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Here is another example of how the Lehman assets are benefiting from an inproving market. You have to read LBHI Docket #6713. Basically, LBHI wants to invest $394M in Trusts VFT-2007 and VFT-2008 to prepay the obilgations and save money on financing and extend the time to sell the notes.
Here is an excerpt...remember the last balance sheet was only to June 30, 2009. We know the market bottomed two months before this balance sheet was calculated. How many of these trust/assets of the $272B total LBHI controlled entities will benefit like these trusts have?
22. LCPI has determined, in the sound exercise of its business judgment, that
the Prepayment is in the best interests of its estates and creditors. The Prepayment is the best
framework for continuing to maximizing the value of the Collateral in the Trusts without
incurring excess financing costs. The Settlement has provided LCPI with time to benefit from a
stabilization of the financial markets. Since entry into the Settlement, the value of the Collateral
has increased such that it is now greater than the amounts owed by the Trusts to MetLife.
Nevertheless, the Debtors believe that the Collateral continues to have value, and consequently,
that LCPI and its estate may ultimately realize an even greater recovery from its interests in the
Trusts. While LCPI will provide the Trusts with the aggregate amount of no greater than
approximately $394 million and cause each of the Trusts to payoff the Notes, such actions will
protect the Trusts’ interests in the Collateral by effecting a release of the Collateral in accordance
with the Amended Transaction Documents. The Debtors will also be able to sell or restructure
the Mortgage Loans and Corporate Loans in accordance with the Bankruptcy Code and the prior
orders entered by the Court without seeking additional consents from MetLife.
23. LCPI believes that the Prepayment is fair and reasonable under the
circumstances. In addition to protecting the valuable Collateral pledged by the Trusts, such
actions will allow LCPI to cease using the amounts repaid by the borrowers under the Collateral
to pay down the 2007 Notes and the 2008 Notes, which accrue interest at the rates of LIBOR
plus 7% and LIBOR plus 4.5%, respectively. As a result, LCPI will save up to over $12 million
in financing costs. With respect to the 2007 Notes, LCPI will no longer face the risk that it will
also be forced to use the additional cash of its estate to finance the interest payments owing to
MetLife.
Coach T
Here is another example of how the Lehman assets are benefiting from an inproving market. You have to read LBHI Docket #6713. Basically, LBHI wants to invest $394M in Trusts VFT-2007 and VFT-2008 to prepay the obilgations and save money on financing and extend the time to sell the notes.
Here is an excerpt...remember the last balance sheet was only to June 30, 2009. We know the market bottomed two months before this balance sheet was calculated. How many of these trust/assets of the $272B total LBHI controlled entities will benefit like these trusts have?
22. LCPI has determined, in the sound exercise of its business judgment, that
the Prepayment is in the best interests of its estates and creditors. The Prepayment is the best
framework for continuing to maximizing the value of the Collateral in the Trusts without
incurring excess financing costs. The Settlement has provided LCPI with time to benefit from a
stabilization of the financial markets. Since entry into the Settlement, the value of the Collateral
has increased such that it is now greater than the amounts owed by the Trusts to MetLife.
Nevertheless, the Debtors believe that the Collateral continues to have value, and consequently,
that LCPI and its estate may ultimately realize an even greater recovery from its interests in the
Trusts. While LCPI will provide the Trusts with the aggregate amount of no greater than
approximately $394 million and cause each of the Trusts to payoff the Notes, such actions will
protect the Trusts’ interests in the Collateral by effecting a release of the Collateral in accordance
with the Amended Transaction Documents. The Debtors will also be able to sell or restructure
the Mortgage Loans and Corporate Loans in accordance with the Bankruptcy Code and the prior
orders entered by the Court without seeking additional consents from MetLife.
