Lehman secures exclusivity extension, must deliver progress report

By Jennifer Lanning Drey

Portland, Ore., July 15 - Lehman Brothers Holdings, Inc. was granted an eight-month extension to its exclusive periods to file a plan of reorganization and solicit votes on the plan Wednesday from the U.S. Bankruptcy Court for the Southern District of New York, according to an attorney.

The exclusive plan-filing period was extended to March 15, 2010 from July 13 and the solicitation period to May 17, 2010 from Sept. 16.

The approval is conditioned on the company providing a progress report to creditors in about four months, the attorney said.

As previously reported, an informal group of Lehman's creditors had objected to the extension, saying creditors should immediately be allowed to control their destinies and maximize recoveries for themselves.

When requesting the extension, Lehman cited the size and complexity of its case.

Specifically, the company said ongoing analyses and investigations into its businesses and assets needed to be completed.

New York-based Lehman Brothers Holdings was the fourth largest investment bank in the United States. The company filed for bankruptcy on Sept. 15, 2008. Its Chapter 11 case number is 08-13555.

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