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Have you got a Monthly chart showing the "pincher"?
Coach T
My guess is that the MOR's are delayed either because of weather...or because the Debtors are going to be releasing MOR's with updated Balance Sheet info.
My guess with the Examiner is that if weather did not cause the delay...he is getting the court on board with the "List" he wants released...
Just my opinion...
Coach T
While that post is accurate it has absolutely nothing to fo with the MOR's.
That post is correct, but it is rescheduling the dates that are pertinent to the Barclays hearing...
There have as yet, been no updated MOR's. nor has there been any "List" posted by the Examiner...which was supposed to be out by Feb 15.
Stay Tuned...the Perfect Storm is getting ready to make landfall...
Coach T
So where is the List???
“The job of an examiner is to get to the bottom of things, so good ones don’t shy away from taking on the big guns,” she said in an e-mail.
JPMorgan was New York-based Lehman’s main short-term lender while the U.K.’s Barclays bought Lehman’s brokerage for $1.54 billion. Walt Disney Co [House of Mouse]., a Lehman creditor, asked for an examiner to be appointed and was backed by Bank of America Corp., Harbinger Capital Partners Special Situations Fund LP and the U.S. Trustee’s office.
By Feb. 15, the examiner said he expects to compile a “final list” of protected information that appears in the report. While some individuals have already agreed to let him make public what they told him, the judge must decide if the report should be published if he can’t get agreement from everybody, he said in a separate filing yesterday.
Looking for the new MOR today...hoping it has some balance sheet numbers so we can see progression in the ASSET side of the equation. I am also hoping for continued reductionin Liabilities through negotiation.
The Examiner was supposed to have a "List" out by the 15th of items that are in the report. It just won't identify any names. Which is fine with me.
I don't have to know who is responsible just what they did to take away the Lehman assets.
Coach T
Lehman Liquidators Challenge Claims (Excerpt)
Financial Times http://www.ft.com/cms/s/0/e0e45b72-180a-11df-91d2-00144feab49a.html
(This is a great example of the bogus claims being filed)
Mr Marsal, who has branded some of the claims “outrageously unreasonable”, argues that the banks exploited a loophole in derivatives regulations that allowed them to make claims for the theoretical, rather than actual, cost of replacing the trades.
Lehman Brothers Holdings’ figures show that, the day before Lehman filed for bankruptcy, the company was actually owed money from its derivatives counter-parties. However, following the bankruptcy, the banks filed claims for a total of $51bn.
“The claims figures just don’t add up, and some of the most aggressive claims are clearly unsupportable,” Mr Marsal said.
The large banks involved in the Lehman claim declined to comment or could not be reached, but bank executives said the claims were valid and they would defend them.
Coach T
No I don't think that bogus claims are included on the Balance Sheet yet. Those are still being contested.
As of the June 30, 2009, Balance Sheet the Liabilities came down about $8B. I think this continues to a major focus of A&M to reduce outstanding payments by negotiating.
I think that creditors are now having to negotiate with Lehman instead of just ignoring them because they are in BK. This is in light of all the court rulings in Lehmans favor.
Just my thoughts...
Enjoy the Ride!
Coach T
The Examiner is supposed to come out with a list by the 15th of February...I believe that he is going to release this "list" to let everyone know what broad categories of findings he has.
Due to confidentiality agreements that have not been approved to release all details, I think we will get information on the WHAT, just not the WHO...
Stay Tuned.
Coach T
It would not surprise me to see the most recent MOR come out today after the close...
The question is...will this be the MOR that has the new balance sheet in it and how will values be affected by the improvement in the marketplace.
Also, it would not surprise me to see the liability side continue to be reduced...last June 30, 2009 numbers had assets of $272B and Liabilities of $316 for all Total LBHI Controlled Entities.
Enjoy the Ride!
Coach T
IMO, it is THE MOST LEVERAGE one could get with the risk of $.10 or less. If it goes to $1.00 you would have a 10 bagger plus.
There is still alot of unfinished business yet to be revealed.
Do your own homework and listen only to yourself.
and...
Enjoy the Ride!
Coach T
Evercore Takes Stake in Trilantic Capital Partners Fund
http://online.wsj.com/article/SB10001424052748704337004575059740335801792.html?mod=WSJ_Deals_LEFTTopNews
By PETER LATTMAN
Evercore Partners Inc. has taken a stake in a fund managed by Trilantic Capital Partners, the former private-equity arm of Lehman Brothers Holdings Inc.
The deal, announced late Thursday, gives the firm an interest in Trilantic, a New York-based firm with $4.5 billion under management and stakes in more than a dozen portfolio companies, including Sram LLC, a Chicago-based bicycle components maker, and Angelica Corp., a Chesterfield, Missouri, hospital-linens provider.
