Lehman Preferred Series "J" Preferred (fka LEHJQ)

[coach tequila]

Great article from The London Times with LBIE Administrator Tony Lomas!

Although it sounds like it will still take a long time to unwind, Mr. Lomas gives the "feel" there are a lot of assets to unwind...let me know your thoughts.

Here is a cut out from the article.

"PwC, says Lomas, “has just settled with a big investment bank [he won't identify the bank] which was a counter-party of Lehman, for it to pay more than $500 million (£307.9 million). That's half a billion from one party. Their team and ours had to look at 10,000 line items. That's 10,000 sets of calculations and valuations that took months to do. The other bank still operates — it's got the infrastructure, the staff. It knows where to find things. We're not in the same position — we don't have that advantage.”

"There were thousands of such counterparties and millions of transactions — at the moment the plug was pulled, Lehman in London was involved in 2.5 million trades, in derivatives and other financial instruments, that were simply frozen. They all have to be unwound and appraised."

"Often, says Lomas, PwC's progress is hindered by the other side not being specific as to which part of the Lehman empire it was dealing with. Incredibly, despite a year having passed, some investment banks are still unable to reconcile their books so that they can make a claim. And until they do, nothing can begin to be resolved. “One counterparty owes Lehman more than $1 billion but they're not at the stage where they've reconciled any possible claim against us,” says Lomas, shrugging at the madness of it all."

http://www.thisislondon.co.uk/standard-business/article-23739120-details/The+Lehman+undertaker+who+takes+a+real+delight+in+his+work/article.do

Enjoy,

Coach T