The historic Lehman Brothers bankruptcy has hit another milestone: $2 billion in fees paid to professionals. In a Thursday filing with U.S. Bankruptcy Court in Manhattan, Lehman said it has spent $160.8 million in fees since exiting from bankruptcy in March. Added to the $1.9 billion it incurred during its 42 months in bankruptcy, the failed investment bank has eclipsed $2 billion in fees paid. That's the most in the nation's history. Lehman previously stated that it incurred less than $1.8 billion in fees before leaving Chapter 11 protection in March but disclosed in the Thursday filing that the number increased by $132 million in recent months for several reasons, including the payment of incentive fees to professionals as well as approvals of older applications. [WSJ]
Everybody Give It Up For Lehman Brothers!
"We are proud to announce Lehman's exit from chapter 11 and entrance into the final stage of this process -- distributions to creditors. Our objective remains to provide the best results possible for creditors -- by continuing to strategically position assets to produce strong values, to pursue the resolution of disputed claims and other matters in litigation, and to manage expenses in line with the asset disposition process," said John Suckow, who is managing director with bankruptcy adviser Alvarez & Marsal and Lehman's president and COO. Suckow also thanked Lehman employees for working "diligently" since the bank's collapse in September 2008 to reach the milestone. [NYP]