Under terms of the agreement, Evercore will get a minority interest in Trilantic's current fund in exchange for Evercore restricted shares. Those shares, which vest at the end of 2014, are set at a minimum value of $16.5 million. Evercore has also committed up to $50 million to Trilantic's next fund when raised, also in exchange for an interest in the profits of that fund.
The transaction highlights the complicated relationship publicly traded investment banks have had with their private-equity units, whose results can increase earnings volatility and potential for conflicts.
As a result, some firms have decided to jettison their buyout arms. Late last year Greenhill & Co. spun out its private-equity arm into an independent entity, a move that reshaped the boutique investment bank into a pure advisory firm.
The Trilantic deal also raises questions about Evercore's commitment to its own private-equity business, Evercore Capital Partners. That unit's $660 million current fund is fully invested and there are no plans to raise a new fund, according to people familar with the firm.
As designed, the Evercore-Trilantic alliance will give Evercore the potential to reap profits from private-equity investments while giving Trilantic the opportunity to use Evercore's bankers to locate deals.
The deal with Evercore comes a year after Trilantic spun out of the bankrupt Lehman. As part of that deal, the Lehman estate retained a substantial interest and South African businessman Johann Rupert also made an investment in the firm, which is run out of New York by Charlie Ayers and Danny James.
Evercore, too, has deep Lehman connections. Chairman Roger Altman and Chief Executive Officer Ralph Schlosstein both were senior executives at Lehman earlier in their careers.
Evercore shares rose 35 cents, or 1.2%, to $30.09 in 4 p.m. New York Stock Exchange trading.
Write to Peter Lattman at peter.lattman@wsj.com
More assets that are under the radar...
Coach T
Commons look like they are sold out here...some positive divergences starting to appear. Thoughts anyone???
I think we will see some info on the Examiner's report sometime next week. Just a hunch. Also, looking for the new MOR by the 15th...new balance sheet showing improvement would be a nice spark on some dry Lehman kindling.
Enjoy the Ride!
Coach T
I do not know about that one. Sorry...
Coach T
That is a possibility...however, based upon how fast a law firm in Atlanta was on the submission to the court for an EC back in Sept./Oct. of 2008 and the number of eyes on this subject...
I think you will see a fast response by law firms clammoring to get in and earn juicy fees to protect "the "Shareholders".
Remember, when the last EC was declared too early in the process, none of what we know now was available. I think there was barely $1.5B in cash at LBHI on hand...if that.
The Lehmans have gained a lot of momentum from A&M and the other Law Firms' efforts. The big money is waiting to make certain there will be assets to spread around and reduced claims against them.
Coach T
I agree Brikk...it needs to be monitored. There are plenty of eyes on this matter. However, we need some concrete facts which I believe either have come out (under seal) or are soon to be released in the new balance sheet.
Let's see what happens after that.
Coach T
Thanks for the kind words...glad to hear you share the same perspective.
Enjoy the Ride!
Coach T
Nice one VIVA!
I was looking that direction this morning when I saw the activity. When the bid drops you were right there...
Coach T
I find the wording very interesting...especially the inclusion of the word "CLAIM".
I am not certain of how it comes out, but when an important document contains the word "Claim" on something I own it puts a smile on my face.
If you restrict supply there must be value.
Just my opinion...
Coach T
CLAIM???
Taken from Ammended Docket 6699 and 7038
Security.
A “Security” shall be any claim against any of the Debtors, including, without limitation
(i) any claim against any of the Debtors as a
guarantor and (ii) the following classes of preferred stock of LBHI:
(a) 5.94% Cumulative Preferred Stock, Series C;
(b) 5.67% Cumulative Preferred Stock, Series D
(c) 6.50% Cumulative Preferred Stock, Series F;
(d) Floating Rate Cumulative Preferred Stock, Series G; and
(e) 7.95% Non-Cumulative Perpetual Preferred Stock, Series J.
In calculating the amount of any Securities hereunder, any applicable intercreditor agreements, including subordination agreements, shall be given effect in accordance with their terms. Nothing contained in this Paragraph 7(n) shall be deemed an admission of a party or be used by any party for any purpose other than compliance with the Order and shall not constitute an admission or evidence by any party with respect to Securities of the Debtors.
Oh yeah...
Coach T
SOMETHING COULD BE UP!
The February 10th hearing has been cancelled!
I wonder what that means?
Weather?
Deal in the Works?
The Judge wants to concentrate on getting approvals to get the Examiners report out?
Stay Tuned...
Coach T
That was the one set previously...I want to say it was from May or June of 2009.
Coach T
Don't stop VIVA.
YOU ARE ON A ROLL BABY!
Coach T
Don't look now but Franklin Recources, Inc. just filed a SEC Form 13G/A statement disclosing their holdings of 5% of Lehman common upon conversion of their Preferred Shares!
