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LBI SIPA TRUSTEE GOING AFTER AN ADDITIONAL $4.9B that is "Known Shortfalls" LBI SIPA DOCKET #1866
EXHIBIT A
RULE 15C3-3 COMPLIANCE ISSUES
KNOWN SHORTFALLS AMOUNT ($)
Securities in FID Accounts Seized by Chase 629,545,623.00
Cash in FID Accounts Seized by Chase 257,862,000.00
Account Coding Errors (Woodlands) 533,847,208.90
Account Coding Errors (ADP/944), identified by SEC, Trustee, & Barclays 213,514,490.00
Assets Subject to LBIE Administration 438,916,777.07
OCC Deposit1 492,195,460.00
Customer Cash Claimed by LBIE 2,300,000,000.00
Cash Seized During Liquidation of Foreign Money Market Fund Positions 81,617,437.32
TOTAL IDENTIFIED SHORTFALLS $4,947,498,996.29
ITEMS UNDER INVESTIGATION
Overdraft in LBI’s Main Operating Account
Inclusion of Unsecured Debits in Reserve Formula
Customer Securities Included in the Barclays Repo
Assets Detained by Custodians Considered Good Control Locations
Other Reserve Computation Adjustments
Lots of legal wrangling yet to come on this.
Coach T
LBI SIPA TRUSTEE GOING AFTER AN ADDITIONAL $4.9B that is "Known Shortfalls" LBI SIPA DOCKET #1866
EXHIBIT A
RULE 15C3-3 COMPLIANCE ISSUES
KNOWN SHORTFALLS AMOUNT ($)
Securities in FID Accounts Seized by Chase 629,545,623.00
Cash in FID Accounts Seized by Chase 257,862,000.00
Account Coding Errors (Woodlands) 533,847,208.90
Account Coding Errors (ADP/944), identified by SEC, Trustee, & Barclays 213,514,490.00
Assets Subject to LBIE Administration 438,916,777.07
OCC Deposit1 492,195,460.00
Customer Cash Claimed by LBIE 2,300,000,000.00
Cash Seized During Liquidation of Foreign Money Market Fund Positions 81,617,437.32
TOTAL IDENTIFIED SHORTFALLS $4,947,498,996.29
ITEMS UNDER INVESTIGATION
Overdraft in LBI’s Main Operating Account
Inclusion of Unsecured Debits in Reserve Formula
Customer Securities Included in the Barclays Repo
Assets Detained by Custodians Considered Good Control Locations
Other Reserve Computation Adjustments
Lots of legal wrangling yet to come on this.
Coach T
LBI SIPA TRUSTEE GOING AFTER AN ADDITIONAL $4.9B that is "Known Shortfalls" LBI SIPA DOCKET #1866
EXHIBIT A
RULE 15C3-3 COMPLIANCE ISSUES
KNOWN SHORTFALLS AMOUNT ($)
Securities in FID Accounts Seized by Chase 629,545,623.00
Cash in FID Accounts Seized by Chase 257,862,000.00
Account Coding Errors (Woodlands) 533,847,208.90
Account Coding Errors (ADP/944), identified by SEC, Trustee, & Barclays 213,514,490.00
Assets Subject to LBIE Administration 438,916,777.07
OCC Deposit1 492,195,460.00
Customer Cash Claimed by LBIE 2,300,000,000.00
Cash Seized During Liquidation of Foreign Money Market Fund Positions 81,617,437.32
TOTAL IDENTIFIED SHORTFALLS $4,947,498,996.29
ITEMS UNDER INVESTIGATION
Overdraft in LBI’s Main Operating Account
Inclusion of Unsecured Debits in Reserve Formula
Customer Securities Included in the Barclays Repo
Assets Detained by Custodians Considered Good Control Locations
Other Reserve Computation Adjustments
Lots of legal wrangling yet to come on this.
Coach T
Read the AIG CDS objection to the LEH motion to compel them to pay about 8B to LEH. (LBHI Docket #5334)
AIG CDS wants to know two things in their objection, why haven't the premiums due AIG CDS been paid to AIG CDS from LEH, and does LEH have the ability to continue its position after AIG CDS pays LEH the $8B.
Once they get answers from the court on those questions they say they will pay immediately!
The Perfect Storm...
Coach T
Read the AIG CDS objection to the LEH motion to compel them to pay about 8B to LEH. (LBHI Docket #5334)
AIG CDS wants to know two things in their objection, why haven't the premiums due AIG CDS been paid to AIG CDS from LEH, and does LEH have the ability to continue its position after AIG CDS pays LEH the $8B.
Once they get answers from the court on those questions they say they will pay immediately!
The Perfect Storm...
Coach T
Mortgage-Bond Prices Double From March Lows in Rally (Update1)
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By Jody Shenn
Oct. 5 (Bloomberg) -- U.S. home-loan bonds without government backing ended a third-quarter rally with a week of gains, leaving some securities at prices almost double their March lows.
Typical prices for the most-senior prime-jumbo securities rose 2 cents on the dollar last week to 84 cents, according to Barclays Capital data. Similar bonds backed by Alt-A loans with a few years of fixed rates increased 2 cents to 60 cents. The jumbo bonds are up from about 75 cents three months earlier, while the Alt-A bonds have climbed from 47 cents.
The debt has jumped from 63 cents for the jumbos and 35 cents for Alt-As in mid-March, as investors accept lower potential yields amid a rally across debt markets and traders anticipate demand from the U.S. Public-Private Investment Program. Investment funds, banks, insurers and Wall Street brokers have been among buyers, according to Scott Buchta, head of investment strategy at Guggenheim Capital Markets LLC in Chicago.
“There’s a ton of dollars sloshing around, and the people who are compensated to put those dollars to work have to do something,” David Castillo, a senior managing director at San Francisco-based broker Further Lane Securities, said in a telephone interview. “The great cushion which the market provided for errors in assumptions is almost entirely gone.”
Feeding the Rally
Home-loan securities in the almost $1.7 trillion non-agency market lack guarantees from government-supported Fannie Mae and Freddie Mac or federal agency Ginnie Mae, and they have been among the largest sources of the $1.6 trillion of writedowns and credit losses reported by the world’s largest financial companies since the start of 2007.
The recent rally has reflected a combination of yield premiums over Treasury debt coming down across credit markets, anticipation of buying by PPIP funds and data suggesting housing is starting to stabilize, according to Tom Hamilton, the head of Barclays Capital’s securitized products trading in New York.
“All those things culminated at once and made for an unbelievable third quarter,” he said in a telephone interview last week.
Sectors benefiting from increased demand for debt also include high-yield, high-risk company loans. Standard & Poor’s/LSTA U.S. Leveraged Loan 100 index has climbed to 85.5 cents on the dollar, from a low of 59.2 cents in December. Investors are seeking higher yields than available in the money markets, accounting for about $300 billion of inflows this year into funds targeting debt such as corporate and municipal notes.
