BusinessBusiness RecoveryPwC’s Lehmans fees top £154m

PwC's Lehmans fees top £154m

Big Four leader generates £154m to 14 September as the huge job of unravelling the remains of the collapse investment bank continues

Continuing efforts to unwind the affairs of Lehman Brothers European arm has
earned PricewaterhouseCoopers more than £154m.

The firm has been involved in a global tug-of-war with other Lehmans
divisions to claw back assets it believes are owed to the European arm on behalf
of creditors.

Partners from PwC were appointed on 15 September 2008, but for the six months
between 14 March and 15 September 2009, the creditors committee approved fees of
£76,885,431, the firm said.

This brought PwC total fees since the start of its work to £154,118,804.

PwC reported that the average hourly charge out rate for its staff had
decreased from £329 per hour to £302 as ‘ the ratio of less senior staff to more
senior staff has increased.’

Steven Pearson, joint administrator said in a statement today:

“I am pleased to report that very significant progress has been made in the
12 months of this case – we have dealt with over $40bn of assets already and are
now focusing effort on agreeing claims.

“Our actions have yielded significant recoveries which in due course will be
paid to creditors. There are still some major challenges to address, which we
will put before the UK court.”

The job is likely to roll on well into the next decade, but PwC added it had
obtained formal approval from the courts for an extension to the administration
until November 2011.

Related Articles

PwC must face MF Global lawsuit over accounting advice

Accounting Firms PwC must face MF Global lawsuit over accounting advice

1y Richard Crump, Writer
PwC’s business recovery services team appoints four new partners

Accounting Firms PwC’s business recovery services team appoints four new partners

1y Richard Crump, Writer
MPs call on FRC to widen BHS audit probe into PwC

Accounting Firms MPs call on FRC to widen BHS audit probe into PwC

1y Richard Crump, Writer
FRC investigation launched into PwC's BHS audit

Audit FRC investigation launched into PwC's BHS audit

1y Kevin Reed, Writer
UK votes to leave EU – accountancy profession reacts

Accounting Firms UK votes to leave EU – accountancy profession reacts

1y Fraser Simpson, Reporter
Take part in our 'Seven days in Accountancy' quiz

Accounting Firms Take part in our 'Seven days in Accountancy' quiz

2y Fraser Simpson, Reporter
New consortium enters fray to buy BHS empire

Accounting Firms New consortium enters fray to buy BHS empire

2y Chris Warmoll, Writer
PwC questioned over BHS ‘going concern’ audit

Accounting Firms PwC questioned over BHS ‘going concern’ audit

2y Chris Warmoll, Writer