What's Left Of WaMu Files For Protection
Weil Gotshal & Manges is serving as counsel to WaMu.
September 29, 2008
Washington Mutual Inc. filed for bankruptcy protection in Delaware last Friday, a day after JPMorgan bought its banking assets for $1.9 billion when regulators seized that business.
The 119-year-old bank filed its bankruptcy petition last Friday, listing assets of $32.9 billion and $8.2 billion in debt. WaMu’s filing, which included protection for its WMI Investment subsidiary, listed The Bank of New York Mellon as a major creditor.
Regulators shuttered the $307 billion-asset Washington bank last Thursday, overseeing the sale of its assets and deposits to JPMorgan. Besides representing the largest bank failure in US history the deal marked a new chapter for what had been the nation's largest mortgage lender and left its customers deposits and accounts intacts.
WaMu’s closure came after its customers withdrew $16.7 billion of deposits since mid-September.
The bank’s sale also wiped out the company’s equity including a $1.3 billion investment made by Fort Worth, Texas-based private equity firm TPG in April as part of a $7 billion capital infusion.
Weil Gotshal & Manges is serving as counsel to WaMu.
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