23. LCPI believes that the Prepayment is fair and reasonable under the
circumstances. In addition to protecting the valuable Collateral pledged by the Trusts, such
actions will allow LCPI to cease using the amounts repaid by the borrowers under the Collateral
to pay down the 2007 Notes and the 2008 Notes, which accrue interest at the rates of LIBOR
plus 7% and LIBOR plus 4.5%, respectively. As a result, LCPI will save up to over $12 million
in financing costs. With respect to the 2007 Notes, LCPI will no longer face the risk that it will
also be forced to use the additional cash of its estate to finance the interest payments owing to
MetLife.
Coach T
LBHI in November of 2008, originally asked to have the Common shares and the Convertible Preferred shares restriced to certain ownership change rules, post filing.
Now...18 months or so later, LBHI is further requesting that the Regular Preferred shares C, D, F, J, etc. be included retroactively so that no more than 4.5% of any class (I believe that means series) is owned by any one entity.
LBHI is requesting this is to preserve the Net Operating Losses of $48B for the Debtors. There is also some discussion in the LBHI Docket# 6699 that some of the Preferred classes maybe considered creditors!
I kind of warmed up to that idea... No discussion of which Preferreds. Thought it might make for a good discussion.
Coach T
Items of interest from LBHI Docket# 6699...
Applicable Percentage. “Applicable Percentage” means, if only one class
of Affected Equity is to be issued pursuant to the terms of the 382(l)(5)
Plan and holders within any class of Securities will receive a pro-rata
distribution of the Affected Equity, 4.5% of the number of such shares or
equity interests that the Debtors reasonably estimate will be issued at the
effective date of such 382(l)(5) Plan, as determined for U.S. federal
income tax purposes. If more than one class of Affected Equity is to be
distributed pursuant to the terms of the 382(l)(5) Plan or holders with a
class of Securities may receive a disproportionate distribution of such
Affected Equity relative to other holders in the same class, the Applicable
Percentage shall be determined by the Debtors in their reasonable
judgment in a manner consistent with the estimated range of values for the
equity to be distributed reflected in the valuation analysis set forth in the
382(l)(5) Plan and disclosure statement, and shall be expressed in a
manner that makes clear the number of shares or other equity interests in
each class of Affected Equity that would constitute the Applicable
Percentage.
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.
Substantial Securityholder. A “Substantial Securityholder” is any person
or Entity that Beneficially Owns an aggregate dollar amount of Securities,
or any Entity controlled by such person or Entity through which such
person or Entity Beneficially Owns Securities, of more than the Threshold
Amount.
For the avoidance of doubt, section 382 of the Tax Code, the Treasury
Regulations promulgated thereunder, and all relevant IRS and judicial
authority shall apply in determining whether the Securities of several
persons and/or Entities must be aggregated when testing for Substantial
Securityholder status, treating Securities as if they were stock.
Tax Code. “Tax Code” means the Internal Revenue Code of 1986, as
amended from time to time, and the Treasury Regulations promulgated
thereunder.
Threshold Amount. “Threshold Amount” means the amount of Securities,
as set forth in the Notice of 382(l)(5) Plan (as revised by any Amended
Notice of 382(l)(5) Plan, as applicable) sufficient, in the determination of
the Debtors, to entitle the Beneficial Owner thereof to the Applicable
Percentage of the Affected Equity. The amount determined in the
preceding sentence shall be disclosed in the Notice of 382(l)(5) Plan and
may be adjusted thereafter as contemplated by this Order or any future
order of the Court.
And lastly...LBHI Docket# 6699...
18. Although there can be no assurance that section 382(1)(5) will ultimately
be available to the Debtors, the proposed procedures and restrictions seek to preserve the
Debtors’ ability to propose a chapter 11 plan or other transactions that maximize the value of the
Tax Attributes following a chapter 11 plan in a manner that does not unduly impact the trading
of Securities. Because the determination of whether a creditor is a “qualified creditor” is
generally made as of the effective date of the chapter 11 plan, transfers of Securities by holders
before such date may affect the Debtors’ ability to satisfy the requirements of section 382(1)(5).
19. The requested relief is intended to allow the Debtors the flexibility to
structure a chapter 11 plan that preserves the maximum potential value of the Tax Attributes by
ensuring that trading in Securities after the Motion Date does not jeopardize the availability to
the reorganized Debtors of the benefits of section 382(l)(5).
