Replies to post #2370 on Lehman Brothers Holdings Capital Trust III (LEHKQ)

[linda1]

Where does it say that Class 7 is higher in priority in the POR than Class 5 and will be paid before Class 5?


Just because Class 5's distributions are being reallocated to Class 3 until they are paid in full does not mean that Class 7 is going to receive distributions before Class 5.



If there was no Class 3 - Senior Notes - then the Capital Trusts would not be termed "Subordinate Notes" and would not be a Subordinate Claim and would be equal with Class 4.