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Lehman June 8, 2015
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Lehman to Pay Barclays $1.28 Billion to Settle Long-Standing Dispute
Jun 5, 2015 | Wall Street Journal
By Joseph Checkler
The long-running legal battle between Lehman Brothers Inc. and Barclays PLC, which bought Lehman’s brokerage business days after the investment bank collapsed, has ended. James W. Giddens, the trustee unwinding Lehman’s brokerage business, said Friday that Lehman will pay Barclays ... -
Lehman to Pay Barclays $1.3 Billion to Settle Suit
Jun 5, 2015 | The New York Times - DealBook [page B2 in print]
By Michael J. de la Merced
One of the longest-running legal fights from the financial crisis, rooted in the dismantling of Lehman Brothers, is near an end. The trustee overseeing the winding down of Lehman’s brokerage unit said on Friday that the remaining estate would pay $1.28 billion to settle a lawsuit filed by Bar... -
Barclays Says Lehman Accord to Boost Profit by $750 Million
Jun 5, 2015 | Bloomberg
By Stephen Morris and Erik Larson
Barclays Plc said it will boost pretax profit by about $750 million after resolving a long-running asset fight with the remnants of Lehman Brothers Holdings Inc. The accord over the 2008 sale of Lehman’s brokerage assets to Barclays will give the British lender all except $80 million of the $1.1 billion of disputed assets, the U.K. bank said... -
Barclays Settles Lawsuit Over 2008 Lehman Brokerage Purchase
Jun 5, 2015 | Reuters
By John Stempel
Barclays Plc on Friday settled a long-running lawsuit by the trustee liquidating Lehman Brothers Holdings Inc's brokerage unit, which arose from the bank's purchase of much of that unit at the height of the 2008 global financial crisis. The trustee James Giddens said the unit, Lehman Brothers Inc, will pay Barclays about $1.28 billion, largely... -
Barclays Gets $750M Profit Boost From Lehman Lawsuit Settlement
Jun 5, 2015 | Financial Times
By Laura Noonan
Barclays’ next set of results will feature a $750m boost to pre-tax profits, following the settlement of its long-running lawsuit against the trustee of Lehman Brothers, the failed US investment bank. Barclays said on Friday it will book a $750m pre-tax gain in its upcoming second-quarter results, providing some more welcome news for investors... -
Lehman Trustee Strikes $1.3B Deal To End Barclays Asset Fight
Jun 5, 2015 | Law360
By Jonathan Randles
The trustee for Lehman Brothers Inc. has agreed to pay nearly $1.3 billion to resolve long-running litigation with Barclays Capital Inc. over the sale of the collapsed investment bank's brokerage business, according to papers filed Friday in New York bankruptcy court. -
Barclays Settles Lehman Brothers Case
Jun 5, 2015 | MarketWatch
By Rory Gallivan
Barclays PLC BARC on Friday said it has reached a settlement to resolve its outstanding litigation over its acquisition of most of the assets of Lehman Brothers Inc. during the global financial crisis in 2008. "All of the outstanding issues between Barclays and the Trustee will be settled and Barclays will receive all but $80 million of the $1.1 billion... -
Long Lehman-Barclay Legal Battle Ends
Jun 6, 2015 | The Australian Business Review
The long-running legal battle between Lehman Brothers and Barclays, which bought Lehman's brokerage business days after the investment bank collapsed, has ended. James W Giddens, the trustee unwinding Lehman's brokerage business, said Friday that Lehman will pay Barclays $US1.28 billion ($A1.66bn) for so-called margin assets it owed ... -
Barclays Settles Lehman Brothers Litigation; Sees $750M Boost to Profit
Jun 5, 2015 | ShareCast
Barclays said on Friday that it has reached a settlement with the SIPA Trustee for Lehman Brothers to resolve outstanding litigation between the parties relating to the acquisitions by Barclays of most of Lehman's assets in September 2008. As a result of the settlement, Barclays expects to recognise a pre-tax gain of about $750m... -
Barclays Boosts Profits With Lehman Resolution
Jun 6, 2015 | The Times (UK)
By Deirdre Hipwell
Nearly seven years after Lehman Brothers collapsed, Barclays has finally resolved outstanding litigation with the trustee of the failed American bank’s brokerage business. Barclays said yesterday that it would receive nearly all, bar $80 million, of the $1.1 billion assets that remained in dispute after its purchase of parts of Lehman’s brokerage... -
Barclays Expects Gain After Settling With Lehman Brothers Trustee
Jun 5, 2015 | Alliance News (in London South East
By Samuel Agini
Barclays PLC Friday said it has reached a settlement over litigation relating to assets previously owned by failed investment bank Lehman Brothers Inc, meaning the British lender is set to receive the vast bulk of the assets under dispute and recognise a USD750 million pretax gain this year. -
Yo, Adrian! Is Dick Fuld ‘Rocky’?
