Lehman Unit Sues AmeriCredit Over Interest Rate Swap Deals
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A Lehman Brothers Holdings Inc. unit sued AmeriCredit Financial Services Inc. for breach of contract, alleging it undervalued termination payments for interest rate swap agreements connected to auto-loan securitizations.
Lehman Brothers Special Financing Inc. entered into swap agreements with trusts sponsored in 2005 and 2007 by AmeriCredit that issued $3.85 billion in notes, according to a complaint filed today in federal bankruptcy court in Manhattan. AmeriCredit Financial, a subprime auto lender based in Fort Worth, Texas, was bought by General Motors Co. last year.