Coach T
And...
16. Under section 382(1)(5)(E) of the Tax Code and the Treasury Regulations
promulgated thereunder, a creditor whose claim is exchanged for stock under a chapter 11 plan
or pursuant to an applicable bankruptcy court order is a “qualified creditor” if such claim either
(i) has been owned by such creditor for 18 or more months prior to the date of filing of the
bankruptcy petition or (ii) arose in the ordinary course of the debtor’s business and was at all
times beneficially owned by such creditor. In addition, even creditors that do not satisfy the
necessary holding periods can be “qualified creditors” if their receipt of stock in the reorganized
company pursuant to the chapter 11 plan does not exceed a threshold level.
17. Under Treasury Regulation section 1.382-9(d)(3), a debtor generally may,
for purposes of the section 382(1)(5), “treat indebtedness as always having been owned by the
beneficial owner of the indebtedness immediately before the ownership change if the beneficial
owner is not, immediately after the ownership change, directly or indirectly either a 5%
shareholder or an entity through which a 5% shareholder owns an indirect ownership interest” in
the debtor. Stock ownership is measured in terms of vote and value.
Enjoy,
Coach T
Not certain if this will apply but it is taken out of the same LBHI Docket# 6699...Do your own due diligence!
Restriction on Use of Tax Attributes Following Change of Control
However, the Tax Code provides an exception to this annual limitation for
a debtor corporation where certain conditions are satisfied. Under section 382(l)(5) of the Tax
Code, a debtor corporation (or group) is not subject to the annual limitation ordinarily imposed
by section 382 the Tax Code if the debtor’s pre-change shareholders (i.e., persons or entities who
owned the debtor’s stock immediately before the ownership change) and/or “qualified creditors”
emerge from the reorganization owning at least 50% of the total value and voting power of the
reorganized debtor’s stock immediately after the ownership change. See Tax Code
§ 382(l)(5)(A). For this purpose, holders of certain debt-like preferred stock are treated as
creditors. See Notice 88-57.
Coach T
Viva,
Watch for my next post...
Coach T
This is an excerpt from LBHI Docket# 6699 page 4 of the DEBTORS’ MOTION PURSUANT TO
SECTIONS 105(a) AND 362 OF THE BANKRUPTCY
CODE FOR APPROVAL OF CERTAIN RESTRICTIONS AND
PROCEDURES APPLICABLE TO TRANSFERS OF THE DEBTORS’ SECURITIES...
The Stock Trading Order is intended to prevent an ownership change prior
to a chapter 11 plan, thereby preserving the use of Lehman’s Tax Attributes during the pendency
of the Debtors’ bankruptcy cases. This Motion seeks to preserve the Debtors’ ability to
maximize the potential value of the Tax Attributes in connection with the implementation of any
chapter 11 plan involving all or part of the Debtors’ current assets.
It is now possible that one or
more of the Debtors’ chapter 11 plans will involve the issuance of new common stock in one or
more of the Debtors (or their successors) and the distribution of such stock to certain creditors in
satisfaction, in whole or in part, of their Securities. This issuance and distribution likely would
result in an “ownership change” under section 382. In such event, the Debtors may be entitled to
the special relief afforded by section 382(l)(5) of the Tax Code for ownership changes pursuant
to a confirmed chapter 11 plan or applicable court order. Such relief, however, may not be
available if the trading and accumulation of Securities prior to the effective date of a chapter 11
plan is left unmonitored and unrestricted.
Coach T
This is an excerpt from LBHI Docket# 6699 page 4 of the DEBTORS’ MOTION PURSUANT TO
SECTIONS 105(a) AND 362 OF THE BANKRUPTCY
CODE FOR APPROVAL OF CERTAIN RESTRICTIONS AND
PROCEDURES APPLICABLE TO TRANSFERS OF THE DEBTORS’ SECURITIES...
