Lehman Brothers Financial SA (LEHNQ)

[Joe Stocks]

The NOLs are not part of the liquidating trust. They belong to LBHI. The liquidating trust is an entity formed by LBHI to liquidate the assets as outlined in the modified plan. And yes, the NOLs would reduce the tax burden of LBHI which would mean more funds that remain in the estate to be distributed the creditors by priority as outlined in the modified plan.

So, show me in black and white why LBHI is wrong in saying that all the NOLs would be utilized.

I hope some day the lights come on and you see how weak your argument is in thinking the CTs will see a recovery. The process is very simple. The LBHI estate gets totally liquidated and the proceeds are distributed to the creditors by ranking as shown in the modified plan. Proceeds will not be sufficient to pay the higher ranking claims, so the lower ranking claims will see no recovery.