Jun 5, 2015 | Mortgage Professional America
By Justin da Rosa
t’s a comparison that won’t likely sit well with mortgage brokers – and anyone dealing with the ramifications of the 2008 economic downturn. Still, that hasn’t stopped Dick Fuld, former head of Lehman brothers from comparing himself to an iconic American character.
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Dick Fuld
Full Text of Stories Below
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Lehman to Pay Barclays $1.28 Billion to Settle Long-Standing Dispute
Jun 5, 2015 | Wall Street Journal
By Joseph Checkler
The long-running legal battle between Lehman Brothers Inc. and Barclays PLC, which bought Lehman’s brokerage business days after the investment bank collapsed, has ended.
James W. Giddens, the trustee unwinding Lehman’s brokerage business, said Friday that Lehman will pay Barclays $1.28 billion for so-called margin assets it owed to the bank, settling the legal fight and freeing up cash for Lehman creditors.
The money, related to the assets that went to Barclays when it bought Lehman’s U.S. brokerage out of bankruptcy in the frantic days of September 2008, was a key issue in a 34-day trial between the two back in 2010.
As part of the deal, the two sides will drop current and future litigation against one another, according to a Friday filing with U.S. Bankruptcy Court in Manhattan. More than $600 million cash will become available for Lehman creditors, because Lehman had set aside about $1.87 billion for the dispute. Both Lehman and Barclays said the payment is about $80 million less than the trustee would have had to pay without a settlement.
“This agreement ends years of litigation and achieves the best result under the circumstances as winding-down and closing out the estate continues in earnest,” said Mr. Giddens, who had appealed legal defeats over the money all the way up to the U.S. Supreme Court, which declined to hear the case.
“Barclays fought hard and responsibly through six years of litigation to secure approximately $8 billion of purchased yet disputed assets, and today’s settlement brings that effort to a successful completion,” said Jonathan Schiller of Boies Schiller & Flexner LLP, a lawyer who represented Barclays in the dispute.
Following implementation of the settlement, “Barclays will have received all of the assets it claimed in the litigation with the exception of this $80 million and approximately $255 million of margin for exchange-traded derivatives (exclusive of interest) still owing but expected from third parties,” Barclays said. The U.K. bank expects the settlement to fetch it a pretax gain of about $750 million in its 2015 interim results, which will be announced July 29.
U.S. Bankruptcy Judge Shelley Chapman will be asked to approve the deal at a June 29 hearing.
The legal battle over the sale began in 2009, when the Lehman brokerage and its parent company both sued Barclays, saying the British bank negotiated a secret discount when it bought Lehman’s brokerage.
The dispute came down to a “clarification letter” agreed upon by the two sides in the hectic days of September 2008, but never reviewed by James Peck, who was then overseeing Lehman’s bankruptcy case. The judge ultimately decided that while he didn’t approve the terms of the letter explicitly, all parties involved treated it as if he had. The letter spelled out the terms of which assets would go to Barclays and which would stay with Lehman.
While Judge Peck had said in court that “no cash” could be transferred from Lehman to Barclays, some assets that the trustee later construed as cash did end up being transferred, per the letter. After the trial, the judge ultimately concluded that Barclays didn’t receive an improper “windfall” from the sale, but that Lehman’s brokerage was entitled to the approximately $4 billion in money described as margin assets.
