NYSE To Suspend Trading In Washington Mutual, Inc. And Related Securities - Moves To Remove From The List

NYSE Regulation”) announced today that it determined that the following NYSE listed equity securities of Washington Mutual, Inc. (the “Company”) should be suspended immediately. All three securities were halted at the NYSE market open on September 26, 2008,  in order to review the news events noted below.

WM	Common stock
WM PR K	Depositary Shares Each Representing 1/40,000th Interest in a share of Series K Perpetual Non-Cumulative Floating Rate Preferred Stock)
WM PR R	7.75% Series R Non-Cumulative Perpetual Convertible Preferred Stock

NYSE Regulation determined that these securities are no longer suitable for trading in light of the news announcements regarding the fact that JP Morgan Chase & Co. has acquired all the deposits, assets, and certain liabilities of the Company’s banking operations in a transaction facilitated by the Federal Deposit Insurance Corporation (FDIC), effective immediately. Excluded from the transaction are the senior unsecured debt, subordinated debt and preferred stock of the Company’s banks. In making its determination, NYSE Regulation also considered the substantial reduction in the scope of the Company’s operations as a result of this transaction and the uncertainty regarding its effect on the Company’s equity holders.

In addition, NYSE Regulation also noted the Company’s subsequent filing for Chapter 11 protection in the US Bankruptcy Court in Wilmington,  Delaware. 

Lastly, NYSE Regulation considered the abnormally low price of the Company’s common stock in pre-market trading on September 26, 2008,  with trades as low as $0.15 prior to the regulatory trading halt in the Company’s securities at the NYSE market open.

The Company has a right to a review of this determination by a Committee of the Board of Directors of NYSE Regulation. Applications to the Securities and Exchange Commission to delist the issues are pending the completion of applicable procedures, including any appeal by the Company of the NYSE Regulation staff’s decision. The NYSE noted that it may, at any time, suspend a security if it believes that continued dealings in the security on the NYSE are not advisable.

 

See Section 802.00 of the NYSE Listed Company Manual for continued listing criteria and procedure for delisting