The Stock Trading Order is intended to prevent an ownership change prior
to a chapter 11 plan, thereby preserving the use of Lehman’s Tax Attributes during the pendency
of the Debtors’ bankruptcy cases. This Motion seeks to preserve the Debtors’ ability to
maximize the potential value of the Tax Attributes in connection with the implementation of any
chapter 11 plan involving all or part of the Debtors’ current assets.
It is now possible that one or
more of the Debtors’ chapter 11 plans will involve the issuance of new common stock in one or
more of the Debtors (or their successors) and the distribution of such stock to certain creditors in
satisfaction, in whole or in part, of their Securities. This issuance and distribution likely would
result in an “ownership change” under section 382. In such event, the Debtors may be entitled to
the special relief afforded by section 382(l)(5) of the Tax Code for ownership changes pursuant
to a confirmed chapter 11 plan or applicable court order. Such relief, however, may not be
available if the trading and accumulation of Securities prior to the effective date of a chapter 11
plan is left unmonitored and unrestricted.
Coach T
Did you have a chance to read LBHI docket# 6699 yet Uhlmant?
Coach T
The NOL's thru 2008 on Lehmans are estimated to be worth around $10B.
According to today's new motions (LBHI docket #6699) it appears LBHI is now wanting to expand the ownership rules to include nonconvertible preferreds!
Still researching this...they would not be requesting this unless there was value here, IMO. Otherwise, LBHI would have brought it up when the original motion to restrict "substantial securityholders" to commons and convertible preferreds was filed in Nov. 2008.
News to follow.
Coach T
They would not be trying to expand the order to include the reg preferreds unless there was some value...
Is this the storm??? Still researching...
Coach T
It does mention the regular preferreds. Does not mention specifically the trusts.
Here is the verbage that was filed in 2008 from the LBHI website.
Definitions. For purposes of this Order:
a) Substantial Equityholder. A “Substantial Equityholder” is any
person or entity that beneficially owns at least:
(i) 23,900,000 shares of LBHI’s common stock (“Lehman
Common Stock”) (representing approximately 4.0% of all issued
and outstanding shares of LBHI’s common stock);2 or
(ii) 4.50% of the outstanding shares of LBHI’s 8.75% Non-
Cumulative Mandatory Convertible Preferred Stock, Series Q (the
“Series Q Convertible Preferred”), as of the day immediately prior
to the date of the filing of the Equity Trading Notice;3 or
(iii) 4.50% of the outstanding shares of LBHI’s 7.25% Non-
Cumulative Perpetual Convertible Preferred Stock, Series P (the
“Series P Convertible Preferred”), as of the day immediately prior
to the date of the filing of the Equity Trading Notice;
b) Beneficial Ownership. “Beneficial ownership” (or any variation
thereof of Lehman Stock and Options to acquire Lehman Stock)
shall be determined in accordance with applicable rules under
section 382 of the Tax Code, the U.S. Department of Treasury
regulations (“Treasury Regulations”) promulgated thereunder and
rulings issued by the Internal Revenue Service, and, thus, to the
extent provided in those rules, from time to time shall include,
without limitation, (i) direct and indirect ownership (e.g., a holding
company would be considered to beneficially own all stock owned
2 Note that this represents approximately 4.75% of all outstanding shares of LBHI’s common stock excluding shares
currently held in the “RSU Trust.” In 1997, LBHI established an irrevocable grantor trust (the “RSU Trust”) to
provide common stock voting rights to employees holding outstanding LBHI restricted stock units. LBHI has made
regular contributions of Lehman Common Stock to the RSU Trust; the Trust currently holds approximately 97
million shares of Lehman Common Stock. However, these shares are not considered outstanding stock for federal
income tax purposes.
3 Because the Series P Convertible Preferred and Series Q Convertible Preferred have conversion rights, 4.50%
(although arbitrary) allows cushion for the reduced number of shares of preferred stock that may be outstanding as
of the actual acquisition or disposition of the shares that are the subject of the Equity Trading Notice.
