Lehman Europe administrators to pay interim dividend, offer settlement

By Caroline Salls

Pittsburgh, May 8 - Lehman Brothers International Europe's joint administrators intend to pay a first interim dividend to unsecured creditors within five months of the July 31 bar date, according to a news release.

In addition, the administrators said they plan to offer creditors an opportunity to receive a single payment as full and final settlement of their claims.

Specifically, a settlement offer will be made to all creditors whose claims do not exceed £150,000 via a single payment of 90% of their agreed claim amount.

Any creditor whose agreed claim amount exceeds £150,000 may also participate, but the maximum payment made will be 90% of £150,000, for a payment of £135,000.

The joint administrators said payment of the small claims settlement offer will be timed to coincide with the first interim dividend. Creditors who opt for the settlement offer will not receive a first interim dividend or any subsequent dividend.

The rate of the first interim dividend has not yet been determined, the release said.

New York-based Lehman Brothers Holdings Inc. was the fourth-largest investment bank in the United States. The company emerged from bankruptcy in the U.S. Bankruptcy Court for the Southern District of New York on March 6, 2012.

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