Q1 - Q2 2008 Lehman

Liquidity: unregulated: 34 bil + 64 bil = 98 bil, (14% of liability) asset quality --MBS and ABS inventory 60.8 bil (-18% decrease from 74.4 bil), sold nearly 14 bil, unrealized loss ~3 bil, (28% discount in fire sale) a.possible mark down -1.5 bil to 2 bil Leverage Loan: (acquisition facility) 18 bil (-30% decrease from 28 bil), sold nearly 10 bil (5% markdown)