Lehman Brothers

About Lehman Brothers

Lehman Brothers filed for Chapter 11 bankruptcy on September 15, 2008, the largest bankruptcy filing in US history with 639 billion in assets. Lehman was the fourth largest investment bank in the United States. The collapse triggered a global financial crisis. The Federal Reserve and Treasury declined to bail out Lehman, unlike Bear Stearns earlier that year. Barclays and Bank of America considered acquiring Lehman but withdrew. The bankruptcy filing exposed 600 billion in liabilities. The Lehman bankruptcy demonstrated that no firm was too big to fail, but its consequences were so severe that the government subsequently bailed out AIG, Citigroup, Bank of America, and others. The Lehman bankruptcy estate paid creditors approximately 65 cents on the dollar over several years.