Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
The 21,4 B is potentially tip or part of the iceberg.
Now that it's been disclosed that Lehman holds it's own dept it is worth to repost this old 2010 post below on the link and wonder how much of it's own debt Lehman holds via "participations".
https://investorshub.advfn.com/boards/read_msg.aspx?message_id=46850258
Cheers
Slim
PS: indeed, waiting sux big time.
Creditor Recovery in Lehman’s Bankruptcy
https://libertystreeteconomics.newyorkfed.org/2019/01/creditor-recovery-in-lehmans-bankruptcy.html
GLTA
Slim
Docket Docket # 59383 page 5 ... he little bit misinterpretated IMHO. The sum is smaller.
The Closing Debtors have made Distributions under the Plan of
$4,831,920,981.60 in the aggregate, including payments of post-petition interest by certain of the
Closing Debtors to creditors with allowed claims in accordance with the Plan. Lehman Brothers
Commercial Corporation intends to make an additional and final distribution of $2,014,937.24
and Lehman Brothers Commodity Services Inc. intends to make an additional and final
distribution of $1,604,791.60. A breakdown of Distributions by each Closing Debtor made to
date and the final distributions to be made by each Closing Debtor are included in the Closing
Cheers
Slim
Happy New Year to all !!!
Docket # 59304, page 25. We have 164 remaining disputed claims. Total filed amount 1.434B.
The countdown has begun :)
Slim
Nice volume indeed. Could it be that someone just moved hes/her CT positions from one broker to another and nothing more behind these tiny bit strange transactions. For example some french, german or brazilian person needed to do this for whatevar reason. Probably you need fixed afterhours trade to move your position between brokers?
If we see in coming days similar activity then I would say there is something strange going on.
Cheers
Slim
https://www.crainsnewyork.com/finance/ernst-young-ceo-step-down
Three years ago the firm paid $10 million to settle a lawsuit brought by the New York Attorney General's office that accused EY of helping Lehman Brothers deceive investors before its collapse. But for the most part Weinberger managed to keep EY out of the headlines.
Look what Tom Russo, Lehman‘s managing director and chief legal officer has said lately:
https://hermannherald.com/lehman-brothers-was-a-victim-of-2008-crash-says-ex-boss/16084/
CTs ask 190 USD
Dear Sir or Madam,
I am writng to the person who controls the CTs ask and changes it between the range 21-45 USD/pcs. As a member of small circle of bored Lehman Brothers CT investors / lotto players I am kindly asking to entertain us in the elevated level. Could you please raise your ask to the 190USD, please.
Thank you in advance... I know you are reading this board ;)
GLTA
Slim
Hopefully we will never dive to the subdime territory ever again :)
GLTA
Slim
Look at those asks at 20 USD/share. Makas my head spinning. Anybody who has level 2 could you share the actual block sizes that are on offer at those prices.
TIA
Slim
Latest update about Lehman in Holland:
https://www.lehmanbrotherstreasury.com/pdf/english/6th%20public%20report%20LBT_21168792_1.PDF
https://en.wikipedia.org/wiki/Stichting
GLTA
IDK ... just quoting the report. Same Volume 2, page 211.
The Examiner analyzed Lehman’s valuation of the following asset categories:
commercial real estate (“CRE”), residential whole loans (“RWLs”), residential
mortgage-backed securities (“RMBS”), collateralized debt obligations (“CDOs”),
derivatives, corporate debt and corporate equity. The Examiner selected these asset
categories due to the relative size of each asset class and the risk of a valuation error in
light of deteriorating market conditions. Given that the primary purpose of the
valuation was to support the solvency analysis, the Examiner focused the valuation
analysis on the second and third fiscal quarters of 2008,727 except with respect to
Lehman’s valuations of its Archstone positions, which are addressed beginning with
the Archstone acquisition in October 2007
Anyway, after 8 years the examiner report is still interesting read. This Volume 2 has about 300 pages about Lehman asset valuation practices, mistakes and errors they made but in general like quoted in previous post the assests were valued correctly.
Docket # 7531
Filed Mar 11 2010
Examiners Report / Report of Anton R. Valukas
Volume 2, page 214
(3) Summary of Findings and Conclusions
The Examiner finds insufficient evidence to support a finding that Lehman’s
valuations of its RWL, RMBS, CDO or derivative positions were unreasonable during
the second and third quarters of 2008. Although the Examiner identifies, and discusses
below, certain problematic issues related to the price testing of these asset classes, these
problems either did not impact the ultimate asset values determined or the resulting
valuation errors were immaterial.[color=red][/color]
Go to: http://dm.epiq11.com/#/case/LBH/info "Overview" and then "other information" and you'll see this:
Employee Matters
Plan Termination – Lehman Brothers Savings Plan
The Board of Directors of Lehman Brothers Holdings Inc. has approved a resolution to terminate the Lehman Brothers Savings Plan (the “401(k) plan”) effective April 30, 2018. All plan participants must withdraw their plan balances by June 29, 2018.