Later, however, a three-judge court of appeals panel said “ambiguities and loose ends were inevitable” in such a speedy sale and ruled that Barclays was entitled to these disputed assets...
For full story:
http://www.wsj.com/articles/lehman-to-pay-barclays-1-28-billion-to-settle-long-standing-dispute-1433522944
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Lehman to Pay Barclays $1.3 Billion to Settle Suit
Jun 5, 2015 | The New York Times - DealBook [page B2 in print]
By Michael J. de la Merced
One of the longest-running legal fights from the financial crisis, rooted in the dismantling of Lehman Brothers, is near an end.
The trustee overseeing the winding down of Lehman’s brokerage unit said on Friday that the remaining estate would pay $1.28 billion to settle a lawsuit filed by Barclays, the British bank that acquired the bulk of Lehman’s North American brokerage business.
The pact, if it wins court approval, would conclude about six years of fighting between Barclays and the trustee, James W. Giddens, over that sale.
It is the latest milestone in the slow dissolution of Lehman, which collapsed in September 2008 after last-minute efforts to sell the firm to Barclays fell apart. The firm filed for bankruptcy protection on Sept. 15, becoming the biggest-ever Chapter 11 case and setting off global market turmoil that roiled the financial world.
In this chaos, Barclays agreed to buy the core of Lehman’s operations for about $1.3 billion.
In late 2009, Mr. Giddens filed suit against Barclays, arguing that the bank “secretly” put together a deal to gain an immediate multibillion-dollar windfall after the takeover of the Lehman assets was completed.
At issue were margin accounts, which Barclays argued were assets that were part of its transaction. The Lehman estate has contended that those accounts amounted to cash that should not have been handed over to the British bank.
Barclays steadfastly denied those claims, arguing that nothing was secret about the sale contract or its terms.
The lawsuit has been part of an effort by the trustee to recover as many assets as possible to pay out to the Lehman brokerage estate’s creditors and customers. Thus far, creditors have received about $5.9 billion, or a little over a quarter of all allowed unsecured creditor claims. Customers have received more than $106 billion in distributions.
The first judge who oversaw Lehman’s bankruptcy case originally ruled that while Barclays did not receive an improper gain from the sale, the brokerage estate was owed several billion dollars. Yet that decision was overruled by a panel of appeals court judges, who decided that Barclays could hold onto those assets after all.
Mr. Giddens took his fight to the Supreme Court late last year, but the court declined to hear his appeal.
Under the terms of Friday’s agreement, the brokerage estate will pay Barclays about $1.3 billion. In turn, the estate will have about $600 million to pay out to creditors, releasing them from a reserve dedicated to the legal fight.
According to Mr. Giddens, the settlement will save the Lehman estate about $80 million that it otherwise would have had to pay, based on court rulings.
Both sides also agreed to drop any remaining claims...
For full story:
http://www.nytimes.com/2015/06/06/business/lehman-to-pay-barclays-dollar1-3-billion-to-settle-suit.html?_r=0
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Barclays Says Lehman Accord to Boost Profit by $750 Million
Jun 5, 2015 | Bloomberg
By Stephen Morris and Erik Larson
Barclays Plc said it will boost pretax profit by about $750 million after resolving a long-running asset fight with the remnants of Lehman Brothers Holdings Inc.
The accord over the 2008 sale of Lehman’s brokerage assets to Barclays will give the British lender all except $80 million of the $1.1 billion of disputed assets, the U.K. bank said in a statement Friday.
The settlement needs approval from a federal bankruptcy judge in Manhattan, which could take several weeks, Barclays said in the statement. A hearing was set for June 29.
The deal is a win for Barclays Chief Executive Officer Antony Jenkins, who has been seeking ways to shore up earnings, cutting thousands of jobs and shrinking securities operations. The former retail banker took over in 2012 from Robert Diamond, who had led a 15-year expansion of the lender’s fixed-income operations, capped by the Lehman asset purchase.
