-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, GWUhVhSEAtS+70mEQKNzTZjz17t4zxLQz4jN/dVxAgYjfEL6muu4NgmoyE5zUXl2 ivYwklPZw0U8abzATfJrbA== /in/edgar/work/20000628/0000912057-00-030245/0000912057-00-030245.txt : 20000920 0000912057-00-030245.hdr.sgml : 20000920 ACCESSION NUMBER: 0000912057-00-030245 CONFORMED SUBMISSION TYPE: 11-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19991230 FILED AS OF DATE: 20000628 FILER: COMPANY DATA: COMPANY CONFORMED NAME: LEHMAN BROTHERS HOLDINGS INC CENTRAL INDEX KEY: 0000806085 STANDARD INDUSTRIAL CLASSIFICATION: [6211 ] IRS NUMBER: 133216325 STATE OF INCORPORATION: DE FISCAL YEAR END: 1130 FILING VALUES: FORM TYPE: 11-K SEC ACT: SEC FILE NUMBER: 001-09466 FILM NUMBER: 663684 BUSINESS ADDRESS: STREET 1: AMERICAN EXPRESS TWR STREET 2: 3 WORLD FINANCIAL CNTR CITY: NEW YORK STATE: NY ZIP: 10285 BUSINESS PHONE: 2125267000 MAIL ADDRESS: STREET 1: AMERICAN EXPRESS TOWER 15TH FL STREET 2: 2 WORLD TRADE CENTER CITY: NEW YORK STATE: NY ZIP: 10048 FORMER COMPANY: FORMER CONFORMED NAME: SHEARSON LEHMAN HUTTON HOLDINGS INC DATE OF NAME CHANGE: 19901017 11-K 1 a11-k.txt 11-K SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 11-K [X] ANNUAL REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES AND EXCHANGE COMMISSION For the fiscal year ended December 30, 1999 OR [ ] TRANSITION REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _______ to _______. -------------------------- Commission file number 1-7657 -------------------------- A. Full title of the plan and the address of the plan, if different from that of the issuer named below: LEHMAN BROTHERS HOLDINGS INC. TAX DEFERRED SAVINGS PLAN Lehman Brothers Holdings Inc. 3 World Financial Center New York, NY 10285 B. Name of issuer of the securities held pursuant to the plan and the address of its principal executive office: Lehman Brothers Holdings Inc. 3 World Financial Center New York, NY 10285 Financial Statements and Supplemental Information Lehman Brothers Holdings Inc. Tax Deferred Savings Plan YEARS ENDED DECEMBER 30, 1999 AND 1998 WITH REPORT OF INDEPENDENT AUDITORS Lehman Brothers Holdings Inc. Tax Deferred Savings Plan Financial Statements and Supplemental Information Years ended December 30, 1999 and 1998 CONTENTS Report of Independent Auditors....................................... 1 Financial Statements Statements of Net Assets Available for Plan Benefits, with Fund Information.............................................. 2 Statements of Changes in Net Assets Available for Plan Benefits, with Fund Information.............................................. 4 Notes to Financial Statements........................................ 6 Supplemental Information Schedule I--Schedule of Investments Held.............................. 16 Schedule II--Schedule of Transactions in Excess of 5% of Net Assets Available for Plan Benefits at Beginning of Year.. 17 Report of Independent Auditors The Employee Benefit Plans Committee Lehman Brothers Holdings Inc. We have audited the accompanying statements of net assets available for plan benefits of the Lehman Brothers Holdings Inc. Tax Deferred Savings Plan (the "Plan") as of December 30, 1999 and 1998, and the related statements of changes in net assets available for plan benefits for the years then ended. These financial statements are the responsibility of the Plan's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the net assets available for plan benefits of the Plan at December 30, 1999 and 1998, and the changes in its net assets available for plan benefits for the years then ended in conformity with generally accepted accounting principles. Our audits were performed for the purpose of forming an opinion on the basic financial statements taken as a whole. The accompanying supplemental schedules of investments held as of December 30, 1999, and reportable transactions in excess of five percent of net assets available for plan benefits for the year then ended, are presented for purposes of additional analysis and are not a required part of the financial statements but are supplementary information required by the Department of Labor's Rules and Regulations for Reporting and Disclosure under the Employee Retirement Income Security Act of 1974. These supplemental schedules are the responsibility of the Plan's management. The supplemental schedules have been subjected to the auditing procedures applied in our audits of the financial statements and, in our opinion, are fairly stated in all material respects in relation to the financial statements taken as a whole. June 20, 2000 Lehman Brothers Holdings Inc. Tax Deferred Savings Plan Statement of Net Assets Available for Plan Benefits, With Fund Information December 30, 1999
INVESTMENT FUNDS ----------------------------------------------------------------------------------------- AMERICAN LEHMAN EXPRESS BROTHERS AMERICAN SHORT COMPANY HOLDINGS CENTURY PRIME TERM FIXED COMMON INC. COMMON ULTRA VALUE TEMPLETON INTEREST INCOME STOCK STOCK INVESTORS OBLIGATIONS FOREIGN FUND FUND FUND FUND FUND FUND FUND ----------------------------------------------------------------------------------------- ASSETS Institutional Contracts (at cost plus interest) $85,479,027 Investments at fair value: American Express Company Common Stock 379,391 shares (cost: $10,473,167) $62,884,140 Lehman Brothers Holdings Inc. Common Stock 723,402 shares (cost: $22,135,709) $61,402,505 American Century Ultra Investors Fund 2,518,910 $114,308,128 shares (cost: $68,137,838) Prime Value Obligations Fund 15,026,246 shares (cost: $15,026,246 $15,026,246) Templeton Foreign Fund 3,834,248 shares (cost: $42,905,230 $36,387,048) Income Fund of America 1,318,711 shares (cost: $20,729,446) Fidelity Capital & Income Fund 2,400,827 shares (cost: $22,915,798) Vanguard Index Trust 500 Portfolio 641,283 shares (cost: $77,089,407) PIMCO Total Return Fund 1,223,046 shares (cost: $12,629,905) Brandywine Blue Fund 204,127 shares (cost: $5,664,640) ICM Small Company Portfolio 105,537 shares (cost: $2,555,269) Vanguard Fixed Income Long-Term Corporate Portfolio 1,244,394 shares (cost: $11,835,476) 10 Uncommon Value Fund 4,105,603 shares (cost: $39,886,634) ----------------------------------------------------------------------------------------- $ - 85,479,027 62,884,140 61,402,505 114,308,128 15,026,246 42,905,230 Cash and short-term investments 384,864 16,708,757 50 617 665 96 282 Interest and dividends receivable 2,351 38,327 - 179 - 68,390 - Other receivables 10,089 21,568 40,151 2,026,133 3,484 - - Participant loans Net Inter-fund transfers 7,659 (274,022) (85,362) (581,262) 203,345 271,496 277,330 (payable) receivable ----------------------------------------------------------------------------------------- Total assets 404,963 101,973,657 62,838,979 62,848,172 114,515,622 15,366,228 43,182,842 LIABILITIES