Lehman Brothers Financial SA (LEHNQ)

[slimugrian]

We have almost same situation in Lehman case, don't we?

https://www.nytimes.com/2017/03/10/business/trump-fannie-mae-freddie-mac.html?ref=dealbook


The assets that could be subject to a write-down came about during the mortgage crisis, when Fannie and Freddie were generating losses. Under accounting rules, when money-losing companies become profitable again — as both Fannie and Freddie did in 2013 — they are allowed to use past losses to reduce taxable income in the future. Losses that can be used in such a way become deferred tax assets.

As of September 2016, the value of both companies’ deferred tax assets stood at $53.8 billion. But under a lower corporate tax rate, the value of those deferred tax assets declines, as Fitch Ratings noted in a report dated last Tuesday. If corporate tax rates fell to 20 percent from the current 35 percent, for example, the companies would have to write down the value of those assets by $23 billion, Fitch said, creating the need for a taxpayer draw to cover those losses.