The U.S. Supreme Court this month rejected an appeal from James Giddens, Lehman’s trustee, leaving intact a ruling that Barclays is entitled to billions of dollars in assets stemming from Lehman’s collapse. The ruling had left only $1.1 billion in dispute.
‘Every Avenue’
“It has always been our duty to prudently and diligently pursue every avenue of recovery for assets we believe belong to the estate, and we did so on behalf of creditors by taking the Barclays litigation all the way to the Supreme Court,” the trustee said Friday in a statement about the deal.
The settlement will allow Giddens to release reserves of more than $600 million to Lehman’s general estate for creditors in the biggest U.S. bankruptcy, the trustee’s lawyers said in a court filing seeking approval of the deal.
The settlement also avoids potential litigation in the U.K. over assets claimed by London-based Barclays that were owned by Lehman’s European operation, according to the filing.
Barclays bought most of New York-based Lehman’s North American brokerage assets. Giddens sought to recoup the money, most of which was already in Barclays’s possession, arguing creditors had deserved to get more value.
The transfer of the brokerage’s margin assets was included in the purchase agreement and confirmed in a clarification letter for the sale contract, the U.S. Court of Appeals in New York ruled in August. The appeals court upheld a lower court, which in turn partly reversed a ruling by a U.S. bankruptcy judge.
Margin Assets
The bankruptcy judge had ordered Barclays in 2011 to return $2 billion in margin assets to Giddens. At the same time, he ordered Giddens to give Barclays at least $1.1 billion, and possibly another $769 million. Each party appealed...
For full story:
http://www.bloomberg.com/news/articles/2015-06-05/barclays-says-lehman-settlement-to-boost-profit-by-750-million
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Barclays Settles Lawsuit Over 2008 Lehman Brokerage Purchase
Jun 5, 2015 | Reuters
By John Stempel
Barclays Plc on Friday settled a long-running lawsuit by the trustee liquidating Lehman Brothers Holdings Inc's brokerage unit, which arose from the bank's purchase of much of that unit at the height of the 2008 global financial crisis.
The trustee James Giddens said the unit, Lehman Brothers Inc, will pay Barclays about $1.28 billion, largely representing the value of margin assets not previously paid to the British bank, plus interest.
As a result, Barclays said it will have recouped all but $80 million still in dispute, plus $255 million tied to derivative investments that it expects to receive from third parties.
Barclays expects to record a roughly $750 million pre-tax gain when it next reports financial results on July 29.
The settlement would end six years of litigation by Giddens to recoup various assets he said totaled more than $7.6 billion.
It followed the U.S. Supreme Court's refusal on May 4 to hear his appeal of a lower court decision that upheld Barclays' claim to $4 billion of disputed assets.
The settlement requires approval by U.S. Bankruptcy Judge Shelley Chapman in Manhattan. She oversees the liquidations of the brokerage and its former parent, which had been Wall Street's fourth-largest investment bank.
Barclays won bankruptcy court approval to buy much of the brokerage unit on Sept. 19, 2008, four days after the parent filed for Chapter 11 protection from creditors.
Giddens said the settlement would free up $581 million he has held in reserve, plus $36 million held by the U.S. Depository Trust & Clearing Corp, for distribution to creditors.
Roughly 111,000 former customers of the Lehman brokerage have already been paid more than $106 billion, and senior creditors have also been paid in full. Unsecured creditors have recouped $5.9 billion, or 27 percent of what they are owed...
For full story:
http://uk.reuters.com/article/2015/06/05/us-lehman-barclays-idUKKBN0OL1PY20150605
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Barclays Gets $750M Profit Boost From Lehman Lawsuit Settlement
Jun 5, 2015 | Financial Times
By Laura Noonan
Barclays’ next set of results will feature a $750m boost to pre-tax profits, following the settlement of its long-running lawsuit against the trustee of Lehman Brothers, the failed US investment bank.