Accrued liabilities 2,550 33,516 11,622 11,188 14,284 4,336 9,365 Other liabilities - - - - - 94,994 515 ----------------------------------------------------------------------------------------- Total liabilities 2,550 33,516 11,622 11,188 14,284 99,330 9,880 ----------------------------------------------------------------------------------------- Net assets available for plan $402,413 $101,940,141 $62,827,357 $62,836,984 $114,501,338 $15,266,898 $43,172,962 benefits ========================================================================================= ----------------------------------------------------------------------------------------------- VANGUARD FIDELITY VANGUARD PIMCO ICM FIXED INCOME CAPITAL & INDEX TOTAL BRANDYWINE SMALL INCOME FUND OF INCOME TRUST 500 RETURN BLUE COMPANY LOAN LONG TERM AMERICA FUND PORTFOLIO FUND FUND PORTFOLIO ACCOUNT CORPORATE PORTFOLIO ----------------------------------------------------------------------------------------------- ASSETS Institutional Contracts (at cost plus interest) Investments at fair value: American Express Company Common Stock 379,391 shares (cost: $10,473,167) Lehman Brothers Holdings Inc. Common Stock 723,402 shares (cost: $22,135,709) American Century Ultra Investors Fund 2,518,910 shares (cost: $68,137,838) Prime Value Obligations Fund 15,026,246 shares (cost: $15,026,246) Templeton Foreign Fund 3,834,248 shares (cost: $36,387,048) Income Fund of America 1,318,711 shares (cost: $20,703,763 $20,729,446) Fidelity Capital & Income Fund 2,400,827 shares (cost: $22,231,659 $22,915,798) Vanguard Index Trust 500 Portfolio $85,662,574 641,283 shares (cost: $77,089,407) PIMCO Total Return Fund 1,223,046 shares (cost: $12,144,844 $12,629,905) Brandywine Blue Fund 204,127 shares (cost: $7,317,965 $5,664,640) ICM Small Company Portfolio 105,537 shares (cost: $2,159,290 $2,555,269) Vanguard Fixed Income Long-Term Corporate Portfolio $10,943,379 1,244,394 shares (cost: $11,835,476) 10 Uncommon Value Fund 4,105,603 shares (cost: $39,886,634) ----------------------------------------------------------------------------------------------- 20,703,763 22,231,659 85,662,574 12,144,844 7,317,965 2,159,290 $ - 10,943,379 Cash and short-term investments 51 44 140 12 476 450 407 16 Interest and dividends receivable - 144,130 48 68,304 16 - 66 62,061 Other receivables 199 - 31,040 - 2,957 1,137 - - Participant loans 5,084,521 - Net Inter-fund transfers (493,083) (158,079) 286,319 15,813 368,023 154,291 - 129,437 (payable) receivable ----------------------------------------------------------------------------------------------- Total assets 20,210,930 22,217,754 85,980,121 12,228,973 7,689,437 2,315,168 5,084,994 11,134,893 LIABILITIES Accrued liabilities 5,371 5,323 12,766 2,917 1,016 212 - 2,581 Other liabilities - 2,186 - 4,494 - - 2,157 1,837 ----------------------------------------------------------------------------------------------- Total liabilities 5,371 7,509 12,766 7,411 1,016 212 2,157 4,418 ----------------------------------------------------------------------------------------------- Net assets available for plan $20,205,559 $22,210,245 $85,967,355 $12,221,562 $7,688,421 $2,314,956 $5,082,837 $11,130,475 benefits =============================================================================================== ------------------------------ 10 UNCOMMON VALUE FUND TOTAL ------------------------------ ASSETS Institutional Contracts (at cost plus interest) $85,479,027 Investments at fair value: American Express Company Common Stock 379,391 shares 62,884,140 (cost: $10,473,167) Lehman Brothers Holdings Inc. Common Stock 723,402 shares 61,402,505 (cost: $22,135,709) American Century Ultra Investors Fund 2,518,910 114,308,128 shares (cost: $68,137,838) Prime Value Obligations Fund 15,026,246 shares (cost: 15,026,246 $15,026,246) Templeton Foreign Fund 3,834,248 shares (cost: 42,905,230 $36,387,048) Income Fund of America 1,318,711 shares (cost: 20,703,763 $20,729,446) Fidelity Capital & Income Fund 2,400,827 shares (cost: 22,231,659 $22,915,798) Vanguard Index Trust 500 Portfolio 85,662,574 641,283 shares (cost: $77,089,407) PIMCO Total Return Fund 1,223,046 shares (cost: 12,144,844 $12,629,905) Brandywine Blue Fund 204,127 shares (cost: 7,317,965 $5,664,640) ICM Small Company Portfolio 105,537 shares (cost: 2,159,290 $2,555,269) Vanguard Fixed Income Long-Term Corporate Portfolio 10,943,379 1,244,394 shares (cost: $11,835,476) 10 Uncommon Value Fund 4,105,603 shares (cost: $47,434,807 47,434,807 $39,886,634) ------------------------------ 47,434,807 590,603,557 Cash and short-term investments (3,973) 17,092,954 Interest and dividends receivable - 383,872 Other receivables 358 2,137,116 Participant loans - 5,084,521 Net Inter-fund transfers (121,905) - (payable) receivable ------------------------------ Total assets 47,309,287 615,302,020 LIABILITIES Accrued liabilities 5,999 123,046 Other liabilities - 106,183 ------------------------------ Total liabilities 5,999 229,229 ------------------------------ Net assets available for plan $47,303,288 $615,072,791 benefits ==============================
SEE ACCOMPANYING NOTES. 2 Lehman Brothers Holdings Inc. Tax Deferred Savings Plan Statement of Net Assets Available for Plan Benefits, With Fund Information December 30, 1998 Investment Funds
-------------------------------------------------------------------------------- AMERICAN LEHMAN BROTHERS AMERICAN SHORT EXPRESS COMPANY HOLDINGS INC. CENTURY TERM FIXED COMMON COMMON ULTRA INTEREST INCOME STOCK STOCK INVESTORS FUND FUND FUND FUND FUND -------------------------------------------------------------------------------- ASSETS Institutional Contracts (at cost plus interest) $107,798,944 Investments at fair value: American Express Company Common Stock Fund 419,796 shares (cost: $11,517,390) $43,999,868 Lehman Brothers Holdings Inc. Common Stock Fund 762,688 shares (cost: $20,393,942) $33,033,924 American Century Ultra Investors Fund 2,524,064 shares (cost: $64,399,562) $83,925,129 Prime Value Obligations Fund 16,771,235 shares (cost: $16,771,235) Templeton Foreign Fund 4,039,463 shares (cost: $38,504,473) Income Fund of America 1,488,947 shares (cost: $23,178,143) Fidelity Capital & Income Fund 2,360,964 shares (cost: $22,475,386) Vanguard Index Trust 500 Portfolio 613,345 shares (cost: $42,522,721) PIMCO Total Return Fund 1,152,063 shares (cost: $11,921,823) Brandywine Blue Fund 225,804 shares (cost: $6,101,144) ICM Small Company Portfolio 59,669 shares (cost: $1,552,157) Vanguard Fixed Income Long-Term Corporate Portfolio 1,244,394 shares (cost: $10,981,727) -------------------------------------------------------------------------------- - 107,798,944 43,999,868 33,033,924 83,925,129 Cash and short-term investments $ 354,122 3,393,619 57 1,882,099 - Interest and dividends receivable 1,911 7,766 52 398 - Participant loans - - - - - Other receivables 10,084 6,457 42,788 100,827 4,243 Net Inter-fund transfers (payable) receivable 7,813 (620,670) (50,077) (17,084) (63,176) -------------------------------------------------------------------------------- Total assets 373,930 110,586,116 43,992,688 35,000,164 83,866,196 LIABILITIES Accrued liabilities 1,050 55,287 15,216 13,184 28,378 Other liabilities - - - - - -------------------------------------------------------------------------------- Total liabilities 1,050 55,287 15,216 13,184 28,378 -------------------------------------------------------------------------------- Net assets available for plan benefits $ 372,880 $110,530,829 $43,977,472 $34,986,980 $83,837,818 ================================================================================ ----------------------------------------------------------------------- PRIME FIDELITY VALUE TEMPLETON CAPITAL & OBLIGATIONS FOREIGN INCOME INCOME FUND FUND FUND OF AMERICA FUND ----------------------------------------------------------------------- ASSETS Institutional Contracts (at cost plus interest) Investments at fair value: American Express Company Common Stock Fund 419,796 shares (cost: $11,517,390) Lehman Brothers Holdings Inc. Common Stock Fund 762,688 shares (cost: $20,393,942) American Century Ultra Investors Fund 2,524,064 shares (cost: $64,399,562) Prime Value Obligations Fund 16,771,235 shares (cost: $16,771,235) $16,771,235 Templeton Foreign Fund 4,039,463 shares (cost: $38,504,473) $33,850,697 Income Fund of America 1,488,947 shares (cost: $23,178,143) $25,758,789 Fidelity Capital & Income Fund 2,360,964 shares (cost: $22,475,386) $22,216,669 Vanguard Index Trust 500 Portfolio 613,345 shares (cost: $42,522,721) PIMCO Total Return Fund 1,152,063 shares (cost: $11,921,823) Brandywine Blue Fund 225,804 shares (cost: $6,101,144) ICM Small Company Portfolio 59,669 shares (cost: $1,552,157) Vanguard Fixed Income Long-Term Corporate Portfolio 1,244,394 shares (cost: $10,981,727) ----------------------------------------------------------------------- 16,771,235 33,850,697 25,758,789 22,216,669 Cash and short-term investments - (13,987) 4,030 - Interest and dividends receivable 70,775 - - - Participant loans - - - - Other receivables - 13,959 1,240 4,896 Net Inter-fund transfers (payable) receivable 234,472 6,296 (11,016) (40,577) ----------------------------------------------------------------------- Total assets 17,076,482 33,856,965 25,753,043 22,180,988 LIABILITIES Accrued liabilities 7,799 15,337 13,960 9,051 Other liabilities 101,687 - - 4,889 ----------------------------------------------------------------------- Total liabilities 109,486 15,337 13,960 13,940 ----------------------------------------------------------------------- Net assets available for plan benefits $16,966,996 $33,841,628 $25,739,083 $22,167,048 ======================================================================= ------------------------------------------------------------------- VANGUARD PIMCO ICM INDEX TOTAL BRANDYWINE SMALL TRUST 500 RETURN BLUE COMPANY PORTFOLIO FUND FUND PORTFOLIO ------------------------------------------------------------------- ASSETS Institutional Contracts (at cost plus interest) Investments at fair value: American Express Company Common Stock Fund 419,796 shares (cost: $11,517,390) Lehman Brothers Holdings Inc. Common Stock Fund 762,688 shares (cost: $20,393,942) American Century Ultra Investors Fund 2,524,064 shares (cost: $64,399,562) Prime Value Obligations Fund 16,771,235 shares (cost: $16,771,235) Templeton Foreign Fund 4,039,463 shares (cost: $38,504,473) Income Fund of America 1,488,947 shares (cost: $23,178,143) Fidelity Capital & Income Fund 2,360,964 shares (cost: $22,475,386) Vanguard Index Trust 500 Portfolio 613,345 shares (cost: $42,522,721) $70,031,696 PIMCO Total Return Fund 1,152,063 shares (cost: $11,921,823) $12,142,743 Brandywine Blue Fund 225,804 shares (cost: $6,101,144) $5,755,751 ICM Small Company Portfolio 59,669 shares (cost: $1,552,157) $1,420,115 Vanguard Fixed Income Long-Term Corporate Portfolio 1,244,394 shares (cost: $10,981,727) ------------------------------------------------------------------- 70,031,696 12,142,743 5,755,751 1,420,115 Cash and short-term investments 15,248 414 - - Interest and dividends receivable - - 4 - Participant loans - - - - Other receivables 35,033 - - - Net Inter-fund transfers (payable) receivable 315,186 30,684 (13,385) 209,665 ------------------------------------------------------------------- Total assets 70,397,163 12,173,841 5,742,370 1,629,780 LIABILITIES Accrued liabilities 34,756 5,326 1,105 151 Other liabilities - 256 995 966 ------------------------------------------------------------------- Total liabilities 34,756 5,582 2,100 1,117 ------------------------------------------------------------------- Net assets available for plan benefits $70,362,407 $12,168,259 $5,740,270 $1,628,663 =================================================================== ------------------------------------------------------- VANGUARD FIXED INCOME LONG TERM LOAN CORPORATE ACCOUNT PORTFOLIO TOTAL ------------------------------------------------------- ASSETS Institutional Contracts (at cost plus interest) $107,798,944 Investments at fair value: American Express Company Common Stock Fund 419,796 shares (cost: $11,517,390) 43,999,868 Lehman Brothers Holdings Inc. Common Stock Fund 762,688 shares (cost: $20,393,942) 33,033,924 American Century Ultra Investors Fund 2,524,064 shares (cost: $64,399,562) 83,925,129 Prime Value Obligations Fund 16,771,235 shares (cost: $16,771,235) 16,771,235 Templeton Foreign Fund 4,039,463 shares (cost: $38,504,473) 33,850,697 Income Fund of America 1,488,947 shares (cost: $23,178,143) 25,758,789 Fidelity Capital & Income Fund 2,360,964 shares (cost: $22,475,386) 22,216,669 Vanguard Index Trust 500 Portfolio 613,345 shares (cost: $42,522,721) 70,031,696 PIMCO Total Return Fund 1,152,063 shares (cost: $11,921,823) 12,142,743 Brandywine Blue Fund 225,804 shares (cost: $6,101,144) 5,755,751 ICM Small Company Portfolio 59,669 shares (cost: $1,552,157) 1,420,115 Vanguard Fixed Income Long-Term Corporate Portfolio 1,244,394 shares (cost: $10,981,727) $11,722,187 11,722,187 ------------------------------------------------------- - 11,722,187 468,427,747 Cash and short-term investments - - 5,635,602 Interest and dividends receivable - - 80,906 Participant loans 3,976,563 - 3,976,563 Other receivables - 1,798 221,325 Net Inter-fund transfers (payable) receivable - 11,869 - ------------------------------------------------------- Total assets 3,976,563 11,735,854 478,342,143 LIABILITIES Accrued liabilities - 4,469 205,069 Other liabilities - - 108,793 ------------------------------------------------------- Total liabilities - 4,469 313,862 ------------------------------------------------------- Net assets available for plan benefits $3,976,563 $11,731,385 $478,028,281 =======================================================
