Replies to post #75827 on Lehman Brothers Financial SA (LEHNQ)

[JERSEYHAWG]

I dont get it. Wheres that lead us?

[cottonisking]

The Financial Conduct Authority ("the FCA") has two choices in regard to LBHI's November 30, 2017 ECAPS preferred securities motion deadline:

1) Issue the substituted preferred stock to LP's 1 thru 5 ECAPS preferred securities holders

2) Full redemption in cash only.

Note: Would the FCA allow the issue of preferred stock with no equal value on an exchange? The ECAPS preferred securities holders need to be made whole! Cash will do the trick!

***

"Optional Redemption: If the Subordinated Notes or the Eligible Investments, as the case
may be, are redeemed pursuant to their terms, the Preferred
Securities will also be redeemed by the General Partner, on the
same date, each to be redeemed at the Optional Redemption Price.
Any redemption of the Preferred Securities, the Subordinated Notes
or replacement Eligible Investments is subject to the consent of the
relevant Supervisory Authority (if required at such time).
As a result, the relevant Supervisory Authority when granting such
a consent for the redemption of the Subordinated Notes will be also
granting a consent for the redemption of the Preferred Securities.
.
.
.
Capital Disqualification Event: If a Capital Disqualification Event occurs and is continuing, the
Preferred Securities will be redeemed in whole, but not in part, by
the General Partner at any time, each to be redeemed at the Optional
Redemption Price.
Any redemption of the Preferred Securities is subject to the consent
of the relevant Supervisory Authority (if required at such time).
.
.
.

“Liquidation Distribution” means the Liquidation Preference plus (a) any due and accrued but unpaid
Distributions calculated from (and including) the immediately preceding Distribution Payment Date (or, if
none, the Closing Date) to (but excluding) the date of payment and (b) any Additional Amounts, in each case
in cash only;
.
.
.
“Optional Redemption Price” means, in respect of each Preferred Security, the Liquidation Preference plus
(a) any due and accrued but unpaid Distributions calculated from (and including) the immediately preceding
Distribution Payment Date (or, if none, the Closing Date) to (but excluding) the date of payment and (b) any
Additional Amounts payable, in each case in cash only;

.
.
.
“Substituted Preferred Stock” means fully-paid non-cumulative preferred stock issued directly by LBHI
bearing a right to dividends calculated in the same manner as the Preferred Securities, having no voting
rights (except as required by law) and being subject to optional redemption in the same manner as the Preferred Securities;
.
.
.
4.6 Any redemption of the Preferred Securities, the Subordinated Notes or replacement Eligible
Investments is subject to the consent of the relevant Supervisory Authority (if required at such time).
As a result, the relevant Supervisory Authority when granting such a consent for the redemption of
the Subordinated Notes will be also granting their consent for the redemption of the Preferred
Securities. The relevant Supervisory Authority may impose conditions on any such redemption."

https://www.bancobest.pt/ptg/bestsite/best_docs/lehman_xs0215349357.pdf

*** The 13 November 2017 RSM notice!

"5.1 The Joint Liquidators are aware... fully paid non-cumulative preferred stock issued directly by LBHI.
.
.
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5.6 The Joint Liquidators have ... LBHI's intentions were only outlined to the Joint Liquidators in the week commencing 6 November 2017..."

https://www.rns-pdf.londonstockexchange.com/rns/3570W_-2017-11-13.pdf