Replies to post #65306 on Lehman Brothers Financial SA (LEHNQ)

[Joe Stocks]

Traditional preferreds and the common shares are considered equity. Those shares have been cancelled and not expected to see any recovery.

There are 4 trust preferreds (TruP). LHHMQ, LEHNQ, LEHKQ, LEHNQ. They are all ranked equally, and also ranked equally with other junior subordinated debt. They rank equally with other junior debt because each TruP, or trust, has one asset - a junior subordinated bond.

ALL more senior debt must see full recovery before the junior debt sees a dime. The Lehman estate will fall about $150 bil short of paying off the senior dent. Therefor, the junior debt is expected to see no recovery as outlined in the disclosure statement.