More of the article...http://www.bloomberg.com/apps/news?pid=20601087&sid=aWZHVsw.oK90
Coach T
Mortgage-Bond Prices Double From March Lows in Rally (Update1)
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By Jody Shenn
Oct. 5 (Bloomberg) -- U.S. home-loan bonds without government backing ended a third-quarter rally with a week of gains, leaving some securities at prices almost double their March lows.
Typical prices for the most-senior prime-jumbo securities rose 2 cents on the dollar last week to 84 cents, according to Barclays Capital data. Similar bonds backed by Alt-A loans with a few years of fixed rates increased 2 cents to 60 cents. The jumbo bonds are up from about 75 cents three months earlier, while the Alt-A bonds have climbed from 47 cents.
The debt has jumped from 63 cents for the jumbos and 35 cents for Alt-As in mid-March, as investors accept lower potential yields amid a rally across debt markets and traders anticipate demand from the U.S. Public-Private Investment Program. Investment funds, banks, insurers and Wall Street brokers have been among buyers, according to Scott Buchta, head of investment strategy at Guggenheim Capital Markets LLC in Chicago.
“There’s a ton of dollars sloshing around, and the people who are compensated to put those dollars to work have to do something,” David Castillo, a senior managing director at San Francisco-based broker Further Lane Securities, said in a telephone interview. “The great cushion which the market provided for errors in assumptions is almost entirely gone.”
Feeding the Rally
Home-loan securities in the almost $1.7 trillion non-agency market lack guarantees from government-supported Fannie Mae and Freddie Mac or federal agency Ginnie Mae, and they have been among the largest sources of the $1.6 trillion of writedowns and credit losses reported by the world’s largest financial companies since the start of 2007.
The recent rally has reflected a combination of yield premiums over Treasury debt coming down across credit markets, anticipation of buying by PPIP funds and data suggesting housing is starting to stabilize, according to Tom Hamilton, the head of Barclays Capital’s securitized products trading in New York.
“All those things culminated at once and made for an unbelievable third quarter,” he said in a telephone interview last week.
Sectors benefiting from increased demand for debt also include high-yield, high-risk company loans. Standard & Poor’s/LSTA U.S. Leveraged Loan 100 index has climbed to 85.5 cents on the dollar, from a low of 59.2 cents in December. Investors are seeking higher yields than available in the money markets, accounting for about $300 billion of inflows this year into funds targeting debt such as corporate and municipal notes.
More of the article...http://www.bloomberg.com/apps/news?pid=20601087&sid=aWZHVsw.oK90
Coach T
Mortgage-Bond Prices Double From March Lows in Rally (Update1)
Share | Email | Print | A A A
By Jody Shenn
Oct. 5 (Bloomberg) -- U.S. home-loan bonds without government backing ended a third-quarter rally with a week of gains, leaving some securities at prices almost double their March lows.
Typical prices for the most-senior prime-jumbo securities rose 2 cents on the dollar last week to 84 cents, according to Barclays Capital data. Similar bonds backed by Alt-A loans with a few years of fixed rates increased 2 cents to 60 cents. The jumbo bonds are up from about 75 cents three months earlier, while the Alt-A bonds have climbed from 47 cents.
The debt has jumped from 63 cents for the jumbos and 35 cents for Alt-As in mid-March, as investors accept lower potential yields amid a rally across debt markets and traders anticipate demand from the U.S. Public-Private Investment Program. Investment funds, banks, insurers and Wall Street brokers have been among buyers, according to Scott Buchta, head of investment strategy at Guggenheim Capital Markets LLC in Chicago.
“There’s a ton of dollars sloshing around, and the people who are compensated to put those dollars to work have to do something,” David Castillo, a senior managing director at San Francisco-based broker Further Lane Securities, said in a telephone interview. “The great cushion which the market provided for errors in assumptions is almost entirely gone.”
Feeding the Rally
Home-loan securities in the almost $1.7 trillion non-agency market lack guarantees from government-supported Fannie Mae and Freddie Mac or federal agency Ginnie Mae, and they have been among the largest sources of the $1.6 trillion of writedowns and credit losses reported by the world’s largest financial companies since the start of 2007.
The recent rally has reflected a combination of yield premiums over Treasury debt coming down across credit markets, anticipation of buying by PPIP funds and data suggesting housing is starting to stabilize, according to Tom Hamilton, the head of Barclays Capital’s securitized products trading in New York.
“All those things culminated at once and made for an unbelievable third quarter,” he said in a telephone interview last week.
Sectors benefiting from increased demand for debt also include high-yield, high-risk company loans. Standard & Poor’s/LSTA U.S. Leveraged Loan 100 index has climbed to 85.5 cents on the dollar, from a low of 59.2 cents in December. Investors are seeking higher yields than available in the money markets, accounting for about $300 billion of inflows this year into funds targeting debt such as corporate and municipal notes.
More of the article...http://www.bloomberg.com/apps/news?pid=20601087&sid=aWZHVsw.oK90
Coach T
sounds right...
Will Disclosure In Lehman Bankruptcy Case Lead To Lawsuit Against Federal Reserve?
By: Tyler Durden Friday, October 02, 2009 1:05 PM
http://www.istockanalyst.com/article/viewarticle/articleid/3523400
Reporters at the WSJ have uncovered something very intriguing while they were combing through the billing records of Jenner and Block, whose chairman, Anton Valukas is currently moonlighting as the examiner of the Lehman Bankruptcy Case. In J&B's August fee statement, the firm discloses information that as part of its estate recoupment process, it has been contemplating suing none other than the Federal Reserve.
During its final days Lehman was a revolving door for Fed cash coming in (and promptly leaving) as the situation demanded. Whether borrowing at the Fed's discount window against garbage collateral (no doubt consisting of worthless toxic commercial real estate - yet, we will never know: the Fed has just appealed the decision to disclose who/what/why got access to its processing of taxpayer bailout funding, which likely means that unless some Second Circuit/SCOTUS judge finds it deep in his/her soul that representing the American public is more important than siding with Wall Street as always, that information will never see the light of day), using the TAF program, or otherwise, Lehman ended up gobbling an ungodly amount of cash from the Fed which was subsequently imporperly yanked by the Chairman, instead of being used to satisfy pari passu creditor claims. According to the WSJ:
The New York Fed lent Lehman $46.2 billion in cash and Treasury securities for $50.6 billion in collateral, according to Federal Reserve affidavits filed in bankruptcy court. As a result of Lehman's sale to Barclays PLC following its bankruptcy, the New York Fed was later paid back in cash, with the Treasury securities returned. Lehman's broker-dealer also borrowed tens of billions of dollars from the Fed in the period from Sept. 11 through Sept. 15 last year.
This is all fine and great, however where the issue lies is whether there was an improper superposition of the Fed relative to all other creditors of the firm. If, in fact, the Fed recouped any money at a point after the bankruptcy process was initiated (and potentially even before the instant of filing), Jenner can file a preference claim against the Federal Reserve. The suit would, in theory imply that there was an action of "avoidance" by the Fed to be considered a preferred creditor without legal justification or reason.
It is obvious why the Fed would have wanted to avoid this: General Unsecured Claims and unsecured Notes issued by Lehman Brothers traded down from 90 cents on the dollar in the days prior to September 15 all the way to 10 cents on the dollar in the week following. Had the Fed's assets become commingled in the GUC pool, it would have seen a loss of nearly $40 billion of taxpayer money. However, the Fed's gain is other creditors' loss.
