Lehman Brothers Financial SA (LEHNQ)

[linda1]

I don't think so - there was an individual claim made by a Bank that held CTs that did not check the Guarantee box and filed a Proof of Claim based only on the Subordinate Notes held in the Trust.



So in other words - I have reviewed other individual claims and most of them did exactly like our Trustee did and did not bother to check the Guarantee box.



I think the confusion is that there is an Indenture for the Subordinate Notes held in the Trust and there is a Guarantee for the CT Preferred Securities and yet not for the Subordinate Notes.



The Capital Trust Preferred Securities rank junior to the Subordinate Notes held in the Trust and also all other liabilities of LBHI.



However - the Subordinate Notes held in the Trust rank junior to Senior Notes and yet equal with other General Unsecured Creditors.



And so from a certain creditor's point of view it was more advantageous to file a claim based on the Subordinate Notes held in the trust than the CT Preferred Securities.



In my view the Claims should be filed based on both the Subordinate Notes' Indenture and the CTs' Guarantee.