Barclays said on Friday it will book a $750m pre-tax gain in its upcoming second-quarter results, providing some more welcome news for investors still reeling from the UK bank’s $2.38bn fine for rigging foreign exchange and other markets.
Under the settlement, Barclays will receive all but $80m of the $1.1bn of assets that were disputed by the trustee appointed to deal with the aftermath of Lehman Brothers’ 2008 demise.
“To become effective, the settlement requires the approval of the Bankruptcy Court, which, if forthcoming, would typically take several weeks,” Barclays said. “As a result of this settlement, Barclays expects to recognise a pre-tax gain of approximately $750m in its 2015 interim results, to be announced on 29 July.”
This gain will not affect underlying earnings at the bank — the measure most closely watched by analysts — but it will improve the bank’s capital position at a time when chief executive Antony Jenkins is under pressure to show improved performance.
Barclays’ dispute centred on margin accounts that it acquired as part of a September 2008 deal to buy brokerage assets from Lehmans, just before the US bank’s collapse. Lehman’s trustee argued that margin accounts were cash, and were part of Lehman’s estate.
Barclays argued that it had acquired these assets as part of the 2008 transaction.
“It has always been our duty to prudently and diligently pursue every avenue of recovery for assets we believe belong to the estate, and we did so on behalf of creditors by taking the Barclays litigation all the way to the Supreme Court,” the trustee said Friday...
For full story:
http://www.ft.com/intl/cms/s/0/c51f7856-0ba0-11e5-a06e-00144feabdc0.html#axzz3cS1CI3eo
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Lehman Trustee Strikes $1.3B Deal To End Barclays Asset Fight
Jun 5, 2015 | Law360
By Jonathan Randles
The trustee for Lehman Brothers Inc. has agreed to pay nearly $1.3 billion to resolve long-running litigation with Barclays Capital Inc. over the sale of the collapsed investment bank's brokerage business, according to papers filed Friday in New York bankruptcy court.
The settlement, which must be approved by a bankruptcy judge, resolves all outstanding legal claims between LBI and Barclays and would end six years of litigation between the parties. The deal “represents a substantial step” in winding down Lehman and frees up more than $600 million that had been tied up in a litigation reserve for unsecured creditors, according to the settlement.
“It has always been our duty to prudently and diligently pursue every avenue of recovery for assets we believe belong to the estate, and we did so on behalf of creditors by taking the Barclays litigation all the way to the Supreme Court,” LBI liquidating trustee James Giddens said in a statement. “This agreement ends years of litigation and achieves the best result under the circumstances as winding-down and closing out the estate continues in earnest.”
Giddens said the settlement amount represents about $80 million less than LBI might have had to pay based upon recent court decisions. The settlement comes several months after the Second Circuit largely sided with Barclays.
The appellate panel upheld U.S. District Judge Katherine B. Forrest’s interpretation of the complicated contracts surrounding Barclays’ 2008 deal for LBI, which were hastily pushed through amid widespread market panic in the aftermath of the collapse of its parent Lehman Brothers Holdings Inc.
Giddens sought Supreme Court review of the decision late last year, but justices declined to review the case.
Under the terms of the deal announced Friday, “LBI and Barclays each unconditionally and irrevocably release any claims that were or could have been asserted or raised in ongoing or potential future litigation between them,” Giddens said.
“With nearly $600 million in distributions held up and nothing seeming to go the trustee’s way, the writing was more or less on the wall and to save $80 million for the estate to resolve their issues with Barclays at this late stage strikes me as fair,” Olshan Frome Wolosky LLPattorney Jonathan Koevary said.
Since July 2014, the liquidating trustee has distributed approximately $5.9 billion to LBI's unsecured general creditors which represents a 27 percent distribution on general creditor claims, according to Giddens.
The settlement is a win for Barclays, which said Monday that it expects to recognize a pre-tax gain of approximately $750 million in its 2015 interim results because of the deal. Barclays said court approval of the settlement could take several weeks...