SEE ACCOMPANYING NOTES. 3 Lehman Brothers Holdings Inc. Tax Deferred Savings Plan Statement of Changes in Net Assets Available for Plan Benefits, With Fund Information Year ended December 30, 1999 Investment Funds
----------------------------------------------------------------------------------------------- AMERICAN LEHMAN EXPRESS BROTHERS AMERICAN SHORT COMPANY HOLDINGS CENTURY PRIME TERM FIXED COMMON INC. COMMON ULTRA VALUE TEMPLETON INTEREST INCOME STOCK STOCK INVESTORS OBLIGATIONS FOREIGN FUND FUND FUND FUND FUND FUND FUND ----------------------------------------------------------------------------------------------- Investment income: Interest and dividends $ 29,483 $7,135,088 $ 361,129 $ 285,347 $ 127 $ 826,296 $1,168,780 Net realized and unrealized appreciation/(depreciation) in fair value of investments - 68 22,398,899 30,092,679 33,700,496 - 11,872,485 ----------------------------------------------------------------------------------------------- 29,483 7,135,156 22,760,028 30,378,026 33,700,623 826,296 13,041,265 Contributions: Employer - - - 2,045,136 - - - Participants - 2,632,205 - 3,503,589 6,933,252 1,083,198 3,371,556 Rollovers - 134,618 87,691 264,463 824,319 69,537 231,836 ----------------------------------------------------------------------------------------------- - 2,766,823 87,691 5,813,188 7,757,571 1,152,735 3,603,392 Net inter-fund transfers (out) in - (8,716,108) (2,171,788) (5,973,199) (3,068,942) (2,091,355) (3,719,189) Administrative fees 50 (48,489) (18,036) (22,666) (24,303) (3,441) (9,966) Participant withdrawals - (9,728,070) (1,808,010) (2,345,345) (7,701,429) (1,584,333) (3,584,168) ----------------------------------------------------------------------------------------------- 50 (18,492,667) (3,997,834) (8,341,210) (10,794,674) (3,679,129) (7,313,323) ----------------------------------------------------------------------------------------------- Net increase (decrease) 29,533 (8,590,688) 18,849,885 27,850,004 30,663,520 (1,700,098) 9,331,334 Net assets available for plan benefits, beginning of year 372,880 110,530,829 43,977,472 34,986,980 83,837,818 16,966,996 33,841,628 =============================================================================================== Net assets available for plan benefits, end of year $402,413 $101,940,141 $62,827,357 $62,836,984 $114,501,338 $15,266,898 $43,172,962 =============================================================================================== -------------------------------------------------------------------------------------- FIDELITY VANGUARD PIMCO ICM INCOME CAPITAL & INDEX TOTAL BRANDYWINE SMALL FUND OF INCOME TRUST 500 RETURN BLUE COMPANY AMERICA FUND PORTFOLIO FUND FUND PORTFOLIO -------------------------------------------------------------------------------------- Investment income: Interest and dividends $1,193,745 $2,418,513 $ 924,551 $ 810,943 $ 59 $ 24,904 Net realized and unrealized appreciation/(depreciation) in fair value of investments (865,543) 625,515 14,029,190 (754,280) 2,465,556 9,767 -------------------------------------------------------------------------------------- 328,202 3,044,028 14,953,741 56,663 2,465,615 34,671 Contributions: Employer - - - - - - Participants 1,569,605 2,296,014 9,235,609 932,072 1,122,659 513,133 Rollovers 127,467 355,640 3,151,953 82,658 78,487 207,874 -------------------------------------------------------------------------------------- 1,697,072 2,651,654 12,387,562 1,014,730 1,201,146 721,007 Net inter-fund transfers (out) in (5,374,824) (4,037,571) (3,770,960) (243,701) (1,062,582) 89,160 Administrative fees (5,497) (6,561) (25,624) (3,292) (2,449) (898) Participant withdrawals (2,178,477) (1,608,353) (7,939,771) (771,097) (653,579) (157,647) -------------------------------------------------------------------------------------- (7,558,798) (5,652,485) (11,736,355) (1,018,090) (1,718,610) (69,385) -------------------------------------------------------------------------------------- Net increase (decrease) (5,533,524) 43,197 15,604,948 53,303 1,948,151 686,293 Net assets available for plan benefits, beginning of year 25,739,083 22,167,048 70,362,407 12,168,259 5,740,270 1,628,663 ====================================================================================== Net assets available for plan benefits, end of year $20,205,559 $22,210,245 $85,967,355 $12,221,562 $7,688,421 $2,314,956 ====================================================================================== ----------------------------------------------------- VANGUARD FIXED INCOME 10 LONG TERM UNCOMMON LOAN CORPORATE VALUE ACCOUNT PORTFOLIO FUND TOTAL -------------------------------------------------------- Investment income: Interest and dividends $ 384,804 $ 818,392 $ 2,429 $ 16,384,590 Net realized and unrealized appreciation/(depreciation) in fair value of investments - (1,497,102) 7,562,374 119,640,104 -------------------------------------------------------- 384,804 (678,710) 7,564,803 136,024,694 Contributions: Employer - - - 2,045,136 Participants - 1,022,753 - 34,215,645 Rollovers - 111,677 - 5,728,220 -------------------------------------------------------- - 1,134,430 - 41,989,001 Net inter-fund transfers (out) in 840,328 (503,409) 39,804,140 - Administrative fees - (3,088) (9,193) (183,453) Participant withdrawals (118,858) (550,133) (56,462) (40,785,732) -------------------------------------------------------- 721,470 (1,056,630) 39,738,485 (40,969,185) -------------------------------------------------------- Net increase (decrease) 1,106,274 (600,910) 47,303,288 137,044,510 Net assets available for plan benefits, beginning of year 3,976,563 11,731,385 - 478,028,281 ======================================================== Net assets available for plan benefits, end of year $5,082,837 $11,130,475 $47,303,288 $615,072,791 ========================================================
SEE ACCOMPANYING NOTES. 4 Lehman Brothers Holdings Inc. Tax Deferred Savings Plan Statement of Changes in Net Assets Available for Plan Benefits, With Fund Information Year ended December 30, 1998 Investment Funds
