____________________________________________________________________________________ National Association of Securities Dealers 9509 Key West Avenue Rockville, MD 20850 (800) 289-9999 October 12, 2005 NASD BROKERCHECK RESPONSE TO REQUEST FOR INFORMATION The Board of Governors of the National Association of Securities Dealers, Inc. (NASD) has adopted a public disclosure policy which permits certain types of disciplinary information on NASD member firms and their associated persons to be available to the general public. Section 15A(i) of the Securities Exchange Act of 1934, as amended, requires registered securities associations to respond to inquiries regarding disciplinary actions involving its members and their associated persons. NASD believes that the general public should have access to information which will help them in their determination whether to conduct or continue to conduct business with an NASD member or any of the member's associated persons. In that regard, enclosed please find the information that you have requested. A list of the terms and conditions of NASD BrokerCheck is as follows: NASD BrokerCheck Terms and Conditions 1. NASD collects, compiles, organizes, indexes, digitally converts and maintains regulatory information from registered persons, member firms, government agencies and other sources and maintains information in the proprietary Central Registration Depository ("CRD(r)") database and system. NASD releases such information through NASD BrokerCheck, which provides information from CRD system to the investing public. Your access to NASD BrokerCheck information provided through NASD's CRD database and system does not transfer any rights in CRD, NASD BrokerCheck or related technologies to you. 2. Your use of NASD BrokerCheck information is conditioned upon your acceptance, without modification, of all terms and conditions of this Agreement. Any information accessed, requested or provided through NASD BrokerCheck must be accessed, requested and used in accordance with the terms and conditions specified in this Agreement. NASD reserves any rights not expressly granted under these terms and conditions. Additionally, NASD reserves the right, at its sole discretion, to modify the terms and conditions for use of NASD BrokerCheck information at any time by changing this Agreement, and any changes are effective immediately. Such changes will be posted on the NASD BrokerCheck web site. 3. CRD and NASD BrokerCheck are proprietary databases and employ proprietary software, but NASD makes no exclusive proprietary claim to the information in the NASD BrokerCheck system that is not created by NASD. You are neither restricted nor prohibited by NASD from obtaining a copy of any original filing or information from a non-NASD source. 4. The information provided through NASD BrokerCheck shall be used ONLY for your own personal or professional use, and in accordance with all other terms and conditions of this Agreement: a. to assist you, your clients or your organization in determining whether to conduct or continue to conduct securities or commodities business with NASD member firms or their associated persons; b. to assist you, your clients or your organization in judicial proceedings or arbitration proceedings relating to securities or commodities transactions; or c. for non-commercial purposes consistent with the promotion of just and equitable principles of trade and the protection of investors and the public interest. 5. The information provided to you through NASD BrokerCheck is provided to you ONLY for your own personal or professional use. All other uses are prohibited. You agree that you will not duplicate, download, publish, publicly display, modify or otherwise distribute the information retrieved from NASD BrokerCheck for any purpose other than as expressly permitted by this Agreement. In no event may you offer to others any information retrieved from NASD BrokerCheck for commercial purposes, or as part of a subscription service or similar arrangement. You agree that you will not use the information retrieved from NASD BrokerCheck to develop or create a database of information to be sold, licensed or made otherwise commercially available. You agree that you will not use any process to monitor or copy NASD BrokerCheck information in bulk, or to make voluminous, excessive or repetitive requests for information. You further agree that you will not use any device, software or routine to bypass any software or hardware that prohibits volume requests for information, you will not interfere with or attempt to interfere with the proper working of NASD BrokerCheck, and you will not take any action that imposes an unreasonable or disproportionately large load on NASD BrokerCheck or NASD. 6. All requests for permission to access or use NASD BrokerCheck for uses other than those described in Paragraphs 4 or 5 of this Agreement must be made in writing to NASD clearly stating the purpose and manner in which NASD BrokerCheck is proposed to be used. Requests may be submitted to NASD, NASD BrokerCheck, 9509 Key West Avenue, Rockville, Maryland, 20850. NASD, in its sole discretion, may approve or reject any request that is inconsistent with the terms and conditions of use of NASD BrokerCheck. 7. Provision of information by NASD pursuant to NASD BrokerCheck does not constitute a waiver of any of NASD's rights, privileges, or immunities with respect to the furnishing of disciplinary or registration information. 8. NASD does not charge for this service, which is offered pursuant to NASD's responsibilities as a self-regulatory organization, and, in particular, pursuant to Section 15A(i) of the Securities Exchange Act of 1934. In the provision of this service, NASD makes no warranties of any kind, and disclaims liability to any person for any actions taken or omitted in good faith with respect to this NASD BrokerCheck. NASD is not responsible for and cannot verify information from sources other than NASD, and does not warrant or guarantee the accuracy or completeness of the information requested. Neither NASD nor any affiliate or supplier shall be liable for any cause of action in contract, tort, or otherwise, for more than the incremental telecommunications cost incurred to connect to the service. Notwithstanding the above, neither NASD nor any affiliate or supplier shall be liable for any loss of income, trading loss, or consequential, incidental, or indirect damages, regardless of whether NASD has been informed of the possibility of such damages. 9. Member firms, registered persons, government agencies, and other sources file disclosure information with NASD. Consistent with its responsibilities as a self-regulatory organization, NASD performs a regulatory review of the disclosure information filed before it makes the information available through NASD BrokerCheck. Most disclosure information is available through NASD BrokerCheck within two business days of being filed. In certain limited circumstances, disclosure information may not be available through NASD BrokerCheck within the usual timeframe, but will be made available as soon as practicable. 10. Consistent with policies and procedures approved by the Securities and Exchange Commission (SEC), NASD will disclose information on individuals and brokerage firms, through NASD BrokerCheck, for two years after the termination of the individual's or brokerage firm's NASD registration. Disclosure information reported to NASD after an individual or brokerage firm has terminated may not have been reviewed by the brokerage firm or individual; in addition, brokerage firms and individuals who are no longer registered are not required to independently report such information. 11. NASD BrokerCheck includes only information provided to CRD. In substantially all cases, the information provided through NASD BrokerCheck represents the verbatim record as it was reported to NASD. However, in certain limited circumstances, NASD combined information about a single event that was reported by different sources (e.g., a record reporting information on an event that was submitted by a brokerage firm may contain information reported on the same event that was submitted by a regulator). This condition occurred when the data in the Legacy CRD system was converted (i.e., reformatted and transferred) to Web CRD, the Internet-based Central Registration Depository. This condition affects a small percentage of records reported to NASD prior to August 1999. These converted records contain information that was reported to NASD in accordance with appropriate reporting protocols applicable to the source filers (e.g., brokerage firms and regulators); however, because of the combination of information from different reporting sources, a record disclosed through NASD BrokerCheck may not reflect the actual filing submitted to NASD. 12. The "Individual Broker comments," "Brokerage Firm comments" and "Regulator comments" appear verbatim as they were provided to CRD via Forms U-4, U-5, and U-6. These comments were not written by NASD and have not been edited by NASD in any way. NASD reserves the right to redact customer names, confidential customer information, or offensive or potentially defamatory language from an NASD BrokerCheck Report consistent with policies and procedures approved by the SEC. TC 02.1 General Information About this Report This report has been generated because you have requested information about an NASD Member Firm through NASD BrokerCheck. The information contained within this report has been provided by NASD brokerage firm and securities regulators as part of the securities industry's registration and licensing process. An NASD BrokerCheck report for a Brokerage Firm consists of: 1) a Report Summary; 2) General Administrative Information, which includes the Types of Business the Brokerage Firm is engaged in, the Brokerage Firm's Legal Status, and the Brokerage Firm's Approved Registrations. The report also includes the Brokerage Firm's Disclosure Event information, if any. NASD BrokerCheck discloses the following information on brokerage firms: * the brokerage firm's name, CRD number, SEC identification number, "applicant name" or legal name, NASD district office which oversees the brokerage firm, and the brokerage firm's main and mailing addresses * the types of business in which the brokerage firm is currently engaged * details of the brokerage firm's legal status (i.e, corporation, partnership, etc.), state or country and date of formation, and its fiscal year end * all approved registrations * disclosure matters involving certain criminal charges and convictions, regulatory actions, civil judicial actions, and certain financial actions (e.g., bankruptcies, unsatisfied judgment/liens.) When evaluating this report, please keep in mind that a number of items may involve pending actions or allegations that may be contested and have not been resolved or proven. The items may, in the end, be withdrawn or dismissed, or resolved in favor of the brokerage firm, or concluded through a negotiated settlement with no admission or conclusion of wrongdoing. Also remember that the information in this report is not the only resource you should consult. It is recommended that you learn as much as possible about the brokerage firm from other sources. Ask for references. Ask family members or friends who already have established investment business relationships. Get in touch with local consumer and investors groups. Should you have any questions concerning information contained within this report, call (800) 289-9999 - a toll-free NASD BrokerCheck hot-line operated by NASD - or visit NASD Web Site at www.nasd.com. When calling or visiting the NASD Web Site, the information you will need includes the brokerage firm's name or CRD number. For definition of terms contained within this report or answers to Frequently Asked Questions, visit the Glossary or FAQs sections of NASD BrokerCheck at www.nasd.com. NASD BrokerCheck Report Printing Instructions The report contained below can be printed as is. However, unless the following steps are taken, the report may not print with the headers aligned or the text may run off the page. For the following report to be printed correctly, the following formatting steps must be completed: 1) Copy the text of the report into a text editor. 2) Delete these instructions down to and including the first dashed line. 3) Set the Font for the entire report to Courier, 8 point. 4) Set the left and right margins to 0. 5) Set the top and bottom margins to 0. Because every printer allows a different number of lines per page, the margins may have to be adjusted differently to get the headers to line up at the top of each page. The document is formatted to print 90 lines per page at the specified font. 6) Print the report. -------------------------------------------------------------------------------- NASD BrokerCheck October 12, 2005 Page 1 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 ******************************************************************************** REPORT SUMMARY ******************************************************************************** ************************************************************ Administrative Information: ************************************************************ Admin Information: Information that is required to be reported to NASD by brokerage firms via Form BD (Uniform Application for Broker-Dealer Registration). The administrative information contained in this report includes: (a) types of business the brokerage firm is engaged in; (b) legal status (e.g., corporation, partnership, sole proprietorship, limited liability company, etc.), state/country of formation unless legal status is sole proprietorship, date of formation, and month in which the brokerage firm's fiscal year ends; and (c) all approved registrations with the SEC, NASD and state securities commissions. Types of Business: 23 Legal Status: 1 Registrations: 64 ************************************************************ Disclosure Events: Yes ************************************************************ Disclosure Event: Information that is required to be reported to NASD by individual brokers via Form U-4 (Uniform Application for Securities Industry Registration or Transfer) and brokerage firms via Form BD (Uniform Application for Broker-Dealer Registration). Some disclosure events may have multiple reporting sources. For example, some information required to be reported by an individual broker via Form U-4 may also be reported on the individual broker's record by a brokerage firm via Form U-5 (Uniform Termination Notice for Securities Industry Registration) and/or by a regulator via Form U-6 (Uniform Disciplinary Action Reporting Form). If a disclosure event is reported by multiple sources, all versions of the reported event will be disclosed on the individual broker's NASD BrokerCheck report. Similarly, some information required to be reported by a brokerage firm via Form BD may also be reported on the brokerage firm's record via Form U-6. If a disclosure event is reported by multiple sources, all versions of the reported event will be disclosed on the brokerage firm's NASD BrokerCheck report. Criminal Actions: 0 Regulatory Actions: 335 Civil Judicial Actions: 3 Arbitrations: 993 Bonds: 0 Bankruptcies: 0 Judgment/Liens: 0 NASD BrokerCheck October 12, 2005 Page 2 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 ******************************************************************************** ADDRESS/GENERAL INFORMATION ******************************************************************************** This section provides the brokerage firm's name, CRD number, SEC number, Applicant Name on Form BD, NASD District where the brokerage firm is located, and the brokerage firm's main and mailing addresses. Applicant Name on Form BD: LEHMAN BROTHERS INC. SEC Number: 8-012324 Prior Business Names: LEHMAN BROTHERS, INC. SHEARSON LEHMAN BROTHERS INC. SHEARSON LEHMAN HUTTON INC. SHEARSON LEHMAN/AMERICAN EXPRESS INC. SHEARSON LOEB RHOADES INC. SHEARSON/AMERICAN EXPRESS INC. Business Phone Number: 212-320-7000 Main Office Address Located in NASD District: 10-New York 745 SEVENTH AVENUE NEW YORK, NY 10019 Mailing Address 1301 AVENUE OF THE AMERICAS 5TH FLOOR NEW YORK, NY 10019 ******************************************************************************** TYPES OF BUSINESS ******************************************************************************** This section lists the type(s) of business that the brokerage firm is currently engaged in as reported on the Form BD. Broker or dealer selling corporate debt securities Broker or dealer retailing corporate equity securities over-the-counter Exchange member engaged in exchange commission business other than floor activities Exchange member engaged in floor activities Government securities broker Government securities dealer Investment advisory services Broker or dealer making inter-dealer markets in corporate securities over-the-counter Mutual fund retailer Mutual fund underwriter or sponsor Broker or dealer selling interests in mortgages or other receivables Municipal securities broker Municipal securities dealer Broker or dealer selling securities of non-profit organizations (e.g., churches, hospitals) Broker or dealer selling oil and gas interests Put and call broker or dealer or option writer Private placements of securities Real estate syndicator Solicitor of time deposits in a financial institution Broker or dealer selling tax shelters or limited partnerships in primary distributions Trading securities for own account Underwriter or selling group participant (corporate securities other than mutual funds) Effects transactions in commodity futures, commodities, commodity options as broker for others or dealer for own account ******************************************************************************** LEGAL STATUS ******************************************************************************** This section details the brokerage firm's legal status (i.e, corporation, limited partnership, etc.), state or country where formed, date of formation, and the month the brokerage firm's fiscal year ends. Legal Status: CORPORATION State/Country of Formation: DE, UNITED STATES Date of Formation: 01/21/1965 Fiscal Year End: NOV ******************************************************************************** NASD BrokerCheck October 12, 2005 Page 3 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGISTRATIONS ******************************************************************************** This section provides the jurisdictions in which the brokerage firm is registered or licensed to do business, the category of each registration, and the date on which the registration was granted. Jurisdiction/SRO Category Status As Of Date AK Broker Dealer Approved 10/15/1965 AL Broker Dealer Approved 10/24/1981 AMEX Broker Dealer Approved 02/25/1988 AR Broker Dealer Approved 10/23/1975 AZ Broker Dealer Approved 02/28/1972 BSE Broker Dealer Approved 07/08/1966 CA Broker Dealer Approved 01/01/1970 CBOE Broker Dealer Approved 06/17/1981 CHX Broker Dealer Approved 09/27/1974 CO Broker Dealer Approved 02/01/1983 CT Broker Dealer Approved 03/30/1965 DC Broker Dealer Approved 04/21/1983 DE Broker Dealer Approved 10/06/1981 FL Broker Dealer Approved 04/27/1983 GA Broker Dealer Approved 09/22/1981 HI Broker Dealer Approved 01/01/1972 IA Broker Dealer Approved 07/15/1983 ID Broker Dealer Approved 09/19/1974 IL Broker Dealer Approved 08/27/1974 IN Broker Dealer Approved 10/21/1981 ISE Broker Dealer Approved 05/01/2000 KS Broker Dealer Approved 09/20/1973 KY Broker Dealer Approved 07/16/1982 LA Broker Dealer Approved 04/20/1983 MA Broker Dealer Approved 07/31/1981 MD Broker Dealer Approved 10/03/1981 ME Broker Dealer Approved 02/14/1984 MI Broker Dealer Approved 02/03/1983 MN Broker Dealer Approved 07/15/1982 MO Broker Dealer Approved 08/04/1983 MS Broker Dealer Approved 10/14/1981 MT Broker Dealer Approved 04/20/1983 NASD Broker Dealer Approved 04/29/1960 NC Broker Dealer Approved 07/15/1982 ND Broker Dealer Approved 10/21/1981 NE Broker Dealer Approved 10/09/1981 NH Broker Dealer Approved 02/02/1983 NJ Broker Dealer Approved 07/15/1983 NM Broker Dealer Approved 10/07/1981 NSX Broker Dealer Approved 08/24/1989 NV Broker Dealer Approved 07/19/1983 NY Broker Dealer Approved 02/04/1981 NYSE Broker Dealer Approved 11/17/1982 NqLX Broker Dealer Approved 11/08/2002 OH Broker Dealer Approved 07/16/1982 OK Broker Dealer Approved 07/17/1982 OR Broker Dealer Approved 10/24/1981 PA Broker Dealer Approved 03/01/1965 PCX Broker Dealer Approved 09/27/1965 PHLX Broker Dealer Approved 03/27/1965 PR Broker Dealer Approved 09/01/1984 RI Broker Dealer Approved 02/01/1983 SC Broker Dealer Approved 01/29/1982 SD Broker Dealer Approved 07/15/1982 SEC Broker Dealer Approved 03/27/1965 TN Broker Dealer Approved 08/17/1981 TX Broker Dealer Approved 08/19/1983 UT Broker Dealer Approved 04/21/1983 VA Broker Dealer Approved 09/23/1981 VT Broker Dealer Approved 02/15/1984 WA Broker Dealer Approved 04/20/1983 WI Broker Dealer Approved 07/18/1983 WV Broker Dealer Approved 09/30/1981 WY Broker Dealer Approved 07/18/1983 NASD BrokerCheck October 12, 2005 Page 4 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 ******************************************************************************** REGULATORY ACTIONS ******************************************************************************** DISCLOSURE INFORMATION This section lists regulatory actions that were reported to CRD and are disclosable through NASD BrokerCheck. Disclosable regulatory actions include formal proceedings initiated by a regulatory authority (i.e., a state securities agency, NASD, New York Stock Exchange, foreign regulatory body, etc.) for a violation of investment-related rules or regulations. In addition, revocations or suspensions of an individual broker's authority to act as an attorney, accountant or federal contractor will appear here. Some of the fields in this section of the report may be blank if the information was not provided to CRD. ** OCCURRENCE COUNTS ** 335 Record(s) ******************************************************************************** ** FIELD DEFINITIONS ** * Reporting Source: The form through which details of the regulatory action was reported to CRD. * Date Reported: The date the regulatory action was reported to CRD. * Initiated By: The name of the securities regulator that initiated the regulatory action (e.g., regulator, foreign financial regulatory authority, self-regulatory organization, federal agency such as SEC, state, etc.). * Date Initiated: Date the regulatory action was initiated. * Docket/Case Number: Docket or case number of the regulatory action. * Employing Brokerage Firm: Brokerage Firm where individual broker was employed when activity occurred that led to the regulatory action. * Allegations: Allegations made against the individual broker leading to the regulatory action. * Current Status: The current status of the regulatory action (i.e., pending, on appeal or final). * Resolution: The resolution of the regulatory action (e.g., acceptance, waiver and consent; decision; decision and order of offer of settlement; order; settled; etc.). * Resolution Date: The date the regulatory action was resolved. * Sanction Details: Additional details regarding any sanctions ordered. * Summary: A summary of the details related to the regulatory action. ******************************************************************************** ******* REGULATORY ACTION (1 of 335) ******* Reporting Source: Regulator (Form U-6) Date Reported: 10/11/2005 Initiated By: NEW YORK STOCK EXCHANGE DIVISION OF ENFORCEMENT Date initiated: 09/28/2005 Docket/ Case Number: Allegations: **9/28/05**STIPULATION AND CONSENT TO PENALTY FILED BY NYSE DIVISION OF ENFORCEMENT AND PENDING CONSENTED TO FINDINGS: 1.VIOLATED EXCHANGE RULE 410A BY FAILING TO SUBMIT ACCURATE TRADING INFORMATION THROUGH THE SUBMISSION OF ELECTRONIC BLUE SHEETS IN RESPONSE TO ONE OR MORE REQUESTS FOR SUCH INFORMATION BY THE EXCHANGE;2.VIOLATED EXCHANGE RULE 401 BY FAILING TO ADHERE TO THE PRINCIPLES OF GOOD BUSINESS PRACTICE IN THE CONDUCT OF THEIR BUSINESS AFFAIRS IN THAT IT SUBMITTED INACCURATE TRADING INFORMATION ON ELECTRONIC BLUE SHEETS IN RESPONSE TO ONE OR MORE REQUESTS FOR SUCH INFORMATION BY THE EXCHANGE; AND 3.VIOLATED EXCHANGE RULES 342 BY FAILING TO NASD BrokerCheck October 12, 2005 Page 5 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) ESTABLISH AND MAINTAIN APPROPRIATE SYSTEMS AND PROCEDURES FOR THE SUPERVISION AND CONTROL OF AREAS RESPONSIBLE FOR COMPLYING WITH ELECTRONIC BLUE SHEET REPORTING REQUIREMENTS, AND FAILED TO ESTABLISH A SEPARATE SYSTEM OF FOLLOW-UP AND REVIEW TO REASONABLY ENSURE COMPLIANCE WITH EXCHANGE RULES RELATING TO THE PREPARATION AND SUBMISSION OF ELECTRONIC BLUE SHEETS. STIPULATED SANCTION:THE IMPOSITION BY THE EXCHANGE OF A CENSURE, A $150,000 FINE AND A REQUIREMENT THAT RESPONDENT WILL CONDUCT A VALIDATION OF ALL REQUIRED BLUE SHEET DATA ELEMENTS IN ACCORDANCE WITH ISG REGULATORY MEMORANDUM, ISG 2005-01. Current Status: Pending Summary: CONTACT:EVELYN KRIEGEL 212-656-6444 ******* REGULATORY ACTION (2 of 335) ******* Reporting Source: Regulator (Form U-6) Date Reported: 08/25/2005 Initiated By: NEW YORK STOCK EXCHANGE DIVISION OF ENFORCMENT Date initiated: 08/17/2005 Docket/ Case Number: Allegations: **8/17/05**CONSENTED TO FINDINGS THAT IT: 1. VIOLATED EXCHANGE RULE 342 BY:A. FAILING TO HAVE REASONABLE POLICIES AND PROCEDURES IN PLACE TO SUPERVISE THE MANNER IN WHICH TRADES RELATING TO FACILITATION CONTRACTS FOR THE PURCHASE OF STOCK AT PRICES DERIVED FROM THE CLOSING PRICE WERE SUBMITTED, PARTICULARLY WHERE THERE WAS AN ECONOMIC INCENTIVE TO IMPACT THE CLOSING PRICE, AND B. FAILING TO HAVE ADEQUATE CONTROLS TO EVALUATE AND SCRUTINIZE THE RISKS ASSOCIATED WITH TRADES RELATING TO SUCH FACILITATION CONTRACTS TO PREVENT SUCH TRADES FROM OCCURRING AT THE CLOSE WHEN THEY COULD BE DISRUPTIVE OR CAUSE EXCESS MARKET VOLATILITY.2.VIOLATED EXCHANGE RULE 401 BY FAILING TO ADHERE TO THE PRINCIPLES OF GOOD BUSINESS PRACTICE BY ENGAGING IN SEVERAL TRANSACTIONS FOR THE SALE OF STOCK AT OR NEAR THE CLOSE OF TRADING WHICH WERE DISRUPTIVE AND CAUSED EXCESS MARKET VOLATILITY WITHOUT HAVING ADEQUATE POLICES, PROCEDURES AND CONTROLS IN PLACE TO MONITOR SUCH TRANSACTIONS.STIPULATED SANCTION:1.CENSURE; AND 2. A FINE IN THE AMOUNT OF $500,000; AND 3.A REQUIREMENT TO COMPLY WITH THE FOLLOWING UNDERTAKING:A.THE FIRM WILL CAUSE ITS OFFICE OF GENERAL COUNSEL TO PERFORM A REVIEW TO IDENTIFY THE PROCEDURES AND SYSTEMS OF FOLLOW-UP AND REVIEW THE FIRM HAS IN PLACE OR HAS ADOPTED WHICH ARE REASONABLY DESIGNED TO PREVENT RECURRENCE OF THE FOREGOING VIOLATIONS, INCLUDING THOSE INVOLVING STOCK INDEX MIGRATIONS AND ADDITIONS AND FACILITATION CONTRACTS GENERALLY THAT DERIVE THEIR PRICE FROM THE CLOSE, TO ENSURE COMPLIANCE WITH APPLICABLE EXCHANGE RULES AND FEDERAL SECURITIES LAWS, TO EVALUATE WHETHER FURTHER ENHANCEMENTS OR IMPROVEMENTS TO SUCH PROCEDURES AND SYSTEMS ARE APPROPRIATE, TO MAKE ANY APPROPRIATE RECOMMENDATIONS FOR ADDITIONAL PROCEDURES AND SYSTEMS, IF NECESSARY, AND TO PREPARE A WRITTEN REPORT (THE "REPORT").