Lehman Brothers Financial SA (LEHNQ)

[Joe Stocks]

>>Marsal said he would exit BK within 2 years of the filing <<

LBHI exited bankruptcy is 2012. Took about 3.5 years. The court is now only involved to make sure the modified plan of liquidation is carried out as ordered, and to rule on any controversy that may arise or exist.

But back to the Cts and the prospectus and the guarantee. You still avoid speaking to the actual statements made in the prospectus which lays out very clearly that the CTs are junior debt. The court looks to the rights given to the CTs as stated in the prospectus. FRom the prospectus;

The guarantee will constitute an unsecured obligation of Lehman Brothers Holdings and will rank:

•subordinate and junior in right of payment to all other liabilities of Lehman Brothers Holdings,

•on a parity with the most senior preferred or preference stock now or hereafter issued by Lehman Brothers Holdings and with any guarantee now or hereafter entered into by Lehman Brothers Holdings in respect of any preferred securities of any affiliate of Lehman Brothers Holdings, and

•senior to Lehman Brothers Holding's common stock.

Mojo, I can't see how anyone could read this and think that the CTs will paid before more senior debt is paid.

https://www.sec.gov/Archives/edgar/data/806085/000104746905000357/a2149684z424b2.htm

Page 21 for the guarantee.