------------------------------------------------------------------------------------------------------- LEHMAN BROTHERS SHORT AMERICAN EXPRESS HOLDINGS INC. AMERICAN CENTURY TERM FIXED COMPANY COMMON COMMON ULTRA INTEREST INCOME STOCK STOCK INVESTORS FUND FUND FUND FUND FUND ----------------------------------------------------------------------------------------- Investment income: Interest and dividends $ 29,251 $ 7,590,053 $ 283,510 $ 225,844 $ (39) Net realized and unrealized appreciation/(depreciation) in fair value of investments - - 6,180,264 (4,770,276) 21,856,734 ----------------------------------------------------------------------------------------- 29,251 7,590,053 6,463,774 (4,544,432) 21,856,695 Contributions: Employer - - - 2,077,735 - Participants - 2,821,357 - 3,190,813 6,466,345 Rollovers - 388,080 - 590,184 544,803 ----------------------------------------------------------------------------------------- - 3,209,437 - 5,858,732 7,011,148 Net inter-fund transfers (out) in - (4,127,748) (1,439,591) (1,068,932) (2,758,482) Administrative fees 50 (104,062) (29,277) (32,548) (49,935) Participant withdrawals - (14,846,816) (2,064,178) (2,346,102) (5,634,191) Transfer (to) from other plan - - 2,427,416 228,200 - ----------------------------------------------------------------------------------------- 50 (19,078,626) (1,105,630) (3,219,382) (8,442,608) ----------------------------------------------------------------------------------------- Net increase (decrease) 29,301 (8,279,136) 5,358,144 (1,905,082) 20,425,235 Net assets available for plan benefits, beginning of year 343,579 118,809,965 38,619,328 36,892,062 63,412,583 ----------------------------------------------------------------------------------------- Net assets available for plan benefits, end of year $ 372,880 $ 110,530,829 $ 43,977,472 $ 34,986,980 $ 83,837,818 ========================================================================================= ------------------------------------------------------------------- PRIME FIDELITY VALUE TEMPLETON INCOME CAPITAL & INCOME OBLIGATIONS FOREIGN FUND OF AMERICA FUND FUND FUND ------------------------------------------------------------------- Investment income: Interest and dividends $ 899,433 $ 954,383 $ 1,214,108 $ 1,756,813 Net realized and unrealized appreciation/(depreciation) in fair value of investments - (2,825,659) 1,037,865 (756,739) ------------------------------------------------------------------- 899,433 (1,871,276) 2,251,973 1,000,074 Contributions: Employer - - - - Participants 1,105,194 4,024,880 1,669,221 2,419,907 Rollovers 60,372 325,635 369,239 304,872 ------------------------------------------------------------------- 1,165,566 4,350,515 2,038,460 2,724,779 Net inter-fund transfers (out) in 2,045,683 (2,718,360) (526,918) (408,145) Administrative fees (10,766) (24,292) (17,114) (15,087) Participant withdrawals (3,633,097) (2,540,965) (1,962,083) (1,712,724) Transfer (to) from other plan 256,418 - - - ------------------------------------------------------------------- (1,341,762) (5,283,617) (2,506,115) (2,135,956) ------------------------------------------------------------------- Net increase (decrease) 723,237 (2,804,378) 1,784,318 1,588,897 Net assets available for plan benefits, beginning of year 16,243,759 36,646,006 23,954,765 20,578,151 ------------------------------------------------------------------- Net assets available for plan benefits, end of year $ 16,966,996 $ 33,841,628 $ 25,739,083 $ 22,167,048 =================================================================== ----------------------------------------------------------------------------- PIMCO ICM VANGUARD INDEX TOTAL BRANDYWINE SMALL TRUST 500 RETURN BLUE COMPANY PORTFOLIO FUND FUND PORTFOLIO ----------------------------------------------------------------------------- Investment income: Interest and dividends $ 782,231 $ 838,317 $ 45,112 $ 7,691 Net realized and unrealized appreciation/(depreciation) in fair value of investments 14,171,726 255,730 (192,747) (66,953) ----------------------------------------------------------------------------- 14,953,957 1,094,047 (147,635) (59,262) Contributions: Employer - - - - Participants 7,436,154 788,415 1,078,208 92,815 Rollovers 1,713,908 200,346 345,775 74,808 ----------------------------------------------------------------------------- 9,150,062 988,761 1,423,983 167,623 Net inter-fund transfers (out) in 3,884,540 106,457 982,606 1,522,619 Administrative fees (41,207) (7,778) (3,983) (446) Participant withdrawals (4,624,071) (748,714) (182,183) (1,871) Transfer (to) from other plan - - - - ----------------------------------------------------------------------------- (780,738) (650,035) 796,440 1,520,302 ----------------------------------------------------------------------------- Net increase (decrease) 23,323,281 1,432,773 2,072,788 1,628,663 Net assets available for plan benefits, beginning of year 47,039,126 10,735,486 3,667,482 - ----------------------------------------------------------------------------- Net assets available for plan benefits, end of year $ 70,362,407 $ 12,168,259 $ 5,740,270 $ 1,628,663 ============================================================================= ------------------------------------------------------- VANGUARD FIXED INCOME LONG LOAN TERM CORPORATE ACCOUNT PORTFOLIO TOTAL ------------------------------------------------------- Investment income: Interest and dividends $ 136,113 $ 693,039 $ 15,455,859 Net realized and unrealized appreciation/(depreciation) in fair value of investments - 301,110 35,191,055 ------------------------------------------------------- 136,113 994,149 50,646,914 Contributions: Employer - - 2,077,735 Participants - 859,368 31,952,677 Rollovers - 169,730 5,087,752 ------------------------------------------------------- - 1,029,098 39,118,164 Net inter-fund transfers (out) in 3,897,432 608,839 - Administrative fees - (7,716) (344,161) Participant withdrawals (56,982) (1,095,197) (41,449,174) Transfer (to) from other plan - - 2,912,034 ------------------------------------------------------- 3,840,450 (494,074) (38,881,301) ------------------------------------------------------- Net increase (decrease) 3,976,563 1,529,173 50,883,777 Net assets available for plan benefits, beginning of year - 10,202,212 427,144,504 ------------------------------------------------------- Net assets available for plan benefits, end of year $ 3,976,563 $ 11,731,385 $ 478,028,281 =======================================================