**CONTINUED AT #13C** Current Status: Pending Summary: CONTACT: EVELYN KRIEGEL 212-656-6444 ******* REGULATORY ACTION (3 of 335) ******* Reporting Source: Regulator (Form U-6) Date Reported: 06/03/2005 Initiated By: AMERICAN STOCK EXCHANGE Date initiated: 03/18/2005 Docket/ Case Number: 04-217 Allegations: LEHMAN BROTHERS, INC. VIOLATED ARTICLE V, SECTION 4(H) OF THE EXCHANGE CONSTITUTION, AND EXCHANGE RULE 16 BY ALLOWING ITS TRADING DESK TO ENTER A SERIES OF ODD LOT ORDERS DURING ONE TRADING DAY THROUGH THE EXCHANGE'S ELECTRONIC ORDER ENTRY NASD BrokerCheck October 12, 2005 Page 6 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) SYSTEM AS A TEST OF THE CAPACITY OF THE FIRM'S OWN ORDER ENTRY SYSTEM IN A "LIVE" ENVIRONMENT. THE FIRM ALSO VIOLATED EXCHANGE RULE 320(B) AND (C) BY FAILING TO HAVE IN PLACE WRITTEN SUPERVISORY PROCEDURES, OR A SYSTEM OF CONTROLS, DESIGNED TO DETECT AND PREVENT THE ENTRY OF MULTIPLE ODD LOT ORDERS THROUGH THE EXCHANGE'S ELECTRONIC ORDER ENTRY SYSTEM WHEN CONDUCTING A TEST OF THE CAPACITY OF THE FIRM'S OWN ORDER ENTRY SYSTEM IN A "LIVE" ENVIRONMENT. Current Status: Final Resolution: Stipulation and Consent Resolution Date: 05/23/2005 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $10,000.00 Other Sanctions: NONE. Resolution Details: FINE OF $10,000 AND A CENSURE. Summary: PLEASE CONTACT THE ENFORCEMENT DEPARTMENT OF THE NASD AMERICAN STOCK EXCHANGE REGULATION DIVISION FOR FURTHER DETAILS. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 06/30/2005 Initiated By: AMERICAN STOCK EXCHANGE Date initiated: 03/18/2005 Docket/ Case Number: DOCKET: 04-217 Allegations: THE AMEX ALLEGED LEHMAN VIOLATED ARTICLE V, SECTION 4(H) OF THE AMEX CONSTITUTION, AND AMEX RULE 16, BY ENTERING ODD LOT ORDERS DURING ONE TRADING DAY AS A TEST OF LEHMAN'S ORDER ENTRY SYSTEM IN A "LIVE" ENVIRONMENT. THE AMEX FURTHER ALLEGED LEHMAN VIOLATED AMEX RULE 320(B) AND (C) BY NOT HAVING APPROPRIATE PROCEDURES AND CONTROLS CONCERNING TESTING. Current Status: Final Resolution: Stipulation and Consent Resolution Date: 06/01/2005 Sanctions Ordered: Monetary/Fine Monetary Amount: $10,000.00 Resolution Details: 10,000 FINE AGAINST LEHMAN BROTHERS INC. AND A CENSURE. LEHMAN PAID THE ENTIRE $10,000 FINE ON JUNE 27, 2005. Summary: PURSUANT TO A STIPULATION OF FACTS AND CONSENT TO PENALTY, ON MAY 23, 2005, THE AMEX DISCIPLINARY PANEL CHAIR DETERMINED THAT LEHMAN BROTHERS INC. VIOLATED ARTICLE V, SECTION 4(H), EXCHANGE RULE 16 AND EXCHANGE RULE 320(B) AND (C), AND IMPOSED A $10,000 FINE AND CENSURE. PURSUANT TO ARTICLE V, SECTION 2 OF THE EXCHANGE CONSTITUTION, THE DISCIPLINARY DECISION BECAME FINAL JUNE 1, 2005. ******* REGULATORY ACTION (4 of 335) ******* Reporting Source: Regulator (Form U-6) Date Reported: 12/06/2004 Initiated By: NASD Date initiated: 11/09/2004 Docket/ Case Number: CMS040169 Allegations: NASD RULES 2110, 6955(A) - LEHMAN BROTHERS, INC. SUBMITTED TO NASD BrokerCheck October 12, 2005 Page 7 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) OATS 178,451 REPORTABLE ORDER EVENTS (ROES) AFTER THE 4:00 A.M. DEADLINE THAT WERE MARKED LATE BY OATS, REPRESENTING 31% OF ALL ROES SUBMITTED BY THE FIRM TO OATS DURING THE REVIEW PERIOD. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 11/09/2004 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $7,500.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, LEHMAN BROTHERS CONSENTED TO THE DESCRIBED SANCTIONS AND TO THE ENTRY OF FINDINGS, THEREFORE, THE FIRM IS CENSURED AND FINED $7,500. Summary: *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 12/08/2004 Initiated By: NASD Date initiated: 11/09/2004 Docket/ Case Number: CMS 040169 Allegations: NASD ALLEGED THAT DURING THE PERIOD JULY 1, 2002 THROUGH SEPTEMBER 30, 2002, LEHMAN BROTHERS INC. SUBMITTED CERTAIN OATS REPORTABLE ORDER EVENTS AFTER 4:00 A.M. IN VIOLATION OF NASD CONDUCT RULE 2110 AND MARKETPLACE RULE 6955(A). Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 11/09/2004 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $7,500.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, LEHMAN BROTHERS INC. CONSENTED TO A CENSURE AND A FINE OF $7,500. THE FINE WAS PAID ON DECEMBER 03, 2004. Summary: PLEASE SEE ABOVE. ******* REGULATORY ACTION (5 of 335) ******* Reporting Source: Brokerage Firm (Form BD) Date Reported: 11/19/2004 Initiated By: SECURITIES DIVISION, COMMONWEALTH OF MASSACHUSETTS Date initiated: 10/29/2003 Docket/ Case Number: E-2003-43 Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES, THE SECURITIES DIVISION, COMMONWEALTH OF MASSACHUSETTS, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE GENERAL LAWS OF MASSACHUSETTS: CHAPTER 110A, UNIFORM SECURITIES ACT, (?ACT?) IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final NASD BrokerCheck October 12, 2005 Page 8 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Resolution: Consent Resolution Date: 10/20/2004 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $489,205.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM VIOLATING THE ACT IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE COMMONWEALTH OF MASSACHUSETTS? PORTION WAS $489,205.00. THE PAYMENT WAS MADE ON OR ABOUT OCTOBER 21, 2003. Summary: SEE ABOVE. ******* REGULATORY ACTION (6 of 335) ******* Reporting Source: Brokerage Firm (Form BD) Date Reported: 11/19/2004 Initiated By: DIRECTOR, SECURITIES COMMISSION, STATE OF ALABAMA Date initiated: 04/23/2003 Docket/ Case Number: CO-2003-0010 Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES, THE DIRECTOR, SECURITIES COMMISSION, STATE OF ALABAMA, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE ALABAMA SECURITIES ACT, (?ACT?) AND THE RULES OF THE ALABAMA SECURITIES COMMISSION (?RULE?) IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 11/04/2004 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $342,654.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM VIOLATING SECTION 8-6-3(J)7 OF THE ACT AND RULES 830-X-3-.13(1), (3) AND 830-X-2-.06(2) IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF ALABAMA?S PORTION WAS $342,654.00. THE PAYMENT WAS MADE ON OR ABOUT AUGUST 26, 2003. Summary: SEE ABOVE. NASD BrokerCheck October 12, 2005 Page 9 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) ******* REGULATORY ACTION (7 of 335) ******* Reporting Source: Brokerage Firm (Form BD) Date Reported: 11/19/2004 Initiated By: COMMISSIONER OF SECURITIES, STATE AUDITOR?S OFFICE, STATE OF MONTANA Date initiated: 09/23/2003 Docket/ Case Number: I 05-01-03-114 Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES, THE COMMISSIONER OF SECURITIES, STATE AUDITOR?S OFFICE, STATE OF MONTANA, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE SECURITIES ACT OF MONTANA (?ACT?) IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 07/29/2004 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $250,000.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM VIOLATING THE ACT IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF MONTANA?S PORTION WAS $250,000.00. THE PAYMENT WAS MADE ON OR ABOUT SEPTEMBER 23, 2003. Summary: SEE ABOVE. ******* REGULATORY ACTION (8 of 335) ******* Reporting Source: Regulator (Form U-6) Date Reported: 10/05/2004 Initiated By: NASD Date initiated: 09/20/2004 Docket/ Case Number: CMS040140 Allegations: NASD CONDUCT RULES 2110, 3010, AND 3370 AND SEC RULE S 10A-1 AND 10B-10 - RESPONDENT MEMBER ACCEPTED CUSTOMER SHORT SALE ORDERS IN CERTAIN SECURITIES, AND FOR EACH ORDER, FAILED TO MAKE/ANNOTATE AN AFFIRMATIVE DETERMINATION THAT THE FIRM WOULD RECEIVE DELIVERY OF THE SECURITY ON BEHALF OF THE CUSTOMER OR THAT THE FIRM COULD BORROW THE SECURITY ON BEHALF OF THE CUSTOMER FOR DELIVERY BY SETTLEMENT DATE; EFFECTED SHORT SALES IN CERTAIN SECURITIES FOR THE FIRM'S PROPRIETARY ACCOUNTS AND FAILED TO MAKE/ANNOTATE AN AFFIRMATIVE DETERMINATION THAT THE FIRM COULD BORROW THE SECURITIES OR OTHERWISE PROVIDE FOR DELIVERY OF THE SECURITIES BY SETTLEMENT DATE; FAILED TO MARK MEMORANDA OF ORDERS FOR CQS PROPREITARY TRANSACTIONS AS LONG OR SHORT; EXECUTED SHORT SALES OF CQS SECURITIES AT PRICES NASD BrokerCheck October 12, 2005 Page 10 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) BELOW THE LAST SALE PRICES OF THE SECURITIES; FAILED TO PROVIDE WRITTEN NOTIFICATION DISCLOSING TO ITS CUSTOMERS THAT THE TRANSACTIONS WERE EXECUTED AT AN AVERAGE PRICE; AND, THE FIRM'S SUPERVISORY SYSTEM DID NOT PROVIDE FOR SUPERVISION REASONABLY DESIGNED TO ACHIEVE COMPLIANCE WITH RESPECT TO THE APPLIABLE SECURITIES LAWS AND REGULATIONS, AND THE RULES OF NASD, CONCERNING SEC RULES 11AC105 AND 11AC1-6, BEST EXEUCTION, AND SEC RULE 10A-1. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 09/20/2004 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $13,000.00 Other Sanctions: UNDERTAKE TO REVISE THE FIRM'S SUPERVISORY PROCEDURES WITH RESPECT TO SEC RULES 11AC105 AND 11AC1-6, BEST EXEUCTION, AND SEC RULE 10A-1. Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, RESPONDENT MEMBER CONSENTED TO THE DESCRIBED SANCTIONS AND TO THE ENTRY OF FINDINGS, THEREFORE, THE FIRM IS CENSURED, FINED $13,000, AND REQUIRED TO UNDERTAKE TO REVISE THE FIRM'S SUPERVISORY PROCEDURES WITH RESPECT TO TRACE SEC RULES 11AC105 AND 11AC1-6, BEST EXEUCTION, AND SEC RULE 10A-1. Summary: *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 11/10/2004 Initiated By: NASD Date initiated: 10/04/2004 Docket/ Case Number: CMS 040140 Allegations: IN CONNECTION WITH THE 2003 TRADING AND MARKET MAKING EXAMINATION NASD ALLEGED THAT LEHMAN FAILED TO MARK CERTAIN CUSTOMER ORDER TICKETS PROPERLY, DID NOT OBTAIN AN AFFIRMATIVE DETERMINATION FOR CERTAIN SHORT SALE ORDERS, AND DID NOT DISCLOSE THAT CERTAIN TRANSACTIONS WERE EXECUTED AT AVERAGE PRICES. IN ADDITION NASD ALLEGED THAT THE FIRM DID NOT HAVE ADEQUATE WRITTEN SUPERVISORY PROCEDURES REASONABLY DESIGNED TO ACHIEVE COMPLIANCE WITH SECURITIES EXCHANGE RULES 11AC1-5, 11AC1-6 NASD RULE 3110 AND SECURITIES EXCHANGE ACT RULE 10A-1. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 10/04/2004 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $13,000.00 Other Sanctions: UNDERTAKING TO REVISE OUR WRITTEN SUPERVISORY PROCEDURES. Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS LEHMAN CONSENTED TO A CENSURE, A FINE OF $13,000 AND AN UNDERTAKING TO REVISE CERTAIN WRITTEN SUPERVISORY PROCEDURES. THE FINE WAS PAID ON 10/25/2004. Summary: SEE ABOVE. ******* REGULATORY ACTION (9 of 335) ******* Reporting Source: Regulator (Form U-6) Date Reported: 08/04/2004 Initiated By: NASD NASD BrokerCheck October 12, 2005 Page 11 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Date initiated: 07/16/2004 Docket/ Case Number: CMS040098 Allegations: NASD CONDUCT RULES 2110, 3110, AND 3320, NASD MARKETPLACE RULES 4613(B) AND 4632, AND SEC RULE 11AC1-1, 17A-3, AND 17A-4 - RESPONDENT MEMBER'S SUPERVISORY SYSTEM DID NOT PROVIDE FOR SUPERVISON REASONBLY DESIGNED TO ACHIEVE COMPLIACNE WITH RESPECT TO THE APPLICABLE SECURITIES LAWS AND REGULATIONS, AND THE RULES OF NASD CONCERNING CROSSING INCOMING ORDERS AGAINST NON-DISPLAYED LIMIT ORDERS AND TRADE REPORTING FOR TRADES REPORTED BY OTHER ENTITIES ON THE FIRM'S BEHALF AND FOR RISKLESS PRINCIPAL TRADES; FAILED TO REPORT THROUGH ACT THE CORRECT SYMBOL INDICATING WHETHER THE FIRM EXECUTED TRASNACTIONS IN ELIGIBLE SECURITIES IN A PRINCIPAL, RISKLESS PRINCIPAL OR AN AGENCY CAPACITY; FAILED TO SHOW THE CORRECT TIME OF EXECUTION IN THE MEMORANDA OF BROKERAGE ORDERS, FOR AN ERROR RATE OF 7.65 PERCENT; THE FIRM'S RECORDS DID NOT CONTAIN AN ORDER TICKET FOR A TRANSACTION; AND, AS A MARKET MAKER IN SECURITIES, THE FIRM FAILED TO EXECUTE ORDERS UPON PRESENTMENT AND THEREBY FAILED TO HONOR ITS PUBLISHED QUOTATION. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 07/16/2004 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $20,000.00 Other Sanctions: UNDERTAKING: TO REVISE FIRM'S WRITTEN SUPERVISORY PROCEDURES WITH RESPECT TO CROSSING INCOMING ORDERS AGAINST NON-DISPLAYED LIMIT ORDERS AND TRADE REPORTING FOR TRADES REPORTED BY OTHER ENTITIES ON THE FIRM'S BEHALF AND FOR RISKLESS PRINCIPAL TRADES. Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, THE FIRM CONSENTED TO THE DESCRIBED SANCTIONS AND TO THE ENTRY OF FINDINGS, THEREFORE, THE FIRM IS CENSURED, FINED $20,000 AND REQUIRED TO UNDERTAKE TO REVISE THE FIRM'S WRITTEN SUPERVISORY PROCEDURES WITH RESPECT TO CROSSING INCOMING ORDERS AGAINST NON-DISPLAYED LIMIT ORDERS AND TRADE REPORTING FOR TRADES REPORTED BY OTHER ENTITIES ON THE FIRM'S BEHALF AND FOR RISKLESS PRINCIPAL TRADES WITHIN 30 BUSINESS DAYS. Summary: *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 08/16/2004 Initiated By: NASD Date initiated: 06/07/2004 Docket/ Case Number: CMS040098 Allegations: LEHMAN AND NASD SETTLED A PROCEEDING RELATING TO THE 2002 TRADING AND MARKET MAKING EXAMINATION (?TMMS EXAM?) AND AN INVESTIGATION RELATING TO ALLEGED ?BACKING AWAY? FROM QUOTATIONS. WITH RESPECT TO THE TMMS EXAM, THE NASD ALLEGED VIOLATIONS REGARDING CROSSING OF ORDERS IN VIOLATION OF NASD CONDUCT RULES 2110 AND 3010, ACT REPORTING ITEMS IN VIOLATION OF NASD MARKETPLACE RULE 4632, AND CERTAIN RECORDKEEPING ITEMS REGARDING ORDER TICKETS AND CONFIRMATIONS IN VIOLATION OF SECURITIES EXCHANGE ACT RULES 17A-3, 17A-4, AND NASD CONDUCT RULE 3110. FOR THE BACKING AWAY ALLEGATION, NASD CITED INSTANCES DURING THE THIRD QUARTER OF 2002 WHERE THE FIRM ALLEGEDLY VIOLATED SECURITIES EXCHANGE ACT RULE 11AC1-1, NASD CONDUCT RULE 3320, AND NASD MARKETPLACE RULE 4613(B). Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 07/16/2004 Sanctions Ordered: Monetary/Fine, Censure NASD BrokerCheck October 12, 2005 Page 12 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Monetary Amount: $20,000.00 Resolution Details: ON JULY 16, 2004 NASD ACCEPTED A STIPULATION REGARDING THIS MATTER. WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, LEHMAN CONSENTED TO A CENSURE, A FINE OF $20,000, AND AN UNDERTAKING TO REVISE CERTAIN OF ITS WRITTEN SUPERVISORY PROCEDURES. THE FIRM EXPECTS TO PAY THE FINE SHORTLY. Summary: SEE ABOVE. ****** REGULATORY ACTION (10 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 07/14/2004 Initiated By: COMMISSIONER, SECURITIES DIVISION OF THE ATTORNEY GENERAL, STATE OF SOUTH CAROLINA Date initiated: 06/23/2004 Docket/ Case Number: 03091 Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES, THE COMMISSIONER, SECURITIES DIVISION OF THE ATTORNEY GENERAL, SATE OF SOUTH CAROLINA, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE SOUTH CAROLINA UNIFORM SECURITIES ACT, S.C. CODE ANN. (1976) SECTION 35-1-10 ET SEQ. (?ACT?) IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 06/23/2004 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $309,130.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM VIOLATING THE ACT IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF SOUTH CAROLINA?S PORTION WAS $309,130.00. THE PAYMENT WAS MADE ON OR ABOUT JUNE 24, 2004. Summary: SEE ABOVE. ****** REGULATORY ACTION (11 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 07/14/2004 Initiated By: COMMISSIONER, DIVISION OF SECURITIES, DEPARTMENT OF JUSTICE, STATE OF DELAWARE Date initiated: 09/11/2003 Docket/ Case Number: C.A. NO. 03-6-7 NASD BrokerCheck October 12, 2005 Page 13 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES, THE COMMISSIONER OF THE DIVISION OF SECURITIES, DEPARTMENT OF JUSTICE, STATE OF DELAWARE, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE DELAWARE SECURITIES ACT, 6 DEL.C. CHAP. 73, (?ACT?) IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 06/18/2004 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $250,000.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM VIOLATING THE ACT IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF DELAWARE?S PORTION WAS $250,000.00. THE PAYMENT WAS MADE ON OR ABOUT SEPTEMBER 3, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (12 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 07/02/2004 Initiated By: COMMISSIONER OF SECURITIES, STATE OF LOUISIANA Date initiated: 05/18/2004 Docket/ Case Number: N/A Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES, THE COMMISSIONER OF SECURITIES, STATE OF LOUISIANA, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE LOUISIANA SECURITIES LAW, SECTIONS 701-724, IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 06/21/2004 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $344,339.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM VIOLATING THE LOUISIANA SECURITIES LAW IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS NASD BrokerCheck October 12, 2005 Page 14 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF LOUISIANA?S PORTION WAS $344,339.00. THE PAYMENT WAS MADE ON OR ABOUT MAY 18, 2004. Summary: SEE ABOVE. ****** REGULATORY ACTION (13 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 06/24/2004 Initiated By: COMMISSIONER, DIVISION OF SECURITIES, STATE OF COLORADO Date initiated: 12/02/2003 Docket/ Case Number: 04-L-23 Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES, THE COMMISSIONER, DIVISION OF SECURITIES, STATE OF COLORADO, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE COLORADO SECURITIES ACT (?ACT?), SECTIONS 11-51-101 THROUGH 803, COLORADO REVISED STATUTES (2003) AND THE COLORADO RULES AND REGULATIONS (?RULES?) PROMULGATED THEREUNDER IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 04/06/2004 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $331,417.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) PROHIBIT THE FIRM FROM ENGAGING IN ANY ACTS IN VIOLATION OF SECTION 11-51-410(1)(G) OF THE ACT AND RULE 51-4.7 PROMULGATED THEREUNDER AND SECTION 11-51-410(1)(I) OF THE ACT IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF COLORADO?S PORTION WAS $331,417.00. THE PAYMENT WAS MADE ON OR ABOUT NOVEMBER 24, 2003. Summary: SEE ABOVE ****** REGULATORY ACTION (14 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 06/18/2004 Initiated By: CHICAGO BOARD OF TRADE Date initiated: 05/03/2004 Docket/ Case Number: 03-RFT-097 NASD BrokerCheck October 12, 2005 Page 15 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Allegations: ON APRIL 16, 2004, THE CTR SUBCOMMITTEE OF THE CHICAGO BOARD OF TRADE (?CBOT?) ALLEGED THAT BASED UPON EVIDENCE PRESENTED BY THE REGULATORY REPORTING DEPARTMENT OF THE OFFICE OF INVESTIGATIONS AND AUDITS (?OIA?), LEHMAN BROTHERS INC. (?LEHMAN?) VIOLATED CBOT REGULATIONS 332.02 AND 332.08 IN THAT IT HAD, ON CERTAIN OCCASIONS ON DECEMBER 1ST AND 2ND, 2003, FAILED TO SUBMIT INFORMATION AND/OR FAILED TO CORRECTLY KEYPUNCH INFORMATION INTO THE TRADE ENTRY SYSTEM IN ACCORDANCE WITH THE TIME PERIODS REQUIRED BY THESE RULES. Current Status: Final Resolution: Other Resolution Date: 05/03/2004 Sanctions Ordered: Monetary/Fine Monetary Amount: $2,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN SUBMITTED AN OFFER OF SETTLEMENT ALONG WITH PAYMENT OF THE $2,000 FINE ON MAY 3, 2004. Summary: SEE ABOVE. ****** REGULATORY ACTION (15 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 06/04/2004 Initiated By: NEW YORK STOCK EXCHANGE DIVISION OF ENFORCEMENT Date initiated: 03/18/2004 Docket/ Case Number: HPD#: 04-65 Allegations: **03/18/2004** STIPULATION OF FACTS AND CONSENT TO PENALTY FILED BY NYSE DIVISION OF ENFORCEMENT AND PENDING. CONSENTED TO FINDINGS: (1) VIOLATED EXCHANGE RULE 401 BY FAILING TO ADHERE TO THE PRINCIPLES OF GOOD BUSINESS PRACTICE IN THE CONDUCT OF ITS BUSINESS AFFAIRS IN THAT, IN FOUR INSTANCES, THE FIRM IMPROPERLY TESTED ITS ELECTRONIC ORDER ROUTING SYSTEMS' CONNECTIVITY AND/OR FUNCTIONALITY TO THE EXCHANGE'S SYSTEMS IN A MANNER THAT WAS IN CONTRAVENTION OF EXCHANGE POLICY, AND FAILED TO FOLLOW THE APPROPRIATE ESTABLISHED TESTING PROCEDURES REQUIRED BY THE EXCHANGE. (2) VIOLATED EXCHANGE RULE 123C BY FAILING TO COMPLY WITH REQUIREMENTS GOVERNING THE ENTRY AND CANCELLATION OF MARKET-ON-CLOSE AND LIMIT-ON-CLOSE ORDERS, AND ENTERED AND/OR CANCELED OVER 245 MOC/LOC ORDERS. (3) VIOLATED EXCHANGE RULE 342(A) AND (B) BY FAILING TO REASONABLY SUPERVISE AND IMPLEMENT ADEQUATE CONTROLS OVER CERTAIN OF ITS BUSINESS ACTIVITIES BY FAILING TO HAVE ADEQUATE SYSTEMS FOR MONITORING THE TESTING OF ITS ELECTRONIC ORDER ROUTING SYSTEMS' CONNECTIVITY AND/OR FUNCTIONALITY TO THE EXCHANGE'S SYSTEMS WITH ACTUAL ORDERS DURING TRADING HOURS WHICH WAS DISRUPTIVE TO THE EXCHANGE, AND BY FAILING TO HAVE ADEQUATE CONTROLS OVER THE ENTRY AND CANCELLATION OF MOC/LOC ORDERS. THE FIRM CONSENTED TO THE IMPOSITION BY THE EXCHANGE OF THE SANCTION OF A CENSURE AND A $175,000 FINE. Current Status: Final Resolution: Decision Resolution Date: 06/02/2004 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $175,000.00 Resolution Details: **4/27/04**DECISION 04-65 ISSUED BY NYSE HEARING PANEL. DECISION:VIOLATED EXCHANGE RULE 401 BY FAILING TO ADHERE TO THE PRINCIPLES OF GOOD BUSINESS PRACTICE IN THAT THE FIRM IMPROPERLY TESTED ITS ELECTRONIC ORDER ROUTING SYSTEMS' CONNECTIVITY AND/OR FUNCTIONALITY TO THE EXCHANGE'S SYSTEMS IN CONTRAVENTION OF EXCHANGE POLICY, AND FAILED TO FOLLOW THE NASD BrokerCheck October 12, 2005 Page 16 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) APPROPRIATE ESTABLISHED TESTING PROCEDURES; VIOLATED EXCHANGE RULE 123C BY FAILING TO COMPLY WITH REQUIREMENTS GOVERNING THE ENTRY AND CANCELLATION OF MARKET-ON-CLOSE AND LIMIT-ON-CLOSE ORDERS, AND ENTERED AND/OR CANCELED OVER 245 MOC/LOC ORDERS; VIOLATED EXCHANGE RULE 342(A) AND (B) BY FAILING TO REASONABLY SUPERVISE AND IMPLEMENT ADEQUATE CONTROLS BY FAILING TO HAVE ADEQUATE SYSTEMS FOR MONITORING THE TESTING OF ITS ELECTRONIC ORDER ROUTING SYSTEMS' CONNECTIVITY AND/OR FUNCTIONALITY TO THE EXCHANGE'S SYSTEMS WITH ACTUAL ORDERS DURING TRADING HOURS WHICH WAS DISRUPTIVE TO THE EXCHANGE,AND BY FAILING TO HAVE ADEQUATE CONTROLS OVER THE ENTRY AND CANCELLATION OF MOC/LOC ORDERS. CENSURE AND FINE IN THE AMOUNT OF $175,000. Summary: **06/02/2004** THE DECISION IS NOW FINAL AND IS EFFECTIVE IMMEDIATELY. CONTACT: MICHELE VAN TASSEL (212) 656-5340. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 06/10/2004 Initiated By: NEW YORK STOCK EXCHANGE, INC. Date initiated: 06/02/2004 Docket/ Case Number: HPD 04-65 Allegations: THE NYSE ALLEGED THAT: LEHMAN BROTHERS INC. (?LEHMAN?) FAILED TO ADHERE TO PRINCIPLES OF GOOD BUSINESS PRACTICE IN VIOLATION OF NYSE RULE 401 IN CONNECTION WITH ALLEGED IMPROPER TESTING OF ELECTRONIC ORDER ROUTING CONNECTIVITY AND/OR FUNCTIONALITY; VIOLATED NYSE RULE 123C RELATING TO THE ALLEGED ENTRY AND CANCELLATION OF MOC/LOC ORDERS; AND VIOLATED EXCHANGE RULES 342(A) AND 342(B) FOR ALLEGED FAILURE TO SUPERVISE AND IMPLEMENT ADEQUATE CONTROLS BY FAILING TO HAVE ADEQUATE SYSTEMS FOR MONITORING THE TESTING OF ELECTRONIC ORDER ROUTING SYSTEM CONNECTIVITY AND/OR FUNCTIONALITY TO THE NYSE?S SYSTEMS, AND FOR ALLEGED FAILURE TO HAVE ADEQUATE CONTROLS OVER THE ENTRY AND CANCELLATION OF MOC/LOC ORDERS. Current Status: Final Resolution: Stipulation and Consent Resolution Date: 06/02/2004 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $175,000.00 Resolution Details: CENSURE AND FINE OF $175,000.00 TO BE PAID BY LEHMAN BROTHERS INC. THE DECISION BECAME FINAL ON JUNE 2, 2004 AND THE FINE WILL BE PAID WITHIN THE SUBSEQUENT 45 DAYS. Summary: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS OR FINDINGS, LEHMAN ENTERED INTO A STIPULATION OF FACTS AND CONSENT TO PENALTY WITH THE NYSE ON MARCH 18, 2004 IN WHICH LEHMAN AGREED TO (I) A CENSURE AND (II) A $175,000.00 FINE. ON JUNE 2, 2004 THE NYSE ADVISED LEHMAN BROTHERS THAT THE HEARING PANEL?S DECISION, IN WHICH IT ACCEPTED THE STIPULATION AND CONSENT, HAD BECOME FINAL. ****** REGULATORY ACTION (16 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 03/11/2004 Initiated By: SECURITIES DIVISION, STATE OF NEW MEXICO Date initiated: 12/16/2003 Docket/ Case Number: 03-03-029-054 (CO) Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES, THE SECURITIES DIVISION, STATE OF NEW MEXICO, INVESTIGATED WHETHER LEHMAN BROTHERS NASD BrokerCheck October 12, 2005 Page 17 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) VIOLATED CERTAIN PROVISIONS OF THE NEW MEXICO SECURITIES ACT OF 1986, SECTION 58-13B-1 ET SEQ., NMSA 1978 (THE ?ACT?) AND NEW MEXICO ADMINISTRATIVE CODE, SECTION 12.11.1 ET SEQ., NMAC (THE ?RULES?) IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 02/13/2004 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $250,000.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF SECTIONS 58-13B-16.A(2)(H) AND (K) OF THE ACT AND RULES 12.11.4.10; 12.11.4.15.C AND Q; 12.11.7.8; 12.11.7.13.K AND 12.11.7.14 IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF NEW MEXICO?S PORTION WAS $250,000.00. THE PAYMENT WAS MADE ON OR ABOUT DECEMBER 18, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (17 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 02/19/2004 Initiated By: IOWA Date initiated: 04/15/2002 Docket/ Case Number: C04-12-431 Allegations: FAILED TO EXERCISE DILIGENT SUPERVISION OVER ALL THE SECURITIES ACTIVITIES OF ITS ASSOCIATED PERSONS, CREATED OR MAINTAINED INAPPROPRIATE INFLUENCES BY INVESTMENT BANKING OVER RESEARCH ANALYSTS, VIOLATED NASD AND NYSE ETHICAL STANDARDS INCLUDING EXAGERRATED CLAIMS IN ADVERTISING WITHOUT A REASONABLE BASIS. Current Status: Final Resolution: Consent Resolution Date: 02/12/2004 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $250,000.00 Other Sanctions: RESPONDENT CONSENTED TO THE ENTRY OF THE ORDER WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, FINDINGS OF FACT, OR CONCLUSIONS OF LAW. Resolution Details: ONE OF SEVERAL ANALYST TASK FORCE SETTLEMENTS. THE CONSENT ORDER ALSO CONTAINED SEVERAL UNDERTAKINGS BY RESPONDENT. Summary: N/A *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 03/11/2004 NASD BrokerCheck October 12, 2005 Page 18 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Initiated By: SUPERINTENDENT, SECURITIES BUREAU, STATE OF IOWA Date initiated: 02/12/2004 Docket/ Case Number: C-04-12-431 Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES, THE SUPERINTENDENT, SECURITIES BUREAU, STATE OF IOWA, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE IOWA UNIFORM SECURITIES ACT, CHAPTER 502, CODE OF IOWA (2003) IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 02/12/2004 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $250,000.