Which is why the revelations observed going thru J&B's billing statement are quite stunning, as they highlight that while Valukas has as yet not started any actual legal proceedings, which would claim there was a preference action by the Fed impairing other Lehman creditors, it is surely contemplating such.
Zero Hedge presents below relevant sections from the May Billing Statement filed by Jenner & Block in bankruptcy court. We hope Congressmen Ron Paul and Alan Grayson notice these potential legal overtures and promptly contact Mr. Valukas' office to determine what the process of any legal action may currently be and why it hasn't been made public yet, especially if the Fed has been found in breach of preference.
The Perfect Storm Continues...
Coach T
Will Disclosure In Lehman Bankruptcy Case Lead To Lawsuit Against Federal Reserve?
By: Tyler Durden Friday, October 02, 2009 1:05 PM
http://www.istockanalyst.com/article/viewarticle/articleid/3523400
Reporters at the WSJ have uncovered something very intriguing while they were combing through the billing records of Jenner and Block, whose chairman, Anton Valukas is currently moonlighting as the examiner of the Lehman Bankruptcy Case. In J&B's August fee statement, the firm discloses information that as part of its estate recoupment process, it has been contemplating suing none other than the Federal Reserve.
During its final days Lehman was a revolving door for Fed cash coming in (and promptly leaving) as the situation demanded. Whether borrowing at the Fed's discount window against garbage collateral (no doubt consisting of worthless toxic commercial real estate - yet, we will never know: the Fed has just appealed the decision to disclose who/what/why got access to its processing of taxpayer bailout funding, which likely means that unless some Second Circuit/SCOTUS judge finds it deep in his/her soul that representing the American public is more important than siding with Wall Street as always, that information will never see the light of day), using the TAF program, or otherwise, Lehman ended up gobbling an ungodly amount of cash from the Fed which was subsequently imporperly yanked by the Chairman, instead of being used to satisfy pari passu creditor claims. According to the WSJ:
The New York Fed lent Lehman $46.2 billion in cash and Treasury securities for $50.6 billion in collateral, according to Federal Reserve affidavits filed in bankruptcy court. As a result of Lehman's sale to Barclays PLC following its bankruptcy, the New York Fed was later paid back in cash, with the Treasury securities returned. Lehman's broker-dealer also borrowed tens of billions of dollars from the Fed in the period from Sept. 11 through Sept. 15 last year.
This is all fine and great, however where the issue lies is whether there was an improper superposition of the Fed relative to all other creditors of the firm. If, in fact, the Fed recouped any money at a point after the bankruptcy process was initiated (and potentially even before the instant of filing), Jenner can file a preference claim against the Federal Reserve. The suit would, in theory imply that there was an action of "avoidance" by the Fed to be considered a preferred creditor without legal justification or reason.
It is obvious why the Fed would have wanted to avoid this: General Unsecured Claims and unsecured Notes issued by Lehman Brothers traded down from 90 cents on the dollar in the days prior to September 15 all the way to 10 cents on the dollar in the week following. Had the Fed's assets become commingled in the GUC pool, it would have seen a loss of nearly $40 billion of taxpayer money. However, the Fed's gain is other creditors' loss.
Which is why the revelations observed going thru J&B's billing statement are quite stunning, as they highlight that while Valukas has as yet not started any actual legal proceedings, which would claim there was a preference action by the Fed impairing other Lehman creditors, it is surely contemplating such.
Zero Hedge presents below relevant sections from the May Billing Statement filed by Jenner & Block in bankruptcy court. We hope Congressmen Ron Paul and Alan Grayson notice these potential legal overtures and promptly contact Mr. Valukas' office to determine what the process of any legal action may currently be and why it hasn't been made public yet, especially if the Fed has been found in breach of preference.
The Perfect Storm Continues...
Coach T
Will Disclosure In Lehman Bankruptcy Case Lead To Lawsuit Against Federal Reserve?
By: Tyler Durden Friday, October 02, 2009 1:05 PM
http://www.istockanalyst.com/article/viewarticle/articleid/3523400
Reporters at the WSJ have uncovered something very intriguing while they were combing through the billing records of Jenner and Block, whose chairman, Anton Valukas is currently moonlighting as the examiner of the Lehman Bankruptcy Case. In J&B's August fee statement, the firm discloses information that as part of its estate recoupment process, it has been contemplating suing none other than the Federal Reserve.
During its final days Lehman was a revolving door for Fed cash coming in (and promptly leaving) as the situation demanded. Whether borrowing at the Fed's discount window against garbage collateral (no doubt consisting of worthless toxic commercial real estate - yet, we will never know: the Fed has just appealed the decision to disclose who/what/why got access to its processing of taxpayer bailout funding, which likely means that unless some Second Circuit/SCOTUS judge finds it deep in his/her soul that representing the American public is more important than siding with Wall Street as always, that information will never see the light of day), using the TAF program, or otherwise, Lehman ended up gobbling an ungodly amount of cash from the Fed which was subsequently imporperly yanked by the Chairman, instead of being used to satisfy pari passu creditor claims. According to the WSJ:
The New York Fed lent Lehman $46.2 billion in cash and Treasury securities for $50.6 billion in collateral, according to Federal Reserve affidavits filed in bankruptcy court. As a result of Lehman's sale to Barclays PLC following its bankruptcy, the New York Fed was later paid back in cash, with the Treasury securities returned. Lehman's broker-dealer also borrowed tens of billions of dollars from the Fed in the period from Sept. 11 through Sept. 15 last year.
This is all fine and great, however where the issue lies is whether there was an improper superposition of the Fed relative to all other creditors of the firm. If, in fact, the Fed recouped any money at a point after the bankruptcy process was initiated (and potentially even before the instant of filing), Jenner can file a preference claim against the Federal Reserve. The suit would, in theory imply that there was an action of "avoidance" by the Fed to be considered a preferred creditor without legal justification or reason.
It is obvious why the Fed would have wanted to avoid this: General Unsecured Claims and unsecured Notes issued by Lehman Brothers traded down from 90 cents on the dollar in the days prior to September 15 all the way to 10 cents on the dollar in the week following. Had the Fed's assets become commingled in the GUC pool, it would have seen a loss of nearly $40 billion of taxpayer money. However, the Fed's gain is other creditors' loss.
Which is why the revelations observed going thru J&B's billing statement are quite stunning, as they highlight that while Valukas has as yet not started any actual legal proceedings, which would claim there was a preference action by the Fed impairing other Lehman creditors, it is surely contemplating such.
Zero Hedge presents below relevant sections from the May Billing Statement filed by Jenner & Block in bankruptcy court. We hope Congressmen Ron Paul and Alan Grayson notice these potential legal overtures and promptly contact Mr. Valukas' office to determine what the process of any legal action may currently be and why it hasn't been made public yet, especially if the Fed has been found in breach of preference.
The Perfect Storm Continues...
Coach T
Here is a settlement and dispute resolution with Field Point IV.
