Whatever happened to the mysterious "Asian", or "Korean" investment for LEH?

W

wilburbear

On Wednesday LEH was supposed to be near a massive cash infusion from a foreign entity. Did this entity back out when they saw the actual financials? What happened?

LEH was also "considering" releasing their earnings early. This was a broad hint that everything's OK (even though they can continue to play balance sheet games).

Ask yourself why the top brass at LEH appear to be putting any prop under the stock that they can lay their hands on.


http://biz.yahoo.com/ap/080604/lehman_brothers_liquidity.html?.v=3
 
probably got wise to the inner workings of scam street.

Or they learned a lesson from Joe Lewis, the fellow who bought nearly 900 million of BSC common stock ( could have bought the whole company with that ).

Wall street banks still have a long ways to go. Most, if not all, these stocks will be in the low teens and single digits by April next year.
 
LEH "spreaded the rumors" themselve, they did it by secretly waving the "cash infusion" reg flags to many Asian trading parties, LEH knew those Asian managers just couldn't keep their mouths shut for less than 5 minutes.

The "bad" news dragged down all index especially the financials. LEH hedge positions which was down hundreds of millions a few days ago are now very profitable. On the other hand, instead of selling its stock, it bought at the very bottom, made another several hundred millions.

It will be remembered as the best financial engineering of the decade.
 
Quote from codedeep007:

LEH "spreaded the rumors" themselve, they did it by secretly waving the "cash infusion" reg flags to many Asian trading parties, LEH knew those Asian managers just couldn't keep their mouths shut for less than 5 minutes.

The "bad" news dragged down all index especially the financials. LEH hedge positions which was down hundreds of millions a few days ago are now very profitable. On the other hand, instead of selling its stock, it bought at the very bottom, made another several hundred millions.

It will be remembered as the best financial engineering of the decade.
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I highly doubt that. It was Fed intervention. Remember they can call up the NYFed discount window, claim their considering bankruptcy, and get all sorts of cash & shit wired to them in an instant. JPM got a $29 billion risk-free loan to buy Bear. When the Fed opened up the discount window to investment banks, there is now no need for a third party. I also believe the identities of those taping the discount window are kept confidential by the Fed to encourage those near the brink to borrow without causing a bank run.
 
Quote from wilburbear:

They bought back their own equity last week. Today they're selling it to raise capital.
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Th reason they bought back was stock placement contract stated the $28/stock deal was off if price dropped below $30 at close last week. LEH buying to save their own skin.
 
I started this thread back in the first week of June. Which means LEH's Korean deal has been "imminent" for 3 months.

Pardon my skepticism, but LEH may be using this story to buy time, and support the stock.
 
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