Wednesday, Aug 24, 2011
JERUSALEM (Dow Jones)--Bank Leumi Le Israel (LUMI.TV) said Wednesday it has reached a court settlement with failed financial firm Lehman Brothers Holdings Inc. (LEHMQ) and will recover a large part of its losses resulting from the collapse of the U.S. financial giant in 2008.
Leumi said it will receive 210 million shekels ($58.3 million) from the sale of securities that Lehman had been holding. This will result in a net gain of ILS90 million for Leumi, which it will report as part of its third quarter financial results.
Leumi had originally sued Lehman brothers for $100 million and had reported a loss of $80 million in 2008 due to the loss of securities in the collapse of Lehman Brothers.
At 1040 GMT, shares of Leumi were down ILS0.16, or 1.19%, at ILS13.27, in a higher Tel Aviv market.
-By Sara Toth Stub, Contributing to Dow Jones Newswires, saratoth@gmail.com
(END) Dow Jones Newswires
24-08-11 1053GMT