Field Point IV also thought that they had the right to terminate. I guess they found out just like Metavante! LBHI DOCKET # 5329
On November 26, 2008, Field Point filed an objection to LCPI’s
assumption of the Field Point Trades based upon Field Point’s contention that Field Point had
terminated the Field Point Trades pre-petition by letters dated September 30, 2008 (the “Field
Point Objection”) [Docket No. 1841]. On December 15, 2008, the Debtors filed an omnibus
reply asserting, among other things, their position that the Field Point Trades had not been
effectively terminated prepetition because there had been no breach by LCPI [Docket No. 2208].
H. On January 14, 2009, the Court directed that the Debtors and Field Point
proceed with discovery to resolve the factual issues raised by the Field Point Objection and,
since that time, LCPI and Field Point have been participating in such discovery.
I. The Debtors and Field Point have now agreed to resolve this dispute
pursuant to the terms set forth in that certain letter agreement between LCPI and Field Point
dated October 1, 2009 (the “Letter Agreement”).
Every subsequent court decision makes the next one that much easier now!
Enjoy!
Coach T
Here is a settlement and dispute resolution with Field Point IV.
Field Point IV also thought that they had the right to terminate. I guess they found out just like Metavante! LBHI DOCKET # 5329
On November 26, 2008, Field Point filed an objection to LCPI’s
assumption of the Field Point Trades based upon Field Point’s contention that Field Point had
terminated the Field Point Trades pre-petition by letters dated September 30, 2008 (the “Field
Point Objection”) [Docket No. 1841]. On December 15, 2008, the Debtors filed an omnibus
reply asserting, among other things, their position that the Field Point Trades had not been
effectively terminated prepetition because there had been no breach by LCPI [Docket No. 2208].
H. On January 14, 2009, the Court directed that the Debtors and Field Point
proceed with discovery to resolve the factual issues raised by the Field Point Objection and,
since that time, LCPI and Field Point have been participating in such discovery.
I. The Debtors and Field Point have now agreed to resolve this dispute
pursuant to the terms set forth in that certain letter agreement between LCPI and Field Point
dated October 1, 2009 (the “Letter Agreement”).
Every subsequent court decision makes the next one that much easier now!
Enjoy!
Coach T
Here is a settlement and dispute resolution with Field Point IV.
Field Point IV also thought that they had the right to terminate. I guess they found out just like Metavante! LBHI DOCKET # 5329
On November 26, 2008, Field Point filed an objection to LCPI’s
assumption of the Field Point Trades based upon Field Point’s contention that Field Point had
terminated the Field Point Trades pre-petition by letters dated September 30, 2008 (the “Field
Point Objection”) [Docket No. 1841]. On December 15, 2008, the Debtors filed an omnibus
reply asserting, among other things, their position that the Field Point Trades had not been
effectively terminated prepetition because there had been no breach by LCPI [Docket No. 2208].
H. On January 14, 2009, the Court directed that the Debtors and Field Point
proceed with discovery to resolve the factual issues raised by the Field Point Objection and,
since that time, LCPI and Field Point have been participating in such discovery.
I. The Debtors and Field Point have now agreed to resolve this dispute
pursuant to the terms set forth in that certain letter agreement between LCPI and Field Point
dated October 1, 2009 (the “Letter Agreement”).
Every subsequent court decision makes the next one that much easier now!
Enjoy!
Coach T
Looks like we are winding this thing up for some $.60-$.80 soon. IMO.
Trusts look like they are ready on the weekly charts for dollar land!
Coach T
It seems that happens (spikes down) just before it makes the next leg up. This leg will be led by the Trusts and Preferreds IMO. Common will go up but T's and P's will move more.
IMO
Coach T
U.K. House Prices Rose for Fifth Month in September (Update2)
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By Brian Swint
Oct. 2 (Bloomberg) -- U.K. house prices rose for a fifth month in September as a lack of homes for sale helped the property market to erase its losses of the past year, Nationwide Building Society said.
The average cost of a home increased 0.9 percent to 161,816 pounds ($258,000), the mortgage lender said in a statement today. Prices have now dropped 13 percent since the peak in October 2007 and they are at a level last seen at the time of Lehman Brothers Holdings Inc.’s collapse last year.
The report adds to signs that Britain is pulling out of its worst economic slump in at least a generation as consumer confidence improves and mortgage approvals pick up. The International Monetary Fund yesterday raised its forecast for U.K. economic growth next year, saying the housing market is now stabilizing.
“The most intense phase of the recession and financial crisis has probably passed,” Martin Gahbauer, chief economist at Nationwide, said in a statement. “The further increase in house prices is very much consistent with improvements in a broad range of economic and financial indicators.”
Prices were unchanged from a year earlier in September, the first time they haven’t shown an annual drop since March 2008, Nationwide said.
The number of houses being sold is still below normal and will probably take another 18 months to return to the level before the financial crisis, the report said. Rising unemployment and banks’ reluctance to lend money are still “headwinds,” Nationwide said.
Housing Forecast
“It would be surprising to see house prices continuing to increase at the very strong rate seen in recent months,” Gahbauer said.
Prices in all the 13 regions of the U.K. rose in the third quarter, led by the southwest and Northern Ireland, Nationwide said. Home values in greater London increased 3.8 percent from the second quarter.
Consumers added 7 billion pounds of equity to their homes in the three months through June, the fifth consecutive quarter when new investment in housing exceeded borrowings extended on mortgages, the Bank of England said today. That suggests consumer spending may be slow to recover from the recession.
The construction industry slump unexpectedly intensified in September, a separate report by Markit and the Chartered Institute of Purchasing & Supply showed. Its index of building activity fell to 46.7 from 47.7 in August. Economists predicted 48.1, according to the median of eight forecasts in a Bloomberg News survey. Results below 50 indicate contraction.
IMF Forecast
The IMF says the U.K. economy will expand 0.9 percent in 2010 after previously forecasting growth of 0.2 percent. Consumer confidence jumped the most since 1995 last month, GfK NOP says, and the Bank of England reported yesterday that lenders expect mortgage supply to rise in the fourth quarter.
At their Sept. 10 decision, policy makers said rising asset prices could create a “virtuous upward spiral” for the economy. Chief Economist Spencer Dale said last week that he favored limiting the increase in the bank’s bond purchase plan to 175 billion pounds because of the risk spending more might stoke asset prices too much.
The benchmark interest rate is at a record low of 0.5 percent. The next policy decision is due on Oct. 8.
To contact the reporter on this story: Brian Swint in London at bswint@bloomberg.net.
http://www.bloomberg.com/apps/news?pid=newsarchive&sid=a02hUZhyg6zQ
Keep the Faith!
Coach T
U.K. House Prices Rose for Fifth Month in September (Update2)
Share | Email | Print | A A A
By Brian Swint
Oct. 2 (Bloomberg) -- U.K. house prices rose for a fifth month in September as a lack of homes for sale helped the property market to erase its losses of the past year, Nationwide Building Society said.
