Replies to post #64865 on Mr Cooper Group Inc (COOP)

[Jestiron]

You wrote:
"...my sincerest hope, since i hold only commons,...that yes, perhaps preferreds could be indeed canceled, if allowed."

Would you hope that the preferred were cancelled if you held preferred?? Probably not based on that comment. Fortunately for those who HOLD PREFERREDS, the decision isn't yours! WOW!

They are called "PREFERRED shares" for a reason, not just a different type that you don't happen to own. In BK, it is the word PREFERRED that makes them valuable IMO!
Yes, there is a possibility that a conversion may be a term of coming out of BK by the court, or by an agreement with the other entities (FDIC or JPM), but, as many have mentioned, the role of the BK Court is to make all classes WHOLE. Conversion of the preferred into common would be a HUGE failure of the court as it applies to the THREE classes of preferred (or TWO if HUQs arent convertible) and would also dilute the commons O/S and force a shift in the ownership percentages (%).

On a tangent, I think we should see an A/S change issued to the SEC if they dilute, yes? I dont know the current A/S and quite frankly, I'm mega late for work!

Have a good day!

Jest.

[Lawrence 147]

Could you make it a little more confusing. (LOL) I don’t see just canceling the commons. I suppose the judge could do that but how would you treat the K’s equitably as there is no conversion other than the 1/40,000 of a million $ hence the $25 value. The HUQ’s and the PQ’s have a conversion rate set. I don’t see any of the preferred getting canceled just yet. As for setting a date, that is exactly why we would have to go to court and discovery, to see all of the illegal acts and when they started. Then apparently WAMU would have to be completely revalued to that date and that in it self would cause a great delay. Any way all of this is speculation and it is based on liquidation not on emerging from BK. I am hoping sense the banks were taken, as were many other assets it should just be a buyout. That would in my opinion mean the preferred are most likely to be paid off and just the commons to be transferred, Why would you take on a 7 ¾ % interest debt today? Always Hope for the best and accept nothing less GLTY.