SEE ACCOMPANYING NOTES 5 Lehman Brothers Holdings Inc. Tax Deferred Savings Plan Notes to Financial Statements December 30, 1999 1. DESCRIPTION OF THE PLAN GENERAL The Lehman Brothers Holdings Inc. Tax Deferred Savings Plan (the "Plan") is a defined contribution plan. The Plan became effective January 1, 1984, was amended and restated effective January 1, 1989 and was subsequently amended through November 15, 1998. Under the terms of the Plan, qualified employees of Lehman Brothers Holdings Inc. ("Lehman") and its participating subsidiaries (collectively, the "Company") are eligible to become Plan participants as soon as administratively possible upon employment. Prior to July 1, 1995, there was a 12-month service requirement for plan participants. The Plan is subject to the provisions of ERISA. A complete description of the Plan is contained in the Plan document available to all participants from the Plan Administrator. CONTRIBUTIONS Upon enrollment, a participant may elect to contribute, on a pre-tax basis, between one and fifteen percent of the participant's annual compensation, as defined in the Plan document. The Company may make a contribution, in Company stock or cash, on behalf of eligible participants who have completed 12 months of service and are employees on the last day of the Plan year. The amount of the contribution, if any, will be determined by the Company's Board of Directors. If a Company contribution is made it will be allocated as follows: 1. Participants whose compensation is below $37,800 per year and are not Investment Representatives, Investment Representative Trainees, Branch Managers, or Institutional Salespeople will receive a Company contribution of $400 plus a matching contribution of 100 percent of the first $600 of the employee's Before-Tax contributions. 6 Lehman Brothers Holdings Inc. Tax Deferred Savings Plan Notes to Financial Statements (continued) 1. DESCRIPTION OF THE PLAN (CONTINUED) 2. Participants whose compensation is between $37,800 and $100,000 per year will receive a matching contribution of up to 100 percent of the first $1,000 of the employee's Before-Tax contributions. Company contributions to participants whose compensation is between $37,800 and $100,000 per year will be made only if there are funds remaining after contributions are made for participants making less than $37,800 per year. 3. Company contributions will not be made for participants whose compensation exceeds $100,000 per year. In 1999 and 1998, Company contributions were made in cash. Boston Safe Deposit & Trust Company ("Boston Safe"), the Plan's custodian, used cash to purchase the Company's common stock. A participant's Before-Tax Contributions will not be subject to tax until distribution. The Internal Revenue Code of 1986, as amended (the "Code"), provides that Before-Tax Contributions (and any elective deferrals to other plans containing a cash or deferred arrangement) will be included in a participant's gross income to the extent such contributions exceed the statutory limitation, which is indexed for inflation. The maximum limitation amount was $10,000 for 1999 and 1998. The Company's contributions on behalf of a participant, as well as the income and appreciation on amounts invested in the investment funds offered under the Plan, are not includable in the participant's taxable income until distributed. Rollover contributions arise from contributions to the Plan of certain assets previously held on behalf of participants by other qualified plans. 7 Lehman Brothers Holdings Inc. Tax Deferred Savings Plan Notes to Financial Statements (continued) 1. DESCRIPTION OF THE PLAN (CONTINUED) VALUATION OF PARTICIPANT ACCOUNTS Separate accounts are maintained for each participant whereby the participant's account is credited for contributions and investment income and credited or charged, as appropriate, for investment appreciation or depreciation. Participant accounts are charged for withdrawals. The periodic allocation of investment income and investment appreciation or depreciation is based upon the participant's beneficial interest in each of the investment funds at the valuation date. INVESTMENTS Participants' contributions can be invested in any of the funds listed below. Investments of contributions among the investment funds can be made in increments of 10%, with a maximum of 50% of contributions permitted to be invested in the Lehman Brothers Holdings Inc. Common Stock Fund. Participants can elect to change their contribution rate and investment direction of new contributions on a monthly basis. Participants may also elect to transfer existing fund balances among the investment funds, generally on a monthly basis. The following is a general description of each investment fund in which the Plan invested, as directed by participants: 8 Lehman Brothers Holdings Inc. Tax Deferred Savings Plan Notes to Financial Statements (continued) 1. DESCRIPTION OF THE PLAN (CONTINUED) FIXED INCOME FUND: This fund invests its assets with one or more insurance companies or financial institutions (collectively, "institutions") which issue contracts ("contracts") providing for the repayment of principal with a specified annual rate of interest for a specified period. The fund is currently invested in contracts negotiated with the following institutions:
CARRYING VALUE AT MATURITY INTEREST DECEMBER 30 DATE RATE (%) 1999 1998 ------------------------------------------------ Metropolitan Life Insurance Co. Contract #24565 06/30/99 7.30 $ - $5,976,916 Contract #13955 06/15/99 8.25 - 6,697,411 Allstate Life Insurance Company Contract #GICGA5584 12/15/00 7.30 10,841,725 15,082,111 Contract #GICGA5806 07/05/00 6.81 5,412,558 7,564,002 Prudential Asset Management Group Contract #7430-211 12/15/99 6.52 - 10,363,944 American International Life Assurance Company of New York Contract #18180T 6/15/00 5.45 9,421,075 8,934,160 People's Security Insurance Co. Contract #BDA00473FR 08/15/01 8.20 14,860,342 13,734,267 Contract #BDA00568FR 12/15/01 6.85 12,783,173 11,963,674 The Principal Financial Group Contract #4-08804-01 12/15/00 6.15 4,529,461 4,267,388 Contract #4-08804-02 12/15/02 6.40 11,999,361 11,277,600 New York Life Insurance Company Contract #30727 6/14/02 6.52 3,627,452 3,405,565 Transamerica Life Insurance Company Contract #51499 12/15/02 6.02 3,646,384 3,439,335 Travelers Life Insurance Company Contract #GA16953 12/15/02 6.02 5,399,146 5,092,571 Bank of America Contract #99-238 11/15/04 6.20 2,958,350 - ------------------------------ $85,479,027 $107,798,944 ==============================
9 Lehman Brothers Holdings Inc. Tax Deferred Savings Plan Notes to Financial Statements (continued) 1. DESCRIPTION OF THE PLAN (CONTINUED) The carrying value of the contracts approximates their fair value as of December 30, 1999 and 1998. Carrying Value was estimated using an analysis based on the Plan's current investment rate for a similar contract. AMERICAN EXPRESS COMPANY COMMON STOCK FUND: This fund invests solely in the common stock of American Express. As of May 31, 1994, this fund has been closed to any new contributions, dividend reinvestments, or transfers in from other funds. LEHMAN BROTHERS HOLDINGS INC. COMMON STOCK FUND: This fund invests solely in the common stock of the Company. AMERICAN CENTURY ULTRA INVESTORS FUND: The primary objective of this fund is to provide a high level of capital appreciation by investing primarily in medium and large-sized companies with above average growth potential. PRIME VALUE OBLIGATIONS FUND: The objective of this short-term, fixed income money market fund is to provide current income and stability of principal. TEMPLETON FOREIGN FUND: The primary objective of this fund is to provide long-term growth of capital by investing primarily in securities of companies located outside the United States. INCOME FUND OF AMERICA: This fund's objective is to provide current income by investing in debt securities and capital appreciation by investing in equity securities. FIDELITY CAPITAL & INCOME FUND: The primary objective of this fund is to provide a high total return of capital growth and income. The fund invests primarily in lower rated debt securities and securities of companies with uncertain financial position. 