The average cost of a home increased 0.9 percent to 161,816 pounds ($258,000), the mortgage lender said in a statement today. Prices have now dropped 13 percent since the peak in October 2007 and they are at a level last seen at the time of Lehman Brothers Holdings Inc.’s collapse last year.
The report adds to signs that Britain is pulling out of its worst economic slump in at least a generation as consumer confidence improves and mortgage approvals pick up. The International Monetary Fund yesterday raised its forecast for U.K. economic growth next year, saying the housing market is now stabilizing.
“The most intense phase of the recession and financial crisis has probably passed,” Martin Gahbauer, chief economist at Nationwide, said in a statement. “The further increase in house prices is very much consistent with improvements in a broad range of economic and financial indicators.”
Prices were unchanged from a year earlier in September, the first time they haven’t shown an annual drop since March 2008, Nationwide said.
The number of houses being sold is still below normal and will probably take another 18 months to return to the level before the financial crisis, the report said. Rising unemployment and banks’ reluctance to lend money are still “headwinds,” Nationwide said.
Housing Forecast
“It would be surprising to see house prices continuing to increase at the very strong rate seen in recent months,” Gahbauer said.
Prices in all the 13 regions of the U.K. rose in the third quarter, led by the southwest and Northern Ireland, Nationwide said. Home values in greater London increased 3.8 percent from the second quarter.
Consumers added 7 billion pounds of equity to their homes in the three months through June, the fifth consecutive quarter when new investment in housing exceeded borrowings extended on mortgages, the Bank of England said today. That suggests consumer spending may be slow to recover from the recession.
The construction industry slump unexpectedly intensified in September, a separate report by Markit and the Chartered Institute of Purchasing & Supply showed. Its index of building activity fell to 46.7 from 47.7 in August. Economists predicted 48.1, according to the median of eight forecasts in a Bloomberg News survey. Results below 50 indicate contraction.
IMF Forecast
The IMF says the U.K. economy will expand 0.9 percent in 2010 after previously forecasting growth of 0.2 percent. Consumer confidence jumped the most since 1995 last month, GfK NOP says, and the Bank of England reported yesterday that lenders expect mortgage supply to rise in the fourth quarter.
At their Sept. 10 decision, policy makers said rising asset prices could create a “virtuous upward spiral” for the economy. Chief Economist Spencer Dale said last week that he favored limiting the increase in the bank’s bond purchase plan to 175 billion pounds because of the risk spending more might stoke asset prices too much.
The benchmark interest rate is at a record low of 0.5 percent. The next policy decision is due on Oct. 8.
To contact the reporter on this story: Brian Swint in London at bswint@bloomberg.net.
http://www.bloomberg.com/apps/news?pid=newsarchive&sid=a02hUZhyg6zQ
Keep the Faith!
Coach T
U.K. House Prices Rose for Fifth Month in September (Update2)
Share | Email | Print | A A A
By Brian Swint
Oct. 2 (Bloomberg) -- U.K. house prices rose for a fifth month in September as a lack of homes for sale helped the property market to erase its losses of the past year, Nationwide Building Society said.
The average cost of a home increased 0.9 percent to 161,816 pounds ($258,000), the mortgage lender said in a statement today. Prices have now dropped 13 percent since the peak in October 2007 and they are at a level last seen at the time of Lehman Brothers Holdings Inc.’s collapse last year.
The report adds to signs that Britain is pulling out of its worst economic slump in at least a generation as consumer confidence improves and mortgage approvals pick up. The International Monetary Fund yesterday raised its forecast for U.K. economic growth next year, saying the housing market is now stabilizing.
“The most intense phase of the recession and financial crisis has probably passed,” Martin Gahbauer, chief economist at Nationwide, said in a statement. “The further increase in house prices is very much consistent with improvements in a broad range of economic and financial indicators.”
Prices were unchanged from a year earlier in September, the first time they haven’t shown an annual drop since March 2008, Nationwide said.
The number of houses being sold is still below normal and will probably take another 18 months to return to the level before the financial crisis, the report said. Rising unemployment and banks’ reluctance to lend money are still “headwinds,” Nationwide said.
Housing Forecast
“It would be surprising to see house prices continuing to increase at the very strong rate seen in recent months,” Gahbauer said.
Prices in all the 13 regions of the U.K. rose in the third quarter, led by the southwest and Northern Ireland, Nationwide said. Home values in greater London increased 3.8 percent from the second quarter.
Consumers added 7 billion pounds of equity to their homes in the three months through June, the fifth consecutive quarter when new investment in housing exceeded borrowings extended on mortgages, the Bank of England said today. That suggests consumer spending may be slow to recover from the recession.
The construction industry slump unexpectedly intensified in September, a separate report by Markit and the Chartered Institute of Purchasing & Supply showed. Its index of building activity fell to 46.7 from 47.7 in August. Economists predicted 48.1, according to the median of eight forecasts in a Bloomberg News survey. Results below 50 indicate contraction.
IMF Forecast
The IMF says the U.K. economy will expand 0.9 percent in 2010 after previously forecasting growth of 0.2 percent. Consumer confidence jumped the most since 1995 last month, GfK NOP says, and the Bank of England reported yesterday that lenders expect mortgage supply to rise in the fourth quarter.
At their Sept. 10 decision, policy makers said rising asset prices could create a “virtuous upward spiral” for the economy. Chief Economist Spencer Dale said last week that he favored limiting the increase in the bank’s bond purchase plan to 175 billion pounds because of the risk spending more might stoke asset prices too much.
The benchmark interest rate is at a record low of 0.5 percent. The next policy decision is due on Oct. 8.
To contact the reporter on this story: Brian Swint in London at bswint@bloomberg.net.
http://www.bloomberg.com/apps/news?pid=newsarchive&sid=a02hUZhyg6zQ
Keep the Faith!
Coach T
U.K. House Prices Rose for Fifth Month in September (Update2)
Share | Email | Print | A A A
By Brian Swint
Oct. 2 (Bloomberg) -- U.K. house prices rose for a fifth month in September as a lack of homes for sale helped the property market to erase its losses of the past year, Nationwide Building Society said.
The average cost of a home increased 0.9 percent to 161,816 pounds ($258,000), the mortgage lender said in a statement today. Prices have now dropped 13 percent since the peak in October 2007 and they are at a level last seen at the time of Lehman Brothers Holdings Inc.’s collapse last year.
The report adds to signs that Britain is pulling out of its worst economic slump in at least a generation as consumer confidence improves and mortgage approvals pick up. The International Monetary Fund yesterday raised its forecast for U.K. economic growth next year, saying the housing market is now stabilizing.
“The most intense phase of the recession and financial crisis has probably passed,” Martin Gahbauer, chief economist at Nationwide, said in a statement. “The further increase in house prices is very much consistent with improvements in a broad range of economic and financial indicators.”
Prices were unchanged from a year earlier in September, the first time they haven’t shown an annual drop since March 2008, Nationwide said.
The number of houses being sold is still below normal and will probably take another 18 months to return to the level before the financial crisis, the report said. Rising unemployment and banks’ reluctance to lend money are still “headwinds,” Nationwide said.
Housing Forecast
“It would be surprising to see house prices continuing to increase at the very strong rate seen in recent months,” Gahbauer said.
