Lehman Brothers Junior Bondholders Set for Payday 12 Years Later

Investors in two subordinated bonds from Lehman Brothers received word that a payment is coming, just two weeks after the 12th anniversary of one of the world’s most spectacular banking collapses.

A proposed “initial interim payment” will go to owners of a 200 million euro ($234 million) note and a $500 million issue, according to a statement from liquidators distributed on Tuesday. The size of this payment will be disclosed in a formal payment notice.

The collapse of the one of the world’s largest investment banks on Sept. 15 2008 was the iconic moment of the great financial crisis, ...