http://www.nakedcapitalism.com/2008/06/lehman-on-ropes-again-looking-to-raise.html Mon, 23 Nov 2009 12:52:40 -0500 http://wordpress.org/?v=2.8.4 hourly 1 http://www.nakedcapitalism.com/2008/06/lehman-on-ropes-again-looking-to-raise.html#comment-8937 Anonymous Tue, 03 Jun 2008 21:30:00 +0000 http://www.nakedcapitalism.com/2008/06/lehman-on-the-ropes-again-looking-to-raise-equity/#comment-8937 These clowns are a zero. These clowns are a zero.

]]> http://www.nakedcapitalism.com/2008/06/lehman-on-ropes-again-looking-to-raise.html#comment-8905 S Tue, 03 Jun 2008 12:58:00 +0000 http://www.nakedcapitalism.com/2008/06/lehman-on-the-ropes-again-looking-to-raise-equity/#comment-8905 facts: 42B in level 3 $191 B in level 2 - take whatever you think is the appropriate haircut for these illiquid assets and compare it against the $24B of equity and the reduced earnings power (say $3 bucks or so in 2009 , or $1.5-$2B) 3-4B would be 20% dilutive off the top. and the balance sheet still has $780B in total assets. All in the Q facts: 42B in level 3 $191 B in level 2 – take whatever you think is the appropriate haircut for these illiquid assets and compare it against the $24B of equity and the reduced earnings power (say $3 bucks or so in 2009 , or $1.5-$2B) 3-4B would be 20% dilutive off the top. and the balance sheet still has $780B in total assets. All in the Q

]]> http://www.nakedcapitalism.com/2008/06/lehman-on-ropes-again-looking-to-raise.html#comment-8898 RK Tue, 03 Jun 2008 10:34:00 +0000 http://www.nakedcapitalism.com/2008/06/lehman-on-the-ropes-again-looking-to-raise-equity/#comment-8898 Bloomberg had a piece yesterday about FASB statement 159, allowing an increase in the bond spread below par to be counted as a gain. They said the vote, after intense lobbying by the investment banks, was 5 in favor, 2 against. 2 questions. How is FASB board selected, and by whom? Second, if a sound corporation has an outstanding bond, and the Fed lowers interest rates 3.25 basis points, so that some bonds rise above par, must this be booked as a loss? Bloomberg had a piece yesterday about FASB statement 159, allowing an increase in the bond spread below par to be counted as a gain. They said the vote, after intense lobbying by the investment banks, was 5 in favor, 2 against. 2 questions. How is FASB board selected, and by whom? Second, if a sound corporation has an outstanding bond, and the Fed lowers interest rates 3.25 basis points, so that some bonds rise above par, must this be booked as a loss?

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