10 Lehman Brothers Holdings Inc. Tax Deferred Savings Plan Notes to Financial Statements (continued) 1. DESCRIPTION OF THE PLAN (CONTINUED) VANGUARD INDEX TRUST 500 PORTFOLIO/S&P 500 INDEX FUND: This equity fund's objective is to replicate the investment performance of the Standard & Poor's 500 Index. PIMCO TOTAL RETURN FUND: This fund is an intermediate term, fixed income fund whose objective is to provide a high level of current income with reasonable risk by investing in a diversified portfolio of fixed income securities of varying maturities. BRANDYWINE BLUE FUND: This fund invests in high quality blue chip stocks with the objective of providing long-term growth. VANGUARD FIXED INCOME LONG-TERM CORPORATE PORTFOLIO: This fund invests in a diversified portfolio of long-term corporate and government bonds with the objective of providing a high level of current income. ICM SMALL COMPANY PORTFOLIO: This fund invests in common stock of smaller companies in terms of revenue and assets and more, importantly, in terms of market capitalization with the objective of providing maximum long-term total return. This fund was added as an investment option to the Plan on June 1, 1998. 10 UNCOMMON VALUES FUND: This fund is a unit investment trust comprised of ten stocks chosen on or about July 1 of each year by the Lehman Brothers Investment Policy Committee. Its objective is to outperform the S&P 500 over the 12-month period. This fund was added as an investment option to the Plan on July 2, 1999. In addition to the funds described above, a short-term interest fund provides overnight investments in money market funds of Boston Safe for temporarily invested cash. While cash for withdrawals is disbursed from this fund, withdrawals are recorded in the investment fund from which the participant withdrew. 11 Lehman Brothers Holdings Inc. Tax Deferred Savings Plan Notes to Financial Statements (continued) 1. DESCRIPTION OF THE PLAN (CONTINUED) INVESTMENTS IN EXCESS OF 5% OF NET ASSETS AVAILABLE FOR PLAN BENEFITS The following is a schedule of investments held in excess of 5% of the net assets available for plan benefits at the end of 1999:
MARKET VALUE NUMBER AT DECEMBER FUNDS OF SHARES 30, 1999 ----- ----------------------------- American Express Company common stock 379,391 $ 62,884,140 Lehman Brothers Holdings Inc. common stock 723,402 61,402,505 American Century Ultra Investors Fund 2,518,910 114,308,128 Templeton Foreign Fund 3,834,248 42,905,230 Vanguard Index Trust 500 Portfolio 641,283 85,662,574 10 Uncommon Values Fund 4,105,603 47,434,807
BENEFITS A participant may elect, after attaining the age of 59-1/2, to withdraw all or any portion of the value of his accounts, provided that each withdrawal is at least $1,000 (or is 100% of the value of his account if less than $1,000). Withdrawals by participants before the age of 59-1/2 are permitted of before-tax contributions and pre-1989 earnings thereon, only after meeting specified financial hardship criteria and after obtaining approval by the Employee Benefit Plans Committee of the Company. A participant can elect to withdraw all or a part of their rollover contribution made to the Plan. Prior to 1999, such a withdrawal must have been at least $1,000 (or 100% of the value of his account if less) and was allowed only once during any consecutive 12-month period. 12 Lehman Brothers Holdings Inc. Tax Deferred Savings Plan Notes to Financial Statements (continued) 1. DESCRIPTION OF THE PLAN (CONTINUED) Although hardship and rollover withdrawals are allowed, a participant may be subject to an additional 10% tax imposed by the Code. If a participant's employment with the Company terminates for a reason other than death, for distributions before age 591/2 the balance in the participant's account is paid to the participant in a lump-sum payment. However, if the balance in his account exceeds $5,000, payment will not be made before age 65 without the participant's consent. Upon death of the participant, the balance in the participant's account is paid to the designated beneficiary (as provided by the Plan) in a lump-sum payment. BENEFITS PAYABLE Benefits payable to those participants who have elected to receive a distribution (or be paid automatically as described above) from the Plan but have not yet been paid was $7,166,446 and $5,319,943 in 1999 and 1998, respectively. VESTING Plan participants are 100 percent vested in all amounts in their respective Plan accounts. INCOME TAX STATUS The Plan received a determination letter from the Internal Revenue Service ("IRS") dated February 14, 1995, stating that the Plan is qualified under Section 401(a) of the Internal Revenue Code ("Code") and, therefore, the related trust is exempt from taxation. The Plan has been amended subsequent to the receipt of the determination letter. The Employee Benefit Plans Committee intends to apply for a new determination letter from the IRS. Once qualified, the Plan is required to operate in conformity with the Code to maintain its qualification. The Employee Benefit Plans Committee believes the Plan is being operated in compliance with the applicable requirements of the Code and, therefore, believes that the Plan is qualified and the related trust is tax exempt. 13 1. DESCRIPTION OF THE PLAN (CONTINUED) PARTICIPANT LOANS RECEIVABLE Participants may borrow from their plan accounts a minimum of $1,000 up to a maximum of $50,000 or 50% of their vested account balance, whichever is less. Loan transactions are treated as a transfer from (to) the investment fund to (from) the loan account. Loan terms range from 1 year to 5 years or up to 10 years for the purchase of a primary residence as long as documentation is provided. The loans are secured by one half of the balance in the participant's accounts and bear interest at the rate of prime plus one. Principal and interest are paid ratably through biweekly or monthly payroll deductions, depending on the frequency with which the employee is paid. Participants who terminate with outstanding loan balances have until the end of the quarter following the quarter in which they terminate to pay the balance of their loan in full, in one lump sum payment. Loans not repaid in that timeframe will be reported as taxable distributions. Outstanding loan balances will also be treated as taxable distributions for those participants who request a distribution of their account prior to repaying their loan. For the year ended December 30, 1999, $118,858 in outstanding loan balances was reclassified as taxable distributions. 