Not to totally call you out, but it wouldn't actually be recognized for tax purposes until they sold the stock, at least in the US. Oh wait. China. I don't know.
However, where is the link that they wrote it off?!?! Do people really come on the boeard and just say stuff without posting a link?
Oh by the way, did you hear that only the preferred's in Lehman are getting paid? Commons - TOTALLY screwed!