Replies to post #30627 on Washington Mutual Preferred fka WAMPQ

[marayatano]

Yes, NOL is a variable.

NOL will benefit the reorganized company, but it would take a long time to use the entire NOL, especially if the reorganized company is a little profitable or not profitable at all.

NOL will have an immediate value if an entity comes in and buys out the reorganized company.

There are other examples...

It is not an asset because certain things have to happen in order to utilize it, but to the right entity, it is very valuable.

All NOL is now is "potential" to have value.

imo

[etzetrade]

No, she just thrive a bone to us instead. 5B NOLs is bookvalue, it is probably worth 1.1B market value. So, Preferrds are worth roughly 10-20% of FV.

Instead ruling 4B deposit favor to us, she let JPig gone. Otherwise, JPig would contribute additional 4B in exchange of release. Then, we are in FV.

[dmceng]

GOPHILipgo

IMO

There are numerous assets item that can make A>L. I would not even mention the NOLs in the same context. No reason to.

Take Care
David