Prices in all the 13 regions of the U.K. rose in the third quarter, led by the southwest and Northern Ireland, Nationwide said. Home values in greater London increased 3.8 percent from the second quarter.
Consumers added 7 billion pounds of equity to their homes in the three months through June, the fifth consecutive quarter when new investment in housing exceeded borrowings extended on mortgages, the Bank of England said today. That suggests consumer spending may be slow to recover from the recession.
The construction industry slump unexpectedly intensified in September, a separate report by Markit and the Chartered Institute of Purchasing & Supply showed. Its index of building activity fell to 46.7 from 47.7 in August. Economists predicted 48.1, according to the median of eight forecasts in a Bloomberg News survey. Results below 50 indicate contraction.
IMF Forecast
The IMF says the U.K. economy will expand 0.9 percent in 2010 after previously forecasting growth of 0.2 percent. Consumer confidence jumped the most since 1995 last month, GfK NOP says, and the Bank of England reported yesterday that lenders expect mortgage supply to rise in the fourth quarter.
At their Sept. 10 decision, policy makers said rising asset prices could create a “virtuous upward spiral” for the economy. Chief Economist Spencer Dale said last week that he favored limiting the increase in the bank’s bond purchase plan to 175 billion pounds because of the risk spending more might stoke asset prices too much.
The benchmark interest rate is at a record low of 0.5 percent. The next policy decision is due on Oct. 8.
To contact the reporter on this story: Brian Swint in London at bswint@bloomberg.net.
http://www.bloomberg.com/apps/news?pid=newsarchive&sid=a02hUZhyg6zQ
Keep the Faith!
Coach T
All the Trusts look like they are ready to move into the "GAP".
IMO
Keep the Faith!
Nice find Dnoto...
Let's see that now, that makes The Fed, the NY Fed, ABN AMRO, Barclay's, JPM, Citi, B of A, am I leaving out anyone? I am sure that I am.
Let's get to the rat killing...(John Wayne, McClintock).
Enjoy the Ride!
Coach T
THE RECEIVERS OF MORTGAGED PROPERTIES OF MINIBOND
NOTE SERIES 1, 2, 3, 5, 6, 7, 8, 9 and 10
c/o PricewaterhouseCoopers LLP
8 Cross Street
#17-00 PWC Building
Singapore 048424
Receivers of the defaulted Minibond Notes reached agreement with Lehman
Brothers Special Financing Inc.
Singapore, 1 October 2009 - Goh Thien Phong, Dominic Nixon and Yeow Chee Keong,
partners at PricewaterhouseCoopers LLP Singapore (PwC), the appointed Receivers of
the collateral underpinning the defaulted Minibond Notes series (namely series 1 to 3, and
5 to 10), announced today that an agreement has been reached with, among other
parties, Lehman Brothers Special Financing Inc, the Swap Counterparty in connection
with the Minibond Programme in Singapore. The agreement means that the Receivers
now have control of the underlying collateral and can commence the process of realising
the residual value of the notes without the risks and uncertainties of complex, costly
litigation.
The Receivers have been working with HSBC Institutional Trust Services (Singapore)
Limited - the Trustee - and their respective legal advisers to consider all available options
since commencing an orderly unwinding of the swaps for the defaulted Minibond Series 1
to 3 and 5 to 10. Given the complex nature of this matter, the Receivers have undertaken
significant due diligence on the various options. The Receivers have formed the view that
the settlement agreement reached, together with the liquidation of the underlying collateral
to return residual value to noteholders, is the best available option for noteholders under
the present circumstances. The Trustee has accepted the Receivers’ recommendation to
settle with Lehman Brothers Special Financing Inc., after careful consideration.
The settlement agreement will result in the recovery of a varying amount of funds to
noteholders, depending upon the series/tranche held. The amounts recovered for each
series/tranche may vary significantly. The amount of funds recovered will depend,
amongst other factors, on the realisation proceeds from the liquidation of the underlying
collateral after payment obligations to all parties have been met. This includes the agreed
payments to Lehman Brothers Special Financing Inc under the obligations of each swap
agreement. Noteholders should be aware that it will still take a few months to liquidate the
collateral and determine the actual value which can be realised for each series/tranche.
Dominic Nixon, one of the Receivers commented, “This negotiated settlement represents
a milestone achievement as it means that the Receivers now have control of the collateral
and can commence the process of liquidation. This settlement provides certainty to the
noteholders that at least some of their initial investment will be recovered. Without the
negotiated settlement, the Receivers would have to pursue a complex, costly and lengthy
litigation process without certainty of recovery.”
Note:
The Receivers and PwC cannot and do not offer any form of financial or legal advice to
noteholders and nothing herein should be construed as such. Noteholders ought to seek
independent professional advice with respect to their own legal and financial positions.
- ENDS -
Coach T
THE RECEIVERS OF MORTGAGED PROPERTIES OF MINIBOND
NOTE SERIES 1, 2, 3, 5, 6, 7, 8, 9 and 10
c/o PricewaterhouseCoopers LLP
8 Cross Street
#17-00 PWC Building
Singapore 048424
Receivers of the defaulted Minibond Notes reached agreement with Lehman
Brothers Special Financing Inc.
Singapore, 1 October 2009 - Goh Thien Phong, Dominic Nixon and Yeow Chee Keong,
partners at PricewaterhouseCoopers LLP Singapore (PwC), the appointed Receivers of
the collateral underpinning the defaulted Minibond Notes series (namely series 1 to 3, and
5 to 10), announced today that an agreement has been reached with, among other
parties, Lehman Brothers Special Financing Inc, the Swap Counterparty in connection
with the Minibond Programme in Singapore. The agreement means that the Receivers
now have control of the underlying collateral and can commence the process of realising
the residual value of the notes without the risks and uncertainties of complex, costly
litigation.
The Receivers have been working with HSBC Institutional Trust Services (Singapore)
Limited - the Trustee - and their respective legal advisers to consider all available options
since commencing an orderly unwinding of the swaps for the defaulted Minibond Series 1
to 3 and 5 to 10. Given the complex nature of this matter, the Receivers have undertaken
significant due diligence on the various options. The Receivers have formed the view that
the settlement agreement reached, together with the liquidation of the underlying collateral
to return residual value to noteholders, is the best available option for noteholders under
the present circumstances. The Trustee has accepted the Receivers’ recommendation to
settle with Lehman Brothers Special Financing Inc., after careful consideration.
The settlement agreement will result in the recovery of a varying amount of funds to
noteholders, depending upon the series/tranche held. The amounts recovered for each
series/tranche may vary significantly. The amount of funds recovered will depend,
amongst other factors, on the realisation proceeds from the liquidation of the underlying
collateral after payment obligations to all parties have been met. This includes the agreed
payments to Lehman Brothers Special Financing Inc under the obligations of each swap
agreement. Noteholders should be aware that it will still take a few months to liquidate the
collateral and determine the actual value which can be realised for each series/tranche.
