Lehman brothers liquidating
Over much of 2008 the firm fought off losses by issuing stock, selling assets and reducing cost (issuing debt under such conditions became difficult to impossible).
When real estate values peaked and then began to falter in 2007-2008, Lehman Brothers became especially vulnerable.
SIPC on Friday applauded the milestone, which it cited as the largest-ever return of property to brokerage customers.
“With the return of all customer property, no advances from the SIPC fund will be necessary to make securities customers whole,” SIPC said in a statement.
The total customer payback will top 0 billion after the latest round of distributions, Giddens said.
That includes about billion that was paid to retail customers shortly after Lehman’s parent collapsed in 2008.
The discussions, which involved a potential sale to Bank of American and Barclays, failed (vetoed by the Bank of England and the U. Financial Services Authority), and efforts by potential acquirers to secure federal intervention were unsuccessful. The repercussions were felt globally; the Dow Jones Industrial Average fell 500 points on the day Lehman Brothers declared bankruptcy.