Stull, Stull & Brody Announces Class Action on Behalf of Shareholders of Lehman Brothers Holdings Inc.

NEW YORK, NY -- (MARKET WIRE) -- 06/03/08 -- Attorney Advertising. Notice is hereby given that a class action has been commenced in the United States District Court for the Northern District of Illinois on behalf of purchasers of the securities of Lehman Brothers Holdings Inc. ("Lehman" or the "Company") (NYSE: LEH) between September 13, 2006 and July 30, 2007 (the "Class Period").

Stull, Stull & Brody has substantial experience representing employees who suffered losses from purchases of their employer's stock in their 401(k) plans. If you bought Lehman stock through your Lehman retirement account and have information or would like to learn more about these claims, please contact us.

The complaint alleges, inter alia, that Defendants failed to fully disclose the nature and extent of the Company's exposure to losses incurred from trading in subprime mortgage-backed derivatives and that the Company failed to timely writedown its positions in these securities. On July 10, 2007 Lehman Brothers announced that it had "unrealized" losses of $459 million in the quarter ended May 31, 2007 from mortgages and mortgage-backed assets in its inventory. On the same day, it was reported that Standard and Poor's indicated that it may cut ratings on $12 billion of bonds backed by subprime mortgages, a move that would significantly cut into the Company's trading profits, since it is Wall Street's largest underwriter of mortgage bonds. As a result of the news, Lehman Brothers' stock fell $3.76 per share on July 10, 2007 on unusually high trading volume. Throughout the remainder of the Class Period, Lehman Brothers continued to downplay the risks associated with owning these mortgage-backed securities, and the nature and true extent of the Company's exposure to subprime-related assets and financial positions. On July 26, 2007, it was reported by Bloomberg that the risk of owning Lehman Brothers' bonds "soared" and its share price plunged "as concerns escalated that investment banks will be hurt by losses from subprime mortgages and corporate debt." The report detailed the soaring cost of credit-default swaps used to bet on Lehman Brothers' creditworthiness, signaling a significant deterioration in investor confidence. On this news, Lehman Brothers' shares fell an additional $3.16 per share on July 26, 2007, again on unusually heavy trading volume. Finally, on July 31, 2007, Bloomberg reported that "...Lehman Brothers (is) as good as junk" because the prices of credit-default swaps for the Company equated to a Ba 1 rating, implying that the Company's credit ratings were below investment grade. On this news, the Company's shares fell an additional $2.80 on heavy trading volume.

Plaintiff seeks to recover damages on behalf of all those who purchased or otherwise acquired Lehman's publicly traded securities during the Class Period, which is between September 13, 2006 and July 30, 2007. If you purchased or otherwise acquired Lehman's publicly traded securities during the Class Period, and either lost money on the transaction or still hold the securities, you may wish to join in the action to serve as lead plaintiff. If you purchased Lehman's publicly traded securities during the Class Period, you may request that the Court appoint you as lead plaintiff no later than June 30, 2008.

A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member's claim is typical of the claims of other class members, and that the class member will adequately represent the class. Under certain circumstances, one or more class members may together serve as "lead plaintiff." Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. You may retain Stull, Stull & Brody, or other counsel of your choice, to serve as your counsel in this action. Stull, Stull & Brody has litigated many class actions for violations of securities laws in federal courts over the past 30 years and has obtained court approval of substantial settlements on numerous occasions. Stull, Stull & Brody maintains offices in New York and Los Angeles.

If you wish to discuss this action or have any questions concerning this notice or your rights or interests with respect to these matters, please contact Tzivia Brody, Esq. at Stull, Stull & Brody by e-mail at SSBNY@aol.com, by calling toll-free 1-800-337-4983, or by fax at 212/490-2022, or by writing to Stull, Stull & Brody, 6 East 45th Street, New York, NY 10017. You can also visit our website at www.ssbny.com.

Attorney Advertising. Prior Results Do Not Guarantee A Similar Outcome.

Tzivia Brody, Esq Stull, Stull & Brody SSBNY@aol.com Toll-free 1-800-337-4983 Fax 1-212-490-2022 6 East 45th Street New York, NY 10017 www.ssbny.com

2008-06-03 19:44:18 0376793 MARKETWIRE