Lehman Brothers Financial SA (LEHNQ)

[Joe Stocks]

>> 'left out' the Fact that the Creditors are doing a Sell-Back <<

The creditors are not taking a "sell-back." They are taking an early and final distribution that allows them to end there involvement in this BK. LBHI is simply paying forward estimated final distributions. There is no sell-back. LBHI states this;

The Final Distribution will allow the vast majority in number of LBHI’s creditors to end their thirteen-year involvement in these cases, and provide creditors with the opportunity to receive a Final Distribution potentially years ahead of when they otherwise would receive Distributions under the Plan.

And a recent filing said this;

Attached hereto as Exhibit B is a summary of the aggregate amount of Allowed Claims eligible for Distributions on the Twenty-Third Distribution Date, listed by Plan Class. In
aggregate, approximately 4,350 creditors which represent 84% of all record holder creditors of Lehman Brothers Holdings Inc. will receive a Final Distribution on the Twenty-Third
Distribution Date.

The aggregate amount that will be distributed on the Twenty-Third Distribution Date will total approximately $122.5 million, [b]including approximately $8.4 million in Final Distributions.

Just $8.4 million. There is not much left. An unlike what Swiss and others are thinking this $8.4 mil does not reduce debt by $50 billion. It just the process of trying to clear the books and reduce the number of creditors going forward that they must deal with. The "final distribution' will only reduce the debt subject to compromise by just that $8.4 mil distribution.

The only way that the NOLs would not be affected is if the creditors were doing a debt for equity swap, and then only the fair market value of the equity received would be calculated in the NOLs remaining. And as posted, the company said that all the NOLs are expected to be fully utilized.