Lehman Brothers Holdings Capital Trust V (LHHMQ)

[linda1]

Actually the Senior Notes do have contractual right of payment over Sub Notes and are entitled to

the Distributions the CTS/SUB NOTES receive from the LBHI Debtor/Estate - until paid in full.



What the article is saying is this is not mandatory or written in stone and the Senior Notes can still

agree to allot a recovery to the Sub Notes.



In the Senior Bondholders' Plan just filed the Sub Notes receive distributions from other

Debtors/Estates under a "deemed Substantive Consolidation" which I think the Senior Notes do

not have any Contractual right to - and yet the Senior Notes claim the distributions in the Plan.



It just gives me a foundation to at least argue to Judge Peck that the Senior Notes are not

contractually entitled to the Distributions that Class 5 receives from the assets of other Debtors other than

LBHI - now that I know it isn't mandatory under the Chapter 11 Bankruptcy Code that the Senior

Notes get paid in full first.