Replies to post #2623 on Dime Bancorp Inc (fka DIMEQ)

[Bluzie2]

The LTW agreement originally required payment of $.01/LTW to convert. That was eliminated as part of the Wamu/Anchor merger. So there's no "purchase" and the question is solely whether the LTWs, at the time of bankruptcy, meet the bankruptcy definition of "equity" or "debt."

Under the Bankruptcy Code, an “equity security” means:
(A) share in a corporation, whether or not transferable or denominated “stock” or similar security;
(B) interest of a limited partner in a limited partnership; or
(C) warrant or right, other than a right to convert, to purchase, sell, or subscribe to a share, security, or interest of the kind specified in subparagraph (A) or (B) of this paragraph.

11 U.S.C. § 101(16) [emphasis added].

Under the Bankruptcy Code, a “debt” means a liability on a claim. 11 U.S.C. § 101(12). A “claim” means:
(A) right to payment, whether or not such right is reduced to judgment, liquidated, unliquidated, fixed, contingent, matured, unmatured, disputed, undisputed, legal, equitable, secured or unsecured;

11 U.S.C. § 101(5)(A) [emphasis added].

So are the LTWs "equity securities" or liabilities on a claim (e.g., debt)?

[BKfinancier]

Mr. Market seems to disagree with you and Mrs. Chamberlain.

[rmanton]

No disrespect intended but if it was that basic and simple, then some very bright deep pocketed private equity firms would not be spending on expensive legal work.

[philipmax]

Ms. Chamberlain's credentials clearly betrays her vested interest in mis-interpreting the LTW documentation.

She was the Cheif Director of Policy of Policy and Economic Research for the Federal Home Loan Bank Board serving the interests of the Federal Savings and Loan Insurance Corporation ,subsequently subsumed to the FDIC a litigant participant in the DIMEQ LTW case.
She was additionally appointed to the Thrift institutions Advisory Council of the Federal Resereve Board of Governors.

Stuffing the Court with self-serving information on behalf of the litigant using University credentials to "impress".

Her selected definition of warrants have already been discredited as this security has been designated as LITIGATIONTRACKINGWARRANT (read as one word or expression and not disected to its component parts) strictly following the money trail to the litigation award and not at the mercy of any security associated with WMI, WAMU, JPM, DIME BANK, or any some-such security. IT is very clear in the disclosure that this was the the only intention of the distribution. To conclude otherwise would mean that the distribution of the LTW was a subterfuge by the issuers to deny its holders of their rightful claim TO THE NET PROCEEDS of the litigation.