Washington Mutual files Chapter 11 plan

[BumRushDaShow]

Source: MSNBC/AP

DOVER, Del. - Washington Mutual Inc. filed a Chapter 11 reorganization plan, two weeks after resolving a $4 billion dispute with JPMorgan Chase & Co. and the Federal Deposit Insurance Corp.

The FDIC seized Washington Mutual's flagship bank in 2008 and sold its assets to JPMorgan for $1.9 billion. The sale resulted in the two banking companies and the government agency trading lawsuits over roughly $4 billion in disputed deposit accounts following the largest bank failure in U.S. history.

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As part of a compromise reached this month, JPMorgan has agreed to turn over the $4 billion to Washington Mutual in return for 70 percent of the tax refunds expected from WaMu's prior operating losses, which are valued at about $3 billion.

WaMu would get about 40 percent of the tax refunds resulting from a second round of operating losses, which are valued at about $2.6 billion. The remaining 60 percent would go to the FDIC.

Read more: http://www.msnbc.msn.com/id/36072574/ns/business-us_business/

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Tax refunds to them? :banghead:

[Rapier09]

1. The system is geared towards those who play it

Not those who need its help.

[customerserviceguy]

2. Washington Mutual used to be a great bank once

When it was just in Washington State.