Footnote to Schedule 13G
_________________________
1 Includes 36,710,398 shares of common stock issuable on conversion of preferred stock
(as computed under Rule 13d-3(d)(1)(i)).
Coach T
Coming up on the middle of the month after the Feb 10 court date...the newest MOR...will this one have the updated balance sheet? Has been coming out on the 14th or 15th. Will it go thru Sept 30, 2009 or Dec 31, 2009?
Oh, the drama...
Hang on to your britches here folks. The news is going to be fast and furious from now until March 31, 2010, on Reorg day!
Coach T
Hey Inter:
Thank you for wanting to buy Lehman shares.
I am a current holder of more than 4.5% of the Preferred Shares. At this point, I own 2.8 MILLION shares of C/T's and Preferreds (no Common). I currently believe that when it comes down to having to sell/tranfer my interests, that the shares will no longer be trading for pennies.
The "sell order" if approved, and if implemented, during the "reorg" plan will in and of itself, dictate, that the shares will have far more value than today.
When it gets to that point, buyers will be wanting to buy shares at much higher prices because the picture will be much clearer at the end of March as to who gets how much.
This is all my opinion of course...
However, my cost basis is so low on the 4.5% that I own, there will never be any reason to sell. If they end up worthless, so be it. At this point, it does not cost me much to be "all in". Just wait it out. My kids will know the outcome.
Good Luck to You...
Coach T
This is interesting...
Elliot Management has just been added to the LBHI Creditors Comnittee.
Guess the "Ad Hoc Committe" was not close enough to the action.
Coach T
Do you think it takes 2,200 pages to tell the world that Lehman just collapsed after 150 years by itself?
Me thinks that Mr. Valukas has a few things he wants to get off his chest and tell the world. Maybe...he will try and use this document and body of work to put his law firm and reputation to use in the political arena. We will hear the real story.
They are redacting this just like they did with the Trustee's Barclay's info. It will come out.
I am thinking that part the new Lehman will become a legal team themselves. Sounds like they will have plenty of criminals and institutions to go after.
Enjoy the Ride!
Coach T
UPDATE 1-Lehman Brothers examiner ends probe of collapse
Mon Feb 8, 2010 4:26pm ESTStocks
http://www.reuters.com/article/idUSN0820300520100208
* Lehman Brothers examiner completes probe
* Examiner says to file 2,200 page report
* Says report should be made public as soon as possible
* Court says report can temporarily be filed under seal
By Emily Chasan
NEW YORK, Feb 8 (Reuters) - The court-appointed examiner investigating the collapse of U.S. investment bank Lehman Brothers Holdings Inc revealed in court documents on Monday that he has completed his probe and is ready to file a report with the court.
The probe has resulted in a 2,200-page report, excluding appendixes, that the examiner said should be made public as soon as possible.
Anton Valukas, chairman of law firm Jenner & Block, was appointed as examiner in the case in January 2009. He was given the task of reporting on issues surrounding Lehman's collapse and how it pursued the sale of key assets to Barclays Plc (BARC.L). He was also asked to look for evidence of fraud, dishonesty or misconduct.
"The examiner has completed his report and believes that it should be a public record open to examination," attorneys for Valukas said in a court filing on Monday.
Valukas received permission from U.S. Bankruptcy Judge James Peck on Monday to temporarily file the report under seal so that the parties involved could address concerns about confidentiality and privileged information.
When Lehman filed for bankruptcy in September 2008 with more than $600 billion in debt, it was the largest bankruptcy in U.S. history. Many said its collapse helped trigger the worst parts of the U.S. financial crisis.
Under U.S. bankruptcy law, an examiner can be appointed in any bankruptcy case if someone requests it and the court finds the company's debts exceed $5 million.
The case is In re: Lehman Brothers Holdings Inc, U.S. Bankruptcy Court, Southern District of New York, No. 08-13555. (Editing by Steve Orlofsky)
Coach T
GOOD LUCK TO ALL!
The Perfect Storm...
Coach T
Linda Sandler has this out already!
Lehman Examiner Seeks to File Sealed Report on Investigation
February 08, 2010, 04:05 PM EST Story Tools
http://www.businessweek.com/news/2010-02-08/lehman-examiner-seeks-to-file-sealed-report-on-investigation.html
By Linda Sandler
Feb. 8 (Bloomberg) -- An examiner hired to probe Lehman Brothers Holdings Inc.’s $639 billion bankruptcy asked a judge for permission to file under seal a report investigating whether banks such as JPMorgan Chase & Co. and Barclays Plc triggered or improperly benefitted from Lehman’s bankruptcy.
Examiner Anton Valukas said today in a court filing that confidentiality agreements with people he interviewed prevented him from publishing the report immediately.
Link to Company News:{LEHMQ US <Equity> CN <GO>} Link to Company News:{JPM US <Equity> CN <GO>}
Coach T
Yes Siree, Paid...Yes Siree...