Dominic Nixon, one of the Receivers commented, “This negotiated settlement represents
a milestone achievement as it means that the Receivers now have control of the collateral
and can commence the process of liquidation. This settlement provides certainty to the
noteholders that at least some of their initial investment will be recovered. Without the
negotiated settlement, the Receivers would have to pursue a complex, costly and lengthy
litigation process without certainty of recovery.”
Note:
The Receivers and PwC cannot and do not offer any form of financial or legal advice to
noteholders and nothing herein should be construed as such. Noteholders ought to seek
independent professional advice with respect to their own legal and financial positions.
- ENDS -
Coach T
01 October 2009
This statement is issued by HSBC Institutional Trust Services (Singapore) Limited.
HSBC Institutional Trust Services (Singapore) Limited, trustee of the defaulted
Minibond Notes series 1 to 3, and 5 to 10, confirmed that an agreement has been
reached between the Receivers of the Mortgaged Property for the defaulted notes,
Lehman Brothers Special Financing Inc, the swap counterparty in connection with the
Minibond Programme in Singapore, and other parties involved.
The agreement means that the Receivers now have control of the underlying collateral
and can commence the process of realising the residual value of the notes without the
risks and uncertainties of complex and costly litigation.
The Trustee also confirmed that acting in accordance with the powers under the trust
deed and its legal obligations it has accepted the Receivers’ recommendation to settle
with Lehman Brothers Special Financing Inc after careful consideration.
The Trustee has worked closely with the Receivers and its professional advisers on
this matter and is satisfied that the recommendation by the Receivers to accept the
settlement is in the best interest of noteholders.
The Trustee advised that noteholders will be receiving formal notification of this
development.
Press Release from the Trustee...HSBC
Coach T
01 October 2009
This statement is issued by HSBC Institutional Trust Services (Singapore) Limited.
HSBC Institutional Trust Services (Singapore) Limited, trustee of the defaulted
Minibond Notes series 1 to 3, and 5 to 10, confirmed that an agreement has been
reached between the Receivers of the Mortgaged Property for the defaulted notes,
Lehman Brothers Special Financing Inc, the swap counterparty in connection with the
Minibond Programme in Singapore, and other parties involved.
The agreement means that the Receivers now have control of the underlying collateral
and can commence the process of realising the residual value of the notes without the
risks and uncertainties of complex and costly litigation.
The Trustee also confirmed that acting in accordance with the powers under the trust
deed and its legal obligations it has accepted the Receivers’ recommendation to settle
with Lehman Brothers Special Financing Inc after careful consideration.
The Trustee has worked closely with the Receivers and its professional advisers on
this matter and is satisfied that the recommendation by the Receivers to accept the
settlement is in the best interest of noteholders.
The Trustee advised that noteholders will be receiving formal notification of this
development.
Press Release from the Trustee...HSBC
Coach T
Same topic different article, more details...
http://www.straitstimes.com/Breaking%2BNews/Singapore/Story/STIStory_436806.html
Additionally, here is the offical press release.
MAS Welcomes the Receivers’ and Trustee’s Announcement of the Settlement Agreement for the Minibond Notes Singapore, 1 October 2009... The Monetary Authority of Singapore (MAS) welcomes the announcement by the three partners of PricewaterhouseCoopers LLP appointed as receivers for the Minibond notes, and HSBC Institutional Trust Services (Singapore) Limited, the trustee for the notes, that they have reached a settlement agreement with Lehman Brothers Special Financing Inc. (LBSF), the swap counterparty for the notes. This is an important development which resolves the legal complexities that had prevented the earlier unwinding of the notes and gives noteholders greater certainty that they will be able to receive the remaining value of their notes. 2. The obligations of the trustee and the receivers in this situation are to act in the interest of noteholders. The trustee and receivers have kept MAS informed during the settlement negotiations. We understand that they have considered the matter thoroughly and are both satisfied that the settlement and liquidation of the underlying collateral are in the best interest of noteholders. 3. The settlement with LBSF does not affect any claims investors are making against the financial institutions (FIs) from which they bought the notes. Investors who accepted partial settlement offers as part of the dispute resolution process by the FI or the Financial Industry Disputes Resolution Centre would have retained a portion of the notes, and will get to keep the residual value arising from those notes. Investors who accepted full settlement offers would have received 100% of their principal investment amount. These investors will not receive any residual value as they would have transferred the notes to the FI.
Coach T
Same topic different article, more details...
http://www.straitstimes.com/Breaking%2BNews/Singapore/Story/STIStory_436806.html
Additionally, here is the offical press release.
MAS Welcomes the Receivers’ and Trustee’s Announcement of the Settlement Agreement for the Minibond Notes Singapore, 1 October 2009... The Monetary Authority of Singapore (MAS) welcomes the announcement by the three partners of PricewaterhouseCoopers LLP appointed as receivers for the Minibond notes, and HSBC Institutional Trust Services (Singapore) Limited, the trustee for the notes, that they have reached a settlement agreement with Lehman Brothers Special Financing Inc. (LBSF), the swap counterparty for the notes. This is an important development which resolves the legal complexities that had prevented the earlier unwinding of the notes and gives noteholders greater certainty that they will be able to receive the remaining value of their notes. 2. The obligations of the trustee and the receivers in this situation are to act in the interest of noteholders. The trustee and receivers have kept MAS informed during the settlement negotiations. We understand that they have considered the matter thoroughly and are both satisfied that the settlement and liquidation of the underlying collateral are in the best interest of noteholders. 3. The settlement with LBSF does not affect any claims investors are making against the financial institutions (FIs) from which they bought the notes. Investors who accepted partial settlement offers as part of the dispute resolution process by the FI or the Financial Industry Disputes Resolution Centre would have retained a portion of the notes, and will get to keep the residual value arising from those notes. Investors who accepted full settlement offers would have received 100% of their principal investment amount. These investors will not receive any residual value as they would have transferred the notes to the FI.
Coach T
Same topic different article, more details...
http://www.straitstimes.com/Breaking%2BNews/Singapore/Story/STIStory_436806.html
Additionally, here is the offical press release.
MAS Welcomes the Receivers’ and Trustee’s Announcement of the Settlement Agreement for the Minibond Notes Singapore, 1 October 2009... The Monetary Authority of Singapore (MAS) welcomes the announcement by the three partners of PricewaterhouseCoopers LLP appointed as receivers for the Minibond notes, and HSBC Institutional Trust Services (Singapore) Limited, the trustee for the notes, that they have reached a settlement agreement with Lehman Brothers Special Financing Inc. (LBSF), the swap counterparty for the notes. This is an important development which resolves the legal complexities that had prevented the earlier unwinding of the notes and gives noteholders greater certainty that they will be able to receive the remaining value of their notes. 2. The obligations of the trustee and the receivers in this situation are to act in the interest of noteholders. The trustee and receivers have kept MAS informed during the settlement negotiations. We understand that they have considered the matter thoroughly and are both satisfied that the settlement and liquidation of the underlying collateral are in the best interest of noteholders. 3. The settlement with LBSF does not affect any claims investors are making against the financial institutions (FIs) from which they bought the notes. Investors who accepted partial settlement offers as part of the dispute resolution process by the FI or the Financial Industry Disputes Resolution Centre would have retained a portion of the notes, and will get to keep the residual value arising from those notes. Investors who accepted full settlement offers would have received 100% of their principal investment amount. These investors will not receive any residual value as they would have transferred the notes to the FI.