Lehman Brothers Holdings Inc. has engaged Retirement Clearing House, LLC (RCH) to help participants understand their distribution options and to assist them in completing any required paperwork. Participants will receive additional information directly from RCH in May, 2018.
If a participant does not take action by June 29, 2018, their account balance will automatically be rolled over to a Safe Harbor Individual Retirement Account (IRA) with Retirement Clearinghouse, LLC (RCH).
All plan participants are encouraged to contact the plan’s record keeper, Fidelity, at 1-866-534-6266 or Retirement Clearing House, LLC (RCH) at 1-888-600-7655 with any questions regarding their plan distribution options.
Plan participants may contact the LBHI Human Resources Service Center at 866-994-6381 (toll free) or via email at hrservices@lehmanholdings.com for additional information.
Benefits and Payroll Questions
Current and former Lehman Brothers employees may contact the LBHI Human Resources Service Center at 866-994-6381 (or via email at hrservices@lehmanholdings.com) with any U.S. benefits questions.*
For any questions from former or current Lehman Brothers employees about W-2 forms for 2008, please contact: payroll@lehmanholdings.com or 866-994-6381.
* Former Lehman employees now employed at Barclays should contact the Barclays human resources service center at 212-526-2363 for any Barclays related matters. Legacy Lehman matters can be directed to the LBHI HR Service Center, using the above LBHI HR Service Center contact information.
Docket # 58526
In accordance with the Modified Third Amended Chapter 11 Plan of Lehman
Brothers Holdings Inc. and Its Affiliated Debtors dated January 31, 2013 (ECF No. 34348) (the
“Plan”) and the Amended and Restated Certificate of Incorporation of Lehman Brothers Holdings
Inc. (“LBHI”), on August 2, 2018, the Lehman Brothers Holdings Inc. Plan Trust re-elected the
following directors of LBHI (collectively, the “LBHI Directors”):
Frederick Arnold
Robert Gifford
Thomas Knott
Sean Mahoney
David Pauker
Ronald Tanemura
Owen Thomas
The term of the LBHI Directors shall expire on December 31, 2020, subject to prior
death, disability, resignation, retirement, disqualification, or removal from office.
After the CS settlement confirmation it makes sense that some or all of the Lehman entities that were involved with the settlemet will be closed in very near future but who knows.... maybe, maybe not.
Following Debtors’ chapter 11 cases remain open:
Lehman Brothers Holdings Inc.(“LBHI”)
Lehman Brothers Commodity Services Inc.(“LBCS”) - related to CS settlement
Lehman Brothers Special Financing Inc.(“LBSF”) - related to CS settlement
Lehman Brothers OTC Derivatives Inc.(“LOTC”)
Lehman Commercial Paper Inc.(“LCPI”)
Lehman Brothers Commercial Corporation(“LBCC”) - related to CS settlement
BNC Mortgage LLC
Structured Asset Securities Corporation
Cheers
Slim
If it looks like a duck, walks like a duck, and quacks like a duck, Its probably duck.
Keeping my fingers crossed that this is no ordinary duck but more like "black swan".
Cheers
Slim
Also those 4 Lehman chapter 11 cases were closed this week.
Lehman Brothers Derivative Products Inc. (“LBDP”)
Lehman Brothers Financial Products Inc.(“LBFP”)
Lehman Scottish Finance L.P.
LB Rose Ranch LLC
Dockets No. 58063 & 58125
8 cases remaining open.
Docket # 58100, page 14
33. The Plan Administrator seeks approval solely for the act of issuing
Substitute Preferred Stock. This is an act in furtherance of the implementation of the Plan but
not expressly authorized or prohibited by the Plan. There is no alteration of “payment rights” of
any creditor or party in interest because the issuance of the Substitute Preferred Stock will not
result in any dividend being paid ahead of any prepetition claims given that the Substitute
Preferred Stock will be cancelled pursuant to the Plan.
Anyone want to interpret that?
Docket # 58100, page 14
33. The Plan Administrator seeks approval solely for the act of issuing
Substitute Preferred Stock. This is an act in furtherance of the implementation of the Plan but
not expressly authorized or prohibited by the Plan. There is no alteration of “payment rights” of
any creditor or party in interest because the issuance of the Substitute Preferred Stock will not
result in any dividend being paid ahead of any prepetition claims given that the Substitute
Preferred Stock will be cancelled pursuant to the Plan.
