Lehman Brothers Holdings Inc. exited its bankruptcy of record 639 billion dollars on Tuesday and said it will start paying back creditors on April 17.
With this move, Lehman ended its bankruptcy proceeding that began Sept. 15, 2008 in the Southern District of New York.
Lehman would start distributing about 65 billion dollars to creditors who had asserted more than 300 billion in claims. The first payback of at least 10 billion dollars would be distributed to creditors, including Wall Street firms like Goldman Sachs and hedge fund investors like Paulson.
During bankruptcy, Lehman sold assets, settled claims and worked on a payback agreement with creditors. On Dec. 5, 2011, Lehman’s creditor payback plan was approved by Bankruptcy Judge James Peck. Since then, Lehman started selling more assets and settling more claims.