Coach T
By letting the Structured Minibond holders have the underlying assets direct, would be like letting the Preferred Trusts have the bonds that make up each Trust. IMO.
Generally, assets would be pooled and a percentage paid to all claimants.
Just don't believe the Creditors Committee allowed this UNLESS...UNLESS...there is more meat on the bone!
Any thoughts? Accountants out there...thoughts.
Coach T
By letting the Structured Minibond holders have the underlying assets direct, would be like letting the Preferred Trusts have the bonds that make up each Trust. IMO.
Generally, assets would be pooled and a percentage paid to all claimants.
Just don't believe the Creditors Committee allowed this UNLESS...UNLESS...there is more meat on the bone!
Any thoughts? Accountants out there...thoughts.
Coach T
By letting the Structured Minibond holders have the underlying assets direct, would be like letting the Preferred Trusts have the bonds that make up each Trust. IMO.
Generally, assets would be pooled and a percentage paid to all claimants.
Just don't believe the Creditors Committee allowed this UNLESS...UNLESS...there is more meat on the bone!
Any thoughts? Accountants out there...thoughts.
Coach T
Singaporeans to recover what's left of Lehman notes
LBSF just worked out a deal with PWC to hand over assets from the minibonds that have been in the news in Singapore and the Asian part of the world.
Not sure what to make of it other than A&M must feel pretty comfortable in doing it. Under any other circumstance I would think the Unsecured Creditors Committee would have put the handcuffs on it.
Why let assets go to one party when they would not go into a pool to get paid a % to all.
It must be a positive...definitely good PR.
"PricewaterhouseCoopers (PWC), acting on behalf of Singapore investors who had bought the so-called "Minibonds", said on Thursday it has reached a deal with Lehman Brothers Special Financing Inc, the swap counterparty for the Minibonds, to take over assets backing these notes."
PWC "can commence the process of realising the residual value of the notes without the risks and uncertainties of complex, costly litigation," it said.
http://www.reuters.com/article/rbssFinancialServicesAndRealEstateNews/idUSSIN47989220091001
Keep the Faith!
Coach T
Singaporeans to recover what's left of Lehman notes
LBSF just worked out a deal with PWC to hand over assets from the minibonds that have been in the news in Singapore and the Asian part of the world.
Not sure what to make of it other than A&M must feel pretty comfortable in doing it. Under any other circumstance I would think the Unsecured Creditors Committee would have put the handcuffs on it.
Why let assets go to one party when they would not go into a pool to get paid a % to all.
It must be a positive...definitely good PR.
"PricewaterhouseCoopers (PWC), acting on behalf of Singapore investors who had bought the so-called "Minibonds", said on Thursday it has reached a deal with Lehman Brothers Special Financing Inc, the swap counterparty for the Minibonds, to take over assets backing these notes."
PWC "can commence the process of realising the residual value of the notes without the risks and uncertainties of complex, costly litigation," it said.
http://www.reuters.com/article/rbssFinancialServicesAndRealEstateNews/idUSSIN47989220091001
Keep the Faith!
Coach T
Singaporeans to recover what's left of Lehman notes
LBSF just worked out a deal with PWC to hand over assets from the minibonds that have been in the news in Singapore and the Asian part of the world.
Not sure what to make of it other than A&M must feel pretty comfortable in doing it. Under any other circumstance I would think the Unsecured Creditors Committee would have put the handcuffs on it.
Why let assets go to one party when they would not go into a pool to get paid a % to all.
It must be a positive...definitely good PR.
"PricewaterhouseCoopers (PWC), acting on behalf of Singapore investors who had bought the so-called "Minibonds", said on Thursday it has reached a deal with Lehman Brothers Special Financing Inc, the swap counterparty for the Minibonds, to take over assets backing these notes."
PWC "can commence the process of realising the residual value of the notes without the risks and uncertainties of complex, costly litigation," it said.
http://www.reuters.com/article/rbssFinancialServicesAndRealEstateNews/idUSSIN47989220091001
Keep the Faith!
Coach T
Go bet:
I have yet to see the Courts rule in favor of any motion that was not supported by Weil Lehman, etc.
When I purchased my shares I did it because of the risk reward and the complete lack of public awareness of the details of the BK.
For me, nothing has changed since the filing date IMO. Risk/reward still appears to be good below $2.50 for a potential $25 payoff. A/L is only $40B away from paying full face on Preferred.
The Courts most importantly, are completely in tune with the debtor presentations, motions and thought process as represented in the dockets...
Something fundamentally will have to change before I change.
Technically, there has been very little pressure to the downside. Turnover (to the upside) on the J's over the past 3 weeks has been almost 20% of the entire float (66M). So the majority of investors have a cost basis between $.10-.25. That means investors are currently with profits, even or modestly down. Nothing compared to the possible upside with a $295B asset base and $325B liability. Oh and the Fed and every other government in the world is trying to inflate property values.
A little long winded but my opinion nonetheless. Please do your own due diligence.
Coach T
Mic:
The best part about the court motion is that it is not even LEHMAN going after ABN AMRO...it is the EXAMINER!
Keep the Faith!
Coach T
LOOKS LIKE LEHMAN IS IN THE BANKING BUSINESS AGAIN!
http://www.bankaholic.com/former-lehman-bank-tops-2-yr-cd-rates/
Aurora Bank, FSB is selling CD's again. This was a MAJOR goal of A&M and Mr. Marsal.
Former Lehman Bank Tops 2-Yr. CD Rates
Posted in CD Rates by RateRunner
September 30, 2009 09:20 AM
A year after Lehman Brothers spectacular collapse its former, federally-insured bank has risen to the top of our rankings of the best, nationally-available 24-month CD rates.
Lehman Brothers Bank was not part of its owner’s bankruptcy and is trying to get a fresh start by taking the name of the Roman goddess of the dawn.
Aurora Bank, as it’s now known, certainly made our morning by offering a 24-month certificate of deposit for 2.45% APY with a $1,000 minimum deposit.
Here we go!
Coach T
LOOKS LIKE LEHMAN IS IN THE BANKING BUSINESS AGAIN!
http://www.bankaholic.com/former-lehman-bank-tops-2-yr-cd-rates/
Aurora Bank, FSB is selling CD's again. This was a MAJOR goal of A&M and Mr. Marsal.
Former Lehman Bank Tops 2-Yr. CD Rates
Posted in CD Rates by RateRunner
September 30, 2009 09:20 AM
A year after Lehman Brothers spectacular collapse its former, federally-insured bank has risen to the top of our rankings of the best, nationally-available 24-month CD rates.
Lehman Brothers Bank was not part of its owner’s bankruptcy and is trying to get a fresh start by taking the name of the Roman goddess of the dawn.
Aurora Bank, as it’s now known, certainly made our morning by offering a 24-month certificate of deposit for 2.45% APY with a $1,000 minimum deposit.
Here we go!
Coach T