It appears you have not yet registered with our community. To register please click here...

 
Go Back [M] > Madshrimps > WebNews
Lehman Brothers sues Intel Lehman Brothers sues Intel
FAQ Members List Calendar Search Today's Posts Mark Forums Read


Lehman Brothers sues Intel
Reply
 
Thread Tools
Old 3rd May 2013, 08:31   #1
[M] Reviewer
 
Stefan Mileschin's Avatar
 
Join Date: May 2010
Location: Romania
Posts: 148,068
Stefan Mileschin Freshly Registered
Default Lehman Brothers sues Intel

The bankrupt Lehman Brothers is suing Intel, claiming that the chip company violated the terms of a collateral swap agreement.

Days before Lehman filed for bankruptcy in 2008, Intel gave $1 billion to a derivatives unit of Lehman Brothers in exchange for 50.5 million Intel shares.

According to Reuters, this was supposed to be delivered on 29 September, 2008. Lehman Brothers OTC Derivatives posted $1 billion in cash collateral to Intel as part of the agreement. The agreement said that Chipzilla would be compensated for losses in case of early termination of the deal.

It gets complicated, but Intel claimed that Lehman was to deliver "$1 billion in Intel common stock," but Lehman said that the agreement was to deliver 50.5 million of Intel shares and it didn't matter how much they cost.

The value of 50,552,943 shares of Intel common stock on 29 September, 2008 was about $873 million, not a billion bucks.

Chipzilla then scrapped the agreement two weeks after the company's bankruptcy filing and took the entire $1 billion in collateral and has not bought it back. Lehman said "Intel breached the swap agreement".

Needless to say Lehman is short of a bob or two and wants Intel to get cash back - and is seeking an unspecified amount.

http://news.techeye.net/business/leh...ers-sues-intel
Stefan Mileschin is online now   Reply With Quote
Reply


Similar Threads
Thread Thread Starter Forum Replies Last Post
The FTC Sues Intel Over CPU & GPU Competition jmke WebNews 0 17th December 2009 13:24
Intel Sues AMD For Not Keeping Documents jmke WebNews 0 15th October 2009 21:44
Transmeta Sues Intel for Patent Infringement jmke WebNews 0 12th October 2006 10:47
Brothers in Arms 3 - HD Gameplay Trailer on PS3 jmke WebNews 0 3rd May 2006 12:25
Intel sues Intell over Intel jmke WebNews 1 12th January 2006 01:12
AMD sues Intel, the monopolist Sidney WebNews 6 29th June 2005 12:01
Brothers in Arms: Road to Hill 30 Sidney WebNews 0 20th June 2005 05:38
Chinese firm sues Intel for alleged breach of trade Sidney WebNews 0 6th April 2005 00:16
TK: pc-ps2 games! dvd! boek: band of brothers sniper_warrior Mad Bargains 0 24th April 2004 13:45

Thread Tools

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

vB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


All times are GMT +1. The time now is 10:36.


Powered by vBulletin® - Copyright ©2000 - 2024, Jelsoft Enterprises Ltd.
Content Relevant URLs by vBSEO