Lehman Brothers Financial SA (LEHNQ)

[highwaymap]

The way I read the Wu Letter is LBIE p stocks are not LBHI's equity but it's the affiliate's LBIE's equity therefore it's not a LBHI debt. The subordinate guarantee do not cover equity of affiliates. It goes on to name other affiliates equity that the CTs should be in parity with. The parity is with equity of affiliates. Wu made it clear by saying the key word is affiliates. Now, the question is did equity of affiliates get paid in this bk? If so, we are in parity with them and should be reclassed to their class because we will no longer be in a subordination class.

That is my take on reading the Waske motion and Wu letter.

Wu also went off on the SRM Decision content. Lol