Replies to post #12827 on Lehman Preferred Series "J" Preferred (f

[pinda]

dnoto i disagree.

i think there really is only one share, and if at the time they produce the final balance sheet, assets are greater than liabilities, then they will redistribute according to the LBHI structure of C/T's first, then preferreds, then commons.

How can the value of a J preferred at $25 have equal rights to a common who's ceiling was limitless when Lehman was alive.

Let's say they find that assets exceeds liabilities by $100 billion. We all don't get equal share in that. Why take the risk in commons then if that is the case.

My belief is that in the above situation, C/T's, preferreds would be paid out their max value and then the remaining $70+ billions (or whatever the number is) would go to the commons. So in theory, the commons could come out way ahead of us.

[P0ppy]

When did the information about getting shares in lamco come about? I remember people talking about that as an option but I didn't think it was something that was already guaranteed.

So your telling me that we all own a share in lamco at a 1:1 ratio at this point? ... or are you saying we will get shares in lamco at a 1:1 ratio only if assets > liabilities?