Lehman Brothers Financial SA (LEHNQ)

[cottonisking]

1) The holders of subordinate notes have claims in LBHI classes 10ABC. The BNYM is the holder of the CT's subordinate notes.

2) The holders of the CTs do not have a claim filed by their Guarantee Trustee in this bankruptcy under their Guarantee Agreement. Until I am told otherwise, JPMCB and/or the BNYM did not file a claim for the CT holders in this bankruptcy as Guarantee Trustee that was enforced. [Note: JPMCB filed claims for LBHI's securities in exhibit C that listed the CTs on behalf of unknown creditor's names (review my posts)!]

TWO MAJOR FAULTS WORKED AGAINST THE CTs and ECAPS IN THIS DEBTORS BANKRUPTCY THAT BUCKED THEIR HOLDERS:

3) The handling of the ECAPS money market cash for UK LP III - V.

4) The Debtors and Trustee(s) failed to allow the CT's Guarantee Trustee to have a structure to file a claim for the CT holders under their Guarantee Agreement.

Note: Hopefully, the UK's Financial Conduct Authority will address these breaches for the CTs and ECAPS holders.


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Quote:
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GUARANTEE AGREEMENT


This GUARANTEE AGREEMENT (the "Guarantee"), dated as of March 17, 2003, is executed and delivered by Lehman Brothers Holdings Inc., a Delaware corporation (the "Guarantor"), and JPMorgan Chase Bank, as trustee (the "Guarantee Trustee"), for the benefit of the Holders (as defined herein) from time to time of the Securities (as defined herein) of Lehman Brothers Holdings Capital Trust III, a Delaware statutory trust (the "Trust").
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(g) the following terms have the following meanings:

"Affiliate" has the same meaning as given to that term in Rule 405 of the Securities Act of 1933, as amended, or any successor rule thereunder.

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2.10. Guarantee Trustee May File Proofs of Claim. Upon the occurrence of a Guarantee Event of Default, the Guarantee Trustee is hereby authorized to (a) recover judgment, in its own name and as trustee of an express trust, against the Guarantor for the whole amount of any Guarantee Payments remaining unpaid and (b) file such proofs of claim and other papers or documents as may be necessary or advisable in order to have its claims and those of the Holders of the Securities allowed in any judicial proceedings relative to the Guarantor, its creditors or its property.
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http://www.sec.gov/Archives/edgar/data/806085/000104746903008869/a2105775zex-4_05.htm