US investment bank Lehman Brother's investors in its European unit would be repaid in full according to the firm's administrators. The firm collapsed last September 2008, precipitating what is known to be the worst recession on record.
The funds for the payment came after a settlement was reached over assets retained by Lehman Brother's Europe. According to Price Waterhouse Cooper' ninth progress report, the accounting firm cum administrator, the assets can now be distributed to its former clients.
According to Tony Lomas, lead administrator for the case and partner at PWC, "To be able to advise ordinary unsecured creditors that we now have a reasonable chance of eventually repaying their claims in full, marks a significant milestone."
He added, "There's still a lot to do before finalizing the wind down but we do expect to pay a second significant dividend to creditors in the near future, taking us another step towards this new target."
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