6
or acquired by its subsidiaries), (ii) ownership by a holder’s family
members and any group of persons acting pursuant to a formal or
informal understanding to make a coordinated acquisition of stock
and (iii) in certain cases, the ownership of an Option to acquire
Lehman Stock;
c) Option. An “Option” to acquire stock includes any contingent
purchase, warrant, convertible debt, put, stock subject to risk of
forfeiture, contract to acquire stock, or similar interest regardless
of whether it is contingent or otherwise not currently exercisable;
and
d) Lehman Stock. “Lehman Stock” shall mean Lehman Common
Stock, the Series P Convertible Preferred and the Series Q
Convertible Preferred. For the avoidance of doubt, by operation of
the definition of beneficial ownership, an owner of an Option to
acquire Lehman Stock may be treated as the owner of such
Lehman Stock.
(6) The Debtors may waive, in writing, any and all restrictions, stays, and
notification procedures contained in this Order.
I am just seeing the updated docket now...#6699.
Will take a look. Apparently, the motion was orignally presented in Nov. 2008 but never went farther...
Coach T
No, it does not apply to non-convertible preferreds or trusts. Only shares that can change the ownership interests. Common and convertible Preferreds. I think the only preferreds that are convertible are the P's and LBHGP.
Check me on that...I am just going from memory.
Coach T
This is old news, IMO...the common shares and two convertible preferred series have already been restricted by the court. The restriction is on the LBHI website with EPIQ...
It does not affect the trusts or regular preferreds that do not have conversion rights.
If ownership changes in the common by more than a certain amount when in BK it can jeopardize the NOL's. I think it is 5% or more. It is on the website.
In the court docs from last 2008 LBHI thought the NOL's were worth up to $10B.
Coach T
I primarily follow the Lehmans so I won't be much help on the WAMU subject. It seems to me that the WAMU play speaks for itself.
This weekend I came accross numerous articles talking about the rebound not only in residential housing in the UK but also the number of transactions for commercial properties was up something like 42% from the previous quarter. This was simply the number of buy/sells not the price level. However, the liquidity that has been being made available to the worldwide markets seems to be catching hold.
The housing stocks seem to be rallying into their previous highs so it will be interesting to see how the Lehman's react as we move into the March period. These same stocks topped out about 7-10 days before the Lehmans and other "Spec Plays".
Lehman has a court appointed Examiner that is digging into numerous activities that may have affected Lehman's ability to stay afloat. The investigation ranges from the Fed Board, NY Fed, JPM, Barclays, Citi, ABN AMRO, among others and any claims Lehman may have. His report is due Feb. 1 2010.
I try not to inject my opinions as much just bring news and court info to the forefront that might illustrate opportunities.
Good luck to all.
Coach T
Biz...Viva. Thanks for the invite. I will try and contribute to the group.
Coach T
I agree Uhlmant...good to have you back...
According to the Dec. 2009 MOR...just another month of collecting cash up to $17B now...(yawn).
Has anyone seen the court transcripts from yesterday yet? Those are going to have some entertainment in them IMO. Of most interest is the Barclays afternoon verbage.
I am curious to lsten when Judge Peck gets involved.
Coach T
Lehman to Reject Creditor Claims With Form Letters (Update1)
http://www.bloomberg.com/apps/news?pid=20601103&sid=agtWIuVBrwyE
By Linda Sandler
Jan. 13 (Bloomberg) -- Lehman Brothers Holdings Inc., the investment bank liquidating in bankruptcy, won a judge’s approval to use form letters to notify as many as 500 creditors at a time that their claims were rejected.
Lehman, which is facing more than 65,000 claims demanding a total of $830 billion, said it would insert into the letters reasons for rejecting the claims and would extend the deadline for creditors to respond to 30 days, from 21 days.
Six of the 16 objections to the plan filed in U.S. Bankruptcy Court in New York were withdrawn after Lehman agreed to give a reason for denying claims and allow more time for responses. The remaining 10 objections will be considered at a court hearing scheduled for next month.
