Lehman Brothers set to distribute $393 million to creditors on Oct. 3

By Caroline Salls

Pittsburgh, Sept. 26 – Lehman Brothers Holdings Inc. announced Thursday that $393 million will be distributed to the holders of claims against the company and its affiliated debtors on Oct. 3 in a 19th distribution to unsecured creditors under its confirmed Chapter 11 plan.

According to a news release, this distribution includes $354 million of payments on account of third-party claims, which includes non-controlled affiliate claims, and $39 million of payments among the Lehman debtors and their controlled affiliates.

Cumulatively through the 19th distribution, Lehman’s total distributions to unsecured creditors will amount to $127.9 billion, including $95 billion of payments on account of third-party claims and $32.8 billion of payments among the Lehman debtors and their controlled affiliates.

In accordance with the Chapter 11 plan, which was confirmed on Dec. 6, 2011, and subject to available funds, the Lehman debtors’ 20th distribution to creditors is expected to be made within five business days of March 31, 2020.

New York-based Lehman Brothers was the fourth-largest investment bank in the United States. The company emerged from bankruptcy on March 6, 2012.

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