Anyone want to interpret that?
Gartner hype cycel
Replace:
"Technology trigger" with "Investment/speculation trigger" and "plateu of productivity" with "whatever helps you to take this pain" and we have scientific chart of Lehman speculators saga :)
Have nice week guys!
The latest balance sheet (docket 57807, page 23) has this new comment:
Tax Reform 2017
The financials include the impact of the Tax Cuts and Jobs Act (“TCJA”) which was signed into law on December 22, 2017. The final impact of the TCJA may differ from these estimates after further refinement of the Company’s calculations and additional guidance that may be issued by the U.S. Department of Treasury. As of the date of this filing, the Company does not expect the TCJA to have a material impact on the Company’s estimates of future tax liabilities.
Yawn.
"The judge determined that the final settlement value of this particular set of claims was $2.38 billion – down from the $37 billion initially demanded, and the $11.4 billion sought by the plaintiffs in this claims estimation trial."
This is probably first time it is mentioned in news that original claimed amount was that huge (37B).
Anybody has a good idea if it's 37B or 11,4B calculated in the "liabilities subject to compromize" line in our Non-Gaap balance sheet?
Cheers
Slim
Bankruptcy Court's Block Of $1B Lehman Clawback Upheld
Share us on:
By Dave Simpson
Law360 (March 14, 2018, 10:59 PM EDT) -- A New York federal judge on Wednesday affirmed a bankruptcy court’s dismissal of a Lehman Brothers unit's bid to claw back $1 billion in swaps transactions, saying it correctly determined the safe harbor provision for swap agreements protects the distributions of the collateral.
U.S. District Judge Lorna G. Schofield rejected Lehman Brothers Special Financing's argument — that the word “liquidation” as it’s used in a section of the bankruptcy code was misapplied by the bankruptcy court and therefore those protections should be revoked — as out of context.
“LBSF’s interpretation is rejected because it is based on an interpretation of the term ‘liquidation’ in the context of an ‘unliquidated’ — i.e., uncalculated — claim or amount, or in terms of converting an illiquid asset to cash, and not in the context of the liquidation of an agreement, specifically a swap agreement,” she said. “But the [section's] safe harbor is not concerned with unliquidated or unascertained amounts and the need to ascertain them.”
In October 2015 Lehman filed an adversary proceeding against Bank of America Corp., Goldman Sachs Group Inc., Wells Fargo and more than 200 other investors, seeking to claw back $1 billion in payments Lehman made when the credit default swap agreements were terminated.
Under the agreements, Lehman purchased credit protection from certain special-purpose entities that, in turn, funded the collateral securing the swap agreements by issuing notes to investors. The swap deals could be terminated early if Lehman or the issuer defaulted, with the noteholders having priority for payment from the collateral if the default was on the Lehman side.
Lehman has argued that the default provisions in question are unenforceable, “ipso facto” provisions that impermissibly altered Lehman’s rights under the contracts after Lehman followed parent company Lehman Brothers Holdings Inc. into bankruptcy in 2008.
U.S. Bankruptcy Judge Shelley C. Chapman tossed the case last year, ruling the transactions were structured in such a way that the provisions did not act as “ipso facto” clauses and were therefore valid and enforceable. Lehman appealed that decision to a New York federal court.
In a letter to Judge Schofield earlier this month, Lehman said the U.S. Supreme Court’s February decision in Merit Management Group v. FTI Consulting, which established a narrow reading of the Bankruptcy Code’s “safe harbor” provision, should prevail, rather than the broad reading used by the bankruptcy court and argued for by the noteholders.
Judge Schofield cited the decision when rejecting Lehman’s “liquidation” argument.
The Lehman unit is represented by Paul R. DeFilippo of Wollmuth Maher & Deutsch LLP.
The noteholders are represented by Ballard Spahr LLP, Chaffetz Lindsey LLP, Chapman and Cutler LLP, Cleary Gottlieb Steen & Hamilton LLP, Cravath Swaine & Moore LLP, Gray Plant Mooty Mooty & Bennett PA, Hogan Lovells, Hunton & Williams LLP, Jackson Walker LLP, K&L Gates LLP, Kleinberg Kaplan Wolff & Cohen PC, Locke Lord LLP, McCarter & English LLP, McGuire Woods LLP, Morgan Lewis & Bockius LLP, Munger Tolles & Olson LLP, Nixon Peabody LLP, Olshan Frome Wolosky LLP, Reed Smith LLP, Seward & Kissel LLP, Sidley Austin LLP and Wuersch & Gering LLP.
