Replies to post #131517 on Mr Cooper Group Inc (COOP)

[Texas-Rick]

Thats a great article....In the article it says something to the affect that other stakeholders may say that commons are "out of the money" when in reality they are not...just to better their situation....that is exactly what the WAMU attorney did when he said common was out of the money because...he represents who AT THIS TIME???

Go WAMU

all in my opinion

[climberprof]

Very good article, thank you for posting it.
Eveyone should pay attention to especially page two of that article, here I copy a portion:

"..............
Historically,
US courts have used five factors to make such a determination:

1. Number of shareholders;
2. Complexity of the case;
3. Solvency of Debtor;
4. Cost to Estate outweighs the adequate representation
interest of shareholders; and
5. Whether the interests of shareholders are already represented.

The onus is therefore on the equity holders to convincingly
prove the above factors to the US Trustee and subsequently a bankruptcy judge. Courts have stipulated
that no one factor should be preferred over the others but in dealing with each of the aforementioned issues, it would appear that the third item, solvency, is the ‘make-or-break’ feature regarding the appointment of an equity committee, while the other four points are somewhat easier to illustrate.......
....................."

Happy new year to everyone!

Best
Climber