For full story:
http://www.law360.com/articles/664341/lehman-trustee-strikes-1b-deal-to-end-barclays-asset-fight
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Barclays Settles Lehman Brothers Case
Jun 5, 2015 | MarketWatch
By Rory Gallivan
Barclays PLC BARC on Friday said it has reached a settlement to resolve its outstanding litigation over its acquisition of most of the assets of Lehman Brothers Inc. during the global financial crisis in 2008.
"All of the outstanding issues between Barclays and the Trustee will be settled and Barclays will receive all but $80 million of the $1.1 billion of assets which were still disputed by the Trustee," the U.K. bank said.
"Following implementation of the settlement, Barclays will have received all of the assets it claimed in the litigation with the exception of this $80 million and approximately $255 million of margin for exchange-traded derivatives (exclusive of interest) still owing but expected from third parties," it added.
Barclays said it expects to recognize a pre-tax gain of approximately $750 million in its 2015 Interim Results, to be announced on 29 July...
For full story:
http://www.marketwatch.com/story/barclays-settles-lehman-brothers-case-2015-06-05-114853543
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Long Lehman-Barclay Legal Battle Ends
Jun 6, 2015 | The Australian Business Review
The long-running legal battle between Lehman Brothers and Barclays, which bought Lehman's brokerage business days after the investment bank collapsed, has ended.
James W Giddens, the trustee unwinding Lehman's brokerage business, said Friday that Lehman will pay Barclays $US1.28 billion ($A1.66bn) for so-called margin assets it owed to the bank, settling the legal fight and freeing up cash for Lehman creditors.
The money, related to the assets that went to Barclays when it bought Lehman's US brokerage out of bankruptcy in the frantic days of September 2008, was a key issue in a 34-day trial between the two back in 2010.
As part of the deal, the two sides will drop current and future litigation against one another, according to a Friday filing with US Bankruptcy Court in Manhattan. More than $US600 million cash will become available for Lehman creditors, because Lehman had set aside about $US1.87bn for the dispute. Both Lehman and Barclays said the payment is about $US80m less than the trustee would have had to pay without a settlement.
"This agreement ends years of litigation and achieves the best result under the circumstances as winding-down and closing out the estate continues in earnest," said Mr Giddens, who had appealed legal defeats over the money all the way up to the US Supreme Court, which declined to hear the case.
"Barclays fought hard and responsibly through six years of litigation to secure approximately $US8bn of purchased yet disputed assets, and today's settlement brings that effort to a successful completion," said Jonathan Schiller of Boies Schiller & Flexner, a lawyer who represented Barclays in the dispute.
Following implementation of the settlement, "Barclays will have received all of the assets it claimed in the litigation with the exception of this $US80m and approximately $US255m of margin for exchange-traded derivatives (exclusive of interest) still owing but expected from third parties," Barclays said. The UK bank expects the settlement to fetch it a pre-tax gain of about $US750m in its 2015 interim results, which will be announced July 29.
US Bankruptcy Judge Shelley Chapman will be asked to approve the deal at a June 29 hearing.
The legal battle over the sale began in 2009, when the Lehman brokerage and its parent company both sued Barclays, saying the British bank negotiated a secret discount when it bought Lehman's brokerage.
The dispute came down to a "clarification letter" agreed upon by the two sides in the hectic days of September 2008, but never reviewed by James Peck, who was then overseeing Lehman's bankruptcy case. The judge ultimately decided that while he didn't approve the terms of the letter explicitly, all parties involved treated it as if he had. The letter spelled out the terms of which assets would go to Barclays and which would stay with Lehman...For full story:
http://www.theaustralian.com.au/business/latest/long-lehman-barclay-legal-battle-ends/story-e6frg90f-1227385620114
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Barclays Settles Lehman Brothers Litigation; Sees $750M Boost to Profit
Jun 5, 2015 | ShareCast
Barclays said on Friday that it has reached a settlement with the SIPA Trustee for Lehman Brothers to resolve outstanding litigation between the parties relating to the acquisitions by Barclays of most of Lehman's assets in September 2008.
As a result of the settlement, Barclays expects to recognise a pre-tax gain of about $750m in its 2015 interim results, to be announced on 29 July.
