<br>JPMorgan's Mortgage Putback Risk<br><br>JPMorgan Chase's (JPM) takeover
acquisitions during the recent crisis have left it exposed to lawsuits involving
some of the worst performing subprime deals such as those issued by Long Beach,
WAMU and Bear Stearns. District attorneys recently dropped objections to Bank of
America's (BAC ) $ 8.5 billion mortgage settlement. As BofA's settlement draws
to a close, private RMBS investors, including PIMCO and BlackRock, have pivoted
and are now focused on JPM.<br><br>Mortgage Putbacks<br><br>Mortgage repurchase
claims worth over $ 150 billion have been filed against JPM. WAMU and Lengthy
Beach shelves would be the main contributors. GHD Purple In its quarterly
filings, JPM disclosed over $ 170 billion in putback litigation lawsuits.
Reduction quantities could be less than the disputed quantities as some proceeds
could be recouped in the sale of foreclosed properties. JPM reviews severities,
loss given defaults, are at 60% for loans it repurchased in the
GSEs.<br><br>Takeaway: JPMorgan could lose tens of billions in private RMBS
repurchases.<br><br>(click to enlarge)<br><br>(click to enlarge)<br><br>Uneasy
lies the head that wears ghd iv styler a crown<br><br>RMBS bond holders appear
to be focusing on deals issued by JPM or one of its acquisitions - with more
than 

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