SEC Issues Statement Regarding Recent Market Events and Lehan Brothers

(LAWFUEL) Washington, D.C., Sept. 14, 2008 – The SEC announced this evening that it is working with Lehman Brothers to address the issues that it faces. In particular, the SEC is taking actions to ensure that customers of Lehman Brothers Inc., the U.S. regulated broker-dealer subsidiary of Lehman Brothers Holdings Inc., which holds the accounts of Lehman’s U.S. securities customers, will not be adversely affected by recent market events. The broker-dealer’s customers benefit from their extensive protections under SEC rules, including segregation of customer securities and cash, as well as insurance by the Securities Investor Protection Corporation (SIPC). These safeguards are designed to ensure that the broker-dealer’s customers will be protected. SEC staff who have been on-site at the U.S. broker-dealer will remain in place in coming weeks. Any actions by Lehman Brothers Holdings Inc., the broker-dealer’s parent, would not affect in any way the SIPC protection applicable to the firm’s customers. The SEC is also coordinating with overseas regulators to protect Lehman’s customers and to maintain orderly markets. “For several days, we have worked closely with regulators around the world including the FSA in the United Kingdom, the BaFin in Germany, and the FSA in Japan, as well as our counterparts in other markets around the world, to coordinate our actions in the interest of orderly markets,” said SEC Chairman Christopher Cox. “In doing so we have also worked closely with the Treasury and the Federal Reserve and market participants. We are committed to using our regulatory and supervisory authorities to reduce the potential for dislocations from recent events, and to maintain the smooth functioning of the financial markets.” In furtherance of these objectives, the SEC is focused on ensuring that customers of the U.S. broker-dealer remain protected through, among other means, enforcing continued compliance with the SEC net capital and customer asset protection rules, and ensuring continued customer access to their cash and securities. Customers of Lehman Brothers Inc. may contact the SEC’s Office of Investor Education and Advocacy for individual assistance at help@sec.gov.

SEC Issues Statement Regarding Recent Market Events and Lehan Brothers

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