All of the outstanding issues between Barclays and the Trustee will be settled and Barclays will receive all but $80m of the $1.1bn of assets which were still disputed by the Trustee.
Following implementation of the settlement, Barclays will have received all of the assets it claimed in the litigation with the exception of this $80m and about $255m of margin for exchange-traded derivatives (exclusive of interest) still owing but expected from third parties...For full story:
http://www.sharecast.com/news/barclays-settles-lehman-brothers-litigation-sees-750m-boost-to-profit/22887864.html
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Barclays Boosts Profits With Lehman Resolution
Jun 6, 2015 | The Times (UK)
By Deirdre Hipwell
Nearly seven years after Lehman Brothers collapsed, Barclays has finally resolved outstanding litigation with the trustee of the failed American bank’s brokerage business.
Barclays said yesterday that it would receive nearly all, bar $80 million, of the $1.1 billion assets that remained in dispute after its purchase of parts of Lehman’s brokerage assets at the height of the financial crisis.
The settlement means that Barclays is expecting to report a $750 million pre-tax gain when it announces its results in July.
The outcome comes in the wake of the US Supreme Court’s refusal this year to hear an appeal by...
Subscription required for full article:
http://www.thetimes.co.uk/tto/business/industries/banking/article4462187.ece
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Barclays Expects Gain After Settling With Lehman Brothers Trustee
Jun 5, 2015 | Alliance News (in London South East
By Samuel Agini
Barclays PLC Friday said it has reached a settlement over litigation relating to assets previously owned by failed investment bank Lehman Brothers Inc, meaning the British lender is set to receive the vast bulk of the assets under dispute and recognise a USD750 million pretax gain this year.
Barclays said it expects it will be able to recognise the pretax gain in results for the first six months of 2015, which are to be reported on July 29, if the settlement is approved by the Bankruptcy Court.
In a statement, Barclays said it had reached a settlement with the trustee for the liquidation of Lehman Brothers, which is being liquidated under the Securities Investor Act of 1970.
The assets in question were acquired by Barclays in September 2008 just days after Lehman Brothers filed for bankruptcy.
Barclays said it will receive all but USD80 million of the USD1.1 billion of assets which were under dispute by the trustee.
"Following implementation of the settlement, Barclays will have received all of the assets it claimed in the litigation with the exception of this USD80 million and approximately USD255 million of margin for exchange-traded derivatives (exclusive of interest) still owing but expected from third parties," Barclays said...
For full story:
http://www.lse.co.uk/AllNews.asp?code=2u6grfn1&headline=Barclays_Expects_Gain_After_Settling_With_Lehman_Brothers_Trustee
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Yo, Adrian! Is Dick Fuld ‘Rocky’?
Jun 5, 2015 | Mortgage Professional America
By Justin da Rosa
t’s a comparison that won’t likely sit well with mortgage brokers – and anyone dealing with the ramifications of the 2008 economic downturn. Still, that hasn’t stopped Dick Fuld, former head of Lehman brothers from comparing himself to an iconic American character.
“What did Rocky say? ‘It’s not how hard you hit, but whether you get up after you’ve been knocked down.’ I love Rocky.” Dick Fuld said at a recent speech in New York City, according to Vanity Fair. “It’s about losing and then being lost or losing and learning from that.”
The Vanity Fair piece was a scathing account of Fuld’s first public appearance since the interrogation he faced at the hands of congress in 2008, and he was quick to absolve himself of any wrongdoing pre-recession.
Instead, he pointed the finger at the government.
“[The government] wanted everybody to be able to fulfill their view of the American dream,” he told the crowd of about 1,500 at New York’s Grand Hyatt hotel. “We had low rates, easy access to credit. That led to increased home values, household debt, people borrowed a record amount of money, and as rates went down further, people refinanced, they used their homes and the increased value in their homes as ATM accounts.”...For full story:
http://www.mpamag.com/news/yo-adrian-is-dick-fuld-rocky-22781.aspx
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