Lehman and its affiliates had $16.3 billion in cash on Nov. 30, according to a December court filing. Lehman, once the fourth-largest investment bank, in September 2008 filed the biggest U.S. bankruptcy with debt of $613 billion, most of it unsecured.
The case is In re Lehman Brothers Holdings Inc., 08-13555, U.S. Bankruptcy Court, Southern District of New York (Manhattan).
To contact the reporter on this story: Linda Sandler in New York at lsandler@bloomberg.net
Last Updated: January 13, 2010 17:12 EST
Coach T
Just my opinion...but it illustrates the amount of claims being overstated. There is no reason for Mr. Marsal to make a statement like that unless he feels very strongly about it.
Coach T
Oh Yeah!
Coach T
This article illustrates the overstated claim amounts that Mr. Marsal and the Lehman's are fighting...
http://www.benzinga.com/markets/company-news/85237/lehman-lehmq-all-set-to-battle-against-unwarranted-claims
Lehman (LEHMQ) All Set To Battle Against Unwarranted Claims
LEHMQ), the erstwhile financial giant, has a tougher battle to fight ahead. The Company faces more than 64,000 in claims from creditors with a face value of more than $820 billion.
Bryan Marsal, the CEO of the company, feels that the majority of the claims filed are way ahead of the actual damages incurred by the claimants. Marsal believes that they need to bring the culprits, who are trying to take advantage of the sensitive situation, to justice.
By doing this, he feels that he can set an example for other perpetrators. In the week before Lehman filed for bankruptcy it was owed $2.3bn by the counterparties to derivatives trades. Three weeks later, the banks claimed Lehman owed them $25bn plus guaranteed claims of $25bn. As per Marsal, all these claims are insanely hiked with no factual backing.
Coach T
This article illustrates the overstated claim amounts that Mr. Marsal and the Lehman's are fighting...
http://www.benzinga.com/markets/company-news/85237/lehman-lehmq-all-set-to-battle-against-unwarranted-claims
Lehman (LEHMQ) All Set To Battle Against Unwarranted Claims
LEHMQ), the erstwhile financial giant, has a tougher battle to fight ahead. The Company faces more than 64,000 in claims from creditors with a face value of more than $820 billion.
Bryan Marsal, the CEO of the company, feels that the majority of the claims filed are way ahead of the actual damages incurred by the claimants. Marsal believes that they need to bring the culprits, who are trying to take advantage of the sensitive situation, to justice.
By doing this, he feels that he can set an example for other perpetrators. In the week before Lehman filed for bankruptcy it was owed $2.3bn by the counterparties to derivatives trades. Three weeks later, the banks claimed Lehman owed them $25bn plus guaranteed claims of $25bn. As per Marsal, all these claims are insanely hiked with no factual backing.
Coach T
This article illustrates the overstated claim amounts that Mr. Marsal and the Lehman's are fighting...
http://www.benzinga.com/markets/company-news/85237/lehman-lehmq-all-set-to-battle-against-unwarranted-claims
Lehman (LEHMQ) All Set To Battle Against Unwarranted Claims
LEHMQ), the erstwhile financial giant, has a tougher battle to fight ahead. The Company faces more than 64,000 in claims from creditors with a face value of more than $820 billion.
Bryan Marsal, the CEO of the company, feels that the majority of the claims filed are way ahead of the actual damages incurred by the claimants. Marsal believes that they need to bring the culprits, who are trying to take advantage of the sensitive situation, to justice.
By doing this, he feels that he can set an example for other perpetrators. In the week before Lehman filed for bankruptcy it was owed $2.3bn by the counterparties to derivatives trades. Three weeks later, the banks claimed Lehman owed them $25bn plus guaranteed claims of $25bn. As per Marsal, all these claims are insanely hiked with no factual backing.
Judge Peck is on a roll!
UPDATE 1-Judge OKs Lehman plan to speed up claims objections
* Judge OKs Lehman plan to file bulk claims objections
* Lehman in discussions on claims settlement procedures
* Certain creditors to continue to object to Lehman plan
http://www.reuters.com/article/idCNN1322186320100113?rpc=44
Coach T
Judge Peck is on a roll!
