (or does) the Trust’s former liquidating trustee play in connection with such securitization transactions?

Contrary to assertions by various parties on message boards and other media platforms, Washington Mutual, Inc. did not have any role in connection with securitization transactions consummated by Washington Mutual Bank and its affiliates. Specifically, Washington Mutual, Inc. did not sponsor, guarantee or otherwise participate in such securitization transactions. Relatedly, Washington Mutual, Inc. did not hold any certificates issued in connection with such transactions, including any “R” or “residual” certificates issued in connection with such transactions. Finally, it also has been suggested that the Trust’s former liquidating trustee, William C. Kosturos, served and/or is currently serving as the trustee of one or more special purpose entities or statutory trusts that were used to consummate one or more securitization transactions. That suggestion also is inaccurate: Mr. Kosturos has never had any role in, or served as a trustee for, any securitization transactions sponsored by Washington Mutual Bank and its affiliates.

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I hope this clears up any confusion.

Best wishes.

Doreen Logan
Controller/Treasurer/Trust Administrator
WMI Liquidating Trust (canceled effective December 31, 2021)