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES VALUATION OF INVESTMENTS Investments in mutual funds are valued at the quoted redemption prices on the last business day of the Plan year; investments in the common stock of American Express and the Company are valued at the quoted market price on the last business day of the Plan year; short-term investments and deposits with insurance companies in connection with contracts are valued at cost plus accrued interest, which approximates fair value. Purchase and sales of securities are reflected on a trade-date basis. 14 1. DESCRIPTION OF THE PLAN (CONTINUED) OTHER Dividend income is recorded on the ex-dividend date. Income from other investments is recorded on the accrual basis. USE OF ESTIMATES The preparation of financial statements in accordance with accounting principles generally accepted in the United States requires the use of estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results may differ from those estimates. 3. ADMINISTRATIVE FEES Except to the extent paid by the Company, all expenses of the Plan are paid by the Plan. In 1999 and 1998, the Plan was charged $183,453 and $344,161 for administrative expenses incurred during the respective years. The Company paid all expenses not directly relating to the administration of the Plan. 4. PLAN TERMINATION While it has not expressed any intent to do so, the Company has the right to terminate the Plan at any time subject to the provisions set forth in ERISA and the Code. 5. TRANSFER FROM OTHER PLAN On December 1, 1998, a transfer was made from the Lehman Brothers Holdings Inc. Employee Stock Ownership Plan upon its termination for participants who elected to transfer their account balances in the amount of $2,912,034. 24,259 shares of American Express common shares valued at $2,427,416, 4,564 shares of Lehman Brothers Holdings common shares valued at $228,200, and $256,418 in cash were transferred into the Plan on behalf of these participants. 15 SIGNATURE Pursuant to the requirements of the Securities and Exchange Act of 1934, the Lehman Brothers Holdings Inc. Employee Benefit Plans Committee has duly caused this annual report to be signed on its behalf by the undersigned hereunto duly authorized. LEHMAN BROTEHRS HOLDINGS INC. TAX DEFERRED SAVINGS PLAN By: /s/ Wendy McKinley ------------------------------- Wendy McKinley Lehman Brothers Holdings Inc. Employee Benefit Plans Committee June 28, 2000 Supplemental Information SCHEDULE I Lehman Brothers Holdings Inc. Tax Deferred Savings Plan Line 27a--Schedule of Investments Held Plan No. 003 Employer Identification No. 13-3216325 December 30, 1999
PAR VALUE/ CURRENT VALUE COST AT NUMBER OF AT DECEMBER DECEMBER SHARES 30, 1999 30, 1999 ------------- --------------- -------------- CONTRACTS ISSUED BY INSTITUTIONS Allstate Life Insurance Co Contract #GICA5584 10,841,725 $10,841,725 $10,841,725 Contract #GICA5806 5,412,558 5,412,558 5,412,558 American International Life Assurance Company of New York Contract #18180T 9,421,075 9,421,075 9,421,075 People's Security Insurance Co. Contract #BDA00473FR 14,860,342 14,860,342 14,860,342 Contract #BDA00568FR 12,783,173 12,783,173 12,783,173 The Principal Financial Group Contract #4-08804-01 4,529,461 4,529,461 4,529,461 Contract #4-08804-02 11,999,361 11,999,361 11,999,361 New York Life Insurance Co. Contract #30727 3,627,452 3,627,452 3,627,452 TransAmerica Life Insurance Co. Contract #51499 3,646,384 3,646,384 3,646,384 Travelers Life Insurance Co. Contract #GA16953 5,399,146 5,399,146 5,399,146 Bank of America Contract #99-238 2,958,350 2,958,350 2,958,350 ------------------------------ 85,479,027 85,479,027 STOCK FUNDS American Express Company common stock 379,391 62,884,140 10,473,167 Lehman Brothers Holdings Inc. common stock 723,402 61,402,505 22,135,709 ------------------------------ 124,286,645 32,608,876 MUTUAL FUNDS Twentieth Century Ultra Investors Fund 2,518,910 114,308,128 68,137,838 Prime Value Obligations Fund 15,026,246 15,026,246 15,026,246 Templeton Foreign Fund 3,834,248 42,905,230 36,387,048 Income Fund of America 1,318,711 20,703,763 20,729,446 Fidelity Capital & Income fund 2,400,827 22,231,659 22,915,798 Vanguard Index Trust 500 Portfolio 641,283 85,662,574 77,089,407 PIMCO Total Return Fund 1,223,046 12,144,844 12,629,905 Vanguard Fixed Income Long-Term Corporate Portfolio 1,342,746 10,943,379 11,835,475 ICM Small Company Portfolio Fund 105,537 2,159,290 2,555,269 Brandywine Blue Fund 204,127 7,317,965 5,664,640 10 Uncommon Values Fund 4,105,603 47,434,807 39,886,634 ------------------------------ 380,837,885 312,857,706 LOAN ACCOUNT 5,084,521 - ------------------------------ TOTAL INVESTMENTS $595,688,078 $430,945,609 ==============================
16 SCHEDULE II Lehman Brothers Holdings Inc. Tax Deferred Savings Plan Line 27d--Schedule of Reportable Transactions Plan No. 003 Employer Identification No. 13-3216325 Year ended December 30, 1999
CURRENT VALUE OF ASSET ON IDENTITY OF PARTY INVOLVED AND PURCHASE SALES COST OF TRANSACTION NET GAIN DESCRIPTION OF ASSETS PRICE PRICE ASSETS DATE (LOSS) - --------------------------------------------------------------------------------------------------------- CATEGORY (I)--SINGLE TRANSACTION IN EXCESS OF 5% OF PLAN ASSETS Vanguard Institutional Index Fund $75,529,048 $75,529,048 Vanguard Index Trust 500 Portfolio $75,529,048 $48,407,509 75,529,048 $27,121,539 10 Uncommon Value Fund 24,010,012 24,010,012 CATEGORY (III)--SERIES OF TRANSACTIONS IN EXCESS OF 5% OF PLAN ASSETS American Century Ultra Investors Fund 12,698,093 12,698,093 American Century Ultra Investors Fund 12,665,309 8,961,478 12,665,309 3,703,831 Vanguard Index Trust 500 Portfolio 92,831,698 92,831,698 Vanguard Index Trust 500 Portfolio 90,571,009 58,249,764 90,571,009 32,321,245 10 Uncommon Value Fund 40,211,441 40,211,441 10 Uncommon Value Fund 339,729 324,807 339,729 14,922
THERE WERE NO CATEGORY (II), OR (IV) TRANSACTIONS DURING THE YEAR ENDED DECEMBER 30, 1999. 17 EXHIBIT INDEX EXHIBIT NO. DESCRIPTION - ----------- ----------- (23) Consent of Experts EX-23 2 ex-23.txt EXHIBIT 23 CONSENT OF INDEPENDENT AUDITORS We consent to the incorporation by reference in the Registration Statement of Lehman Brothers Holdings Inc. (Form S-8, File No. 33-53923), pertaining to the Lehman Brothers Holdings Inc. Tax Deferred Savings Plan (the "Plan"), of our report dated June 20, 2000, with respect to the financial statements and supplemental schedules of the Plan included in the Plan's Annual Report (Form 11-K) for the year ended December 30, 1999. /s/ ERNST & YOUNG LLP June 27, 2000 -----END PRIVACY-ENHANCED MESSAGE-----