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF SECTION 502.304(1)(G) & (J), CODE OF IOWA (2003) IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF IOWA?S PORTION WAS $250,000.00. THE PAYMENT WAS MADE ON OR ABOUT FEBRUARY 12, 2004. Summary: SEE ABOVE. ****** REGULATORY ACTION (18 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 02/12/2004 Initiated By: NASD Date initiated: 02/12/2004 Docket/ Case Number: CAF040015 Allegations: NASD CONDUCT RULE 2110 - RESPONDENT MEMBER SOLD SHARES ISSUED BY MUTUAL FUNDS WITHOUT PROVIDING CERTAIN CUSTOMERS WITH THE REDUCTION IN THE FRONT-END LOADS, OR SALES CHARGES DESCRIBED IN THE PROSPECTUSES OF THE FUNDS; FAILED TO GIVE ITS CUSTOMERS BREAKPOINT DISCOUNTS IN 59.96% OF ELIGIBLE MUTUAL FUND TRANSACTIONS IN 2001 AND 2002, THAT RESULTED IN MISSED BREAKPOINTS THAT WOULD HAVE REDUCED CUSTOMERS CHARGES BY AT LEAST $123,882 ON THEIR PURCHASES OF MUTUAL FUND SHARES WITH FRONT-END LOADS DURING THE RELEVANT PERIOD. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 02/12/2004 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $123,882.00 Other Sanctions: UNDERTAKINGS NASD BrokerCheck October 12, 2005 Page 19 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, LEHMAN BROTHERS, INC. CONSENTED TO THE FINDING OF THE ALLEGATIONS AND TO THE FOLLOWING SANCTIONS: CENSURED AND FINED $123,882.00, AND REQUIRED TO PROVIDE WRITTEN NOTIFICATION TO EACH CUSTOMER WHO PURCHASED FRONT-END LOAD MUTUAL FUNDS THROUGH THE FIRM FROM JANUARY 1, 1999 THROUGH NOVEMBER 3, 2003 THAT THE FIRM EXPERIENCED A PROBLEM DELIVERING BREAKPOINT DISCOUNTS AND THAT AS A RESULT, THE CUSTOMER MAY BE ENTITLED TO A REFUND; PERFORM A TRADE-BY-TRADE ANALYSIS OF ALL FRONT-END LOAD MUTUAL FUND PURCHASES OF $2,500 OR MORE AND ALL OVERCHARGES IDENTIFIED REFUNDED BY MARCH 31, 2004; PROVIDE REFUNDS TO ALL CUSTOMERS WHO DID NOT RECEIVE ALL APPLICABLE BREAKPOINT DISCOUNTS AS DESCRIBED IN NTM 03-47; PROVIDE NASD A REPORT ON RESPONDENT'S PROGRAM BY 4/16/04; AND NOT LATER THAN SIX MONTHS AFTER THE DATE OF THIS ORDER, RESPONDENT'S CHIEF EXECUTIVE OFFICER OR ANOTHER SENIOR EXEUCTIVE OFFICER SHALL CERTIFY IN WRITING TO NASD THAT RESPONDENT HAS IMPLEMENTED PROCEDURES AND A SYSTEM FOR IDNETIFYING SUCH PROCEDURES THAT CAN REASONABLY BE EXPECTED TO PREVENT AND DETECT FAILURES TO PROVIDE BREAKPOINT DISCOUNTS FOR WHICH CUSTOMERS ARE ELIGIBLE ON PURCHASES OF FRONT-END LOAD MUTUAL FUNDS. Summary: *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 03/15/2004 Initiated By: NASD Date initiated: 02/12/2004 Docket/ Case Number: CAF040015 Allegations: ACCORDING TO THE NASD?S LETTER OF ACCEPTANCE, WAIVER AND CONSENT ISSUED ON JANUARY 7, 2004, DURING 2001 AND 2002, LEHMAN SOLD MUTUAL FUND SHARES WITHOUT PROVIDING CERTAIN CUSTOMERS THE APPROPRIATE ?BREAKPOINT? DISCOUNT, OR REDUCTION IN THE FRONT-END LOAD OR SALES CHARGE. THE NASD ESTIMATED THAT LEHMAN FAILED TO GIVE CUSTOMERS BREAKPOINT DISCOUNTS TOTALING AT LEAST $123,882 DURING THIS PERIOD. BY FAILING TO GIVE CERTAIN CUSTOMERS THE BENEFIT OF THE APPLICABLE BREAKPOINT DISCOUNTS, AND BY FAILING TO DISCLOSE TO THOSE CUSTOMERS THAT THEY WERE NOT RECEIVING THE BENEFIT OF THE APPLICABLE BREAKPOINT DISCOUNTS, LEHMAN VIOLATED NASD CONDUCT RULE 2110. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 02/12/2004 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $123,882.00 Other Sanctions: UNDERTAKING Resolution Details: LEHMAN WILL PAY THE TOTAL FINE OF $123,882.00 Summary: ON FEBRUARY 12, 2004, THE NAC ACCEPTED THE AWC. WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, LEHMAN CONSENTED TO A CENSURE, A $123,882.00 FINE, AN UNDERTAKING TO IDENTIFY, NOTIFY AND PROVIDE RESTITUTION TO CERTAIN CUSTOMERS WHO DID NOT RECEIVE APPLICABLE BREAKPOINT DISCOUNTS, IMPLEMENT PROCEDURES TO DETECT AND PREVENT FUTURE FAILURES TO PROVIDE BREAKPOINT DISCOUNTS, AND PROVIDE A REPORT TO THE NASD AS TO THE STATUS OF THE UNDERTAKING. ****** REGULATORY ACTION (19 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 02/11/2004 Initiated By: DEPARTMENT OF STATE, BUREAU OF SECURITIES REGULATION, STATE OF NEW HAMPSHIRE NASD BrokerCheck October 12, 2005 Page 20 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Date initiated: 01/21/2004 Docket/ Case Number: N/A Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES, THE DEPARTMENT OF STATE, BUREAU OF SECURITIES REGULATION, STATE OF NEW HAMPSHIRE, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE NEW HAMPSHIRE SECURITIES ACT, REVISED STATUTES ANNOTATED (?RSA?) 421-B IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 01/21/2004 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $250,000.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF RSA 421-B:10(I)(B)(10) AND RSA 421-B:10(I)(B)(7) IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF NEW HAMPSHIRE?S PORTION WAS $250,000.00. THE PAYMENT WAS MADE ON OR ABOUT JANUARY 7, 2004. Summary: SEE ABOVE. ****** REGULATORY ACTION (20 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 02/11/2004 Initiated By: DEPARTMENT OF COMMERCE, DIVISION OF SECURITIES, STATE OF OHIO Date initiated: 01/20/2004 Docket/ Case Number: N/A Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES, THE DEPARTMENT OF COMMERCE, DIVISION OF SECURITIES, STATE OF OHIO, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF CHAPTER 1707 OF THE OHIO REVISED CODE IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 01/20/2004 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $874,773.00 Other Sanctions: UNDERTAKING NASD BrokerCheck October 12, 2005 Page 21 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF CHAPTER 1707 OF THE OHIO REVISED CODE IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF OHIO?S PORTION WAS $874,773.00. THE PAYMENT WAS MADE ON OR ABOUT DECEMBER 7, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (21 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 04/15/2004 Initiated By: UTAH DIVISION OF SECURITIES Date initiated: 11/18/2003 Docket/ Case Number: SD-03-0044 Allegations: RESEARCH ANALYST CONFLICTS OF INTEREST Current Status: Final Resolution: Consent Resolution Date: 11/18/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $250,000.00 Resolution Details: CEASE & DESIST AND PAY $250,000.00 TO THE SECURITIES INVESTOR EDUCATION AND TRAINING FUND Summary: FOR MORE INFORMATION, PLEASE VISIT THE DIVISION'S WEB SITE AT: HTTP://WWW.SECURITIES.STATE.UT.US/ACTIONSEVENTS.ASP?DOCKET+NUMB ER=SD%2D03%2D0044 *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 02/11/2004 Initiated By: DEPARTMENT OF COMMERCE, DIVISION OF SECURITIES, STATE OF UTAH Date initiated: 11/18/2003 Docket/ Case Number: SD-03-0044 Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES, THE DEPARTMENT OF COMMERCE, DIVISION OF SECURITIES, STATE OF UTAH, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE UTAH UNIFORM SECURITIES ACT IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 01/21/2004 Sanctions NASD BrokerCheck October 12, 2005 Page 22 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $250,000.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF THE UTAH UNIFORM SECURITIES ACT IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF UTAH?S PORTION WAS $250,000.00. THE PAYMENT WAS MADE ON OR ABOUT NOVEMBER 10, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (22 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 02/04/2004 Initiated By: SECRETARY OF STATE, SECURITIES DIVISION, STATE OF NORTH CAROLINA Date initiated: 01/08/2004 Docket/ Case Number: 03-010-IG Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES, THE SECRETARY OF STATE, SECURITIES DIVISION, STATE OF NORTH CAROLINA, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE NORTH CAROLINA SECURITIES ACT, NORTH CAROLINA GENERAL STATUTES (?N.C.G.S.?) ?78A-39 IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 01/08/2004 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $620,209.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF N.C.G.S. ?78A-39(A)(2)(G) IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF NORTH CAROLINA?S PORTION WAS $620,209.00. THE PAYMENT WAS MADE ON OR ABOUT JANUARY 7, 2004. Summary: SEE ABOVE. ****** REGULATORY ACTION (23 of 335) ****** NASD BrokerCheck October 12, 2005 Page 23 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Reporting Source: Regulator (Form U-6) Date Reported: 03/02/2004 Initiated By: PA SECURITIES COMMISSION CONTACT: G. PHILIP RUTLEDGE (717) 787-8059 Date initiated: 12/29/2003 Docket/ Case Number: 2003-04-44 Allegations: THIS ACTION IS IN CONNECTION WITH THE GLOBAL ANALYST SETTLEMENT WHICH INCORPORATED THE FINAL JUDGMENT OF THE U.S. DISTRICT COURT FOR THE SOUTHERN DISTRICT OF NEW YORK, CIVIL ACTION NO. 03 CIV. 2940 (WHP) ENTERED OCTOBER 31, 2003. Current Status: Final Resolution: Settled Resolution Date: 12/19/2003 Sanctions Ordered: Monetary/Fine Monetary Amount: $946,269.00 Resolution Details: RESPONDENT LEHMAN BROTHERS INC., PAID A $946,269.00 ADMINISTRATIVE ASSESSMENT. Summary: *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 01/28/2004 Initiated By: SECURITIES COMMISSION, COMMONWEALTH OF PENNSYLVANIA Date initiated: 12/29/2003 Docket/ Case Number: 2003-04-44 Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES, THE SECURITIES COMMISSION, COMMONWEALTH OF PENNSYLVANIA, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF PENNSYLVANIA SECURITIES ACT OF 1972 (70 P. S. ? ? 1-101?1-704) (?1972 ACT?) IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 12/29/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $946,269.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF THE 1972 ACT IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE COMMONWEALTH OF PENNSYLVANIA?S PORTION WAS $946,269.00. THE PAYMENT WAS MADE ON OR ABOUT DECEMBER 18, 2003. NASD BrokerCheck October 12, 2005 Page 24 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Summary: SEE ABOVE ****** REGULATORY ACTION (24 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 01/28/2004 Initiated By: COMMISSIONER, DEPARTMENT OF COMMERCE, STATE OF MINNESOTA Date initiated: 12/30/2003 Docket/ Case Number: SE2304868/BJP Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES, THE COMMISSIONER, DEPARTMENT OF COMMERCE, STATE OF MINNESOTA, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF MINNESOTA STATUTES CHAPTER 80A (2002) AND MINNESOTA RULES CHAPTER 2875 (2001) IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 12/30/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $379,051.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF MINNESOTA STATUTES CHAPTER 80A.07, SUBDIVISIONS 1(7) AND 1(10) (2002) IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF MINNESOTA?S PORTION WAS $379,051.00. THE PAYMENT WAS MADE ON OR ABOUT DECEMBER 18, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (25 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 01/16/2004 Initiated By: SECURITIES DIVISION, STATE OF WEST VIRGINIA Date initiated: 12/16/2003 Docket/ Case Number: MAT NO.: E03-1348, ADM. ORD NO.: CO-2003 Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES THE SECURITIES DIVISION, STATE OF WEST VIRGINIA, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF WEST VIRGINIA UNIFORM SECURITIES ACT, WEST VIRGINIA CODE SECTIONS 32-1-101 ET SEQ., (?ACT?) IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. NASD BrokerCheck October 12, 2005 Page 25 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Current Status: Final Resolution: Consent Resolution Date: 12/16/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $250,000.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF WEST VIRGINIA CODE SECTION 032-2-204(A)(2)(G) AND (J) IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF WEST VIRGINIA?S PORTION WAS $250,000.00. THE PAYMENT WAS MADE ON OR ABOUT DECEMBER 18, 2003. Summary: ****** REGULATORY ACTION (26 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 01/12/2004 Initiated By: COMMISSIONER, DEPARTMENT OF CORPORATIONS, STATE OF CALIFORNIA Date initiated: 12/15/2003 Docket/ Case Number: N/A Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES THE DEPARTMENT OF CORPORATIONS, STATE OF CALIFORNIA, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE CORPORATE SECURITIES LAW OF 1968 AND CALIFORNIA CORPORATIONS CODE SECTIONS 25000 ET SEQ. IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 12/15/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $2,609,851.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF THE CORPORATE SECURITIES LAW OF 1968 AND CALIFORNIA CORPORATIONS CODE SECTIONS 25000 ET SEQ, IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF CALIFORNIA?S PORTION WAS $2,609,851.00. THE PAYMENT WAS MADE ON OR ABOUT NOVEMBER 13, NASD BrokerCheck October 12, 2005 Page 26 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) 2003. Summary: SEE ABOVE ****** REGULATORY ACTION (27 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 01/13/2004 Initiated By: VIRGINIA - DIVISIO OF SECURITIES Date initiated: 12/11/2003 Docket/ Case Number: SEC-2003-00018 Allegations: COMMISSION RULES 21 VAC 5-20-260 B AND 21 VAC 5-20-280 E 12 WERE VIOLATED. CONTACT THE UNDERSIGNED FOR FURTHER INFORMATION ABOUT THE CONCLUSIONS OF LAW. Current Status: Final Resolution: Settled Resolution Date: 12/11/2003 Sanctions Ordered: Monetary/Fine Monetary Amount: $545,408.00 Other Sanctions: CONTACT THE UNDERSIGNED FOR FURTHER INFORMATION Resolution Details: CONTACT THE UNDERSIGNED FOR FURTHER INFORMATION Summary: $545,408.00 WAS RECEIVED AS PART OF THE SETTLEMENT AGREEMENT LEHMAN BROTHERS, INC. ENTERED INTO WITH ALL FIFTY STATES, THE DISTRICT OF COLUMBIA AND THE COMMONWEALTH OF PUERTO RICO, THROUGH A COMMITTEE OF THE NORTH AMERICAN SECURITIES ADMINISTRATORS ASSOCIATION ("NASAA") JURISDICTION REPORTING INCIDENT: VIRGINIA, STATE CORPORATION COMMISSION, DIVISION OF SECURITIES & RETAIL FRANCHISING. CONTACT KEVIN M. FURR AT 804-371-9081 FOR MORE INFORMATION. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 01/12/2004 Initiated By: STATE CORPORATION COMMISSION, COMMONWEALTH OF VIRGINIA Date initiated: 12/11/2003 Docket/ Case Number: SEC-2003-00018 Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES THE STATE CORPORATION COMMISSION, COMMONWEALTH OF VIRGINIA, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE VIRGINIA SECURITIES ACT (?ACT?), SECTIONS 13.1-501 ET SEQ OF THE CODE OF VIRGINIA AND THE VIRGINIA ADMINISTRATIVE CODE (?VAC?), IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 12/11/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $545,408.00 Other Sanctions: UNDERTAKING Resolution NASD BrokerCheck October 12, 2005 Page 27 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF 21 VAC 5-20-280(E)(12) AND 21 VAC 5-20-260, IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE COMMONWEALTH OF VIRGINIA?S PORTION WAS $545,408.00. THE PAYMENT WAS MADE ON OR ABOUT DECEMBER 2, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (28 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 01/12/2004 Initiated By: OFFICE OF THE COMMISSIONER OF FINANCIAL INSTITUTIONS, COMMONWEALTH OF PUERTO RICO Date initiated: 11/13/2003 Docket/ Case Number: C 03-V-011 Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES THE OFFICE OF THE COMMISSIONER OF FINANCIAL INSTITUTIONS, COMMONWEALTH OF PUERTO RICO, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF ACT NO. 60 OF JUNE 18, 1963, AS AMENDED, AND KNOWN AS THE PUERTO RICO UNIFORM SECURITIES ACT (?ACT NO. 60?) AND REGULATION 6078 OF JANUARY 19, 2000, REGULATION UNDER THE UNIFORM SECURITIES ACT OF PUERTO RICO (?REGULATION 6078?) IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 12/12/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $293,457.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF THE SECTION 204(A)(G) AND (J) OF ACT NO. 60 AND SECTIONS 25.4.4, 26.1 AND 28.2 OF REGULATION 6078 IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE COMMONWEALTH OF PUERTO RICO?S PORTION WAS $293,457.00. THE PAYMENT WAS MADE ON OR ABOUT NOVEMBER 24, 2003. Summary: SEE ABOVE ****** REGULATORY ACTION (29 of 335) ****** Reporting Source: Regulator (Form U-6) NASD BrokerCheck October 12, 2005 Page 28 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Date Reported: 01/05/2004 Initiated By: OREGON DIVISION OF FINANCE AND CORPORATE SECURITIES Date initiated: 07/24/2003 Docket/ Case Number: S-03-0030 Allegations: RESPONDENT ENGAGED IN UNETHICAL AND DISHONEST PRACTICES IN CONNECTION WITH THE OFFER AND SALE OF SECURITIES. RESPONDENT ALSO FAILED REASONABLY TO SUPERVISE THEIR EMPLOYEES. ALL ALLEGATIONS RELATED TO PRACTICES OF THE RESEARCH AND INVESTMENT BANKING SECTIONS OF THE RESPONDENT'S FIRM. Current Status: Final Resolution: Consent Resolution Date: 12/04/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $263,622.00 Resolution Details: NO PORTION OF PENALTY SUSPENDED Summary: RESEARCH ANALYSTS AT THE FIRM WERE SUBJECTED TO PRESSURES FROM THE INVESTMENT BANKING SECTION OF THE FIRM TO RATE STOCKS FAVORABLY SO AS TO GAIN THE INVESTMENT BANKING BUSINESS OF THE FIRMS ISSUING STOCKS. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 12/16/2003 Initiated By: DIRECTOR, DEPARTMENT OF CONSUMER AND BUSINESS SERVICES, STATE OF OREGON Date initiated: 12/04/2003 Docket/ Case Number: S-03-0030 Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES THE DIRECTOR OF THE DEPARTMENT OF CONSUMER AND BUSINESS SERVICES, STATE OF OREGON, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE OREGON REVISED STATUTES (?ORS?), CHAPTER 59 AND THE OREGON ADMINISTRATIVE RULES (?OAR?), CHAPTER 441 IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 12/04/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $263,622.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF ORS 59.205(13), 59.205(2) AS IT RELATES TO DISHONEST AND UNETHICAL PRACTICES AND OAR 441-205-0210 IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF OREGON?S PORTION WAS $ NASD BrokerCheck October 12, 2005 Page 29 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) 263,622.00. THE PAYMENT WAS MADE ON OR ABOUT NOVEMBER 24, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (30 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 12/16/2003 Initiated By: SECURITIES DEPARTMENT, SECRETARY OF STATE, STATE OF ILLINOIS Date initiated: 12/04/2003 Docket/ Case Number: 0300909 Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES THE SECURITIES DEPARTMENT, SECRETARY OF STATE, STATE OF ILLINOIS INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE ILLINOIS SECURITIES ACT OF 1953, AS AMENDED, [815 ILCS 5/1 ET SEQ.] (THE ?ACT?) IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 12/04/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $956,921.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF SECTION 8.E(1)(B) AS IT RELATES TO UNETHICAL BUSINESS PRACTICES AND SECTION 8.E(1)(E)(IV) OF THE ACT IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF ILLINOIS? PORTION WAS $ 956,921.00. THE PAYMENT WAS MADE ON OR ABOUT DECEMBER 8, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (31 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 06/16/2004 Initiated By: MICHIGAN Date initiated: 09/23/2003 Docket/ Case Number: 03-037-M Allegations: SEC TOOK ACTION AGAINST THE FIRM ALLEGING CONFLICT OF INTEREST ARISING FROM THE FACT THAT THE RESEARCH ANALYSTS WERE PRESSURED AND SUBJECT TO INAPPROPRIATE INFLUENCE BY THE INVESTMENT BANKERS EMPLOYED BY THE FIRM TO EXAGGERATE RESEARCH FINDINGS IN ORDER TO OBTAIN INVESTMENT BANKING BUSINESS. THE FIRM FAILED TO MAINTAIN APPROPRIATE SUPERVISION OVER ITS RESEARCH AND INVESTMENT BANKING OPERATIONS NASD BrokerCheck October 12, 2005 Page 30 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Current Status: Final Resolution: Consent Resolution Date: 09/23/2003 Sanctions Ordered: Cease and Desist/Injunction Other Sanctions: COMPLIANCE WITH THE NASD AND NYSE RULES GOVERNING ETHICAL PRACTICES AND CONDUCT. CEASE AND DESIST FROM ENGAGING IN ACTS OR PRACTICES THAT VIOLATE THE MICHIGAN UNIFORM SECURITIES ACT. Resolution Details: PAYMENT OF THE $80,000,000 AS ORDERED IN THE SEC JUDGMENT IN ACCORDANCE WITH THAT JUDGMENT, AND COMPLIANCE WITH THE UNDERTAKINGS LISTED IN THAT JUDGMENT. Summary: *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 12/16/2003 Initiated By: COMMISSIONER, OFFICE OF FINANCIAL AND INSURANCE SERVICES, STATE OF MICHIGAN Date initiated: 10/03/2003 Docket/ Case Number: ADMINISTRATIVE ORDER NO. 03-037-M Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES THE COMMISSIONER, OFFICE OF FINANCIAL AND INSURANCE SERVICES (?OFIS?), STATE OF MICHIGAN, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE OFIS UNIFORM SECURITIES ACT, (?ACT?), MICHIGAN COMPILED LAWS 451.501 ET SEQ. IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 10/03/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $765,768.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF MCL 451.604(A)(1)(G) AND 451.604(A)(2) IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF MICHIGAN?S PORTION WAS $765,768.00. THE PAYMENT WAS MADE ON OR ABOUT SEPTEMBER 5, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (32 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 12/08/2003 Initiated By: DIRECTOR, DEPARTMENT OF BANKING AND FINANCE, STATE OF NEBRASKA NASD BrokerCheck October 12, 2005 Page 31 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Date initiated: 11/17/2003 Docket/ Case Number: NA Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES THE, DIRECTOR, DEPARTMENT OF BANKING AND FINANCE, STATE OF NEBRASKA INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE SECURITIES ACT OF NEBRASKA, NEB. REV. STAT. SECTIONS 8-1101 TO 8-1124 (REISSUE 1997; CUM. SUPP.2002) (?ACT?) IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 11/17/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $250,000.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF SECTIONS 8-1103 (A)(VII) AND (XI) OF THE ACT IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF NEBRASKA?S PORTION WAS $250,000.00. THE PAYMENT WAS MADE ON OR ABOUT NOVEMBER 10, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (33 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 12/09/2003 Initiated By: COMMISSIONER, DIVISION OF SECURITIES, STATE OF MARYLAND Date initiated: 11/21/2003 Docket/ Case Number: FILE NO. 2002-0892 Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES THE COMMISSIONER, DIVISION OF SECURITIES, STATE OF MARYLAND, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE MARYLAND SECURITIES ACT, CORPORATIONS AND ASSOCIATIONS ARTICLE, TITLE 11, ANNOTATED CODE OF MARYLAND (1999 REPL. VOL. & SUPP. 2002)(?MARYLAND SECURITIES ACT?) IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 11/21/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction NASD BrokerCheck October 12, 2005 Page 32 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Monetary Amount: $408,100.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF THE MARYLAND SECURITIES ACT IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF MARYLAND?S PORTION WAS $408,100.00. THE PAYMENT WAS MADE ON OR ABOUT NOVEMBER 11, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (34 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 12/08/2003 Initiated By: DIRECTOR, DIVISION OF SECURITIES, STATE OF SOUTH DAKOTA Date initiated: 11/07/2003 Docket/ Case Number: ADMINISTRATIVE CASE# 648 Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES THE, DIRECTOR, DIVISION OF SECURITIES, STATE OF SOUTH DAKOTA INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE SOUTH DAKOTA UNIFORM SECURITIES ACT, CHAPTER 47-31A, IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 11/07/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $250,000.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF SOUTH DAKOTA CODIFIED LAW SECTIONS 47-31A-204(A)(2)(G) AND (J) IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF SOUTH DAKOTA?S PORTION WAS $250,000.00. THE PAYMENT WAS MADE ON OR ABOUT NOVEMBER 10, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (35 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 12/08/2003 NASD BrokerCheck October 12, 2005 Page 33 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Initiated By: ADMINISTRATOR, SECRETARY OF STATE, SECURITIES DIVISION, STATE OF NEVADA Date initiated: 11/25/2003 Docket/ Case Number: FILE NO.: I03-185 Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES THE, ADMINISTRATOR, SECRETARY OF STATE, SECURITIES DIVISION, STATE OF NEVADA, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE NEVADA SECURITIES ACT, NEVADA REVISED STATUTES (?NRS?) CHAPTER 90, AND THE NEVADA ADMINISTRATIVE CODE (?NAC?) IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 11/25/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $250,000.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF NRS 90.420(1)(H), NRS 90.420(1)(K), AND NAC 90.327(1) IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF NEVADA?S PORTION WAS $250,000.00. THE PAYMENT WAS MADE ON OR ABOUT NOVEMBER 13, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (36 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 12/04/2003 Initiated By: ADMINISTRATOR, DIVISION OF SECURITIES, STATE OF WISCONSIN Date initiated: 10/23/2003 Docket/ Case Number: FILE NO.: S-03103(LX) Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES THE, ADMINISTRATOR OF THE DIVISION OF SECURITIES, STATE OF WISCONSIN, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE WISCONSIN UNIFORM SECURITIES LAW, CH 551, WIS. STATS., IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 10/23/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction NASD BrokerCheck October 12, 2005 Page 34 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Monetary Amount: $413,277.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF WISCONSIN UNIFORM SECURITIES LAW, CH 551, WIS. STATS. IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF WISCONSIN?S PORTION WAS $413,277.00. THE PAYMENT WAS MADE ON OR ABOUT SEPTEMBER 26, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (37 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 11/26/2003 Initiated By: COMMISSIONER OF THE DEPARTMENT OF INSURANCE AND SECURITIES REGULATION, DISTRICT OF COLUMBIA Date initiated: 11/12/2003 Docket/ Case Number: SEC. CO 03-09 Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES THE COMMISSIONER OF THE DEPARTMENT OF INSURANCE AND SECURITIES REGULATION, DISTRICT OF COLUMBIA, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE SECURITIES ACT OF 2000, D.C. OFFICIAL CODE SECTIONS 31-5601.01 ET SEQ. (?ACT?) IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 11/12/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $250,000.