The case is Lehman Brothers Special Financing Inc. v. Bank of America NA et al., case number 1:17-cv-01224, in the U.S. District Court for the Southern District of New York.
--Additional reporting by Rick Archer. Editing by Alanna Weissman.
It is the docket 57049, page 23.
Exactly, I agree with you on this. I do not like it but the value of Lehman NOL shrank considerably now that there is new lower corporate tax rate.
Wayne, regarding NOLs value please read my post 72064. I would appreciate your comment on this.
TIA
Silm
Simply reposting
docket 57049, page 23
Net Operating Losses
The NOLs of the LBHI Tax Group (including Debtor-Controlled Entities) are subject to audit and adjustment by the IRS and primarily expire in or about 2028.
WOW, we have another "transfer orgy" happening. This time Merril to BKM Holdings. Go ahead and open one of the transfer dockets and you see a long list of claims. Similar transfer mania was few weeks ago when Goldman tranferred lot of claims to one hedge fund.
GLTA
Slim
Thank you!
Happy New Year to all the Lehman longs. Hopefully this year brings us good news and fat figures on our accounts.
Cheers!
Slim
Hi Swiss,
According to the article you posted while ago the Lehman Brothers Bankhaus AG administraion should be closed end of this year. Just wondering if you have noticed any further news or confirmation about it in German media.
TIA
Slim
docket 57049, page 23
Net Operating Losses
The NOLs of the LBHI Tax Group (including Debtor-Controlled Entities) are subject to audit and adjustment by the IRS and primarily expire in or about 2028.
This pretty much gives the max timeline for the case. In worst case scenario of course.
while it sux to wait ...2020 is not thatbad and just 2 years away.
PS .. did you notice the latest SIPA development?
I don't know if JPMC will buy Lehman NOL. I doubt they will. I just wish this thing is over.
Actually looking at the 277 building homepage there are lot of financial institutions renting space there.
http://www.277parkpenthouse.com/index.php
Even Nomura rented few years ago space there. Also Stifel rented space there. Stifel is the company wich bought former Lehman unit from Barclays.
https://commercialobserver.com/2017/03/stifel-subleases-two-floors-at-277-park-avenue/
So it's a investment bankers building.
Looking at the floor layouts one could estimate the size of Lehman team today or near future.
http://www.277parkpenthouse.com/testfit.php
If they choose "trading configuration" then max 150 persons could fit on one floor.
If they choose "perimeter office layout" then max 100 persons could fit on one floor.
On one hand this adress change seems like a positive signal. It looks like going back to the street. But when you compare the old office space on 1271 Avenue of the Americas then you see the new office is much smaller then the old one. Sends a signal that slimming down is still very much going on.
Play with the layouts on the link below.
http://www.1271aoa.com/you/floorplans.html
Hmmm
277 Park Ave also houses parts of JP Morgan.
https://en.wikipedia.org/wiki/277_Park_Avenue
It's another case it's separate.
Yes, Europe is or should we say was administreated separately but now that it is bassically done it should be consolidated back under LBHI. There was surplus in Europe which means there are also assests that will be brought back under LBHI management.
Same is with all the other separately administrated Lehman entities where was surplus. Some Asian countries and Australia if I'm not mistaken.
Getting back the control of entities that were administrted separately is where the rabbit's foot is buried IMHO. No resolution for LBHI before rest of the Lehman entities adminstration is done.
Jim is correct ... look across the pond.
Just my 2 cents.
Slim
It sounds fkn good. After fkn 9 years too fkn good. The fkn 17th comes, we learn a bit about the fkn situation and the fkn 17th goes and we wait for fkn year 2018 to bring something to us. fkn fkn fkn.
pardon my french
Yes, I agree Lehman will use the reserved money for that payment but do you interpretate that the 24-25B of liabilities that got slashed is correct number? I mean it is huge and no "headlines" about it.
Ty
Regarding the RMBS settlement...there were couple of articles mentioning that Lehman has to pay about 2,4B to counterparties but this seems to be the thin end of the deal.
Docket 55665 states that the "UPB" of the 237 Trustees as of june 2017 was 26,7B. Those are the main counterparties. If I'm ont mistaken there were many other trustees but their stake was significantly smaller.
UPB - unpaid principal balance remaining on the certificates.
The settlement was approverd yesterday (docket 55706) so bassically we got rid of 24,3B of liabilities (minimum). Meaining that Q3 non gaap balance sheet that will be published most likely in December the liabilites and libilites subject to compromise should drop atleast by 24-25B. Correct me if I'm going to wrong direction.
GLTA
You are correct, the stay ... but I guess you understood what I ment.
Thanks again for the correction.
Slim
Thank's Jersey.
I ment to reffer post 72971.