Replies to post #84176 on Lehman Brothers Financial SA (LEHNQ)

[Joe Stocks]

>>Yes indeed they did file the claim but never even mentioned the guarantee which is noted on the prospectus.<<

They did. Read the box they checked. The box they checked includes interest in addition to the principle amount and asks for documentation of that and of a guarantee. You or I don't have access to that filing but it doesn't matter because the claim was approved for the whole amount. It an also be assumed because the claim was approved. you can't ask for more than that! BNYM fulfilled their fiduciary duty. They can do more than get the claim approved. Once approved it is up the BK process and BK court as to priority for payment.

Then you say what about the guarantee? Read the prospectus. The guarantee is subordinate to the more senior debt. All senior unsecured debt comes with the same guarantee but it is unsubordinated debt, meaning it gets paid in full first before the junior debt does.

That is how the process works. Guarantees are only as good as the funds available to satisfy the debt. Lehman filed bankruptcy. If they had the funds to pay everyone they would have not had to. The BK process involves ranking debt as to seniority. A shareholder of CTs holds junior debt.

Obviously there would have been major institutions holding the CTs when Lehman filed. If BNYM failed in their fiduciary capacity don't you think they would have filed suit against BNYM to recover their losses?

Holders here like to avoid responsibility for not fully understanding what they hold is junior debt, and also want to not admit they made a bad investment. When this ends, no one will say JoeStocks was right, but will blame others for fraud and failure to uphold fiduciary duty instead.

Don't blame others for your bad investment decisions. The CTs sold for pennies for good reason. No chance that they will see a recovery. They can't even sell for the price of an option of a recovery. If you continue to hold your entire investment will be lost. That is a fact! All these little schemes that are discussed have zero chance of paying out.