the last weeks we have seen some new numbers for the cayman securities, and some numbers for the performance of the wamu loans at jpm. Together with some old numbers imo there is a update necessarry for the minimum numbers, jpm should pay to wmi.
but let`s start with the old one: "For all the chaps, who ask for a lowball settlement offer, don`t forget, JPM made an offer in march 08 for wmi!:
+ 6.800 mm for the commons (850 mm shares x $8)
included in the deal was also the assumption of some debt
+ 3.400 mm for the preferreds
+ 13.100 mm for the bank bonds
+ 6.800 mm for the holding bonds
+ 1.400 mm other debt of wmi
+ 31.500 mm would have been the total cost for jpm
in september 08 jpm bought jpm from fdic only wmb for 1.888 mm, without the most liabillities, and wmb had additional
+ 7.200 mm injection from tpg
+ 13.230 mm cayman trust assets (old 7.560)
+ 51.930 mm total (old 46.260)
until now that`s v4, but now i fund the loan loss provissions at wamu were at 14.800 mm, and the loan loss rate was at the covered bonds at 0% and at the other loans at 0,5% (remember the famous bloomberg article, with jpm`s downwriting and the comming upwriting, 29,7 billions – 29,1 billions = 0,6 billions expected default from 119 biilions overall, that`s 0,5%. Now take the loan loss provissions of wamu (14,8 billions) and subtract the estimated losses for the 2q and 3q of wamu (10 billions) and you get 4,8 billions more, jpm gained from the firesale.
+ 4.800 mm cash from wmi after subtraction of the Q2 and Q3/08 losses from the loan loss provision (old - 7800 losses q2 and 3/08)
- 1.888 mm price paid to fdic from jpm
makes a total profit for jpm
+ 54.842 mm or 55 billion (old 40 billion)
this is pure core capital, and therefore jpm made unjustified profit with it until now:
54.842 x 16 (allowed are 32) x 0,05(5%) / 12 = 3.656 mm per month (old 2.669), until now x 24
+ 87.474 mm unjustified profit (64.067 old)
+ 142589 mm or $142,5 billion (104 billion old)
so jpm made an illegal and unjustified enrichment of $142,5 billion until now!
And add $3.656 mm every month from now!
And the numbers are from a jpm lowball offer!
i repeat, FROM A JPM LOWBALL OFFER !!!!
