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Lehman to sell off more claims for $813.6M

NEW YORK (AP) -- Lehman Brothers Holdings Inc. said Monday that it will receive $813.6 million from the sale of additional unsecured claims against its former brokerage arm, as it continues to raise cash to pay off its creditors.

The claims will be sold for 45 percent of their face value of $1.81 billion, the company said.

Lehman Brothers Holdings previously reached deals to sell a total of $5.28 billion of its claims against Lehman Brothers Inc. through a recently completed auction and an additional sale.

A bankruptcy court judge in April approved settlements that cleared the way for the remnants of Lehman to repay its customer claims in full. Holders of unsecured claims will be repaid based on whatever is left following the completion of customer claims.

Lehman's $639 billion bankruptcy in September of 2008 was the largest ever in U.S. history.

The company's individual retail customers were repaid in the first few days of the brokerage's liquidation. But it took several years of talks before Lehman, its holding company and its European arm could agree on how claims would be paid for larger customers of each unit, such as hedge funds or institutional investors.