The big money should not be far behind. They will get to see touch and feel this report before anyone.
In the meantime, I guess I can wait a little longer. Hope everyone was able to get as many shares as they wanted. I don't think they will be here much longer...IMO. Make your own decisions.
Coach T
Classic Viva...
Coach T
I understand Paid...but that is not how it reads.
Please read when possible and give us your thoughts.
Coach T
HEADS UP!
The Examiner is ready to file his report...according to Dow Jones News Wires. Correction...according to Reuters
THE REPORT IS 2,200 PAGES LONG! Excluding Appendices...
He is initially requesting it be filed under seal and then he wants it released to the public.
More to come I just saw it come across...
Judge Peck has granted his request to file it temp. under seal...
Coach T
I disagree...I do not believe that there are alot of 4.5%+ Preferred Shareholders.
It appears that each class C, D, F, G, J, etc. are each separate for calculating the 4.5% threshold.
I am not concerned about the MM...they will have to get stock soon so they can make a market for all of the buyers that are going to want in for the perfect storm. It is just a matter of some concrete information coming out...
Which I think starts this week and runs thru the end of March!
Coach T
According to how I read the docket from the Creditors Committee Preferred Stockholders are referred to as CREDITORS!
I have been wrong before...but that is what I saw in print...
Coach T
Check out the verbiage from the Creditors Committee supporting the restriction of ownership to 4.5% of Preferred Stock! (Page 3, Paragraph 7, LBHI Docket # 7006)
More specifically, Tax Code Sections 382 and 383 imposes restrictions on
the amount of Tax Attributes eligible for future offset purposes that could materially reduce the
benefit of the Tax Attributes unless the Debtors take steps to preserve the value thereof in
advance of confirmation of a plan of reorganization. In this connection, Section 382(l)(5) (the
“(l)(5) Exception”) excepts from application of the aforementioned statutory limitations a
corporation that undergoes an ownership change by reason of the confirmation of a chapter 11
plan of reorganization, if certain conditions, relating primarily to continuity of equity ownership,
are met. To preserve maximum flexibility for the Debtors to qualify for the (l)(5) Exception,
certain procedures are being imposed to allow the Debtors to request that certain creditors sell
down some of their positions if such a sell-down would provide a reorganized Debtor with more
flexibility to use its NOLs and other tax attributes. That ability, which is reflected in the
Procedures, is necessary to prevent certain acquisitions of claims following the date of the
Motion from causing the Debtors to cease to qualify for the (l)(5) Exception and, thus, be unable
to use the Tax Attributes to offset future taxable income to the maximum extent possible.
I am really enjoying the sound of Preferred Stock and Creditors being so carefully worded in the Creditor Committee's support of the Debtors motion!
Coach T
Highlight of goforthebet's post (excerpt)
Effects And Next Steps
The court expressly acknowledges that the issues addressed in this decision are “unique” and “unprecedented,” particularly as it construes the ipso facto provisions of the Code to invalidate the Subordination Provisions after the filing of a petition by a related entity.
This result, if upheld on appeal, may have a broad reaching effect at a minimum throughout the rest of the Lehman bankruptcy proceedings, and perhaps in any situation where a contract party’s parent entity has declared bankruptcy before the subsidiary or related party has filed.
Assuming that the court’s decision is upheld, a greater effect is that many of the Lehman subsidiaries may receieve significant recoveries with respect to early termination payments, that are contrary to the express terms of the governing documents and contrary to the parties’ expectations when entering into such contracts. As with the holders of the Notes in this proceeding, many contract parties may have relied upon the subordination clauses, which have now been rendered unenforceable, in deciding whether to enter the transaction. This raises additional issues when a Lehman entity marketed the transaction and arguably used such provisions to induce prospective investors to enter into the transaction itself.
Moreover, in non-Lehman actions, the court recognizes that the decision may have opened a “can of worms” where debtors will seek to extend the reach of the automatic stay back to the filing of related companies, and the question of how “related” such a company must be to the instant debtor will likely be an ongoing subject of bankruptcy litigation.
An EC request was put on the dockets back in the fall of 2008, but was rejected at that time because no one knew anything about assets and it was too early in the process.
It was ruled in the Fall of 2008, that the Unsecured Creditors Comittee was going to be trying to obtain the same information for the foreseeable future. The committee would be in place to protect the estate just as an EC would be without duplicate expense, until it was determined to be needed later in the process.
That time is coming rapidly upon us...didn't the Trustee for WAMU propose initially the EC just recantly?
Coach T
Testy Conflict With Goldman Helped Push A.I.G. to Edge
Published: Sunday, 7 Feb 2010 | 9:07 AM ET Text Size By: By Gretchen Morgenson and Louise Story
The New York Times
http://www.cnbc.com/id/35281642
The Perfect Storm Continues!
Coach T