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF SECTIONS 31-5602.07(A)(9) AND (12) OF THE ACT IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE DISTRICT OF COLUMBIA?S PORTION WAS $250,000.00. THE PAYMENT WAS MADE ON OR ABOUT SEPTEMBER 4, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (38 of 335) ****** NASD BrokerCheck October 12, 2005 Page 35 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Reporting Source: Brokerage Firm (Form BD) Date Reported: 11/26/2003 Initiated By: COMMISSIONER OF SECURITIES DEPARTMENT, STATE OF ARKANSAS Date initiated: 10/01/2003 Docket/ Case Number: S-03-016-03-C004 Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES THE, COMMISSIONER OF THE SECURITIES DEPARTMENT, STATE OF ARKANSAS, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE ARKANSAS SECURITIES ACT, ARKANSAS CODE ANNOTATED, SECTION 23-42-101 ET. SEQ. (?ACT?) IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 11/12/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $250,000.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF SECTIONS 23-42-308(A)(2)(G) AND 23-42-308(A)(2)(J) OF THE ACT IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF ARKANSAS? PORTION WAS $250,000.00. THE PAYMENT WAS MADE ON OR ABOUT AUGUST 26, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (39 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 11/26/2003 Initiated By: SECURITIES ADMINISTRATOR, DEPARTMENT OF FINANCIAL INSTITUTIONS, STATE OF WASHINGTON Date initiated: 11/07/2003 Docket/ Case Number: CASE NO.: S-03-093 Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES THE, SECURITIES ADMINISTRATOR, DEPARTMENT OF FINANCIAL INSTITUTIONS, STATE OF WASHINGTON, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE SECURITIES ACT OF WASHINGTON, REVISED CODE OF WASHINGTON, CH 21.20 ET. SEQ. (?ACT?) IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent NASD BrokerCheck October 12, 2005 Page 36 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Resolution Date: 11/07/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $454,149.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF THE ACT IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF WASHINGTON?S PORTION WAS $454,149.00. THE PAYMENT WAS MADE ON OR ABOUT OCTOBER 27, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (40 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 11/26/2003 Initiated By: COMMISSIONER OF COMMERCE AND INSURANCE, SECURITIES DIVISION, STATE OF TENNESSEE Date initiated: 10/31/2003 Docket/ Case Number: FILE NO.: 03-006 Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES THE, COMMISSIONER OF COMMERCE AND INSURANCE, SECURITIES DIVISION, STATE OF TENNESSEE, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF TENNESSEE CODE ANNOTATED SECTION 48-2-116 OF THE TENNESSEE SECURITIES ACT OF 1980 AS AMENDED, TENNESSEE CODE ANNOTATED 48-2-101, ET. SEQ. (?ACT?) IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 10/31/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $438,366.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF SECTIONS 48-2-112(A)(2)(G) AND (J) OF THE ACT IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF TENNESSEE?S PORTION WAS $438,366.00. THE PAYMENT WAS MADE ON OR ABOUT OCTOBER 21, 2003. Summary: SEE ABOVE. NASD BrokerCheck October 12, 2005 Page 37 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) ****** REGULATORY ACTION (41 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 12/18/2003 Initiated By: FLORIDA Date initiated: 10/31/2003 Docket/ Case Number: 0046-S-06/03 Allegations: RESPONDENT FAILED TO EXERCISE DILIGENT SUPERVISION OVER ALL SECURITIES ACTIVITIES OF ITS ASSOCIATED PERSONS AND FAILED TO ESTABLISH, MAINTAIN, AND ENFORCE WRITTEN PROCEDURES IN VIOLATION OF CHAPTER 517.161(1)(A) FLORIDA STATUTES AND NASD CONDUCT RULE 3010. RESPONDENT FROM JULY 1999 THRU JUNE 2001 ENGAGED IN ACTS OR PRACTICES THAT CREATED OR MAINTAINED INAPPROPRIATE INFLUENCES BY INVESTMENT BANKING OVER RESEARCH ANALYSTS, AND FAILED TO MANAGE THESE CONFLICTS IN AN APPROPRIATE MANNER. Current Status: Final Resolution: Order Resolution Date: 10/31/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $1,231,461.00 Resolution Details: NA Summary: RESPONDENT FAILED TO EXERCISE DILIGENT SUPERVISION OVER ALL SECURITIES ACTIVITIES OF ITS ASSOCIATED PERSONS AND FAILED TO ESTABLISH, MAINTAIN, AND ENFORCE WRITTEN PROCEDURES IN VIOLATION OF CHAPTER 517.161(1)(A) FLORIDA STATUTES AND NASD CONDUCT RULE 3010. RESPONDENT FROM JULY 1999 THRU JUNE 2001 ENGAGED IN ACTS OR PRACTICES THAT CREATED OR MAINTAINED INAPPROPRIATE INFLUENCES BY INVESTMENT BANKING OVER RESEARCH ANALYSTS, AND FAILED TO MANAGE THESE CONFLICTS IN AN APPROPRIATE MANNER. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 11/26/2003 Initiated By: OFFICE OF FINANCIAL REGULATION, STATE OF FLORIDA Date initiated: 10/31/2003 Docket/ Case Number: OFR NO. 0046-S-6/03 Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES THE DIRECTOR OF THE OFFICE OF FINANCIAL REGULATION, STATE OF FLORIDA, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE FLORIDA SECURITIES AND INVESTOR PROTECTION ACT (?ACT?) AND FLORIDA ADMINISTRATIVE CODE IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 10/31/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $1,231,461.00 Other Sanctions: UNDERTAKING NASD BrokerCheck October 12, 2005 Page 38 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF SECTION 517.161 (1)(A) OF THE ACT AND RULE 3E-600.013 OF THE FLORIDA ADMINISTRATIVE CODE IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF FLORIDA?S PORTION WAS $1,231,461.00. THE PAYMENT WAS MADE ON OR ABOUT OCTOBER 21, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (42 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 11/26/2003 Initiated By: COMMISSIONER OF SECURITIES, OFFICE OF THE SECRETARY OF STATE, STATE OF MISSOURI Date initiated: 10/23/2003 Docket/ Case Number: CASE NO.: AO-03-18 Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES THE, COMMISSIONER OF SECURITIES, OFFICE OF THE SECRETARY OF STATE, STATE OF MISSOURI, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE MISSOURI SECURITIES ACT, CHAPTER 409, RSMO, (?ACT?) IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 10/23/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $431,117.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF SECTIONS 409.204(A)(2)(G) AND (J) OF THE ACT IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF MISSOURI?S PORTION WAS $431,117.00. THE PAYMENT WAS MADE ON OR ABOUT SEPTEMBER 22, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (43 of 335) ****** Reporting Source: Regulator (Form U-6) NASD BrokerCheck October 12, 2005 Page 39 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Date Reported: 11/25/2003 Initiated By: TEXAS Date initiated: 11/19/2003 Docket/ Case Number: SSB DKT NO 03-050;ORDER NO CDO/FIN-1549 Allegations: LEHMAN BROTHERS, INC. HAS BEEN A BROKER-DEALER REGISTERED WITH THE TEXAS STATE SECURITIES BOARD SINCE AUGUST 19, 1983 AND AN INVESTMENT ADVISER SINCE MARCH 23, 1965. RESPONDENT, DURING THE PERIOD FROM JULY 1999 THRU JUNE 2001, FAILED TO EXERCISE DILIGENT SUPERVISION OVER ALL SECURITIES ACTIVITIES OF ITS ASSOCIATED PERSONS & FAILED TO ESTABLISH MAINTAIN OR ENFORCE WRITTEN PROCEDURES WHICH IS IN VIOLATION OF SECTION 115.10 OF THE RULES & REG'S OF THE TEXAS SECURITIES BOARD. RESPONDENT, DURING THE PERIOD FROM JULY 1999 THRU JULY 2001, ENGAGED IN ACTS OR PRACTICES THAT CREATED OR MAINTAINED INAPPROPRIATE INFLUENCES BY INVESTMENT BANKING OVER RESEARCH ANALYSTS, IMPOSED CONFLICTS OF INTEREST IN ITS RESEARCH ANALYSTS, AND FAILED TO MANAGE THESE CONFLICTS IN AN ADEQUATE OR APPROPRIATE MANNER IN VIOLATION OF SECTION 14.A(3) OF THE TEXAS SECURITIES ACT. RESPONDENT, DURING THE PERIOD FROM JULY 1999 THRU JUNE 2001, ISSUED RESEARCH REPORTS THAT WERE NOT BASED ON PRINCIPLES OF FAIR DEALING AND GOOD FAITH, DID NOT PROVIDE SOUND BASIS FOR EVALUATING FACTS, WERE NOT PROPERLY BALANCED AND/OR CONTAINED EXAGGERATED OR UNWARRANTED CLAIMS AND OPINIONS OF WHICH THERE WAS NO REASONABLE BASIS, IN VIOLATION OF SECTION 14.A(3) OF THE TEXAS SECURITIES ACT. Current Status: Final Resolution: Order Resolution Date: 11/19/2003 Sanctions Ordered: Monetary/Fine Monetary Amount: $1,606,657.00 Other Sanctions: CEASE AND DESIST FROM VIOLATING THE TEXAS SECURITIES ACT AND AGREED TO AN UNDERTAKING Resolution Details: $1,606,657 WAS PAID CONTEMPORANEOUSLY WITH THE DELIVERY OF THE ORDER TO THE TEXAS SECURITIES COMMISSIONER. Summary: *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 12/16/2003 Initiated By: SECURITIES COMMISSIONER, STATE SECURITIES BOARD, STATE OF TEXAS Date initiated: 11/19/2003 Docket/ Case Number: DOCK NO.: 03-050; ORD NO.: CDO/FIN 1549 Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES THE SECURITIES COMMISSIONER OF THE STATE SECURITIES BOARD, STATE OF TEXAS, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE SECURITIES ACT, TEX. REV. CIV. STAT. ANN. ART. 581-1 ET SEQ. (VERNON 1964 & SUPP. 2003)(?TEXAS SECURITIES ACT?), AND THE ADMINISTRATIVE PROCEDURE ACT, TEX. GOV?T CODE ANN. ?2001.001 ET SEQ. (VERNON SUPP. 2003)(?ADMINISTRATIVE PROCEDURE ACT?), IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 11/19/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $1,606,657.00 NASD BrokerCheck October 12, 2005 Page 40 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF SECTION 14.A(3) OF THE TEXAS SECURITIES ACT AS IT RELATES TO INEQUITABLE PRACTICES IN THE SALE OF SECURITIES AND SECTION 115.10 OF THE BOARD RULES IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF TEXAS? PORTION WAS $ 1,606,657.00. THE PAYMENT WAS MADE ON OR ABOUT NOVEMBER 11, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (44 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 05/24/2004 Initiated By: NORTH DAKOTA SECURITIES DEPARTMENT Date initiated: 09/22/2003 Docket/ Case Number: Allegations: RESPONDENT, DURING THE PERIOD FROM JULY 1999 THROUGH JUNE 2001, FAILED TO EXERCISE DILIGENT SUPERVISION OVER ALL THE SECURITIES ACTIVITIES OF ITS ASSOCIATED PERSONS AND FAILED TO ESTABLISH, MAINTAIN OR ENFORCE WRITTEN PROCEDURES, A COPY OF WHICH SHOULD BE KEPT IN EACH BUSINESS OFFICE, WHICH SET FORTH THE PROCEDURES ADOPTED BY THE DEALER, ISSUER OR INVESTMENT ADVISOR TO COMPLY WITH THE LISTED DUTIES IMPOSED BY THE NORTH DAKOTA CENTURY CODE. RESPONDENT ENGAGED IN ACTS OR PRACTICES THAT CREATED OR MAINTAINED INAPPROPRIATE INFLUENCES BY INVESTMENT BANKING OVER RESEARCH ANALYSTS AND FAILED TO MANAGE THESE CONFLICTS IN AN ADEQUATE OR APPROPRIATE MANNER IN VIOLATION OF JUST AND EQUITABLE PRINCIPLES OF TRADE. Current Status: Final Resolution: Order Resolution Date: 09/22/2003 Sanctions Ordered: Monetary/Fine Monetary Amount: $250,000.00 Resolution Details: LEHMAN BROTHERS PAID THE FINE ON 9/22/2003 Summary: FROM AT LEAST JULY 1999 THROUGH AT LEAST JUNE 2001, LEHMAN COMPETED VIGOROUSLY WITH OTHER INVESTMENT BANKS TO BE SELECTED AS THE LEAD MANAGER FOR SECURITIES OFFERINGS, IN PART BECAUSE OF THE FINANCIAL REWARDS ASSOCIATED WITH THAT ROLE. IN ADDITION, LEHMAN HOPED TO GAIN ONGOING TRANSACTIONAL AND ADVISORY WORK FROM EXISTING AND POTENTIAL CLIENTS, INCLUDING SECONDARY OFFERINGS AND FINANCIAL ADVISORY ARRANGEMENTS. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 10/27/2003 Initiated By: COMMISSIONER OF THE SECURITIES DEPARTMENT, STATE OF NORTH DAKOTA Date initiated: 09/22/2003 Docket/ Case Number: IN THE MATTER OF LEHMAN BROTHERS INC. NASD BrokerCheck October 12, 2005 Page 41 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES THE COMMISSIONER OF THE SECURITIES DEPARTMENT, STATE OF NORTH DAKOTA, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE NORTH DAKOTA SECURITIES ACT IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 10/07/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $250,000.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF SECTIONS 10-04-11(1)(C) AND 10-04-11(1)(M) IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF NORTH DAKOTA?S PORTION WAS $250,000.00. THE PAYMENT WAS MADE ON OR ABOUT SEPTEMBER 10, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (45 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 10/27/2003 Initiated By: CHIEF OF THE BUREAU OF SECURITIES, STATE OF NEW JERSEY Date initiated: 09/03/2003 Docket/ Case Number: IN THE MATTER OF LEHMAN BROTHERS INC. Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES THE CHIEF OF THE BUREAU OF SECURITIES, STATE OF NEW JERSEY, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE UNIFORM SECURITIES LAW (1997) IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 10/07/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $648,335.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF THE UNIFORM SECURITIES LAW (1997), N.J.S.A. 49:3-47 ET SEQ. IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS NASD BrokerCheck October 12, 2005 Page 42 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF NEW JERSEY?S PORTION WAS $648,335.00. THE PAYMENT WAS MADE ON OR ABOUT AUGUST 26, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (46 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 10/27/2003 Initiated By: CORPORATION COMMISSION, STATE OF ARIZONA Date initiated: 09/29/2003 Docket/ Case Number: S-03535A-03-0000, DECISION NO.: 66320 Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES THE CORPORATION COMMISSION, STATE OF ARIZONA INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE SECURITIES ACT OF ARIZONA (?SECURITIES ACT?) IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 09/29/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $395,321.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF SECURITIES ACT OF ARIZONA SECTION 44-1961(A)(13) IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF ARIZONA?S PORTION WAS $395,321.00. THE PAYMENT WAS MADE ON OR ABOUT AUGUST 26, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (47 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 01/13/2004 Initiated By: GEORGIA SECRETARY OF STATE-SECURITIES DIVISION. Date initiated: 09/08/2003 Docket/ Case Number: EN-19513 Allegations: THE RESPONDENT SETTLED DALLEGATIONS THAT UNDUE INFLUENCE BY NASD BrokerCheck October 12, 2005 Page 43 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) INVESTMENT BANKING DIVISION ON SECURITIES RESEARCH AT FIRM RESULTED IN TAINTED RESEARCH. Current Status: Final Resolution: Consent Resolution Date: 09/25/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $630,775.00 Other Sanctions: SEE #2 Resolution Details: FIRM AGREED TO PAY MONETARY PENALTIES, DISGORGEMENT, AND FUND INDEPENDENT RESEARCH AND INVESTOR EDUCATION. FIRM ALSO AGREED TO REFORM PRACTICES TO MINIMIZE POSSIBILITY OF FUTURE CONFLICTS OF INTEREST. Summary: *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 10/27/2003 Initiated By: COMMISSIONER OF SECURITIES, STATE OF GEORGIA Date initiated: 09/25/2003 Docket/ Case Number: EN-19513 Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES THE COMMISSIONER OF SECURITIES, STATE OF GEORGIA INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE GEORGIA SECURITIES ACT OF 1973 (?ACT?) AND CERTAIN RULES OF THE OFFICE OF SECRETARY OF STATE (?RULES?) IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 09/25/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $630,775.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF SECTIONS 10-5-4 (A)(8) AND (11) AND 10-5-12(A)(1) OF THE ACT AND 590-4-2-.08(1) AND 590-4-2-.14(1) OF THE RULES IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF GEORGIA?S PORTION WAS $630,775.00. THE PAYMENT WAS MADE ON OR ABOUT SEPTEMBER 26, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (48 of 335) ****** Reporting Source: Brokerage Firm (Form BD) NASD BrokerCheck October 12, 2005 Page 44 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Date Reported: 10/27/2003 Initiated By: SECRETARY OF STATE AND THE ATTORNEY GENERAL, STATE OF WYOMING Date initiated: 09/15/2003 Docket/ Case Number: NO. 02-11 Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES THE SECRETARY OF STATE AND THE ATTORNEY GENERAL OF THE STATE OF WYOMING INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE WYOMING SECURITIES ACT (?ACT?) IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 09/26/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $250,000.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF SECTIONS 17-4-106 (A)(II)(G) AND (B)(II)(A) OF THE WYOMING SECURITIES ACT IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF WYOMING?S PORTION WAS $250,000.00. THE PAYMENT WAS MADE ON OR ABOUT SEPTEMBER 3, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (49 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 10/27/2003 Initiated By: INDIANA SECURITIES COMMISSIONER, SECURITIES DIVISION OF THE OFFICE OF THE SECRETARY OF STATE Date initiated: 09/24/2003 Docket/ Case Number: CAUSE #03-00557CO Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES THE COMMISSIONER OF THE SECURITIES DIVISION OF THE OFFICE OF THE SECRETARY OF STATE, STATE OF INDIANA, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE INDIANA SECURITIES ACT (?ACT?) IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 09/24/2003 Sanctions NASD BrokerCheck October 12, 2005 Page 45 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $468,508.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF INDIANA CODE 23-2-1-11 (A)(6) AND -11(A)(14), AND 710 INDIANA ADMINISTRATIVE CODE 1-17-1(V) AND -1(W) IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF INDIANA?S PORTION WAS $468,508.00. THE PAYMENT WAS MADE ON OR ABOUT SEPTEMBER 3, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (50 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 10/27/2003 Initiated By: COMMISSIONER OF THE DEPARTMENT OF FINANCIAL INSTITUTIONS, STATE OF KENTUCKY Date initiated: 09/10/2003 Docket/ Case Number: NOT AVAILABLE Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES THE COMMISSIONER OF THE DEPARTMENT OF FINANCIAL INSTITUTIONS, STATE OF KENTUCKY, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE SECURITIES ACT OF KENTUCKY (?ACT?) IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 09/23/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $311,423.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF SECTIONS 292.330(13)(A)7 AND 292.330(13)(A)9A OF THE ACT IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF KENTUCKY?S PORTION WAS $311,423.00. THE PAYMENT WAS MADE ON OR ABOUT AUGUST 28, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (51 of 335) ****** NASD BrokerCheck October 12, 2005 Page 46 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Reporting Source: Regulator (Form U-6) Date Reported: 01/07/2004 Initiated By: OKLAHOMA Date initiated: 05/02/2003 Docket/ Case Number: ODS 03-134 Allegations: TIME PERIOD BEGINNING JULY 1, 1999, TO JUNE 30, 2001, TO WIT, LEHMAN BROTHERS FAILED TO ENSURE THAT RESEARCH ANALYSTS WERE ADEQUATELY INSULATED FROM PRESSURES AND INFLUENCES FROM COVERED COMPANIES AND INVESTMENT BANKING, AND LEHMAN BROTHERS FAILED TO REASONABLY SUPERVISE ITS EMPLOYEES TO ENSURE THAT ITS RESEARCH ANALYSTS WERE ADEQUATELY INSULATED FROM SUCH PRESSURES AND INFLUENCES. Current Status: Final Resolution: Consent Resolution Date: 09/12/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $265,877.00 Resolution Details: LEHMAN BROTHERS ALSO AGREED TO COMPLY WITH ALL UNDERTAKINGS ESTABLISHED AS PART OF THE GLOBAL ANALYST SETTLEMENT IN CONNECTION WITH THE FIRM'S RESEARCH PRACTICES. Summary: *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 10/22/2003 Initiated By: ADMINISTRATOR OF THE OKLAHOMA DEPARTMENT OF SECURITIES Date initiated: 09/12/2003 Docket/ Case Number: ODS FILE NO. 03-134 Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES THE DEPARTMENT OF SECURITIES, STATE OF OKLAHOMA, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE OKLAHOMA SECURITIES ACT (?ACT?) AND THE RULES OF THE OKLAHOMA SECURITIES COMMISSION AND THE ADMINISTRATOR OF THE DEPARTMENT OF SECURITIES (?RULES?), IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 09/22/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $265,877.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF CERTAIN SECTIONS OF THE ACT AND RULES IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A NASD BrokerCheck October 12, 2005 Page 47 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF OKLAHOMA?S PORTION WAS $265,877.00. THE PAYMENT WAS MADE ON SEPTEMBER 22, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (52 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 10/17/2003 Initiated By: KANSAS SECURITIES COMMISSIONER Date initiated: 05/05/2003 Docket/ Case Number: 2003E047/KSC 2003-4740 Allegations: LEHMAN BROTHERS, INC.’S ACTIVITIES IN CONNECTION WITH CERTAIN CONFLICTS OF INTEREST THAT RESEARCH ANALYSTS WERE SUBJECT TO DURING THE PERIOD OF JULY 1, 1999 THRU JUNE 30, 2001. Current Status: Final Resolution: Stipulation and Consent Resolution Date: 09/30/2003 Sanctions Ordered: Monetary/Fine Monetary Amount: $250,000.00 Resolution Details: LEHMAN BROTHERS, INC.’S WILL CEASE AND DESIST FROM VIOLATING KSC 17-1254(M)(7) & (12) IN CONNECTION WITH THE RESEARCH PRACTICES REFERENCED IN THE ORDER, WILL COMPLY WITH KSA 17-1254 (M)(7) & (12) IN CONNECTION WITH THE RESEARCH PRACTICES REFERENCED IN THE ORDER, AND WILL COMPLY WITH THE UNDERTAKINGS. Summary: *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 10/27/2003 Initiated By: OFFICE OF THE SECURITIES COMMISSIONER, STATE OF KANSAS Date initiated: 09/30/2003 Docket/ Case Number: 2003E047, K.S.C. NO., 2003-4740 Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES THE SECURITIES COMMISSIONER OF THE STATE OF KANSAS INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE KANSAS SECURITIES ACT (?ACT?) IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 09/30/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $250,000.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL NASD BrokerCheck October 12, 2005 Page 48 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF SECTIONS 17-1254(M)(7) & (12) OF THE KANSAS SECURITIES ACT IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF KANSAS?S PORTION WAS $250,000.00. THE PAYMENT WAS MADE ON OR ABOUT SEPTEMBER 22, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (53 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 10/27/2003 Initiated By: DIRECTOR OF THE DEPARTMENT OF FINANCE, STATE OF IDAHO Date initiated: 09/08/2003 Docket/ Case Number: DOCKET NO. 2003-7-23 Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES, THE DEPARTMENT OF FINANCE, STATE OF IDAHO, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE IDAHO SECURITIES ACT, IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 09/16/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $250,000.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF THE IDAHO SECURITIES ACT, IDAHO CODE 30-1413(7) IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF IDAHO?S PORTION WAS $250,000.00. THE PAYMENT WAS MADE ON OR ABOUT AUGUST 28, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (54 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 10/27/2003 Initiated By: ADMINISTRATOR OF SECURITIES, DIVISION OF BANKING, SECURITIES AND CORPORATIONS, STATE OF ALASKA Date initiated: 08/20/2003 NASD BrokerCheck October 12, 2005 Page 49 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Docket/ Case Number: ALASKA ORDER 04-04-S Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES THE DIVISION OF BANKING, SECURITIES AND CORPORATIONS, STATE OF ALASKA, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE ALASKA SECURITIES ACT, IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 09/18/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $250,000.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF SECTIONS 45.55.060(A)(7) AND (B)(1) OF THE ALASKA SECURITIES ACT IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF ALASKA?S PORTION WAS $250,000.00. THE PAYMENT WAS MADE ON OR ABOUT AUGUST 26, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (55 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 10/27/2003 Initiated By: RHODE ISLAND DEPARTMENT OF BUSINESS REGULATION Date initiated: 09/08/2003 Docket/ Case Number: 03-122 Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES, THE RHODE ISLAND DEPARTMENT OF BUSINESS REGULATION INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE RHODE ISLAND UNIFORM SECURITIES ACT OF 1990, IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 09/08/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $250,000.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL NASD BrokerCheck October 12, 2005 Page 50 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF SECTIONS 7-11-212(B)(8) AND (11) OF THE RHODE ISLAND UNIFORM SECURITIES ACT OF 1990 IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF RHODE ISLAND?S PORTION WAS $250,000.00. THE PAYMENT WAS MADE ON OR ABOUT AUGUST 28, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (56 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 03/24/2004 Initiated By: VERMONT Date initiated: 07/01/2002 Docket/ Case Number: 03-059-S Allegations: VIOLATION OF THE VERMONT SECURITIES ACT IN THAT: (A) FIRM FAILED TO ENSURE THAT ANALYSTS WHO ISSUED RESEARCH WERE ADEQUATELY INSULATED FROM PRESSURES AND INFLUENCES FROM COVERED COMPANIES AND INVESTMENT BANKING WHICH CONDUCT IS A DISHONEST AND UNETHICAL PRACTICE UNDER SECTION 4221A(A)(8) OF THE ACT; AND (B) FIRM FAILED TO REASONABLY SUPERVISE ITS EMPLOYEES TO ENSURE THAT ITS ANALYSTS WHO ISSUED RESEARCH WERE ADEQUATELY INSULATED FROM PRESSURES AND INFLUENCES FROM COVERED COMPANIES AND INVESTMENT BANKING AS REQUIRED UNDER SECTION 4221A(A)(11) OF THE ACT. Current Status: Final Resolution: Order Resolution Date: 09/03/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $250,000.00 Resolution Details: GLOBAL SETTLEMENT RESULTING FROM INVESTIGATION OF ANALYST TASK FORCE. FIRM ADMITS THE JURISDICTION OF THE COMMISSIONER, NEITHER ADMITS NOR DENIES THE FINDINGS OF FACT AND CONCLUSIONS OF LAW CONTAINED IN THE ORDER, AND CONSENTS TO THE ENTRY OF THE ORDER BY THE COMMISSIONER. Summary: *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 12/16/2003 Initiated By: COMMISSIONER OF THE DEPARTMENT OF BANKING, INSURANCE, SECURITIES AND HEALTH CARE ADMINISTRATION, STATE OF VERMONT Date initiated: 09/03/2003 Docket/ Case Number: 03-059-S Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES, THE COMMISSIONER OF THE DEPARTMENT OF BANKING, INSURANCE, SECURITIES AND HEALTH CARE ADMINISTRATION INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE VERMONT SECURITIES ACT (?V.S.A.?), IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. NASD BrokerCheck October 12, 2005 Page 51 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Current Status: Final Resolution: Consent Resolution Date: 09/03/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $250,000.