UPDATE 1-Judge OKs Lehman plan to speed up claims objections
* Judge OKs Lehman plan to file bulk claims objections
* Lehman in discussions on claims settlement procedures
* Certain creditors to continue to object to Lehman plan
http://www.reuters.com/article/idCNN1322186320100113?rpc=44
Coach T
Judge Peck is on a roll!
UPDATE 1-Judge OKs Lehman plan to speed up claims objections
* Judge OKs Lehman plan to file bulk claims objections
* Lehman in discussions on claims settlement procedures
* Certain creditors to continue to object to Lehman plan
http://www.reuters.com/article/idCNN1322186320100113?rpc=44
Coach T
Barclays is on for 2:00 this afternoon!
Keep the Faith...there is a storm brewing!
Coach T
Lehman Wins Approval to Spend $1.4 Billion on Loans (Update1)
Looks like Lehman got the court approval to INVEST $1.4B of creditor money.
You have to love this Chapter 11! Only in this BK would you see a company spending money to make more money for creditors!
http://www.bloomberg.com/apps/news?pid=newsarchive&sid=aHg._Yg__law
Classic...
Thanks Pie...
Coach T
ADX on the daily...+DI trying to cross over...
Coach T
The hearing against JPM has been adjourned to February...
However, the pre-trial hearing is this afternoon at 2:00 against Barclays!
Coach T
And You Thought the Rally in Equities Was Impressive]/b]
http://seekingalpha.com/article/181975-and-you-thought-the-rally-in-equities-was-impressive
Here is another article about how far the corporate bond market has recovered...notice they started aggresively recovering around June, 2009.
Hmmm...Lehman's last balance sheet happened to be June 30, 2009.
Coach T
Nice find GoForTheBet...I was just going to post that article!
Mr. Marsal is getting the Lehman offense ready after being on defense since the Chap 11 filing.
Coach T
This is just my opinion so take it for what it is worth but judging from how the WAMU's are acting you get a better dollar movement for your gamble by playing the trusts and preferreds...
WAMU Common has gone up to .$18-$.19 from $.12-$.14
WAMU Trust has gone up to $25.00 from $8.00
WAMU Preferred has gone up to $2.40 from $.65
Over the last two months. The Commons will move last and be paid last. Do your own research. Don't listen to me or anyone else. Make your own decisions!
Coach T
Mortgage Bonds ‘Leading the Pack’ as Debt Rallies (Update1)
http://www.bloomberg.com/apps/news?pid=20601087&sid=aNnz1ncV6zDI&pos=7
We are about to come FULL CIRCLE! According to Bloomberg now the Home Mortgage Bonds are getting a much better bid.
I hope A&M gets those claims settled soon! Looks like the Lehman assets should be getting a bid. Even the OPTION ARMS...the worst perfoming mortgages out there are improving at a rapid rate.
Keep the Faith...
Coach T
Mortgage Bonds ‘Leading the Pack’ as Debt Rallies (Update1)
http://www.bloomberg.com/apps/news?pid=20601087&sid=aNnz1ncV6zDI&pos=7
We are about to come FULL CIRCLE! According to Bloomberg now the Home Mortgage Bonds are getting a much better bid.
I hope A&M gets those claims settled soon! Looks like the Lehman assets should be getting a bid. Even the OPTION ARMS...the worst perfoming mortgages out there are improving at a rapid rate.
Keep the Faith...
Coach T
Mortgage Bonds ‘Leading the Pack’ as Debt Rallies (Update1)
http://www.bloomberg.com/apps/news?pid=20601087&sid=aNnz1ncV6zDI&pos=7
We are about to come FULL CIRCLE! According to Bloomberg now the Home Mortgage Bonds are getting a much better bid.
I hope A&M gets those claims settled soon! Looks like the Lehman assets should be getting a bid. Even the OPTION ARMS...the worst perfoming mortgages out there are improving at a rapid rate.
Keep the Faith...
Coach T