Leslies: distressed equity is a de minimis residual claim under a debt-dominated capital stack 1 · Aug 12 CY26 sales miss pool-supply decline liquidation & refinancing capital stack · debt-heavy secured loans first in priority unsecured notes second priority subordinated equity ≈ 1% total claims ≈ $744m equity mcap ≈ $6m (≈1%) LESLIE · 8/19 after-hours −3.4% ≈ $207k prices on recap, not growth microscope: equity residual ≈ $0 last in line baseline ≈ $0 after-hrs ticks total claims ≈ $744m overnight tick ≈ $207k ≈ 0.03% of stack micro moves = bid-offer noise CY26 sales miss → decline 1 de minimis debt dominates 2 trades on debt- recovery / recap 3 residual claim: overnight = noise 4 terminal: recap / or liquidation 5