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF SECTIONS 4221A(A)(8) AND (11) IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF VERMONT?S PORTION WAS $250,000.00. THE PAYMENT WAS MADE ON OR ABOUT AUGUST 28, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (57 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 11/13/2003 Initiated By: MAINE OFFICE OF SECURITIES Date initiated: 05/30/2003 Docket/ Case Number: 03-105 Allegations: THE FIRM ENGAGED IN UNETHICAL AND DISHONEST CONDUCT BY FAILING TO ENSURE THAT ANALYSTS WHO ISSUED RESEARCH WERE ADEQUATELY INSULATED FROM PRESSURES AND INFLUENCES OF COVERED COMPANIES AND INVESTMENT BANKING. THE FIRM ALSO FAILED TO REASONABLY SUPERVISE ITS EMPLOYEES IN CONNECTION WITH THE ISSUANCE OF RESEARCH. Current Status: Final Resolution: Order Resolution Date: 08/28/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $250,000.00 Resolution Details: PENALTY OF $250,000 WAS PAID ON 8/28/2003. Summary: THE FIRM WAS ORDERED TO CEASE AND DESIST FROM VIOLATING THE RMSA IN CONNECTION WITH CERTAIN CONFLICTS OF INTEREST TO WHICH ITS RESEARCH ANALYSTS WERE SUBJECT AND TO IMPLEMENT CERTAIN CHANGES WITH RESPECT TO ITS RESEARCH AND BANKING PRACTICES. THE CONSENT ORDER WAS EXECUTED AS PART OF A GLOBAL SETTLEMENT OF COORDINATED INVESTIGATIONS ENTERED INTO BY FEDERAL AND STATE REGULATORS, AND SEVERAL LARGE BROKER-DEALERS WHO ENGAGED IN THE RESEARCH PRACTICES AT ISSUE. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 10/28/2003 Initiated By: SECURITIES ADMINISTRATOR OF THE OFFICE OF SECURITIES, STATE OF MAINE Date initiated: 08/28/2003 NASD BrokerCheck October 12, 2005 Page 52 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Docket/ Case Number: 03-105 Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES, THE SECURITIES ADMINISTRATOR OF THE OFFICE OF SECURITIES, STATE OF MAINE, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE REVISED MAINE SECURITIES ACT (?M.R.S.A.?), IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 08/28/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $250,000.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF SECTIONS 10313(1)(G) AND 10313(1)(J) OF THE M.R.S.A. IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF MAINE?S PORTION WAS $250,000.00. THE PAYMENT WAS MADE ON OR ABOUT AUGUST 26, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (58 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 11/26/2003 Initiated By: SECRETARY OF STATE OF THE STATE OF MISSISSIPPI Date initiated: 09/04/2003 Docket/ Case Number: 02-11-06-S Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES, THE SECRETARY OF STATE OF THE STATE OF MISSISSIPPI, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE MISSISSIPPI SECURITIES ACT, IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 09/04/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $250,000.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF CERTAIN PROVISIONS NASD BrokerCheck October 12, 2005 Page 53 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) OF THE MISSISSIPPI SECURITIES ACT IN CONNECTION WITH CERTAIN RESEARCH PRACTICES REFERENCED IN THE CONSENT ORDER, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF MISSISSIPPI?S PORTION WAS $250,000.00. THE PAYMENT WAS MADE ON OR ABOUT AUGUST 26, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (59 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 11/26/2003 Initiated By: COMMISSIONER OF SECURITIES, STATE OF HAWAII, DEPARTMENT OF COMMERCE AND CONSUMER AFFAIRS Date initiated: 09/03/2003 Docket/ Case Number: SEU2002-047 Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES, THE COMMISSIONER OF SECURITIES, STATE OF HAWAII, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE HAWAII REVISED STATUTES (?H.R.S.?), UNIFORM SECURITIES ACT, IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 09/03/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $250,000.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF SECTION H.R.S. 485-15(7) AND 485-15(10) OF THE UNIFORM SECURITIES ACT IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES AND ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF HAWAII?S PORTION WAS $250,000.00. THE PAYMENT WAS MADE ON OR ABOUT AUGUST 26, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (60 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 09/17/2003 Initiated By: NEW YORK STOCK EXCHANGE DIVISION OF ENFORCEMENT Date initiated: 08/04/2003 Docket/ NASD BrokerCheck October 12, 2005 Page 54 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Case Number: HPD# 03-157 Allegations: **08/04/2003** LEHMAN BROTHERS FAILED REASONABLY TO SUPERVISE GRUTTADAURIA WITH A VIEW TO PREVENTING AND DETECTING HIS VIOLATION OF THE FEDERAL SECURITIES LAWS DURING THE 15 - MONTH PERIOD THAT IT EMPLOYED HIM FROM OCTOBER 2000 TO JANUARY 2002. FROM 1987 TO JANUARY 2002, WHILE EMPLOYED AT A SERIES OF FIVE DIFFERENT REGISTERED BROKER-DEALERS, GRUTTADAURIA DEFRAUDED OVER 60 CUSTOMERS BY LYING ABOUT PURCHASES AND SALES OF SECURITIES, MISAPPROPRIATING FUNDS AND SECURITIES, AND SENDING FALSIFIED ACCOUNT DOCUMENTS. BY THE TIME THAT GRUTTADAURIA CONFESSED GENERALLY TO HIS FRAUDULENT CONDUCT IN A LETTER TO THE FEDERAL BUREAU OF INVESTIGATION ON JANUARY 11, 2002, HE HAD MISAPPROPRIATED OVER $115 MILLION FROM CUSTOMERS OVER A PERIOD OF 15 YEARS – TRANSFERRING MOST OF THE MONEY TO OTHER CUSTOMERS TO COVER WITHDRAWAL REQUESTS – AND OVERSTATED ACCOUNT VALUES BY MORE THAT $280 MILLION. Current Status: Final Resolution: Decision Resolution Date: 09/05/2003 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $2,500,000.00 Resolution Details: **08/06/2003** EXCHANGE HEARING PANEL DECISION 03-157 FAILED TO ADEQUATELY IMPLEMENT POLICIES AND PROCEDURES TO SUPERVISE A PRODUCING BRANCH OFFICE MANAGER WHO ENGAGED IN FRAUDULENT CONDUCT; VIOLATED EXCHANGE RULE 342 BY FAILING TO PROVIDE FOR ADEQUATE SUPERVISORY CONTROL OF CERTAIN BUSINESS ACTIVITIES, AND BY FAILING TO PROVIDE ADEQUATE SYSTEMS AND PROCEDURES TO ENSURE ADEQUATE SUPERVISION OF PRODUCING BRANCH OFFICE MANAGERS AND TO SUPERVISE CORRESPONDENCE OF PRODUCING BRANCH OFFICE MANAGERS; VIOLATED EXCHANGE RULE 405 IN THAT IT FAILED TO SUPERVISE DILIGENTLY CERTAIN ACCOUNTS HANDLED BY A PRODUCING BRANCH OFFICE MANAGER; VIOLATED EXCHANGE RULE 405 AND SEC RULE 17A-3 BY FAILING TO MAINTAIN COMPLETE AND ACCURATE BOOKS AND RECORDS - CONSENT TO CENSURE; $2,500,000 FINE JOINTLY IMPOSED BY THE EXHANGE AND THE SEC; AND SPECIAL UNDERTAKINGS. Summary: **09/05/2003** THE DECISION IS NOW FINAL AND IS EFFECTIVE IMMEDIATELY. CONTACT: PEGGY GERMINO (212) 656-8450. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 09/17/2003 Initiated By: NEW YORK STOCK EXCHANGE, INC. Date initiated: 09/05/2003 Docket/ Case Number: EXCHANGE HEARING PANEL DECISION 03-157 Allegations: THE NEW YORK STOCK EXCHANGE (?NYSE?) ALLEGED THAT LEHMAN BROTHERS INC. (?LEHMAN?) VIOLATED EXCHANGE RULES 342 AND 405 IN THAT IT FAILED TO PROVIDE FOR APPROPRIATE SUPERVISORY CONTROL OF FRANK D. GRUTTADAURIA DURING THE 15 MONTH PERIOD THAT LEHMAN EMPLOYED HIM FROM OCTOBER 2000 TO JANUARY 2002. THE NYSE ALSO ALLEGED THAT LEHMAN HAD VIOLATED EXCHANGE RULE 440 AND SEC 17 A-3 IN THAT IT FAILED TO MAINTAIN COMPLETE AND ACCURATE BOOKS AND RECORDS. Current Status: Final Resolution: Stipulation and Consent Resolution Date: 09/05/2003 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $2,500,000.00 Other Sanctions: UNDERTAKING TO PARTICIPATE IN A SPECIAL ARBITRATION PROCESS FOR POTENTIAL VICTIMS. UNDERTAKE A REVIEW OF CERTAIN FIRM POLICIES, PROCEDURES, PRACTICES AND SUPERVISORY SYSTEMS RELATED TO THE FIRM?S USE OF PERSONAL COMPUTERS, ACCOUNTS WITH POST OFFICE AND ?CARE OF? ADDRESSES, AND THIRD PARTY DISBURSEMENTS. NASD BrokerCheck October 12, 2005 Page 55 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS OR FINDINGS, LEHMAN CONSENTED TO PAY $2.5 MILLION DOLLARS. HALF OF THIS AMOUNT, $1,250,000.00, WAS PAID TO THE U.S. TREASURY AS A CIVIL MONETARY PAYMENT ON AUGUST 22, 2003. THE SECOND HALF SHALL BE PAID TO THE NYSE PURSUANT TO THE HEARING PANEL?S DECISION. Summary: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS OR FINDINGS, LEHMAN ENTERED INTO A STIPULATION OF FACTS AND CONSENT TO PENALTY WITH THE NYSE ON AUGUST 2, 2003 IN WHICH LEHMAN AGREED TO ( I ) A CENSURE; ( II ) PAYMENT OF $2.5 MILLION DOLLARS IN ACCORDANCE WITH THE SETTLEMENTS OF THE NYSE AND SECURITIES AND EXCHANGE COMMISSION PROCEEDINGS; ( III ) PARTICIPATION IN A SPECIAL ARBITRATION PROCESS FOR POTENTIAL VICTIMS AND ( IV ) UNDERTAKE A REVIEW OF CERTAIN FIRM POLICIES, PROCEDURES, PRACTICES AND SUPERVISORY SYSTEMS. ON SEPTEMBER 5, 2003, THE NYSE ADVISED LEHMAN BROTHERS THAT THE HEARING PANEL?S DECISION, IN WHICH IT ACCEPTED THE STIPULATION AND CONSENT, HAD BECOME FINAL. ****** REGULATORY ACTION (61 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 09/19/2003 Initiated By: ATTORNEY GENERAL OF THE STATE OF NEW YORK, BUREAU OF INVESTMENT PROTECTION Date initiated: 08/21/2003 Docket/ Case Number: IN THE MATTER OF LEHMAN BROTHERS INC. Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES, THE NEW YORK STATE ATTORNEY GENERAL INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED NEW YORK?S MARTIN ACT IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 08/21/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $1,462,158.00 Other Sanctions: UNDERTAKING, VOLUNTARY INITIATIVE Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF THE MARTIN ACT IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES (III) A VOLUNTARY INITIATIVE REGARDING ALLOCATION OF ?HOT? IPOS TO EXECUTIVES OR DIRECTORS OF PUBLIC COMPANIES AND (IV) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). NEW YORK STATE?S PORTION WAS $1,462,158.00. THE PAYMENT WAS MADE ON AUGUST 21, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (62 of 335) ****** Reporting Source: Regulator (Form U-6) NASD BrokerCheck October 12, 2005 Page 56 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Date Reported: 09/09/2003 Initiated By: NASD Date initiated: 08/28/2003 Docket/ Case Number: C10030074 Allegations: MSRB RULES G-12, G-14 - RESPONDENT MEMBER FAILED TO PROVIDE ACCURATE AND TIMELY INFORMATION REGARDING MUNICIPAL SECURITIES TRADES TO THE NATIONAL SECURITIES CLEARING CORPORATION. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 08/28/2003 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $7,500.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, LEHMAN BROTHERS, INC. CONSENTED TO THE DESCRIBED SANCTIONS AND TO THE ENTRY OF FINDINGS, THEREFORE, THE FIRM IS CENSURED AND FINED $7,500. Summary: *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 09/12/2003 Initiated By: NASD - NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 07/30/2003 Docket/ Case Number: AWC NO. C10030074 Allegations: THE NASD ALLEGED LEHMAN BROTHERS INC. (?LEHMAN?) VIOLATED MSRB RULES G-12 AND G-14. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 08/28/2003 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $7,500.00 Resolution Details: LEHMAN WILL PAY THE TOTAL FINE OF $7,500.00 Summary: LEHMAN CONSENTED, WITHOUT ADMITTING OR DENYING THE ALLEGATIONS OR FINDINGS OF THE AWC, THAT DURING THE PERIOD JANUARY THROUGH AUGUST OF 2001, LEHMAN?S T-INPUT PERCENTAGE FOR REPORTING TO THE NSCC WAS BELOW THE INDUSTRY AVERAGE THEREBY, VIOLATING MSRB RULES G-12 AND G-14. ****** REGULATORY ACTION (63 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 09/04/2003 Initiated By: CONNECTICUT Date initiated: 09/02/2003 Docket/ Case Number: CO-2003-6799-S Allegations: ON SEPTEMBER 2, 2003, THE BANKING COMMISSIONER ENTERED A CONSENT ORDER WITH RESPECT TO LEHMAN BROTHERS INC. THE AGENCY INVESTIGATION LEADING UP TO THE CONSENT ORDER FOCUSED ON THE FIRMS' RESEARCH PRACTICES FOR THE PERIOD 1999 THROUGH 2001, NASD BrokerCheck October 12, 2005 Page 57 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) AND WAS PART OF SIMILAR INVESTIGATIONS CONDUCTED BY A MULTI-STATE TASK FORCE AND A JOINT TASK FORCE OF THE SEC, THE NEW YORK STOCK EXCHANGE AND THE NATIONAL ASSOCIATION OF SECURITIES DEALERS. THE GLOBAL RESOLUTION CAPPING THE INVESTIGATIONS RESULTED IN $25 MILLION ALLOCATED TO THE STATES; $25 MILLION REPRESENTING THE DISGORGEMENT OF COMMISSIONS AND FEES; $25 MILLION TO BE EARMARKED FOR THE PROCUREMENT OF INDEPENDENT RESEARCH BY THE RESPONDENT; AND $5 MILLION TO BE USED FOR INVESTOR EDUCATION. THE RESPONDENT ALSO AGREED TO ABIDE BY CERTAIN UNDERTAKINGS DESIGNED TO SEPARATE ITS INVESTMENT BANKING AND RESEARCH FUNCTIONS. Current Status: Final Resolution: Consent Resolution Date: 09/02/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $262,402.00 Resolution Details: CONSENT ORDER DIRECTED THE RESPONDENT TO CEASE AND DESIST FROM REGULATORY VIOLATIONS AND FINED THE RESPONDENT $262,402. Summary: IN ENTERING THE CONSENT ORDER, THE COMMISSIONER FOUND THAT THE RESPONDENT HAD 1) VIOLATED SECTION 36B-4(B) OF THE CONNECTICUT UNIFORM SECURITIES ACT BY FAILING TO ENSURE THAT ANALYSTS WHO ISSUED RESEARCH WERE ADEQUATELY INSULATED FROM PRESSURES AND INFLUENCE FROM COVERED COMPANIES AND INVESTMENT BANKING; 2) VIOLATED SECTION 36B-4(B) OF THE ACT BY ISSUING RESEARCH REPORTS THAT WERE NOT BASED ON PRINCIPLES OF FAIR DEALING AND GOOD FAITH AND THAT CONTAINED EXAGGERATED OR UNWARRANTED CLAIMS AND OPINIONS; AND 3) FAILED TO ESTABLISH, ENFORCE AND MAINTAIN AN ADEQUATE SUPERVISORY SYSTEM. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 11/26/2003 Initiated By: BANKING COMMISSIONER, STATE OF CONNECTICUT, DEPARTMENT OF BANKING Date initiated: 09/02/2003 Docket/ Case Number: C0-2003-6799-S Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES, THE BANKING COMMISSIONER OF THE STATE OF CONNECTICUT, DEPARTMENT OF BANKING, INVESTIGATED WHETHER LEHMAN BROTHERS VIOLATED CERTAIN PROVISIONS OF THE CONNECTICUT UNIFORM SECURITIES ACT (?ACT?) AND THE REGULATIONS OF CONNECTICUT STATE AGENCIES PROMULGATED UNDER THE ACT (?REGULATIONS?) IN CONNECTION WITH ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 09/02/2003 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $262,402.00 Other Sanctions: UNDERTAKING Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE FINDINGS OR LEGAL CONCLUSIONS, LEHMAN BROTHERS AGREED TO ( I ) CEASE AND DESIST FROM ENGAGING IN ANY ACTS IN VIOLATION OF SECTION 36B-4(B) OF THE ACT AND SECTION 36B-31-6F(B) OF THE REGULATIONS IN CONNECTION WITH CERTAIN RESEARCH PRACTICES, ( II ) CERTAIN UNDERTAKINGS WITH RESPECT TO RESEARCH PRACTICES ( III ) PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?) IN WHICH, AMONG OTHER THINGS, LEHMAN AGREED TO PAY $80,000,000 ($25 MILLION AS A PENALTY, $25 MILLION AS NASD BrokerCheck October 12, 2005 Page 58 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25 MILLION OVER FIVE YEARS FOR PROCUREMENT OF INDEPENDENT RESEARCH, AND $5 MILLION OVER FIVE YEARS FOR INVESTOR EDUCATION). THE STATE OF CONNECTICUT?S PORTION WAS $262,402.00. THE PAYMENT WAS MADE ON AUGUST 27, 2003. Summary: SEE ABOVE. ****** REGULATORY ACTION (64 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 08/18/2003 Initiated By: OHIO DIVISION OF SECURITIES Date initiated: 08/14/2003 Docket/ Case Number: 03-174 Allegations: FAILURE TO SUPERVISE A PRODUCING BRANCH OFFICE MANAGER Current Status: Final Resolution: Order Resolution Date: 08/14/2003 Sanctions Ordered: Cease and Desist/Injunction Other Sanctions: UNDERTAKING Resolution Details: REQUIRED TO FILE WITH OHIO ALL REPORTS FILED WITH SEC AND NYSE IN CONNECTION WITH THEIR SETTLEMENT Summary: FRANK GRUTTADAURIA WAS A PRODUCING BRANCH OFFICE MANAGER IN CLEVELAND FROM OCTOBER 2000 THROUGH JANUARY 2002. DURING THAT TIME, HE STOLE MILLIONS OF DOLLARS IN CLIENT'S FUNDS. THIS OCCURRED, IN PART, BECAUSE OF HIS BROKER'S FAILURE TO PROPERLY SUPERVISE HIM. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 11/26/2003 Initiated By: OHIO DIVISION OF SECURITIES Date initiated: 08/14/2003 Docket/ Case Number: 03-174 Allegations: THE OHIO DIVISION OF SECURITIES (?DIVISION?) ALLEGED THAT LEHMAN BROTHERS INC. (?LEHMAN?) VIOLATED OAC RULE 1301: 6-3-15(C)(1) IN THAT IT FAILED TO KEEP ACCURATE BOOKS AND RECORDS; VIOLATED OAC RULE 1301: 6-3-15(C)(13) IN THAT IT FAILED TO MAINTAIN COMPLETE RECORDS FOR ALL OHIO BRANCH OFFICE TRANSACTIONS AND FAILED TO ESTABLISH AND KEEP CURRENT DAILY BLOTTERS AND LEDGER ACCOUNTS; AND VIOLATED OAC RULE 1301: 6-3-19(B)(9) IN THAT IT FAILED TO REASONABLY SUPERVISE FRANK GRUTTADAURIA DURING THE 15 MONTH PERIOD THAT LEHMAN EMPLOYED HIM FROM OCTOBER 2000 TO JANUARY 2002. Current Status: Final Resolution: Order Resolution Date: 08/14/2003 Sanctions Ordered: Other Sanctions: UNDERTAKING TO PROMPTLY FILE WITH THE DIVISION A COPY OF ANY REPORTS REQUIRED TO BE SUBMITTED TO THE SECURITIES AND EXCHANGE COMMISSION (SEC) AND NEW YORK STOCK EXCHANGE (NYSE) PURSUANT TO LEHMAN?S SETTLEMENTS WITH THE SEC AND NYSE. Resolution Details: SEE ABOVE. NASD BrokerCheck October 12, 2005 Page 59 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Summary: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS OR FINDINGS, LEHMAN AGREED TO THE ISSUANCE OF AN ORDER BY THE DIVISION THAT FOUND THAT LEHMAN VIOLATED OAC RULE 1301: 6-3-15(C)(1) IN THAT IT FAILED TO KEEP ACCURATE BOOKS AND RECORDS; VIOLATED OAC RULE 1301: 6-3-15(C)(13) IN THAT IT FAILED TO MAINTAIN COMPLETE RECORDS FOR ALL OHIO BRANCH OFFICE TRANSACTIONS AND FAILED TO ESTABLISH AND KEEP CURRENT DAILY BLOTTERS AND LEDGER ACCOUNTS; AND VIOLATED OAC RULE 1301: 6-3-19(B)(9) IN THAT IT FAILED TO REASONABLY SUPERVISE FRANK GRUTTADAURIA DURING THE 15 MONTH PERIOD THAT LEHMAN EMPLOYED HIM FROM OCTOBER 2000 TO JANUARY 2002 AND THAT LEHMAN MUST PROMPTLY FILE WITH THE DIVISION A COPY OF ANY REPORTS REQUIRED TO BE SUBMITTED TO THE SECURITIES AND EXCHANGE COMMISSION (SEC) AND NEW YORK STOCK EXCHANGE (NYSE) PURSUANT TO LEHMAN?S SETTLEMENTS WITH THE SEC AND NYSE. ****** REGULATORY ACTION (65 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 08/20/2003 Initiated By: UNITED STATES SECURITIES AND EXCHANGE COMMISSION Date initiated: 08/14/2003 Docket/ Case Number: SEC ADMIN FILE NO. 3-11217/REL 34-48336 Allegations: SEC ADMIN PROCEEDING FILE NO. 3-11217, REL 34-48336, DATED AUGUST 14, 2003 - THE SECURITIES AND EXCHANGE COMMISSION ("COMMISSION") DEEMS IT APPROPRIATE AND IN THE PUBLIC INTEREST THAT PUBLIC ADMINISTRATIVE AND CEASE-AND-DESIST PROCEEDINGS BE, AND HEREBY ARE, INSTITUTED PURSUANT TO SECTIONS 15(B) AND 21C OF THE SECURITIES EXCHANGE ACT OF 1934 ("EXCHANGE ACT") AGAINST LEHMAN BROTHERS, INC. ("RESPONDENT" OR "LEHMAN BROTHERS").IN ANTICIPATION OF THE INSTITUTION OF THESE PROCEEDINGS, RESPONDENT HAS SUBMITTED AN OFFER OF SETTLEMENT (THE "OFFER") WHICH THE COMMISSION HAS DETERMINED TO ACCEPT. Current Status: Final Resolution: Order Resolution Date: 08/14/2003 Sanctions Ordered: Monetary/Fine, Censure, Cease and Desist/Injunction Monetary Amount: $2,500,000.00 Other Sanctions: UNDERTAKING Resolution Details: IT IS HEREBY ORDERED: THAT LEHMAN BROTHERS BE, AND HEREBY IS, CENSURED. PURSUANT TO SECTION 21C OF THE EXCHANGE ACT, THAT LEHMAN BROTHERS CEASE AND DESIST FROM COMMITTING OR CAUSING ANY VIOLATIONS AND ANY FUTURE VIOLATIONS OF SECTION 17(A) OF THE EXCHANGE ACT AND RULE 17A-3 THEREUNDER. THAT LEHMAN BROTHERS SHALL, WITHIN TEN DAYS OF THE ENTRY OF THIS ORDER, PAY THE AMOUNT OF $2.5 MILLION. LEHMAN BROTHERS SHALL MAKE PAYMENTS AS FOLLOWS: (I) PURSUANT TO SECTION 21B OF THE EXCHANGE ACT, LEHMAN BROTHERS SHALL PAY A CIVIL MONETARY PENALTY OF $1,250,000 TO THE UNITED STATES TREASURY; AND (II) PURSUANT TO LEHMAN BROTHERS' AGREEMENT WITH THE NEW YORK STOCK EXCHANGE IN RELATED PROCEEDINGS, LEHMAN BROTHERS SHALL PAY A FINE IN THE AMOUNT OF $1,250,000 TO THE NEW YORK STOCK EXCHANGE. RESPONDENT UNDERTAKES TO PARTICIPATE IN A SPECIAL ARBITRATION PROCESS FOR POTENTIAL VICTIMS OF A REGISTERED REPRESENATIVE'S FRAUDULENT ACTS. IN DETERMINING WHETHER TO ACCEPT THE OFFER, THE COMMISSION HAS CONSIDERED THIS UNDERTAKING. Summary: THE FAILURE OF LEHMAN BROTHERS REASONABLY TO SUPERVISE A REGISTERED REPRESENTATIVE OCCURRED IN A CONTEXT THAT ITSELF CREATED AN INHERENT RISK THAT HE WOULD NOT BE ADEQUATELY SUPERVISED. THE REP WAS A PRODUCING BOM, WHICH MEANS THAT HE WAS RESPONSIBLE BOTH FOR THE OVERALL SUPERVISION OF THE CLEVELAND BRANCH AND FOR HIS OWN RETAIL BROKERAGE CUSTOMERS.LEHMAN BROTHERS FAILED REASONABLY TO SUPERVISE THE REP'S CONDUCT AS A PRODUCING BOM. ALTHOUGH LEHMAN BROTHERS HAD PROCEDURES ADDRESSING THE REVIEW OF OUTGOING AND INCOMING CORRESPONDENCE, THE REP WAS ABLE TO EVADE THAT REVIEW BECAUSE LEHMAN BROTHERS DID NOT HAVE AN ADEQUATE SYSTEM FOR APPLYING THESE PROCEDURES TO THE INDIVIDUAL, WHO AS A PRODUCING BOM HAD ACCESS TO A FACSIMILE MACHINE AND THE OFFICE'S POSTAGE METER. NASD BrokerCheck October 12, 2005 Page 60 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 09/22/2003 Initiated By: U.S. SECURITIES AND EXCHANGE COMMISSION Date initiated: 08/14/2003 Docket/ Case Number: ADMINISTRATIVE PROCEEDING 3-11217 Allegations: THE SECURITIES AND EXCHANGE COMMISSION (?SEC?) ALLEGED THAT LEHMAN BROTHERS INC. (?LEHMAN?) VIOLATED SECTION 15 (B)(4)(E) OF THE EXCHANGE ACT IN THAT IT FAILED TO REASONABLY SUPERVISE FRANK D. GRUTTADAURIA DURING THE 15 MONTH PERIOD THAT LEHMAN EMPLOYED HIM FROM OCTOBER 2000 TO JANUARY 2002. IN ADDITION, IT ALLEGED LEHMAN VIOLATED SECTION 17(A) OF THE EXCHANGE ACT AND RULE 17A-3 THEREUNDER BECAUSE LEHMAN FAILED TO MAINTAIN COMPLETE AND ACCURATE BOOKS AND RECORDS AS REQUIRED. Current Status: Final Resolution: Decision & Order of Offer of Settlement Resolution Date: 08/14/2003 Sanctions Ordered: Monetary/Fine, Censure, Cease and Desist/Injunction Monetary Amount: $2,500,000.00 Other Sanctions: UNDERTAKING TO PARTICIPATE IN A SPECIAL ARBITRATION PROCESS FOR POTENTIAL VICTIMS. Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS OR FINDINGS, LEHMAN CONSENTED TO PAY $2.5 MILLION DOLLARS. HALF OF THIS AMOUNT, $1,250,000.00, WAS PAID TO THE U.S. TREASURY AS A CIVIL MONETARY PAYMENT ON AUGUST 22, 2003. THE SECOND HALF SHALL BE PAID TO THE NEW YORK STOCK EXCHANGE PURSUANT TO THE HEARING PANEL?S DECISION. Summary: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS OR FINDINGS, LEHMAN CONSENTED TO THE ENTRY OF AN ORDER BY THE SEC ON AUGUST 14, 2003 IN WHICH THE SEC ACCEPTED LEHMAN?S OFFER OF SETTLEMENT AND FOUND THAT LEHMAN VIOLATED SECTION 15 (B)(4)(E) OF THE EXCHANGE ACT IN THAT IT FAILED TO REASONABLY SUPERVISE FRANK D. GRUTTADAURIA DURING THE 15 MONTH PERIOD THAT LEHMAN EMPLOYED HIM FROM OCTOBER 2000 TO JANUARY 2002. IN ADDITION, IT FOUND LEHMAN VIOLATED SECTION 17(A) OF THE EXCHANGE ACT AND RULE 17A-3 THEREUNDER BECAUSE LEHMAN FAILED TO MAINTAIN COMPLETE AND ACCURATE BOOKS AND RECORDS AS REQUIRED. PURSUANT TO THE ORDER, LEHMAN BROTHERS IS REQUIRED TO PAY $2.5 MILLION DOLLARS. HALF OF THIS AMOUNT, $1,250,000.00, WAS PAID TO THE U.S. TREASURY AS A CIVIL MONETARY PAYMENT ON AUGUST 22, 2003. THE SECOND HALF SHALL BE PAID TO THE NEW YORK STOCK EXCHANGE PURSUANT TO THE HEARING PANEL?S DECISION. ADDITIONALLY, LEHMAN MUST PARTICIPATE IN A SPECIAL ARBITRATION PROCESS FOR POTENTIAL VICTIMS. ****** REGULATORY ACTION (66 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 11/13/2003 Initiated By: AMERICAN STOCK EXCHANGE Date initiated: 04/23/2003 Docket/ Case Number: 03-13 Allegations: LEHMAN BROTHERS VIOLATED ARTICLE V, SECTION 4(H) OF THE EXCHANGE CONSTITUTION (AND MEHROTRA VIOLATED EXCHANGE RULE 345(A)(4)) IN THAT BOTH LEHMAN BROTHERS AND MEHROTRA FAILED TO EXERCISE DUE DILIGENCE IN CONNECTION WITH THE EXECUTION OF AN ORDER, WHEREBY AFTER OBTAINING A PRICE FROM THE PHILADELPHIA STOCK EXCHANGE, LEHMAN BROTHERS AND MEHROTRA EXECUTED THE ORDER AT THE AMERICAN STOCK EXCHANGE AT AN INFERIOR PRICE. ADDITIONALLY, THE FIRM VIOALTED EXCHANGE RULE 320(C) IN THAT IT FAILED TO DEVELOP, MAINTAIN AND ENFORCE REASONABLE WRITTEN NASD BrokerCheck October 12, 2005 Page 61 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) SUPERVISORY PROCEDURES, AND A SYSTEM FOR APPLYING THOSE PROCEDURES, RELATING TO THE FIRM'S BEST EXECUTION RESPONSIBILITIES, AND FAILED TO REASONABLY SUPERVISE AND CONTROL MEHROTRA'S ACTIVITIES TO ENSURE HIS COMPLIANCE WITH THE DUTY OF ACHIEVING THE BEST EXECUTION FOR CUSTOMER ORDERS ENTRUSTED TO HIM. Current Status: Pending Summary: PLEASE CONTACT ERIC BROWN, SENIOR ATTORNEY IN THE ENFORCEMENT DEPARTMENT OF THE AMERICAN STOCK EXCHANGE, FOR FURTHER DETAILS. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 06/16/2004 Initiated By: AMERICAN STOCK EXCHANGE Date initiated: 04/23/2003 Docket/ Case Number: CASE NUMBER 03-13 Allegations: ARTICLE V, SECTION 4(H) OF THE CONSTITUTION OF THE AMERICAN STOCK EXCHANGE ("EXCHANGE CONSTITUTION"), AND AMERICAN STOCK EXCHANGE RULE 320 (C) ("EXCHANGE RULE"). Current Status: Final Resolution: Withdrawn Resolution Date: 05/27/2004 Sanctions Ordered: Resolution Details: Summary: ON APRIL 23, 2003, THE DISCIPLINARY PANEL OF THE AMERICAN STOCK EXCHANGE LLC ISSUED A STATEMENT OF CHARGES, CASE NUMBER 03-13, ALLEGING THAT LEHMAN BROTHERS INC. (?LEHMAN?) VIOLATED ARTICLE V, SECTION 4(H) OF THE EXCHANGE CONSTITUTION, AND A LEHMAN EMPLOYEE VIOLATED EXCHANGE RULE 345(A)(4), IN THAT BOTH LEHMAN AND THE EMPLOYEE FAILED TO EXERCISE DUE DILIGENCE IN CONNECTION WITH THE EXECUTION OF A LISTED OPTIONS ORDER FOR A CUSTOMER ON APRIL 24, 2002. IT WAS ALSO ALLEGED THAT LEHMAN VIOLATED EXCHANGE RULE 320(C) IN THAT IT FAILED TO (I) DEVELOP, MAINTAIN AND ENFORCE REASONABLE WRITTEN SUPERVISORY PROCEDURES, AND A SYSTEM FOR APPLYING THOSE PROCEDURES, RELATING TO THE FIRM?S RESPONSIBILITY TO ACHIEVE THE BEST EXECUTION FOR ITS CUSTOMER ORDERS, AND (II) REASONABLY SUPERVISE AND CONTROL ITS EMPLOYEE?S ACTIVITIES TO ENSURE HIS COMPLIANCE WITH THE DUTY OF ACHIEVING THE BEST EXECUTION FOR CUSTOMER ORDERS ENTRUSTED TO HIM. LEHMAN AND ITS EMPLOYEE EACH FILED AN ANSWER TO THE CHARGES ON MAY 12, 2003. FOLLOWING THE ISSUANCE OF THE DECISION IN A RELATED MATTER BY THE BUSINESS CONDUCT COMMITTEE OF THE PHILADELPHIA STOCK EXCHANGE ("PHLX"), DATED MAY 6, 2004, IN WHICH IT RULED THAT LEHMAN BROTHERS INC. ("LEHMAN") AND ITS EMPLOYEE DID NOT VIOLATE ANY PHLX RULES, THE AMERICAN STOCK EXCHANGE ("AMEX") FILED A NOTICE OF WITHDRAWAL OF CHARGES AGAINST LEHMAN AND ITS EMPLOYEE WITH THE AMEX DISCIPLINARY PANEL. BY ORDER DATED MAY 27, 2004, THE AMEX DISCIPLINARY PANEL DISMISSED ALL CHARGES AGAINST LEHMAN AND ITS EMPLOYEE. ****** REGULATORY ACTION (67 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 05/29/2003 Initiated By: NEW YORK STOCK EXCHANGE DIVISION OF ENFORCEMENT Date initiated: 04/22/2003 Docket/ Case Number: HPD# 03-66 Allegations: **04/22/2003** STIPULATION AND CONSENT TO PENALTY FILED BY NYSE DIVISION OF ENFORCEMENT AND PENDING. CONSENTED TO FINDINGS: (1) VIOLATED EXCHANGE RULE 476(A)(6) BY ENGAGING IN CONDUCT INCONSISTENT WITH JUST AND EQUITABLE PRINCIPLES OF TRADE BY: NASD BrokerCheck October 12, 2005 Page 62 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) A. ENGAGING IN ACTS AND PRACTICES THAT CREATED OR MAINTAINED INAPPROPRIATE INFLUENCE BY INVESTMENT BANKING OVER RESEARCH ANALYSTS, THEREFORE IMPOSING CONFLICTS OF INTEREST ON ITS RESEARCH ANALYSTS, AND FAILING TO MANAGE THESE CONFLICTS IN AN ADEQUATE OR APPROPRIATE MANNER; AND B. ISSUING RESEARCH REPORTS ON RAZORFISH, INC., RSL COMMUNICATIONS, INC., DDI CORP., REALNETWORKS, INC., AND BROADWING, INC., THAT WERE AFFECTED BY THE CONFLICTS OF INTEREST IMPOSED ON ITS RESEARCH ANALYSTS. (2) VIOLATED EXCHANGE RULE 401 BY FAILING TO ADHERE TO THE PRINCIPLES OF GOOD BUSINESS PRACTICE IN THE CONDUCT OF ITS BUSINESS AFFAIRS BY: A. ENGAGING IN ACTS AND PRACTICES THAT CREATED OR MAINTAINED INAPPROPRIATE INFLUENCE BY INVESTMENT BANKING OVER RESEARCH ANALYSTS, THEREFORE IMPOSING CONFLICTS OF INTEREST ON ITS RESEARCH ANALYSTS, AND FAILING TO MANAGE THESE CONFLICTS IN AN ADEQUATE OR APPROPRIATE MANNER; AND B. ISSUING RESEARCH REPORTS ON RAZORFISH, INC., RSL COMMUNICATIONS, INC., DDI CORP., REALNETWORKS, INC., AND BROADWING, INC., THAT WERE AFFECTED BY THE CONFLICTS OF INTEREST IMPOSED ON ITS RESEARCH ANALYSTS. (3) VIOLATED EXCHANGE RULE 472 RELATING TO COMMUNICATIONS WITH THE PUBLIC BY ISSUING RESEARCH REPORTS ON RAZORFISH, INC., RSL COMMUNICATIONS, INC., DDI CORP., REALNETWORKS, INC., AND BROADWING, INC., THAT CONTAINED RECOMMENDATIONS AND/OR RATINGS THAT WERE EXAGGERATED OR UNWARRANTED OR CONTAINED OPINIONS FOR WHICH THERE WAS NO REASONABLE BASIS. **CONTINUED IN #13** Current Status: Final Resolution: Decision Resolution Date: 05/23/2003 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $80,000,000.00 Resolution Details: **04/22/2003** DECISION 03-66 ISSUED BY NYSE HEARING PANEL DECISION: VIOLATED EXCHANGE RULES 476(A)(6) AND 401 BY ENGAGING IN ACTS AND PRACTICES THAT CREATED OR MAINTAINED INAPPROPRIATE INFLUENCE BY INVESTMENT BANKING OVER RESEARCH ANALYSTS, THEREFORE IMPOSING CONFLICTS OF INTEREST ON ITS RESEARCH ANALYSTS, BY FAILING TO MANAGE THESE CONFLICTS IN AN ADEQUATE OR APPROPRIATE MANNER, AND BY ISSUING CERTAIN RESEARCH REPORTS THAT WERE AFFECTED BY THE CONFLICTS OF INTEREST; VIOLATED EXCHANGE RULE 472 BY ISSUING CERTAIN RESEARCH REPORTS THAT CONTAINED RECOMMENDATIONS AND/OR RATING THAT WERE EXAGGERATED OR UNWARRANTED AND/OR CONTAINED OPINIONS FOR WHICH THERE WAS NO REASONABLE BASIS; AND VIOLATED EXCHANGE RULE 342 BY FAILING TO ESTABLISH AND MAINTAIN ADEQUATE POLICIES, SYSTEMS AND PROCEDURES FOR SUPERVISION AND CONTROL OF ITS RESEARCH AND INVESTMENT BANKING DEPARTMENTS. CONSENT TO A CENSURE, A TOTAL PAYMENT OF $80,000,000 AS SPECIFIED IN THE FINAL JUDGMENT ORDERED IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION, THE PAYMENT PROVISIONS OF WHICH ARE INCORPORATED BY REFERENCE HEREIN. OF THIS AMOUNT, $25,000,000 CONSTITUTES A PENALTY, $25,000,000 CONSTITUTES DISGORGEMENT, $25,000,000, TO BE USED FOR THE PROCUREMENT OF INDEPENDENT RESEARCH, AS DESCRIBED IN THE UNDERTAKINGS SET FORTH IN ADDENDUM A: UNDERTAKING TO THE FINAL JUDGMENT (ADDENDUM A), INCORPORATED BY REFERENCE HEREIN; AND $5,000,000, TO BE USED FOR INVESTOR EDUCATION, AS DESCRIBED IN SECTION IX OF THE FINAL JUDGMENT. IN ADDITION, THE FIRM SHALL COMPLETE AN UNDERTAKING TO ENSURE COMPLIANCE WITH THE TERMS PROVIDED IN ADDENDUM A, INCLUDING AN UNDERTAKING TO INFORM THE EXCHANGE IN WRITING THAT IT HAS POLICIES, SYSTEMS, AND PROCEDURES REASONABLY DESIGNED TO ENSURE COMPLIANCE WITH THE PROVISIONS OF ADDENDUM A. Summary: (4) VIOLATED EXCHANGE RULE 342 BY FAILING TO ESTABLISH AND MAINTAIN ADEQUATE POLICIES, SYSTEMS, AND PROCEDURES FOR SUPERVISION AND CONTROL OF ITS RESEARCH AND INVESTMENT BANKING DEPARTMENTS THAT WERE REASONABLY DESIGNED TO DETECT AND PREVENT THE FOREGOING INVESTMENT BANKING INFLUENCES AND CONFLICTS OF INTEREST, INCLUDING A SEPARATE SYSTEM OF FOLLOW-UP AND REVIEW TO ASSURE COMPLIANCE WITH APPLICABLE EXCHANGE RULES. STIPULATED SANCTION: THE IMPOSITION BY THE EXCHANGE OF THE SANCTION OF: 1. A CENSURE; 2. A TOTAL PAYMENT OF $80,000,000 AS SPECIFIED IN THE FINAL JUDGMENT ORDERED IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION, THE PAYMENT PROVISIONS OF WHICH ARE INCORPORATED BY REFERENCE HEREIN. A. $25,000,000, AS A PENALTY; B. $25,000,000, AS DISGORGEMENT OF COMMISSIONS, FEES AND OTHER MONIES; C. $25,000,000, TO BE USED FOR THE PROCUREMENT OF INDEPENDENT RESEARCH, AS DESCRIBED IN THE UNDERTAKINGS SET FORTH IN ADDENDUM A: UNDERTAKING TO THE FINAL JUDGMENT (ADDENDUM A), INCORPORATED BY REFERENCE HEREIN; AND D. $5,000,000, TO BE USED FOR INVESTOR EDUCATION, AS DESCRIBED IN SECTION IX OF THE FINAL JUDGMENT. 3. IN ADDITION, THE FIRM NASD BrokerCheck October 12, 2005 Page 63 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) SHALL COMPLETE AN UNDERTAKING TO ENSURE COMPLIANCE WITH THE TERMS PROVIDED IN ADDENDUM A, INCLUDING AN UNDERTAKING TO INFORM THE EXCHANGE IN WRITING THAT IT HAS POLICIES, SYSTEMS, AND PROCEDURES REASONABLY DESIGNED TO ENSURE COMPLIANCE WITH THE PROVISIONS OF ADDENDUM A. **05/23/2003** THE DECISION IS NOW FINAL AND IS EFFECTIVE IMMEDIATELY. CONTACT: EVELYN PENA (212) 656-5211. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 06/19/2003 Initiated By: NEW YORK STOCK EXCHANGE, INC Date initiated: 05/23/2003 Docket/ Case Number: EXCHANGE HEARING PANEL DECISION 03-66 Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES, THE NYSE ALLEGED THAT LEHMAN BROTHERS VIOLATED CERTAIN NYSE RULES RESULTING FROM ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Stipulation and Consent Resolution Date: 05/23/2003 Sanctions Ordered: Monetary/Fine, Disgorgement/Restitution, Censure Monetary Amount: $25,000,000.00 Other Sanctions: ALLOCATION OF FUNDS FOR PROCUREMENT OF INDEPENDENT RESEARCH AND INVESTOR EDUCATION. Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE ALLEGATIONS OR FINDINGS, LEHMAN BROTHERS CONSENTED: (I) TO A CENSURE; AND (II) TO PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?), IN WHICH, AMONG OTHER THINGS, LEHMAN BROTHERS AGREED TO PAY A TOTAL OF $80,000,000 ($25,000,000 AS A PENALTY, $25,000,000 AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25,000,000 OVER FIVE YEARS FOR THE PROCUREMENT OF INDEPENDENT RESEARCH, AND $5,000,000 FOR INVESTOR EDUCATION.) PAYMENT WILL BE MADE IN CONFORMANCE WITH THE PAYMENT PROVISIONS OF THE FINAL JUDGMENT, ONCE ENTERED. Summary: WITHOUT ADMITTING OR DENYING ANY OF THE ALLEGATIONS OR FINDINGS, LEHMAN BROTHERS ENTERED INTO A STIPULATION AND CONSENT WITH THE NYSE IN WHICH LEHMAN BROTHERS AGREED TO (I) PAY THE AMOUNT SPECIFIED IN CONFORMITY WITH THE TERMS OF THE FINAL JUDGMENT; AND (II) A CENSURE. ON MAY 23, 2003, THE NYSE ADVISED LEHMAN BROTHERS THAT THE HEARING PANEL?S DECISION, IN WHICH IT ACCEPTED THE STIPULATION AND CONSENT, HAD BECOME FINAL. ****** REGULATORY ACTION (68 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 04/28/2003 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 04/24/2003 Docket/ Case Number: CAF030021 Allegations: NASD RULES 2110, 2210(D)(1), 2210(D)(1)(2), 3010(A) – RESPONDENT MEMBER ENGAGED IN ACTS AND PRACTICES THAT CREATED AND/OR MAINTAINED INAPPROPRIATE INFLUENCE BY INVESTMENT BANKING OVER RESEARCH ANALYSTS AND THEREFORE IMPOSED CONFLICTS OF INTEREST ON RESEARCH ANALYSTS AND FAILED TO MANAGE THESE CONFLICTS IN AN ADEQUATE AND APPROPRIATE MANNER; ISSUED NASD BrokerCheck October 12, 2005 Page 64 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) RESEARCH REPORTS THAT WERE NOT BASED ON PRINCIPLES OF FAIR DEALING AND GOOD FAITH AND DID NOT PROVIDE A SOUND BASIS FOR EVALUATING FACTS, CONTAINED EXAGGERATED OR UNWARRANTED CLAIMS ABOUT THESE COMPANIES, AND/OR CONTAINED OPINIONS FOR WHICH THERE WAS NO REASONABLE BASIS; AND FAILED TO ESTABLISH AND MAINTAIN ADEQUATE PROCEDURES TO PROTECT RESEARCH ANALYSTS FROM CONFLICTS OF INTEREST, FAILED TO IMPLEMENT A SYSTEM TO DETECT AND INSULATE ITS RESEARCH ANALYSTS FROM IMPROPER INFLUENCE AND PRESSURE BY INVESTMENT BANKING PERSONNEL AND, INSTEAD, MOTIVATED RESEARCH ANALYSTS TO ISSUE RESEARCH THAT WOULD ATTRACT AND RETAIN INVESTMENT BANKING BUSINESS. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 04/24/2003 Sanctions Ordered: Monetary/Fine, Disgorgement/Restitution, Censure Monetary Amount: $25,000,000.00 Other Sanctions: PAYMENT OF $25,000,000 FOR THE PROCUREMENT OF INDEPENDENT RESEARCH, AND $5,000,000 TO BE USED FOR INVESTOR EDUCATION Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, LEHMAN BROTHERS, INC. CONSENTED TO THE DESCRIBED SANCTIONS AND TO THE ENTRY OF FINDINGS, THEREFORE, THE FIRM IS CENSURED, REQUIRED TO PAY $80,000,000 AS SPECIFIED IN THE FINAL JUDGMENT ORDERED IN A RELATED ACTION FILED BY THE SEC WHICH INCLUDES A FINE OF $25,000,000, DISGORGEMENT OF $25,000,000 IN COMMISSIONS, FEES AND OTHER MONIES, PAYMENT OF $25,000,000 FOR THE PROCUREMENT OF INDEPENDENT RESEARCH, AND $5,000,000 TO BE USED FOR INVESTOR EDUCATION. THE MONETARY SANCTIONS IMPOSED BY NASD SHALL BE REDUCED BY THE AMOUNTS PAID BY RESPONDENT PURSUANT TO THE FINAL JUDGMENT. Summary: RESPONDENT AGREES THAT IT SHALL NOT SEEK OR ACCEPT, DIRECTLY OR INDIRECTLY, REIMBURSEMENT OR INDEMNIFICATION, INCLUDING BUT NOT LIMITED TO PAYMENT MADE PURSUANT TO ANY INSURANCE POLICY, WITH REGARD TO ANY FINE/PENALTY AMOUNTS THAT RESPONDENT SHALL PAY PURSUANT TO SECTION II OF THE FINAL JUDGMENT, REGARDLESS OF WHETHER SUCH FINE/PENALTY AMOUNTS OR ANY PART THEREOF ARE ADDED TO THE DISTRIBUTION FUND ACCOUNT OR OTHERWISE USED FOR THE BENEFIT OF INVESTORS. RESPONDENT FURTHER AGREES THAT IT SHALL NOT CLAIM, ASSET, OR APPLY FOR A TAX DEDUCTION OR TAX CREDIT WITH REGARD TO ANY FEDERAL, STATE, OR LOCAL TAX FOR ANY FINE/PENALTY AMOUNTS THAT RESPONDENT SHALL PAY PURSUANT TO SECTION II OF THE FINAL JUDGMENT, REGARDLESS OF WHETHER SUCH FINE/PENALTY AMOUNTS OR ANY PART THEREOF ARE ADDED TO THE DISTRIBUTION FUND ACCOUNT OR OTHERWISE USED FOR THE BENEFIT OF INVESTORS. RESPONDENT UNDERSTANDS AND ACKNOWLEDGES THAT THESE PROVISIONS ARE NOT INTENDED TO IMPLY THAT NASD WOULD AGREE THAT ANY OTHER AMOUNTS RESPONDENT SHALL PAY PURSUANT TO THE FINAL JUDGMENT MAY BE REIMBURSED OR INDEMNIFIED (WHETHER PURSUANT TO AN INSURANCE POLICY OR OTHERWISE) UNDER APPLICABLE LAW OR MAY BE THE BASIS FOR ANY TAX DEDUCTION OR TAX CREDIT WITH REGARD TO ANY FEDERAL, STATE, OR LOCAL TAX. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 05/23/2003 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 04/24/2003 Docket/ Case Number: CAF030021 Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES, THE NASD ALLEGED THAT LEHMAN BROTHERS VIOLATED CERTAIN NASD RULES RESULTING FROM ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS' RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 04/24/2003 NASD BrokerCheck October 12, 2005 Page 65 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Sanctions Ordered: Monetary/Fine, Disgorgement/Restitution, Censure Monetary Amount: $25,000,000.00 Other Sanctions: ALLOCATION OF FUNDS FOR PROCUREMENT OF INDEPENDENT RESEARCH AND INVESTOR EDUCATION Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE ALLEGATIONS OR FINDINGS, LEHMAN BROTHERS CONSENTED: (I) TO A CENSURE; AND (II) TO PAY AMOUNTS SPECIFIED IN A FINAL JUDGMENT IN A RELATED ACTION FILED BY THE SECURITIES AND EXCHANGE COMMISSION (?FINAL JUDGMENT?), IN WHICH, AMONG OTHER THINGS, LEHMAN BROTHERS AGREED TO PAY A TOTAL OF $80,000,000 ($25,000,000 AS A PENALTY, $25,000,000 AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, $25,000,000 OVER FIVE YEARS FOR THE PROCUREMENT OF INDEPENDENT RESEARCH, AND $5,000,000 FOR INVESTOR EDUCATION.) PAYMENT WILL BE MADE IN CONFORMANCE WITH THE PAYMENT PROVISIONS OF THE FINAL JUDGMENT, ONCE ENTERED. Summary: WITHOUT ADMITTING OR DENYING ANY OF THE ALLEGATIONS OR FINDINGS, LEHMAN BROTHERS ENTERED INTO A LETTER OF ACCEPTANCE, WAIVER AND CONSENT, ACCEPTED BY THE NASD ON APRIL 24, 2003, IN WHICH LEHMAN BROTHERS AGREED TO (I) PAY THE AMOUNT SPECIFIED IN CONFORMITY WITH THE TERMS OF THE FINAL JUDGMENT; AND (II) A CENSURE. ****** REGULATORY ACTION (69 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 02/27/2003 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 02/06/2003 Docket/ Case Number: CMS030022 Allegations: NASD CONDUCT RULE 2110, NASD MARKETPLACE RULE 6740, AND SEC RULE 15C2-11 - RESPONDENT MEMBER PUBLISHED QUOTATIONS FOR AN OTC EQUITY SECURITY, OR, DIRECTLY OR INDIRECTLY, SUBMITTED SUCH QUOTATIONS FOR PUBLICATION, IN A QUOTATION MEDIUM, THAT IS, INSTINET CORPORATION, AND: DID NOT HAVE IN ITS REOCRDS THE DOCUMENTATION REQUIRED BY SEC RULE 15C2-11(A), DID NOT HAVE A REASONABLE BASIS UNDER THE CIRUMSTANCES FOR BELIEVING THAT THE INFORMATIONW WAS ACCURATE IN ALL MATERIAL RESPECTS, OR DID NOT HAVE A REASONABLE BASIS UNDER THE CIRCUMSTANCES FOR BELIEVING THAT THE SOURCES OF THE INFORMATION WERE RELIABLE. THE QUOTATIONS DID NOT REPRESENT A CUSTOMER'S INDICATION OF UNSOLICITED INTEREST; AND, FAILED TO FILE A FORM 211 WITH NASD AT LEAST 3 BUSINESS DAYS BEFORE THE FIRM'S QUOTATIONS IN SUCH SECURITY WERE PUBLISHED OR DISPLAYED IN A QUOTATION MEDIUM. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 02/06/2003 Sanctions Ordered: Monetary/Fine Monetary Amount: $5,000.00 Other Sanctions: WITHIN 30 DAYS OF THE ACCEPTANCE OF THIS AWC, A REGISTERED PRINCIPAL OF THE FIRM SHALL SUBMIT TO NASD A SIGNED, DATED LETTER, PROVIDING A REFERENCE TO THIS MATTER, A REPRESENTATION THAT THE FIRM HAS REVISED ITS WRITTEN SUPERVISORY PROCEDURES TO ADDRESS THE DEFICIENCIES CONCERNING SEC RULE 15C2-11 AND NASD MARKETPLACE RULE 6740, AND THE DATE THE REVISED PROCEDURES WERE IMPLEMENTED. Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, THE FIRM CONSENTED TO THE DESCRIBED SANCTIONS AND TO THE ENTRY OF FINDINGS, THEREFORE, THE FIRM IS FINED $5,000 AND WITHIN 30 DAYS OF THE ACCEPTANCE OF THIS AWC, A REGISTERED PRINCIPAL OF THE FIRM SHALL SUBMIT TO NASD A SIGNED, DATED LETTER, PROVIDING A REFERENCE TO THIS MATTER, A REPRESENTATION THAT THE FIRM HAS REVISED ITS WRITTEN SUPERVISORY PROCEDURES TO ADDRESS THE DEFICIENCIES CONCERNING SEC RULE 15C2-11 AND NASD MARKETPLACE RULE 6740, AND THE DATE THE REVISED PROCEDURES WERE IMPLEMENTED. NASD BrokerCheck October 12, 2005 Page 66 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Summary: *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 03/13/2003 Initiated By: NASD - NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC Date initiated: 02/06/2003 Docket/ Case Number: CMS030022 AWC Allegations: THE NASD ALLEGED LEHMAN BROTHERS INC. ("LEHMAN") VIOLATED SECURITIES EXCHANGE ACT RULE ("RULE") 15C2-11, NASD MARKETPLACE RULE 6740, AND NASD CONDUCT RULE 2110. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 02/10/2003 Sanctions Ordered: Monetary/Fine Monetary Amount: $5,000.00 Other Sanctions: AN UNDERTAKING TO REVISE LEHMAN'S WRITTEN SUPERVISORY PROCEDURES TO ADDRESS THE DEFICIENCIES CONCERNING RULE 15C2-11 AND NASD MARKETPLACE RULE 6740. Resolution Details: IN ADDITION TO THE $5,000 FINE, A REGISTERED PRINCIPAL OF LEHMAN SHALL SUBMIT TO THE NASD A SIGNED, DATED LETTER, PROVIDING THE FOLLOWING INFORMATION: 1) A REFERENCE TO THIS MATTER; 2) A REPRESENTATION THAT THE FIRM HAS REVISED ITS WRITTEN SUPERVISORY PROCEDURE TO ADDRESS THE DEFICIENCIES CONCERNING RULE 15C2-11 AND NASD MARKETPLACE RULE 6740; AND, 3) THE DATE THE REVISED PROCEDURES WERE IMPLEMENTED. Summary: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, LEHMAN CONSENTED TO THE FINDINGS THAT ON JUNE 3, 2002, LEHMAN PUBLISHED QUOTATIONS FOR ADELPHIA, AN OTC EQUITY SECURITY, OR, DIRECTLY OR INDIRECTLY, SUBMITTED SUCH QUOTATIONS FOR PUBLICATION, IN A QUOTATION MEDIUM, AND EITHER, DID NOT HAVE IN ITS RECORDS THE DOCUMENTATION REQUIRED BY RULE 15C2-11; DID NOT HAVE A REASONABLE BASIS UNDER THE CIRCUMSTANCES FOR BELIEVING THAT THE INFORMATION WAS ACCURATE IN ALL MATERIAL RESPECTS; OR DID NOT HAVE A REASONABLE BASIS UNDER THE CIRCUMSTANCES FOR BELIEVING THAT THE SOURCES OF THE INFORMATION WAS RELIABLE. THE ORDERS DID NOT REPRESENT A CUSTOMER'S UNSOLICITED INDICATION OF INTEREST. ADDITIONALLY, IT WAS FOUND THAT LEHMAN FAILED TO FILE A FORM 211 WITH THE NASD AT LEAST THREE BUSINESS DAYS BEFORE THE FIRM'S QUOTATIONS IN SUCH SECURITY WERE PUBLISHED OR DISPLAYED IN A QUOTATION MEDIUM. ****** REGULATORY ACTION (70 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 02/12/2003 Initiated By: CHICAGO BOARD OF TRADE - BUSINESS CONDUCT COMMITTEE Date initiated: 11/20/2002 Docket/ Case Number: 2002 - MSI-34 Allegations: THE CHICAGO BOARD OF TRADE ("CBOT") ALLEGED THAT LEHMAN BROTHERS INC. ("LEHMAN") WAS IN VIOLATION OF REGULATION 1049.02 FOR INACCURATELY REPORTING TO THE CLEARING HOUSE ITS CORN, WHEAT AND SOYBEAN OIL CONTACT POSITIONS THAT WERE ELIGIBLE FOR DELIVERY. Current Status: Final Resolution: Consent Resolution Date: 01/13/2003 NASD BrokerCheck October 12, 2005 Page 67 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Sanctions Ordered: Monetary/Fine Monetary Amount: $2,500.00 Resolution Details: THE AMOUNT OF THE FINE IS $2,500 WHICH WAS PAID ON JANUARY 13, 2003. Summary: WITHOUT ADMITTING OR DENYING ANY VIOLATION, LEHMAN MADE AN OFFER OF SETTLEMENT. THE CBOT BUSINESS CONDUCT COMMITTEE ACCEPTED THE OFFER OF SETTLEMENT AND RENDERED A DECISION, DATED DECEMBER 27, 2002, ORDERING LEHMAN TO PAY A FINE IN THE SUM OF $2,500.00. THE FINE WAS PAID ON JANUARY 13, 2003. ****** REGULATORY ACTION (71 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 11/22/2002 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 11/12/2002 Docket/ Case Number: CMS020195 Allegations: NASD RULES 2110, 4632(A)(9), 4632(C)(5), 4642(C)(5), 6620, 6620(A), 6620(A)(6) - WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, THE RESPONDENT MEMBER CONSENTED TO THE ENTRY OF FINDINGS THAT IT FAILED, WITHIN 90 SECONDS AFTER EXECUTION, TO TRANSMIT THROUGH AUTOMATED CONFIRMATION TRANSACTION SERVICE (?ACT?) LAST SALE REPORTS OF TRANSACTIONS IN NASDAQ NATIONAL MARKET ("NNM"), NASDAQ SMALLCAP SECURITIES ("SC") AND OTC EQUITY SECURITIES. THIS CONDUCT CONSTITUTES A PATTERN AND PRACTICE OF LATE REPORTING WITHOUT EXCEPTIONAL CIRCUMSTANCES. NASD FOUND THAT FIRM FAILED TO REPORT THE CORRECT TIME OF EXECUTION THROUGH ACT IN LATE, LAST SALE REPORTS OF TRANSACTIONS IN NNM AND SC SECURITIES. THE FINDINGS STATED THAT THE FIRM FAILED TO REPORT THE CORRECT PRIOR REFERENCE TIME THROUGH ACT IN REPORTS OF TRANSACTIONS IN NNM SECURITIES DESIGNATED AS ".PRP." THE FINDINGS ALSO STATED THAT THE FIRM FAILED, WITHIN 90 SECONDS AFTER EXECUTION, TO TRANSMIT THROUGH ACT LAST SALE REPORTS OF TRANSACTIONS IN OTC EQUITY SECURITIES AND FAILED TO DESIGNATE THROUGH ACT SUCH LAST SALE REPORTS AS LATE. IN ADDITION, NASD FOUND THAT FIRM INCORRECTLY DESIGNATED AS ".SLD" THROUGH ACT LAST SALE REPORTS OF TRANSACTIONS IN OTC EQUITY SECURITIES REPORTED TO ACT WITHIN 90 SECONDS OF EXECUTION. FURTHERMORE, THE FIRM FAILED TO REPORT THE CORRECT PRIOR REFERENCE TIME THROUGH ACT IN TWO REPORTS OF TRANSACTIONS IN OTC EQUITY SECURITIES DESIGNATED AS ".PRP." Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 11/12/2002 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $15,000.00 Resolution Details: A CENSURE AND A $15,000 FINE. Summary: *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 12/18/2002 Initiated By: NATIONAL ASSOCIATION SECURITIES DEALERS REGULATION, INC. Date initiated: 11/12/2002 Docket/ Case Number: CMS020195 Allegations: IT WAS ALLEGED THAT LEHMAN BROTHERS INC. ("LEHMAN") WAS IN VIOLATION OF RULES 2110, 4632(A)(9), 4632(C)(5), 4642(C)(5), 6620, 6620(A), 6620(A)(6). NASD BrokerCheck October 12, 2005 Page 68 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 11/12/2002 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $15,000.00 Resolution Details: THE AMOUNT OF THE FINE IS $15,000 WHICH WAS PAID ON DECEMBER 9, 2002. Summary: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, LEHMAN CONSENTED TO THE FINDINGS THAT BETWEEN JANUARY 2, 2001 AND JUNE 29, 2001 IT FAILED, WITHIN 90 SECONDS OF EXECUTION, TO TRANSMIT THROUGH THE AUTOMATED CONFIRMATION TRANSACTION SERVICE ("ACT") LAST SALE REPORTS OF TRANSACTIONS IN NASDAQ NATIONAL MARKET ("NNM"), NASDAQ SMALLCAP ("SC") AND OVER-THE-COUNTER ("OTC") EQUITY SECURITIES. THE FINDINGS ALSO STATE LEHMAN FAILED TO REPORT THE CORRECT TIME OF EXECUTION THROUGH ACT IN LATE LAST REPORTS OF TRANSACTIONS IN NNM AND SC SECURITIES. THE FINDINGS FURTHER STATE THE FIRM FAILED TO REPORT THE CORRECT PRIOR REFERENCE TIME THROUGH ACT IN REPORTS OF TRANSACTIONS IN NNM AND OTC EQUITY SECURITIES DESIGNATED AS ".PRP". THE NASD FOUND THAT LEHMAN FAILED, WITHIN 90 SECONDS AFTER EXECUTION, TO TRANSMIT THROUGH ACT LAST SALE REPORTS OF TRANSACTIONS IN OTC EQUITY SECURITIES AND FAILED TO DESIGNATE SUCH REPORTS AS LATE. THE NASD FURTHER FOUND THAT LEHMAN INCORRECTLY DESIGNATED AS ".SDL" THROUGH ACT LAST SALE REPORTS OF TRANSACTIONS IN OTC EQUITY SECURITIES REPORTED TO ACT WITHIN 90 SECONDS OF EXECUTION. ****** REGULATORY ACTION (72 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 07/03/2002 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 06/28/2002 Docket/ Case Number: CMS020113 Allegations: NASD RULES 2110, 2320, 3370, 6130(D), AND SEC RULES 10B-10 AND 11AC1-4 - WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, THE RESPONDENT CONSENTED TO THE ENTRY OF FINDINGS THAT IT FAILED, IN TRANSACTIONS FOR OR WITH A CUSTOMER, TO USE REASONABLE DILIGENCE TO ASCERTAIN THE BEST INTER-DEALER MARKET AND FAILED TO BUY OR SELL IN SUCH MARKET SO THAT THE RESULTANT PRICE TO ITS CUSTOMER WAS AS FAVORABLE AS POSSIBLE UNDER PREVAILING MARKET CONDITIONS. RESPONDENT ALSO FAILED TO EXECUTE AN ORDER FULLY AND PROMPTLY. FURTHER, RESPONDENT EXECUTED SHORT SALE ORDERS IN CERTAIN SECURITIES AND FAILED TO MAINTAIN A WRITTEN RECORD OF THE AFFIRMATIVE DETERMINATION MADE FOR SUCH ORDERS. IN ADDITION, THE RESPONDENT ALSO EXECUTED SHORT SALE TRANSACTIONS AND FAILED TO REPORT EACH OF THESE TRANSACTIONS TO ACT WITH A SHORT SALE MODIFIER. RESPONDENT ALSO FAILED TO DISCLOSE ON CUSTOMER CONFIRMATIONS THAT THE DISCLOSED PRICE WAS AN AVERAGE PRICE, AND TO REFERENCE THE REQUIRED AVERAGE PRICE LEGEND THAT DETAILS OF THE TRANSACTIONS WOULD BE PROVIDED UPON REQUEST. THE RESPONDENT FAILED TO DISPLAY IMMEDIATELY THE CUSTOMER LIMIT ORDERS IN NASDAQ SECURITIES IN ITS PUBLIC QUOTATION, WHEN EACH SUCH ORDER WAS AT A PRICE THAT WOULD HAVE IMPROVED THE FIRM?S BID OR OFFER IN EACH SUCH SECURITY; OR WHEN THE ORDER WAS PRICED EQUAL TO THE FIRM?S BID OR OFFER AND THE NATIONAL BEST BID OR OFFER IN SUCH SECURITY, AND THE SIZE OF THE ORDER REPRESENTED MORE THAN A DE MINIMIS CHANGE IN RELATION TO THE SIZE ASSOCIATED WITH ITS BID OR OFFER IN EACH SUCH SECURITY. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 06/28/2002 Sanctions Ordered: Monetary/Fine, Disgorgement/Restitution, Censure Monetary Amount: $23,000.00 NASD BrokerCheck October 12, 2005 Page 69 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Resolution Details: A CENSURE, A FINE OF $23,000 (COMPOSED OF A $5,000 FINE FOR THE BEST EXECUTION VIOLATIONS, A $2,000 FINE FOR THE SHORT SALE RULE VIOLATIOS, A $2,000 FINE FOR THE ACT REPORTING VIOLATIONS, A $2,000 FINE FOR THE RULE 10B-10 VIOLATIONS, AND A $12,000 FINE FOR THE LIMIT ORDER DISPLAY RULE VIOLATIONS), AND RESTITUTION IN THE TOTAL AMOUNT OF $568.75, PLUS INTEREST FROM THE DATE OF THE VIOLATIVE CONDUCT UNTIL THE DATE THIS ACCEPTANCE, WAIVER AND CONSENT ("AWC") IS ACCEPTED BY THE NASD. A REGISTERED PRINCIPAL OF THE FIRM SHALL SUBMIT SATISFACTORY PROOF OF PAYMENT OF THE RESTITUTION, OR OF REASONABLE AND DOCUMENTED EFFORTS UNDERTAKEN TO EFFECT RESTITUTION, TO THE NASD NO LATER THAN 120 DAYS AFTER ACCEPTANCE OF THIS AWC. IF FOR ANY REASON, RESPONDENT CANNOT LOCATE ANY CUSTOMER AFTER REASONABLE AND DOCUMENTED EFFORTS WITHIN SUCH PERIOD, OR SUCH ADDITIONAL PERIOD AGREED TO BY THE NASD, RESPONDENT SHALL FORWARD ANY UNDISTRIBUTED RESTITUTION AND INTEREST TO THE APPROPRIATE ESCHEAT, UNCLAIMED-PROPERTY OR ABANDONED-PROPERTY FUND FOR THE STATE IN WHICH THE CUSTOMER LAST RESIDED. Summary: *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 07/25/2002 Initiated By: NASD REGULATION INC Date initiated: 06/28/2002 Docket/ Case Number: CMS020113 AWC Allegations: IT WAS ALLEGED THAT LEHMAN BROTHERS INC. ("LEHMAN") WAS IN VIOLATION OF SEC RULES 10B-10 AND 11AC1-4, AND NASD CONDUCT RULES 2110, 2320, 3370 AND 6130(D). Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 06/28/2002 Sanctions Ordered: Monetary/Fine, Disgorgement/Restitution, Censure Monetary Amount: $23,000.00 Resolution Details: THE AMOUNT OF THE FINE IS $23,000 WHICH WAS PAID ON JULY 23, 2002. THE AMOUNT OF THE RESTITUTION IS $568.75, PLUS INTEREST, WHICH WILL BE PAID IN ACCORDANCE WITH THE LETTER OF ACCEPTANCE, WAIVER AND CONSENT. Summary: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, LEHMAN CONSENTED TO THE ENTRY OF FINDINGS THAT, IN CERTAIN INSTANCES ON DECEMBER 11, 2001 AND/OR DECEMBER 12, 2001, THE FIRM: (I) FAILED TO OBTAIN BEST EXECUTIONS IN VIOLATION OF NASD CONDUCT RULES 2110 AND 2320; (II) EXECUTED SHORT SALES AND FAILED TO MAINTAIN A WRITTEN RECORD OF THE AFFIRMATIVE DETERMINATION IN VIOLATION OF NASD CONDUCT RULE 3370; (III) EXECUTED SHORT SALE TRANSACTIONS AND FAILED TO REPORT THOSE TRANSACTIONS TO ACT WITH A SHORT SALE MODIFIER IN VIOLATION OF NASD CONDUCT RULE 6130(D); (IV) FAILED TO DISCLOSE THAT THE DISCLOSED PRICE ON CERTAIN TRANSACTIONS WERE AVERAGE PRICES AND TO REFERENCE THE REQUIRED AVERAGE PRICE LEGEND THAT DETAILS WOULD BE PROVIDED UPON REQUEST IN VIOLATION OF SEC RULE 10B-10; AND (V) DID NOT DISPLAY IMMEDIATELY CERTAIN CUSTOMER LIMIT ORDERS IN VIOLATION OF SEC RULE 11 AC1-4. ****** REGULATORY ACTION (73 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 07/02/2002 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 06/28/2002 Docket/ Case Number: CMS020116 NASD BrokerCheck October 12, 2005 Page 70 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Allegations: NASD RULES 2110 AND NASD MARKETPLACE RULES 6954 AND 6955 - WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, THE RESPONDENT MEMBER CONSENTED TO THE ENTRY OF FINDINGS THAT IT FAILED TO REPORT ALL APPLICABLE ORDER INFORMATION REQUIRED TO BE RECORDED UNDER NASD MARKETPLACE RULE TO ORDER AUDIT TRAIL SYSTEM ("OATS"). RESPONDENT MEMBER FAILED TO USE THE CORRECT ACRONYM FOR THE DESTINATION OF 10,989 ROUTE REPORTS TO OATS ON 18 BUSINESS DAYS. THE RESPONDENT MEMBER DID NOT CORRECT OR REPLACE THE SUBJECT REPORTS AND THUS, FAILED TO CORRECTLY REPORT SUCH INFORMATION TO OATS. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 06/28/2002 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $9,000.00 Resolution Details: A CENSURE AND A FINE OF $9,000. Summary: *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 07/25/2002 Initiated By: NASD REGULATION INC Date initiated: 06/28/2002 Docket/ Case Number: CMS020116 AWC Allegations: IT WAS ALLEGED THAT LEHMAN BROTHERS INC. ("LEHMAN") WAS IN VIOLATION OF NASD MARKETPLACE RULE 6955, AND NASD CONDUCT RULE 2110. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 06/28/2002 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $9,000.00 Resolution Details: THE AMOUNT OF THE FINE IS $9,000 WHICH WAS PAID ON JULY 23, 2002. Summary: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, LEHMAN CONSENTED TO THE ENTRY OF FINDINGS THAT: 1) DURING THE PERIODS OCTOBER 18, 1999 THROUGH NOVEMBER 12, 1999 AND DECEMBER 1, 1999 THROUGH DECEMBER 31, 1999 LEHMAN FAILED TO REPORT ALL APPLICABLE ORDER INFORMATION REQUIRED TO BE RECORDED UNDER NASD MARKETPLACE RULE 6954 TO OATS, AND 2) FOR THE PERIOD SEPTEMBER 5, 2000 THROUGH SEPTEMBER 29, 2000, LEHMAN FAILED TO CORRECTLY REPORT CERTAIN INFORMATION TO OATS, IN VIOLATION OF NASD MARKETPLACE RULE 6955 AND NASD CONDUCT RULE 2110. ****** REGULATORY ACTION (74 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 07/02/2002 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 06/28/2002 Docket/ Case Number: CMS020114 Allegations: NASD RULE 3320, NASD MARKETPLACE RULE 4613(B) AND SEC RULE NASD BrokerCheck October 12, 2005 Page 71 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) 11AC1-1 - WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, THE RESPONDENT MEMBER CONSENTED TO THE ENTRY OF FINDINGS THAT RESPONDENT MEMBER, A MARKET MAKER IN THE RELEVANT SECURITIES, FAILED TO EXECUTE THE ORDERS UPON PRESENTMENT AND THEREBY FAILED TO HONOR ITS PUBLISHED QUOTATION. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 06/28/2002 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $9,000.00 Resolution Details: A CENSURE AND A FINE OF $9,000. Summary: *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 07/25/2002 Initiated By: NASD REGULATION, INC. Date initiated: 06/28/2002 Docket/ Case Number: CMS020114 AWC Allegations: IT WAS ALLEGED THAT LEHMAN BROTHERS INC. ("LEHMAN") WAS IN VIOLATION OF SEC RULE 11AC1-1, NASD CONDUCT RULE 3320 AND NASD MARKETPLACE RULE 4613(B). Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 06/28/2002 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $9,000.00 Resolution Details: THE AMOUNT OF THE FINE IS $9,000 WHICH WAS PAID ON JULY 23, 2002. Summary: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, LEHMAN CONSENTED TO THE ENTRY OF FINDINGS THAT IN CERTAIN INSTANCES DURING THE PERIOD BETWEEN APRIL 2, 2001 AND JUNE 29, 2001, LEHMAN FAILED TO EXECUTE ORDERS UPON PRESENTMENT AND THEREBY FAILED TO HONOR ITS PUBLISHED QUOTATIONS IN VIOLATION OF SEC RULE 11AC1-1; NASD CONDUCT RULE 3320 AND NASD MARKETPLACE RULE 4613(B). ****** REGULATORY ACTION (75 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 06/25/2002 Initiated By: CHICAGO MERCANTILE EXCHANGE, INC Date initiated: 05/15/2002 Docket/ Case Number: 02-20487-CTRA Allegations: THE CHICAGO MERCANTILE EXCHANGE, INC. (CME) ALLEGED LEHMAN BROTHERS, INC. (LEHMAN) VIOLATED ITS RULE 536 BY EXCEEDING A 10% EXCEPTION RATE FOR FLOOR ORDERS ON MAY 1, 2002. THE CME IMPOSED A $1,000 FINE. Current Status: Final Resolution: Decision Resolution Date: 06/04/2002 NASD BrokerCheck October 12, 2005 Page 72 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Sanctions Ordered: Monetary/Fine Monetary Amount: $1,000.00 Other Sanctions: NONE Resolution Details: FINE - $1,000. LEHMAN PAID THE ENTIRE FINE ON MAY 23, 2002. Summary: ON MAY 23, 2002, WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, LEHMAN PAID THE $1,000 FINE. THE CME'S DECISION IS FINAL AND EFFECTIVE ON JUNE 4, 2002 ****** REGULATORY ACTION (76 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 05/10/2002 Initiated By: CHICAGO BOARD OF TRADE - BUSINESS CONDUCT COMMITTEE Date initiated: 03/27/2002 Docket/ Case Number: 01-RFT-108 Allegations: ON MARCH 27, 2002, THE BUSINESS CONDUCT COMMITTEE OF THE CHICAGO BOARD OF TRADE ("CBOT") ALLEGED THAT LEHMAN BROTHERS INC. ("LEHMAN") VIOLATED CBOT REGULATION 332.08 IN THAT IT HAD, ON SEVERAL OCCASIONS DURING THE PERIOD DECEMBER 3 AND 4, 2001, INCORRECTLY KEYPUNCHED INFORMATION INTO THE TRADE ENTRY SYSTEM Current Status: Final Resolution: Consent Resolution Date: 04/12/2002 Sanctions Ordered: Monetary/Fine Monetary Amount: $1,500.00 Resolution Details: ON APRIL 12, 2002, WITHOUT ADMITTING OR DENYING THAT IT HAD VIOLATED ANY REGULATIONS, LEHMAN PAID A FINE IN THE AMOUNT OF $1,500.00 Summary: ****** REGULATORY ACTION (77 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 02/25/2002 Initiated By: CHICAGO BOARD OF TRADE, BUSINESS CONDUCT COMMITTEE Date initiated: 10/09/2001 Docket/ Case Number: 01-RFT-042 Allegations: ON OCTOBER 9, 2001, THE BUSINESS CONDUCT COMMITTEE OF THE CHICAGO BOARD OF TRADE ("CBOT") ALLEGED THAT LEHMAN BROTHERS INC. ("LEHMAN") VIOLATED CBOT REGULATION 332.08 RELATING TO LATE TRADE DATA SUBMISSIONS. Current Status: Final Resolution: Decision & Order of Offer of Settlement Resolution Date: 02/05/2002 Sanctions Ordered: Monetary/Fine Monetary Amount: $750.00 Resolution NASD BrokerCheck October 12, 2005 Page 73 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Details: ON OCTOBER 15, 2001, WITHOUT ADMITTING OR DENYING ANY VIOLATIONS, LEHMAN OFFERED TO PAY A FINE IN THE AMOUNT OF $750.00. THE SETTLEMENT OFFER WAS ACCEPTED BY THE COMMITTEE ON OCTOBER 24, 2001 AND RESULTED IN DECISION 01-RFT-042 (THE "DECISION") DATED DECEMBER 5, 2001. LEHMAN RECEIVED THE DECISION ON JANUARY 25, 2002 AND PAID THE $750.00 ON FEBRUARY 5, 2002. Summary: ****** REGULATORY ACTION (78 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 05/02/2002 Initiated By: NYSE DIVISION OF ENFORCEMENT Date initiated: 01/15/2002 Docket/ Case Number: HPD#:02-62 Allegations: **01/15/2002**PLEASE BE ADVISED THAT THE EXCHANGE AND LEHMAN BROTHERS ENTERED INTO A STIPULATION OF FACTS AND CONSENT TO PENALTY. WITHOUT ADMITTING OR DENYING GUILT, THE FIRM CONSENTED: A.TO A FINDING BY THE HEARING PANEL THAT THE FIRM:1.VIOLATED EXCHANGE RULE 345A, IN THAT THE FIRM PERMITTED PERSONS WITH INACTIVE REGISTRATIONS TO PERFORM DUTIES AND FUNCTIONS IN CAPACITIES WHICH REQUIRED REGISTRATION, FOR PERIODS RANGING FROM LESS THAN ONE MONTH TO TEN MONTHS.2.VIOLATED EXCHANGE RULE 342, IN THAT THE FIRM FAILED TO PROVIDE APPROPRIATE SUPERVISORY PROCEDURES AND CONTROLS AND AN APPROPRIATE SYSTEM OF FOLLOW-UP AND REVIEW WITH RESPECT TO ITS OBLIGATION TO ENSURE THAT ITS REGISTERED EMPLOYEES COMPLETED THE REGULATORY ELEMENT OF THE CONTINUING EDUCATION PROGRAM, AND B.TO THE IMPOSITION OF A PENALTY OF A CENSURE AND A $250,000 FINE. Current Status: Final Resolution: Decision Resolution Date: 04/26/2002 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $250,000.00 Resolution Details: **3/21/2002**DECISION 02-62 - ISSUED BY THE NYSE HEARING PANEL THE HEARING PANEL, ACCEPTING A STIPULATION OF FACTS AND CONSENT TO PENALTY, FOUND THAT THE FIRM VIOLATED EXCHANGE RULE 345A BY PERMITTING PERSONS WITH INACTIVE REGISTRATIONS TO PERFORM IN CAPACITIES WHICH REQUIRED REGISTRATION AND VIOLATED EXCHANGE RULE 342 BY FAILING TO PROVIDE APPROPRIATE SUPERVISORY PROCEDURES. CONSENT TO CENSURE AND A $250,000 FINE. Summary: **4/26/2002** THE DECISION IS NOW FINAL AND IS EFFECTIVE IMMEDIATELY. CONTACT: PEGGY GERMINO 212-656-8450. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 05/20/2002 Initiated By: NEW YORK STOCK EXCHANGE, INC. Date initiated: 04/26/2002 Docket/ Case Number: HPD 02-62 Allegations: IT WAS ALLEGED THAT: LEHMAN VIOLATED EXCHANGE RULE 345A BY PERMITTING PERSONS WITH INACTIVE REGISTRATIONS TO PERFORM DUTIES AND FUNCTIONS IN CAPACITIES THAT REQUIRED REGISTRATION FOR PERIODS RANGING FROM LESS THAN ONE MONTH TO TEN MONTHS; AND VIOLATED EXCHANGE RULE 342 BY FAILING TO PROVIDE APPROPRIATE SUPERVISORY PROCEDURES AND CONTROLS AND AN APPROPRIATE SYSTEM OF FOLLOW-UP AND REVIEW WITH RESPECT TO ITS OBLIGATION TO ENSURE THAT ITS REGISTERED EMPLOYEES COMPLETED THE REGULATORY ELEMENT OF THE CONTINUING EDUCATION PROGRAM. NASD BrokerCheck October 12, 2005 Page 74 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Current Status: Final Resolution: Stipulation and Consent Resolution Date: 04/26/2002 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $250,000.00 Resolution Details: CENSURE AND FINE OF $250,000. PURSUANT TO THE PROVISIONS OF THE EXCHANGE'S CONSTITUTION AND RULES, THE FINE WILL BE PAID WITHIN 45 DAYS OF THE DATE THE DECISION BECAME FINAL. THE DECISION BECAME FINAL ON APRIL 26, 2002. Summary: WITHOUT ADMITTING OR DENYING GUILT, THE FIRM CONSENTED TO A FINDING BY THE HEARING PANEL THAT IT VIOLATED EXCHANGE RULE 345A BY PERMITTING PERSONS WITH INACTIVE REGISTRATIONS TO PERFORM DUTIES AND FUNCTIONS IN CAPACITIES WHICH REQUIRED REGISTRATION FOR PERIODS RANGING FROM LESS THAN ONE MONTH TO TEN MONTHS AND VIOLATED EXCHANGE RULE 342 BY FAILING TO PROVIDE APPROPRIATE SUPERVISORY PROCEDURES AND CONTROLS AND AN APPROPRIATE SYSTEM OF FOLLOW-UP AND REVIEW WITH RESPECT TO ITS OBLIGATION TO ENSURE THAT ITS REGISTERED EMPLOYEES COMPLETED THE REGULATORY ELEMENT OF THE CONTINUING EDUCATION PROGRAM. ****** REGULATORY ACTION (79 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 07/10/2001 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS Date initiated: 06/27/2001 Docket/ Case Number: CMS010112 Allegations: 07/10/01GS: NASD RULE 4613 AND SEC RULE 11AC1-1 - FAILED TO IMMEDIATELY DISPLAY A REVISED QUOTATION AT A PRICE THAT WAS INFERIOR TO ITS PREVIOUS PUBLISHED QUOTATION; FAILED TO HONOR IT PUBLISHED QUOTATION; RECEIVED A TRADE-OR-MOVE MESSAGE THROUGH SELECTNET AND FAILED WITHIN 30 SECONDS OF RECEIVING SUCH MESSAGE TO FILL THE INCOMING TRADE-OR-MOVE MESSAGE FOR THE FULL SIZE OF THE MESSAGE OR MOVE ITS BID DOWN (OFFER UP) BY A QUOTATION INCREMENT THAT WOULD HAVE UNLOCKED/UNCROSSED THE MARKET; ENTERED A BID OR ASK QUOTATION IN THE NASDAQ STOCK MARKET, INC. WHICH CAUSED A LOCKED OR CROSS MARKET CONDITION TO OCCUR IN EACH INSTANCE; FAILED TO IMMEDIATELY SEND A TRADE-OR-MOVE MESSAGE THROUGH SELECTNET TO MARKET PARTICIPANTS WHOSE QUOTE IT LOCKED OR CROSSED AND WITH AN AGGREGATE SIZE OF AT LEAST 5,000 SHARES TO ALL MARKET PARTICIPANTS WHOSE QUOTES IT LOCKED/CROSSED. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 06/27/2001 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $97,500.00 Resolution Details: NONE Summary: *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 07/27/2001 Initiated By: NASD REGULATION, INC. Date initiated: 07/02/2001 Docket/ Case Number: CMS010112 NASD BrokerCheck October 12, 2005 Page 75 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Allegations: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, LEHMAN BROTHERS INC. CONSENTED TO THE ENTRY OF FINDINGS THAT ON CERTAIN OCCASIONS DURING AUGUST 28 THROUGH SEPTEMBER 1, 2000 AND ON DECEMBER 15, 2000 AND MARCH 16, 2001, IT FAILED TO COMPLY WITH THE TRADE-OR-MOVE RULE IN VIOLATION OF NASD MARKETPLACE RULE 4613(E)(1)(C); ON CERTAIN OCCASIONS FROM OCTOBER 1, 1999 THROUGH MARCH 31, 2000, IT FAILED TO COMPLY WITH THE TRADE-OR-FADE RULE IN VIOLATION OF NASD MARKETPLACE RULE 4613(B)(2); ON CERTAIN INSTANCES FROM APRIL THROUGH JUNE, 2000, IT FAILED TO COMPLY WITH THE FIRM QUOTE RULES IN VIOLATION OF NASD CONDUCT RULE 3320, NASD MARKETPLACE RULE 4613(B), AND EXCHANGE ACT RULE 11AC1-1; AND ON CERTAIN INSTANCES FROM JULY 1, THROUGH SEPTEMBER 30, 2000, IT CAUSED A LOCKED OR CROSSED MARKET IN VIOLATION OF NASD MARKETPLACE RULE 4613(E)(2). Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 07/02/2001 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $97,500.00 Resolution Details: THE AMOUNT OF THE FINE IS $97,500. THE FINE WAS PAID ON JULY 24, 2001. Summary: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, LEHMAN BROTHERS INC. CONSENTED TO THE ENTRY OF FINDINGS THAT ON CERTAIN OCCASIONS DURING AUGUST 28 THROUGH SEPTEMBER 1, 2000 AND ON DECEMBER 15, 2000 AND MARCH 16, 2001, IT FAILED TO COMPLY WITH THE TRADE-OR-MOVE RULE IN VIOLATION OF NASD MARKETPLACE RULE 4613(E)(1)(C); ON CERTAIN OCCASIONS FROM OCTOBER 1, 1999 THROUGH MARCH 31, 2000, IT FAILED TO COMPLY WITH THE TRADE-OR-FADE RULE IN VIOLATION OF NASD MARKETPLACE RULE 4613(B)(2); ON CERTAIN INSTANCES FROM APRIL THROUGH JUNE, 2000, IT FAILED TO COMPLY WITH THE FIRM QUOTE RULES IN VIOLATION OF NASD CONDUCT RULE 3320, NASD MARKETPLACE RULE 4613(B), AND EXCHANGE ACT RULE 11AC1-1; AND ON CERTAIN INSTANCES FROM JULY 1, THROUGH SEPTEMBER 30, 2000, IT CAUSED A LOCKED OR CROSSED MARKET IN VIOLATION OF NASD MARKETPLACE RULE 4613(E)(2). ****** REGULATORY ACTION (80 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 01/03/2001 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS Date initiated: 11/10/2000 Docket/ Case Number: C8A000066 Allegations: 11/20/00GS: MSRB RULES G12 AND G14 - FAILED TO PROVIDE ACCURATE AND TIMELY INFORMATION REGARDING MUNICIPAL SECURITIES TRADES TO THE NATIONAL SECURITIES CLEARING CORPORATION. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 11/10/2000 Sanctions Ordered: Monetary/Fine Monetary Amount: $2,000.00 Resolution Details: NONE Summary: *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 12/07/2000 NASD BrokerCheck October 12, 2005 Page 76 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Initiated By: NASD REGULATION, INC. Date initiated: 11/10/2000 Docket/ Case Number: C8A000066 Allegations: IT WAS ALLEGED THAT LEHMAN BROTHERS INC. ("LEHMAN") WAS IN VIOLATION OF MSRB RULES G-12 AND G-14. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 11/10/2000 Sanctions Ordered: Monetary/Fine Monetary Amount: $2,000.00 Resolution Details: THE AMOUNT OF THE FINE IS $2,000. PURSUANT TO THE NASD REGULATION, INC.'S PROCEDURES, LEHMAN WILL PAY THE FINE IN ACCORDANCE WITH THE INVOICE SENT BY THE NASD REGULATION, INC.'S DEPARTMENT OF FINANCE. Summary: WITHOUT ADMITTING OR DENYING THE ALLEGED VIOLATIONS, LEHMAN ACCEPTED AND CONSENTED TO THE ENTRY OF THE FOLLOWING FINDINGS: DURING THE PERIOD JANUARY 2000 THROUGH JULY 2000, LEHMAN'S T-INPUT PERCENTAGE WAS BELOW THE INDUSTRY AVERAGE T-INPUT PERCENTAGE; AND 2) BY VIRTUE OF ITS FAILURE TO PROVIDE ACCURATE AND TIMELY INFORMATION REGARDING MUNICIPAL SECURITIES TRADES TO THE NSCC DURING THIS TIME PERIOD, LEHMAN VIOLATED MSRB RULES G-12 AND G-14. ****** REGULATORY ACTION (81 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 01/08/2001 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 07/17/2000 Docket/ Case Number: CMS000158 Allegations: 08/17/00EC: NASD RULES 2110, 2320, 3370 AND SEC RULE 11AC1-4 - RESPONDENT MEMBER FAILED TO CONTEMPORANEOUSLY OR PARTIALLY EXECUTE CUSTOMER LIMIT ORDERS IN NASDAQ SECURITIES AFTER IT TRADED EACH SUBJECT SECURITY FOR ITS OWN MARKET-MAKING ACCOUNT AT A PRICE THAT WOULD HAVE SATISFIED EACH CUSTOMER'S LIMIT ORDER; RESPONDENT MEMBER FAILED TO USE REASONABLE DILIGENCE TO ASCERTAIN THE BEST INTER-DEALER MARKET AND FAILED TO BUY OR SELL IN SUCH MARKET SO THAT THE RESULTANT PRICE TO ITS CUSTOMER WAS AS FAVORABLE AS POSSIBLE UNDER PREVAILING MARKET CONDITIONS; RESPONDENT MEMBER FAILED TO EXECUTE MARKET ORDERS FULLY AND PROMPTLY; RESPONDENT FAILED TO DISPLAY IMMEDIATELY CUSTOMER LIMIT ORDERS IN NASDAQ SECURITIES IN ITS PUBLIC QUOTATION, WHEN EACH ORDER WAS AT A PRICE THAT WOULD HAVE IMPROVED RESPONDENT MEMBER'S BID OR OFFER IN EACH SUCH SECURITY OR WHEN THE ORDER WAS PRICED EQUAL TO RESPONDENT MEMBER'S BID OR OFFER AND THE NATIONAL BEST BID OR OFFER FOR EACH SUCH SECURITY AND THE SIZE OF THE ORDER REPRESENTED MORE THAN A DE MINIMIS CHANGE IN RELATION TO THE SIZE ASSOCIATED WITH RESPONDENT MEMBER'S BID OR OFFER IN EACH SUCH SECURITY; RESPONDENT MEMBER EXECUTED SHORT SALE ORDERS IN CERTAIN SECURITIES AND FAILED TO MAKE AN AFFIRMATIVE DETERMINATION PRIOR TO EXECUTING SUCH TRANSACTIONS; AND RESPONDENT MEMBER'S SUPERVISORY SYSTEM DID NOT PROVIDE FOR SUPERVISION REASONABLY DESIGNED TO ACHIEVE COMPLIANCE WITH RESPECT TO THE APPLICABLE SECURITIES LAWS AND REGULATIONS. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 07/17/2000 Sanctions Ordered: Disgorgement/Restitution, Censure NASD BrokerCheck October 12, 2005 Page 77 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Resolution Details: AN UNDERTAKING TO PROVIDE THE STAFF WITH REVISED WRITTEN SUPERVISORY PROCEDURES WITHIN 30 BUSINESS DAYS OF ACCEPTANCE OF THIS AWC BY THE NAC. FURTHER, RESPONDENT MEMBER SHALL PROVIDE RESTITUTION TO THE CUSTOMERS WHOSE TRANSACTIONS IN THE TOTAL AMOUNT OF $2,131.25, PLUS INTEREST. SATISFACTORY PROOF OF PAYMENT OF THE RESTITUTION, OR OF REASONABLE AND DOCUMENTED EFFORTS UNDERTAKEN TO EFFECT RESTITUTION, SHALL BE PROVIDED TO THE NASD REGULATION, INC., STAFF NO LATER THAN 120 DAYS AFTER ACCEPTANCE OF THIS AWC. Summary: 01-08-01, $37,000 RESTITUTION PAID 08/28/00, INVOICE 00-MS-561 *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD REGULATION, INC. Date initiated: 07/18/2000 Docket/ Case Number: CMS000158 Allegations: IT WAS ALLEGED THAT LEHMAN BROTHERS INC. ("LEHMAN") WAS IN VIOLATION OF SECURITIES EXCHANGE ACT RULE 11AC1-4 AND NASD CONDUCT RULES 2110, IM-2110-2, 2320, 3010 AND 3370. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 07/18/2000 Sanctions Ordered: Monetary/Fine, Disgorgement/Restitution, Censure Monetary Amount: $37,000.00 Other Sanctions: AN UNDERTAKING TO PROVIDE THE MARKET REGULATION DEPARTMENT STAFF WITH REVISED WRITTEN SUPERVISORY PROCEDURES BY AUGUST 29, 2000. Resolution Details: THE AMOUNT OF THE FINE IS $37,000.00. PURSUANT TO NASD REGULATION, INC.'S PROCEDURES, LEHMAN WILL PAY THE FINE IN ACCORDANCE WITH THE INVOICE SENT BY THE NASD REGULATION, INC.'S DEPARTMENT OF FINANCE. THE AMOUNT OF THE RESTITUTION IS $2,131.25, PLUS INTEREST. Summary: WITHOUT ADMITTING OR DENYING THE ALLEGED VIOLATIONS, LEHMAN CONSENTED TO THE ENTRY OF FINDINGS THAT, ON SEVERAL OCCASIONS ON FEBRUARY 5, 1999, LEMAN: 1) DID NOT EXECUTE TIMELY CUSTOMER LIMIT ORDERS, IN VIOLATION OF NASD CONDUCT RULE 2110 AND IM-2110-2; 2) FAILED TO OBTAIN BEST EXECUTIONS, IN VIOLATION OF NASD CONDUCT RULES 2110 AND 2320; 3) DID NOT DISPLAY IMMEDIATELY CUSTOMER LIMIT ORDERS, IN VIOLATION OF SECURITIES EXCHANGE ACT RULE 11AC1-4; 4) EXECUTED SHORT SALES, WITHOUT MAKING AN AFFIRMATIVE DETERMINATION, IN VIOLATION OF NASD CONDUCT RULE 3370; AND 5)FAILED TO HAVE WRITTEN SUPERVISORY PROCEDURES IN PLACE IDENTIFYING PERSON(S) RESPONSIBLE TO ENSURE COMPLIANCE WITH RELEVANT NASD RULES, SETTING FORTH THE STEPS THE PERSON(S) SHOULD TAKE TO ENSURE COMPLIANCE, AND STATING HOW OFTEN THE PERSON(S) NEEDED TO CONDUCT AND DOCUMENT THEIR REVIEWS, IN VIOLATION OF NASD CONDUCT RULES 2110 AND 3010. ****** REGULATORY ACTION (82 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 01/08/2001 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS Date initiated: 08/02/2000 Docket/ Case Number: CMS000174 Allegations: 08/15/00GS: NASD RULE 6240 - REPORTED TRANSACTIONS TO THE FIXED INCOME PRICING SYSTEM ("FIPS") IN VIOLATION OF APPLICABLE SECURITIES LAWS AND REGULATIONS REGARDING THE REPORTING OF NASD BrokerCheck October 12, 2005 Page 78 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) HIGH YIELD CORPORATE DEBTS SECURITIES Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 08/02/2000 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $7,500.00 Resolution Details: 01-08-01, $7,500 PAID 08/28/00, INVOICE 00-MS-578. Summary: *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD REGULATION, INC. Date initiated: 08/03/2000 Docket/ Case Number: CMS000174 Allegations: IT WAS ALLEGED THAT LEHMAN BROTHERS INC. ("LEHMAN") WAS IN VIOLATION OF NASD MARKETPLACE RULES 6240(A) AND 6240(B). Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 08/03/2000 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $7,500.00 Resolution Details: THE AMOUNT OF THE FINE IS $7,500. THE FINE WAS PAID ON AUGUST 24, 2000. Summary: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, LEHMAN CONSENTED TO THE ENTRY OF FINDINGS THAT, IN INSTANCES DURING THE PERIODS SEPTEMBER 15TH THROUGH OCTOBER 18TH 1996, JULY 7TH THROUGH JULY 11TH 1997 AND JUNE 5TH THROUGH SEPTEMBER 15TH 1998, LEHMAN WAS IN VIOLATION OF NASD MARKETPLACE RULES 6240(A) AND 6240(B) RELATING TO REPORTING VIOLATIONS IN CERTAIN FIPS MANDATORY AND HIGH YIELD SECURITIES, RESPECTIVELY. ****** REGULATORY ACTION (83 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 01/08/2001 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 07/17/2000 Docket/ Case Number: CMS000159AWC Allegations: 08/13/00EC: NASD RULE 4613(E) - RESPONDED FIRM, WITHOUT MAKING REASONABLE EFFORTS TO AVOID A LOCKED OR CROSSED MARKET BY EXECUTING TRANSACTIONS WITH ALL MARKET MAKERS WHOSE QUOTATIONS WOULD BE LOCKED OR CROSSED, ENTERED A BID OR ASK QUOTATION IN THE NASDAQ STOCK MARKET, INC. WHICH CAUSED A LOCKED OR CROSSED MARKET CONDITION TO OCCUR IN EACH INSTANCE. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 07/17/2000 Sanctions Ordered: Monetary/Fine NASD BrokerCheck October 12, 2005 Page 79 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Monetary Amount: $5,000.00 Resolution Details: 01-08-01, $5,000 PAID 08/28/00, INVOICE 00-MS-562. Summary: *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD REGULATION, INC. Date initiated: 07/18/2000 Docket/ Case Number: CMS000159 Allegations: IT WAS ALLEGED THAT LEHMAN BROTHERS INC. ("LEHMAN") WAS IN VIOLATION OF NASD MARKETPLACE RULE 4613(E). Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 07/18/2000 Sanctions Ordered: Monetary/Fine Monetary Amount: $5,000.00 Resolution Details: THE AMOUNT OF THE FINE IS $5,000. PURSUANT TO NASD REGULATION, INC.'S PROCEDURES, LEHMAN WILL PAY THE FINE IN ACCORDANCE WITH THE INVOICE SENT BY THE NASD REGULATION, INC.'S DEPARTMENT OF FINANCE. Summary: WITHOUT ADMITTING OR DENYING THE ALLEGED VIOLATIONS, LEHMAN CONSENTED TO THE ENTRY OF FINDINGS THAT, IN 20 INSTANCES FROM JUNE 24, 1997 THROUGH DECEMBER 12, 1997, LEHMAN, WITHOUT MAKING REASONABLE EFFORTS TO AVOID A LOCKED OR CROSSED MARKET, ENTERED A BID OR ASK QUOTATION WHICH CAUSED A LOCKED OR CROSSED MARKET CONDITION, IN VIOLATION OF NASD MARKETPLACE RULE 4613(E). ****** REGULATORY ACTION (84 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 01/08/2001 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 07/17/2000 Docket/ Case Number: CMS000147 Allegations: 08/11/00EC: NASD RULE 4632(A) AND 6620(A) - RESPONDENT FIRM FAILED TO DESIGNATE AS ".T" THROUGH ACT LAST SALE REPORTS OF TRANSACTIONS IN NASDAQ NATIONAL MARKET AND OTC EQUITY SECURITIES EXECUTED OUTSIDE OF NORMAL MARKET HOURS. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 07/17/2000 Sanctions Ordered: Monetary/Fine Monetary Amount: $5,000.00 Resolution Details: 01-08-00, $5,000 PAID 08/28/00, INVOICE 00-MS-549 Summary: *********************************** NASD BrokerCheck October 12, 2005 Page 80 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD REGULATION, INC. Date initiated: 07/18/2000 Docket/ Case Number: CMS000147 Allegations: IT WAS ALLEGED THAT LEHMAN BROTHERS INC. ("LEHMAN") WAS IN VIOLATION OF NASD MARKETPLACE RULES 4632(A) AND 6620(A). Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 07/18/2000 Sanctions Ordered: Monetary/Fine Monetary Amount: $5,000.00 Resolution Details: THE AMOUNT OF THE FINE IS $5,000. PURSUANT TO NASD REGULATION, INC.'S PROCEDURES, LEHMAN WILL PAY THE FINE IN ACCORDANCE WITH THE INVOICE SENT BY THE NASD REGULATION, INC.'S DEPARTMENT OF FINANCE. Summary: WITHOUT ADMITTING OR DENYING THE ALLEGED VIOLATIONS, LEHMAN ACCEPTED AND CONSENTED TO THE ENTRY OF FINDINGS THAT, IN INSTANCES DURING THE PERIOD APRIL 1 THROUGH JUNE 30, 1999, LEHMAN FAILED TO PROPERLY DESIGNATE TRADES AS BEING EXECUTED OUTSIDE OF NORMAL BUSINESS HOURS, IN VIOLATION OF NASD MARKETPLACE RULES 4632(A) AND 6620(A). ****** REGULATORY ACTION (85 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 06/26/2000 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 12/04/1985 Docket/ Case Number: WA-478 Allegations: VIOLATIONS OF ARTICLE III, SECTIONS 1, 15(A), 15(B), AND 27(A) OF THE RULES OF FAIR PRACTICE IN THAT RESPONDENT SALYER WAS ORALLY GRANTED DISCRETIONARY POWER AND USED SUCH DISCRETIONARY POWER TO EFFECT TRANSACTIONS IN THE ACCOUNT OF A CUSTOMER, WHICH TRANSACTIONS WERE EXECESSIVE IN FREQUENCY; EXERCISED DISCRETION IN THIS CUSTOMER'S ACCOUNT WITHOUT FIRST HAVING SUCH DISCRETIONARY POWER REDUCED TO WRITING AND ACCEPTED BY THE RESPONDENT MEMBER; AND, RESPONDENT MEMBER, ACTING THROUGH RESPONDENT PEYTON, FAILED TO REASONABLY SUPERVISE THE ACTIVITIES OF RESPONDENT SALYER. Current Status: Final Resolution: Decision Resolution Date: 05/05/1989 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $3,000.00 Resolution Details: DECISION RENDERED MAY 14, 1987, WHEREIN RESPONDENTS ARE CENSURED AND FINED $3,000.00, JOINTLY AND SEVERALLY. Summary: [TOP] NASD COMPLAINT NO. WA-478 FILED 12/4/85 BY DISTRICT NO. 10 AGAINST SHEARSON LEHMAN BROTHERS, INC., RONALD L. SALYER AND RANDOLPH G. PEYTON, ALLEGING VIOLATIONS OF ARTICLE III, SECTIONS 1, 15(A), 15(B), AND 27(A) OF THE RULES OF FAIR PRACTICE IN THAT RESPONDENT SALYER WAS ORALLY GRANTED DISCRETIONARY POWER AND USED SUCH DISCRETIONARY POWER TO EFFECT TRANSACTIONS IN THE ACCOUNT OF A CUSTOMER, WHICH TRANSACTIONS WERE EXECESSIVE IN FREQUENCY; EXERCISED NASD BrokerCheck October 12, 2005 Page 81 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) DISCRETION IN THIS CUSTOMER'S ACCOUNT WITHOUT FIRST HAVING SUCH DISCRETIONARY POWER REDUCED TO WRITING AND ACCEPTED BY THE RESPONDENT MEMBER; AND, RESPONDENT MEMBER, ACTING THROUGH RESPONDENT PEYTON, FAILED TO REASONABLY SUPERVISE THE ACTIVITIES OF RESPONDENT SALYER. DECISION RENDERED MAY 14, 1987, WHEREIN RESPONDENTS ARE CENSURED AND FINED $3,000.00, JOINTLY AND SEVERALLY. MAY 27, 1987 - APPEALED TO THE BOARD OF GOVERNORS. BOARD OF GOVERNORS' DECISION RENDERED OCTOBER 16, 1987, WHEREIN THE FINDINGS MADE AND THE SANCTIONS IMPOSED ARE AFFIRMED. 4/2/88 - APPEALED TO THE SEC. ***5/24/89-SEC NEWS DIGEST ISSUE 89-85, DATED 5/5/89 DISCLOSES: THE SEC AFFIRMED DISCIPLINARY ACTION TAKEN BY THE NASD AGAINST SHEARSON LEHMAN HUTTON INC., THE NASD CENSURED RESPONDENTS AND FINED THEM $3,000, JOINTLY AND SEVERALLY. THE COMMISSION FOUND, AS HAD THE NASD, THAT SALYER ENGAGED IN EXCESSIVE TRADING IN A CUSTOMER'S DISCRETIONARY ACCOUNT. IN A 13-MONTH PERIOD, THE ACCCOUNT WAS TURNEDOVER 7.4 TIMES, AND THE MARKUPS, COMMISSIONS, AND MARGIN INTEREST CHARGED TO THE ACCOUNT EXCEEDED 50% OF THE CUSTOMER'S ORIGINAL INVESTMENT. SALYER ALSO FAILED TO OBTAIN THE NECESSARY WRITTEN AUTHORIZATIONS FOR OPENING A DISCRETIONARY ACCOUNT. THE SEC ALSO AFFIRMED THE NASD'S FINDINGS THAT SHEARSON AND PEYTON FAILED TO EXERCISE PROPER SUPERVISION WITH RESPECT TO SALYER'S EXCESSIVE TRADING. (REL. 34-26766). $3,000 PAID J&S 6/29/89 *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 06/13/2001 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC Date initiated: 12/04/1985 Docket/ Case Number: (NASD) WA-478 Allegations: SHEARSON LEHMAN HUTTON HAD FAILED TO ADEQUATELY SUPERVISE THE ACTIVITIES OF ONE OF ITS REGISTERED REPRESENTATIVES. Current Status: Final Resolution: Settled Resolution Date: 05/05/1989 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $3,000.00 Resolution Details: DECISION RENDERED MAY 14, 1987, WHEREIN RESPONDENTS ARE CENSURED AND FINED $3,000.00 JOINTLY AND SEVERALLY. SEC NEWS DIGEST ISSUE 89-95, DATED 5/5/89 DISCLOSES: THE SEC AFFIRMED DISCIPLINARY ACTION TAKEN BY THE NASD AGAINST SHEARSON LEHMAN HUTTON INC., Summary: ****** REGULATORY ACTION (86 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: Initiated By: NYSE DIVISION OF ENFORCEMENT Date initiated: 07/13/2000 Docket/ Case Number: HPD# 00-165 Allegations: **07/13/2000** STIPULATION AND CONSENT TO PENALTY FILED BY NYSE DIVISION OF ENFORCEMENT AND PENDING CONSENTED TO FINDINGS: WITHOUT ADMITTING OR DENYING GUILT, OR ANY ALLEGATIONS, FACTS OR CONCLUSIONS IN THE STIPULATION AND CONSENT, LEHMAN BROTHERS INC. CONSENTED TO FINDINGS BY THE HEARING PANEL THAT IT: (1) VIOLATED SEC RULES 10A-1(A), 10A-1(C) AND 10A-1(D) AND EXCHANGE RULES 440B, AND 440B.13 BY EXECUTING SHORT SALES AT PRICES AT OR BELOW THE PRICE AT WHICH THE LAST SALE WAS REPORTED REGULAR WAY AND BY FAILING TO MARK THESE ORDERS AS SHORT SALES; (2) VIOLATED EXCHANGE RULE 476(A)(11) BY FAILING TO SUBMIT ACCURATE DAILY PROGRAM TRADING REPORTS BETWEEN NASD BrokerCheck October 12, 2005 Page 82 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) SEPTEMBER 1996 AND JANUARY 1998; (3) VIOLATED SEC RULES 17A-3 AND 17A-4 AND EXCHANGE RULE 440 BY FAILING TO MAKE AND KEEP ACCURATE VARIOUS BOOKS AND RECORDS; AND (4) VIOLATED EXCHANGE RULE 342 IN THAT THE FIRM FAILED TO ESTABLISH AND MAINTAIN APPROPRIATE PROCEDURES FOR SUPERVISION AND CONTROL, INCLUDING A SEPARATE SYSTEM OF FOLLOW-UP AND REVIEW, TO ASSURE COMPLIANCE WITH THE SHORT SALE RULES (SEC RULE 10A-1 ET. SEQ. AND EXCHANGE RULE 440B, ET SEQ.)AND DPTR REPORTING (EXCHANGE RULE 476(A)(11)). LEHMAN BROTHERS INC. CONSENTED TO THE IMPOSITION BY THE EXCHANGE OF THE PENALTY OF A CENSURE AND A FINE IN THE AMOUNT OF $250,000. Current Status: Pending Summary: **9/28/00** UNLESS A REVIEW BY THE NYSE BOARD OF DIRECTORS IS REQUESTED, THIS DECISION WILL BECOME FINAL 25 CALENDAR DAYS AFTER NOTICE OF THE HEARING PANEL'S DETERMINATION HAS BEEN SERVED UPON THE RESPONDENT.CONTACT: PEGGY GERMINO (212) 656-8450. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 11/30/2000 Initiated By: NEW YORK STOCK EXCHANGE, INC. Date initiated: 11/03/2000 Docket/ Case Number: HPD# 00-165 Allegations: IT WAS ALLEGED THAT LEHMAN VIOLATED SEC RULES 10A-1(A), 10A-1(C) AND 10A-1(D) AND EXCHANGE RULES 440B AND 440B.13 BY EXECUTING SHORT SALES AT OR BELOW THE LAST REPORTED PRICE AND BY FAILING TO MARK THEM SHORT SALES; VIOLATED RULE 476(A)(11) BY FAILING TO SUBMIT ACCURATE DAILY PROGRAM TRADING REPORTS; VIOLATED SEC RULES 17A-3 AND A-4 AND EXCHANGE RULE 440 BY FAILING TO MAKE AND KEEP ACCURATE BOOKS AND RECORDS; AND VIOLATED RULE 342 BY FAILING TO ESTABLISH AND MAINTAIN APPROPRIATE PROCEDURES FOR SUPERVISION AND CONTROL. Current Status: Final Resolution: Stipulation and Consent Resolution Date: 11/03/2000 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $250,000.00 Resolution Details: THE AMOUNT OF THE FINE IS $250,000. PURSUANT TO THE PROVISIONS OF THE EXCHANGE'S CONSTITUTION AND RULES, THE FINE WILL BE PAID WITHIN 45 DAYS OF THE DECISION BECOMING FINAL. THE DECISION WAS FINAL ON NOVEMBER 3, 2000. Summary: WITHOUT ADMITTING OR DENYING GUILT, OR ANY ALLEGATIONS, FACTS OR CONCLUSIONS IN THE STIPULATION AND CONSENT, LEHMAN BROTHERS INC. CONSENTED TO THE FINDINGS BY THE HEARING PANEL. LEHMAN BROTHERS INC. CONSENTED TO THE IMPOSITION BY THE EXCHANGE OF THE PENALTY OF A CENSURE AND A FINE IN THE AMOUNT OF $250,000. ****** REGULATORY ACTION (87 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 02/28/2001 Initiated By: COMMONWEALTH OF PUERTO RICO Date initiated: 11/19/1982 Docket/ Case Number: UNKNOWN Allegations: ALLEGED REFUSAL BY SHEARSON/AMERICAN EXPRESS TO GRANT ACCESS TO AN EXAMINER OF THE PUERTO RICO SECURITIES BUREAU INTENDING TO CONDUCT A PERIODIC EXAMINATION OF RECORDS. Current Status: Final NASD BrokerCheck October 12, 2005 Page 83 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Resolution: Vacated Resolution Date: 11/19/1982 Sanctions Ordered: Suspension Resolution Details: THE ORDER THAT SUMMARILY SUSPENDED THE FIRM'S BROKER/DEALER REGISTRATION WAS VACATED UPON THE FIRM'S ASSURANCES OF COOPERATION AND AVAILABILITY OF RECORDS. Summary: ****** REGULATORY ACTION (88 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 02/28/2001 Initiated By: UNITED STATES DEPARTMENT OF JUSTICE Date initiated: 07/17/1996 Docket/ Case Number: 96 CIV.5313 (RWS) Allegations: THE DEPARTMENT OF JUSTICE CIVIL COMPLAINT ALLEGED LEHMAN BROTHERS AND TWENTY THREE OTHER NASDAQ MARKET-MAKERS HAD VIOLATED SECTION 1 OF THE SHERMAN ACT IN CONNECTION WITH CERTAIN MARKET-MAKING PRACTICES. Current Status: Final Resolution: Order Resolution Date: 07/17/1996 Sanctions Ordered: Other Sanctions: IN ENTERING INTO A STIPULATION AND ORDER, THE PARTIES AGREED THAT THE DEFENDANTS WOULD NOT ENGAGE IN CERTAIN TYPES OF MARKET-MAKING ACTIVITIES AND THE DEFENDANTS UNDERTOOK SPECIFIC STEPS TO ASSURE COMPLIANCE WITH THEIR AGREEMENT. Resolution Details: SEE ABOVE. Summary: ****** REGULATORY ACTION (89 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: AMERICAN STOCK EXCHANGE Date initiated: 08/01/1988 Docket/ Case Number: UNKNOWN Allegations: ALLEGED VIOLATION OF AMEX CONSTITUTION BY SHEARSON LEHMAN HUTTON FROM PERIOD JULY 23RD, 1987 THROUGH FEBRUARY 25TH, 1988 (ALLEGED FAILURE TO PRODUCE BOOKS AND RECORDS REQUESTED BY AMEX IN CONNECTION WITH AN EXCHANGE INVESTIGATION). Current Status: Final Resolution: Settled Resolution Date: 01/10/1989 Sanctions Ordered: Monetary/Fine Monetary Amount: $2,000.00 Other Sanctions: THE FIRM SETTLED WITH THE AMEX WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, AND PAID A FINE OF $2,000.00. NASD BrokerCheck October 12, 2005 Page 84 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Resolution Details: THE FIRM SETTLED WITH THE AMEX WITHOUT ADMITTING OR DENYING THE ALLEGATIONS. THE FIRM PAID A FINE OF $2,000.00. Summary: ****** REGULATORY ACTION (90 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NEW YORK MERCANTILE EXCHANGE Date initiated: 02/12/1992 Docket/ Case Number: 91-68 Allegations: FAILED TO FOLLOW STAMPING REQUIREMENT Current Status: Final Resolution: Consent Resolution Date: 02/12/1992 Sanctions Ordered: Monetary/Fine Monetary Amount: $15,000.00 Resolution Details: FIRM WAS FINED $15,000.00 Summary: ****** REGULATORY ACTION (91 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: STATE OF COLORADO Date initiated: 09/01/1975 Docket/ Case Number: UNKNOWN Allegations: ALLEGED EMPLOYMENT OF UNREGISTERED (IN COLORADO) REPRESENTATIVES. Current Status: Final Resolution: Settled Resolution Date: 09/01/1975 Sanctions Ordered: Monetary/Fine, Censure, Suspension Monetary Amount: $350.00 Resolution Details: SHEARSON HAYDEN STONE WAS FINED $350.00 AND CENSURED. THE STATE IMPOSED A FIVE DAY BAN ON SOLICITING ORDERS THROUGH THE FIRM'S DENVER, COLORADO OFFICE AND ON PUBLIC ADVERTISING IN THE STATE. Summary: ****** REGULATORY ACTION (92 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: NASD BrokerCheck October 12, 2005 Page 85 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Initiated By: STATE OF TENNESSEE Date initiated: 03/11/1988 Docket/ Case Number: UNKNOWN Allegations: IT WAS FOUND THAT E.F. HUTTON HAD ALLOWED AN AGENT TO EFFECT FIVE TRANSACTIONS FOR A TENNESSEE RESIDENT PRIOR TO THE AGENT'S REGISTRATION BEING EFFECTIVE IN TENNESSEE. Current Status: Final Resolution: Consent Resolution Date: 03/11/1988 Sanctions Ordered: Monetary/Fine Monetary Amount: $2,500.00 Other Sanctions: FIRM TO IMPLEMENT A POLICY REGARDING TRANSACTION OF BUSINESS IN STATE. Resolution Details: WITHOUT ADMITTING OR DENYING THE FINDINGS OF FACT OR CONCLUSIONS OF LAW THEREIN, HUTTON AND ONE OF ITS AGENTS CONSENTED TO THE ENTRY OF AN ORDER BY THE COMMISSIONER OF COMMERCE AND INSURANCE WHICH MADE THE ABOVE FINDING. THE FIRM AGREED TO PAY A FINE OF $2,500.00 AND ALSO AGREED TO IMPLEMENT A POLICY AS OUTLINED ABOVE. Summary: ****** REGULATORY ACTION (93 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: SEC Date initiated: 03/29/1988 Docket/ Case Number: NOT GIVEN Allegations: ACCORDING TO THE SEC, E.F. HUTTON FAILED TO COMPLY IN MATERIAL RESPECTS WITH SECTIONS 13(A) AND 13(B)(2)(B)(II) OF THE SECURITIES EXCHANGE ACT OF 1934, AND CERTAIN RULES AND REGULATIONS THEREUNDER IN THAT IT 1) FAILED TO DISCLOSE IN CONTINGENT LIABILITY FOOTNOTES IN THE COMPANY'S 1983, 1984 AND 1985 FINANCIAL STATEMENTS THE REASONABLE POSSIBILITY THAT A LOSS CONTINGENCY HAD ARISEN AS A RESULT OF THE THE UNCERTAINTIES RELATING TO HUTTON'S MARKET-MAKING FOR UPPER FLOATER INDUSTRIAL BONDS; AND 2) DID NOT MAINTAIN INTERNAL ACCOUNTING CONTROLS ADEQUATE TO ENABLE FINANCIAL PERSONNEL TO CONSIDER THE APPROPRIATENESS OF SUCH DISCLOSURE. Current Status: Final Resolution: Order Resolution Date: 03/29/1988 Sanctions Ordered: Other Sanctions: IN THE ORDER, HUTTON WAS REQUIRED IN ALL MATERIAL RESPECTS WITH SECTION 13(A) OF THE SECURITIES EXCHANGE ACT OF 1934 AND CERTAIN RULES AND REGULATIONS THEREUNDER; TO ATTACH A COPY OF THE ORDER AS AN EXHIBIT TO A CURRENT REPORT ON FORM 8-K TO BE FILED WITH THE SEC; AND TO INCLUDE IN ITS 1987 ANNUAL REPORT ON FORM 10K AN EXPLANATION OF THE ISSUES DISCUSSED IN THE ORDER Resolution Details: HUTTON CONSENTED TO THE ENTRY OF AN ORDER INSTITUTING PROCEEDINGS BY THE SEC PURSUANT TO SECTION 15(C)(4) OF THE SECURITIES EXCHANGE ACT OF 1934, WITHOUT ADMITTING OR DENYING THE MATTERS SET FORTH IN THE ORDER. Summary: NASD BrokerCheck October 12, 2005 Page 86 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) ****** REGULATORY ACTION (94 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 02/28/2001 Initiated By: NEW YORK STOCK EXCHANGE Date initiated: 04/11/1988 Docket/ Case Number: NOT GIVEN Allegations: IT WAS FOUND BY THE NYSE THAT E.F. HUTTON & CO., DURING THE PERIOD 1980-1982, FAILED TO PROVIDE FOR, ESTABLISH AND MAINTAIN APPROPRIATE PROCEDURES OF SUPERVISION AND CONTROL WITH RESPECT TO ITS CASHIERING, MONEY MANAGEMENT AND CASH DESK OPERATIONS TO PREVENT THE PRACTICES AND TRANSACTIONS RELATING TO ITS COMMERCIAL BANK ACCOUNTS KNOWN AS "EXCESSIVE DRAW DOWNS" AND "CHAINING" WHICH FORMED THE BASIS FOR ITS GUILTY PLEA IN MAY 1985 TO MAIL AND WIRE FRAUD. THE FIRM WAS ALSO CITED FOR FAILING TO MAINTAIN A WRITTEN TABLE OF SUPERVISION IDENTIFYING THE SUPERVISORY RESPONSIBILITY FOR EACH AREA OF THE FIRM'S BUSINESS ACTIVITIES. FINALLY, THE EXCHANGE FOUND THAT HUTTON'S CONDUCT WAS INCONSISTENT WITH JUST AND EQUITABLE PRINCIPALS OF TRADE AND THAT HUTTON ENGAGED IN ACTS DETRIMENTAL TO THE INTEREST AND WELFARE OF THE EXCHANGE. Current Status: Final Resolution: Stipulation and Consent Resolution Date: 04/11/1988 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $400,000.00 Resolution Details: E.F.HUTTON WAS CENSURED, ASSESSED A FINE OF $400,000.00 AND AGREED TO VARIOUS UNDERTAKINGS AND ASSURANCES. Summary: ****** REGULATORY ACTION (95 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD - DBCC FOR DISTRICT NO. 2N Date initiated: 11/26/1985 Docket/ Case Number: SF-1126 Allegations: IT WAS ALLEGED SHEARSON LEHMAN BROTHERS FAILED TO RESPOND TO TO THE ASSOCIATION'S FORMAL WRITTEN REQUESTS FOR INFORMATION, THIS IN VIOLATION OF ARTICLE III, SECTION 1 AND ARTICLE IV, SECTION 5 OF THE NASD'S RULES OF FAIR PRACTICE. Current Status: Final Resolution: Consent Resolution Date: 11/26/1985 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $2,500.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, THE FIRM CONSENTED TO A CENSURE AND A $2,500.00 FINE. Summary: ****** REGULATORY ACTION (96 of 335) ****** NASD BrokerCheck October 12, 2005 Page 87 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NEW YORK MERCANTILE EXCHANGE Date initiated: 05/14/1987 Docket/ Case Number: 86-09 Allegations: THE BUSINESS CONDUCT COMMITTEE OF THE NYME DETERMINED THAT A REASONABLE BASIS EXISTED TO BELIEVE THAT SHEARSON LEHMAN BROTHERS VIOLATED NYFE RULE 6.21(E), A RULE RELATING TO EXCHANGE FOR PHYSICAL TRANSACTIONS. Current Status: Final Resolution: Consent Resolution Date: 07/11/1987 Sanctions Ordered: Monetary/Fine Monetary Amount: $10,000.00 Other Sanctions: FIRM TO SUBMIT, WITHIN FORTY FIVE DAYS, A WRITTEN REPORT TO THE NYFE'S ADJUDICATION PANEL APPROVING THE SETTLEMENT AND DETAILING THE INTERNAL CONTROLS ADOPTED BY THE FIRM TO ASSURE EXCHANGE FOR PHYSICAL TRANSACTIONS ARE NOT IN VIOLATION OF NYFE REGULATIONS. Resolution Details: SEE ABOVE. Summary: ****** REGULATORY ACTION (97 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD Date initiated: 08/14/1987 Docket/ Case Number: WA-478 Allegations: THE BOARD OF GOVERNORS OF THE NASD AFFIRMED THE AUGUST 14TH, 1988 DECISION OF NASD DBCC FOR DISTRICT NO. 10 WHICH FOUND THAT A BRANCH MANAGER AND SHEARSON LEHMAN BROTHERS HAD FAILED TO SUPERVISE TWO REGISTERED REPRESENTATIVES WHO HAD EXERCISED DISCRETIONARY POWER TO EFFECTE TRANSACTIONS IN THE ACCOUNT OF A CUSTOMER WITHOUT REDUCING SAID POWER TO WRITING, WHICH TRANSACTIONS WERE EXCESSIVE IN FREQUENCY. Current Status: Final Resolution: Decision Resolution Date: 11/15/1987 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $3,000.00 Resolution Details: SHEARSON LEHMAN BROTHERS AND THE BRANCH MANAGER WERE CENSURED AND FINED $3,000.00. Summary: ****** REGULATORY ACTION (98 of 335) ****** Reporting Source: Brokerage Firm (Form BD) NASD BrokerCheck October 12, 2005 Page 88 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Date Reported: Initiated By: CHICAGO BOARD OPTIONS EXCHANGE Date initiated: 04/13/1988 Docket/ Case Number: 87-0104(A) Allegations: IT WAS ALLEGED THAT E.F.HUTTON HAD FAIL TO SUPERVISE ONE OF ITS FORMER REGISTERED REPRESENTATIVES BY ALLOWING THAT REPRESENTATIVE TO EFFECT EXCESSIVE TRADES IN TWO CUSTOMER ACCOUNTS. Current Status: Final Resolution: Consent Resolution Date: 04/13/1988 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $5,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGED VIOLATIONS, HUTTON AGREED TO THE CBOE'S FINDINGS; THE FIRM AGREED TO THE IMPOSITION OF A CENSURE AND A FINE IN THE AMOUNT OF $5,000.00. Summary: ****** REGULATORY ACTION (99 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: CHICAGO BOARD OPTIONS EXCHANGE Date initiated: 04/19/1988 Docket/ Case Number: F88-23 Allegations: IT WAS FOUND THAT E.F.HUTTON HAD CODED THE TRADES OF A BROKER FOR HIS OWN ACCOUNT AS CUSTOMER TRADES FOR A PERIOD OF SIX MONTHS, THIS IN VIOLATION OF NYFE RULE 425. Current Status: Final Resolution: Stipulation and Consent Resolution Date: 04/19/1988 Sanctions Ordered: Monetary/Fine Monetary Amount: $750.00 Resolution Details: A DISCIPLINARY PANEL OF THE NYFE ACCEPTED A STIPULATION OF FACTS AND CONSENT TO PENALTY ENTERED INTO BETWEEN THE NYFE'S TRADING SURVEILLANCE DEPARTMENT AND HUTTON. WITHOUT ADMITTING OR DENYING GUILT, HUTTON CONSENTED TO THE ABOVE-REFERENCED FINDING AND TO THE IMPOSITION OF A $750.00 FINE. Summary: ****** REGULATORY ACTION (100 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD Date initiated: 04/25/1988 Docket/ Case Number: NEW-523 NASD BrokerCheck October 12, 2005 Page 89 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Allegations: IT WAS ALLEGED THAT E.F.HUTTON AND OF ITS BRANCH MANAGERS VIOLATED SECTIONS 1, 27 AND 33 OF ARTICLE III OF THE NASD'S RULES OF FAIR PRACTICE. Current Status: Final Resolution: Consent Resolution Date: 04/25/1988 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $20,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, E.F.HUTTON AND THE BRANCH MANAGER AGREED TO THE FINDING BY THE NASD; THEY CONSENTED TO THE IMPOSITION OF A CENSURE AND A FINE OF $20,000.00 (JOINT AND SEVERAL). THEY ALSO AGREED TO IMPLEMENT CERTAIN REMEDIAL UNDERTAKINGS IN THE BRANCH MANAGER'S OFFICE. Summary: ****** REGULATORY ACTION (101 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: COMMODITY EXCHANGE, INC. Date initiated: 04/27/1988 Docket/ Case Number: 64/286/86; 63/286/86 Allegations: IT WAS ALLEGED A FORMER E.F.HUTTON FLOOR BROKER VIOLATED COMEX RULES 3.13(A) (MISCONDUCT); 4.21 (NONCOMPETITIVE TRADING); 4.22 (DISCLOSURE OF ORDERS); 4.81 (IMPROPER ENTRIES ON TRADING CARDS) AND 4.88 (FAILURE TO MAINTAIN RECORDS); WITH RESPECT TO THE FIRM, IT WAS ALLEGED THAT IT VIOLATED COMEX RULES 3.13(A) (FAILURE TO SUPERVISE) AND 4.88 (FAILURE TO MAINTAIN RECORDS). Current Status: Final Resolution: Consent Resolution Date: 04/27/1988 Sanctions Ordered: Monetary/Fine Monetary Amount: $15,000.00 Resolution Details: THE COMEX ACCEPTED A JOINT OFFER OF SETTLEMENT SUBMITTED BY THE FIRM AND THE FORMER FLOOR BROKER. WITHOUT ADMITTING OR DENYING THE VIOLATIONS ALLEGED, THE FIRM AND THE FORMER FLOOR BROKER CONSENTED TO THE IMPOSITION OF A FINE IN THE AMOUNT OF $15,000.00. Summary: ****** REGULATORY ACTION (102 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: COFFEE, SUGAR & COCOA EXCHANGE, INC. Date initiated: 05/02/1988 Docket/ Case Number: NOT GIVEN Allegations: E.F.HUTTON MADE A VIOLATION OF THE EXCHANGE'S SPECULATIVE LIMIT RULE. THE VIOLATION OCCURRED WHEN HUTTON INADVERTENTLY FAILED TO AGGREGATE CERTAIN RELATED ACCOUNTS. NASD BrokerCheck October 12, 2005 Page 90 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Current Status: Final Resolution: Settled Resolution Date: 05/02/1988 Sanctions Ordered: Monetary/Fine Monetary Amount: $500.00 Resolution Details: THE FIRM AGREED TO A FINE OF $500.00 FOR THE VIOLATION OF THE EXCHANGE RULE. Summary: ****** REGULATORY ACTION (103 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NEW YORK COTTON EXCHANGE (CITRUS ASSOC.) Date initiated: 08/01/1988 Docket/ Case Number: 88-002 Allegations: IT WAS ALLEGED THAT SHEARSON LEHMAN HUTTON MAINTAINED FCOJ FUTURES CONTRACTS FOR ANOTHER INDIVIDUAL IN EXCESS OF THE SPECULATIVE POSITION LIMITS OF THE NEW YORK COTTON EXCHANGE. Current Status: Final Resolution: Stipulation and Consent Resolution Date: 08/01/1988 Sanctions Ordered: Monetary/Fine Monetary Amount: $5,000.00 Resolution Details: THE CITRUS ASSOCIATES OF THE NEW YORK MERCANTILE EXCHANGE ACCEPTED THE STIPULATION AND CONSENT ENTERED INTO BY SHEARSON LEHMAN HUTTON AND THE BUSINESS CONDUCT COMMITTEE OF THE CITRUS ASSOCIATES WHEREBY THE FIRM, WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, AGREED TO PAY A FINE OF $5,000. Summary: ****** REGULATORY ACTION (104 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NEW YORK MERCANTILE EXCHANGE Date initiated: 08/17/1988 Docket/ Case Number: 88-05 Allegations: THE NEW YORK MERCANTILE EXCHANGE ENTERED AN ORDER FINDING A REASONABLE BASIS TO BELIEVE THAT E.F.HUTTON & CO. HAD VIOLATED NYME RULES 6.21(D) AND 150.14(D). Current Status: Final Resolution: Settled Resolution Date: 08/17/1988 Sanctions Ordered: Monetary/Fine Monetary Amount: $1,000.00 NASD BrokerCheck October 12, 2005 Page 91 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Resolution Details: WITHOUT ADMITTING OR DENYING THE ABOVE-REFERENCED RULE VIOLATIONS, E.F.HUTTON CONSENTED TO THE ENTRY OF AN ORDER BY THE NYME. THE NYME ORDERED THE FIRM TO PAY A $1,000.00 FINE. Summary: ****** REGULATORY ACTION (105 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NEW YORK FUTURES EXCHANGE Date initiated: 09/30/1988 Docket/ Case Number: F88-40 Allegations: SHEARSON LEHMAN HUTTON RESOLVED CHARGES PROPOSED BY THE NYFE THROUGH AN OFFER OF SETTLEMENT WHICH AGREED TO FINDINGS CONCERNING THE ACCURACY OF THE FIRM'S REPORTING ON THE EXCHANGE'S POSITION/TRANSFER ADJUSTMENT REPORT ON SEVERAL DAYS IN JUNE 1988. Current Status: Final Resolution: Settled Resolution Date: 09/30/1988 Sanctions Ordered: Monetary/Fine Monetary Amount: $2,000.00 Resolution Details: THE FIRM AGREED TO FINDINGS CONCERNING THE ACCURACY OF THE REPORTING IN QUESTION AND AGREED TO THE IMPOSITION OF A $2,000.00 FINE. Summary: ****** REGULATORY ACTION (106 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: CHICAGO BOARD OF TRADE Date initiated: 10/03/1988 Docket/ Case Number: 88-FIN-105 Allegations: IT WAS ALLEGED SHEARSON LEHMAN HUTTON VIOLATED CBT REGULATION 403.07 AND CBT CAPITAL RULE 250 B(7) IN THAT THE FIRM FAILED TO OBTAIN PRIOR WRITTEN APPROVAL FROM THE COMMITTEE TO PREPAY SUBORDINATED DEBT. Current Status: Final Resolution: Settled Resolution Date: 10/03/1988 Sanctions Ordered: Monetary/Fine Monetary Amount: $1,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, THE FIRM AGREED TO PAY A FINE OF $1,000.00. Summary: ****** REGULATORY ACTION (107 of 335) ****** NASD BrokerCheck October 12, 2005 Page 92 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: AMERICAN STOCK EXCHANGE Date initiated: 10/07/1988 Docket/ Case Number: NOT GIVEN Allegations: AN AMEX DISCIPLINARY COMMITTEE "MAY CONCLUDE" THAT SHEARSON LEHMAN HUTTON VIOLATED ARTICLE V, SECTION 4(K) OF THE EXCHANGE CONSTITUTION. Current Status: Final Resolution: Settled Resolution Date: 10/07/1988 Sanctions Ordered: Monetary/Fine Monetary Amount: $2,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, SHEARSON LEHMAN HUTTON AGREED TO A FINE OF $2,000.00. Summary: ****** REGULATORY ACTION (108 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: CHICAGO BOARD OPTIONS EXCHANGE Date initiated: 10/17/1988 Docket/ Case Number: 87-0138 Allegations: IT WAS ALLEGED THAT, IN 1984, E.F.HUTTON & CO. INC. FAILED TO ADEQUATELY SUPERVISE ONE OF ITS AGENTS BY ALLOWING THE AGENT TO EFFECT UNSUITABLE OPTIONS TRANSACTIONS FOR ONE CUSTOMER AND ALLOWING THE AGENT TO EFFECT TRANSACTIONS FOR WHICH ACCOUNTS HAD NOT BEEN APPROVED. IT WAS ALSO ALLEGED THAT THE FIRM FAILED TO PROPERLY UPDATE THE AGENT'S FORM U-5. Current Status: Final Resolution: Settled Resolution Date: 10/17/1988 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $5,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, THE FIRM AGREED TO ACCEPT THE PENALTY OF A CENSURE AND A $5,000.00 FINE. Summary: ****** REGULATORY ACTION (109 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: CHICAGO BOARD OF TRADE Date initiated: 10/31/1988 Docket/ NASD BrokerCheck October 12, 2005 Page 93 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Case Number: 88 MSI-11 Allegations: IT WAS ALLEGED THAT SHEARSON LEHMAN HUTTON VIOLATED 1) CBT REGULATION 2442.01 IN THAT THE FIRM FAILED TO HAVE IN ACCEPTABLE DELIVERY FORM A THE BANK CONTRACT-GRADE US T-NOTES BY 10AM ON DELIVERY DAY JUNE 30TH, 1988 AND 2) CBT RULE 504.00 IN THAT THE FIRM ENGAGED IN ACTS DETRIMENTAL TO THE INTEREST AND WELFARE OF THE CBT. Current Status: Final Resolution: Settled Resolution Date: 10/31/1988 Sanctions Ordered: Monetary/Fine Monetary Amount: $10,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS OUTLINED ABOVE, SHEARSON LEHMAN HUTTON AGREED TO THE IMPOSITION OF A FINE OF $10,000.00. Summary: ****** REGULATORY ACTION (110 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: CHICAGO BOARD OPTIONS EXCHANGE Date initiated: 11/21/1988 Docket/ Case Number: 87-0105(C) Allegations: IT WAS ALLEGED THAT E.F.HUTTON, DURING THE PERIOD 1983 TO 1984, HAD FAILED TO ADEQUATELY SUPERVISE ONE OF ITS AGENTS BY ALLOWING THE AGENT TO EFFECT UNSUITABLE OPTIONS TRANSACTIONS FOR ONE CUSTOMER AND ALLOWING THE AGENT TO EFFECT TRANSACTIONS FOR WHICH THE ACCOUNT HAD NOT BEEN APPROVED; IT WAS ALSO ALLEGED THE FIRM HAD NOT FULLY DELINEATED THE DIVISION OF RESPONSIBILITIES FOR TWO OF ITS BRANCH MANAGERS. Current Status: Final Resolution: Consent Resolution Date: 11/21/1988 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $5,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, THE FIRM AGREED TO ACCEPT THE PENALTY OF A CENSURE AND THE IMPOSITION OF A $5,000.00 FINE. Summary: ****** REGULATORY ACTION (111 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 02/28/2001 Initiated By: STATE OF TENNESSEE Date initiated: 05/02/1988 Docket/ Case Number: 88-MISC-06 Allegations: TENNESSEE FOUND THAT AN AGENT IN ONE OF E.F.HUTTON'S OFFICES HAD FAILED TO DISCLOSE A MATERIAL FACT ON HIS FORM U-4 AS A NASD BrokerCheck October 12, 2005 Page 94 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) RESULT OF ERRONEOUS ADVICE FROM HIS MANAGER AND HUTTON'S REGISTRATION DEPARTMENT, WHICH CAUSED THE AGENT TO BE ELIGIBLE FOR THE TEMPORARY AGENT TRANSFER ("TAT") PROGRAM WHEN HE SHOULD NOT HAVE BEEN. THE FORM U-4 WAS CORRECTED BY AMENDMENT WITHIN THIRTY DAYS OF ITS FILING. Current Status: Final Resolution: Consent Resolution Date: 05/02/1988 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $3,500.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, E.F.HUTTON CONSENTED TO THE ENTRY OF AN ORDER WHICH FOUND THE ABOVE VIOLATION. FIRM AGREED TO CEASE AND DESIST FROM ANY FURTHER VIOLATIONS, TO PAY A FINE OF $3,500.00, AND TO PROVIDE TO REGISTRATION PERSONNEL AND BRANCH OFFICE MANAGERS (AND REQUIRE THEM TO READ) THE ORDER AND THE TAT UNDERTAKING AGREEMENT. Summary: ****** REGULATORY ACTION (112 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: STATE OF IOWA Date initiated: 05/03/1988 Docket/ Case Number: NOT GIVEN Allegations: E.F.HUTTON AGREED TO CEASE AND DESIST FROM ACTIVITIES ALLEGED IN A NOTICE REGARDING AN ADVERTISEMENT AND AGREED TO PAY THE DIVISION'S ADMINISTRATIVE COSTS IN THE AMOUNT OF $150.00. Current Status: Final Resolution: Consent Resolution Date: 05/03/1988 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $150.00 Resolution Details: HUTTON CONSENTED TO THE ENTRY OF AN ORDER BY THE INSURANCE DIVISION OF IOWA IN WHICH IT AGREED TO CEASE AND DESIST FROM THE ACTIVITIES ALLEGED IN THE NOTICE REGARDING AN ADVERTISEMENT; FIRM AGREED TO PAY THE DIVISION'S ADMINISTRATIVE COSTS IN THE AMOUNT OF $150.00. Summary: ****** REGULATORY ACTION (113 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 02/28/2001 Initiated By: STATE OF WISCONSIN Date initiated: 06/23/1988 Docket/ Case Number: X-87162(L) Allegations: ALLEGATIONS CONCERNED THE SUPERVISION OF ONE OF E.F.HUTTON'S AGENTS BY THE AGENT'S MANAGER. Current Status: Final NASD BrokerCheck October 12, 2005 Page 95 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Resolution: Stipulation and Consent Resolution Date: 06/23/1988 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $15,000.00 Other Sanctions: SUSPENDED MANAGER FROM SUPERVISORY DUTIES FOR A PERIOD. Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, E.F.HUTTON AND ONE OF ITS BRANCH MANAGERS ENTERED INTO A STIPULATION AND CONSENTED TO THE ENTRY OF ORDERS BY THE WISCONSIN COMMISSIONER OF SECURITIES REGARDING THEIR SUPERVISION OF AN AGENT IN THAT OFFICE. HUTTON CONSENTED TO A CENSURE AND AGREED TO PAY AN ADMINISTRATIVE ASSESSMENT OF $15,000.00 AND TO SUSPEND THE BRANCH MANAGER FROM SUPERVISORY DUTIES FROM AUGUST 1ST THROUGH AUGUST 30TH, 1988. Summary: ****** REGULATORY ACTION (114 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: SEC Date initiated: 07/25/1988 Docket/ Case Number: 3-6490 Allegations: NONE. Current Status: Final Resolution: Settled Resolution Date: 07/25/1988 Sanctions Ordered: Resolution Details: SEC ORALLY DENIED E.F. HUTTON'S PETITION FOR REHEARING OF THE SEC'S JULY 6TH, 1988 AFFIRMANCE OF THE FINDINGS OF THE NASD THAT HUTTON HAD VIOLATED THE NASD'S RULES OF FAIR PRACTICE IN THAT HUTTON HAD FAILED TO EXECUTE A CUSTOMER'S LIMIT ORDER FOR THE SALE OF STOCK ALTHOUGH IT SOLD SHARES OF THAT SECURITY FOR ITS OWN ACCOUNT AT PRICES ABOVE THE CUSTOMERS'S LIMIT PRICE. THE NASD ISSUED A LETTER OF CAUTION IN THE UNDERLYING CASE. HUTTON HAS DISCONTINUED ITS APPEAL OF THE SEC'S DECISION Summary: ****** REGULATORY ACTION (115 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NEW YORK MERCANTILE EXCHANGE Date initiated: 05/16/1989 Docket/ Case Number: 89-05 Allegations: IT WAS ALLEGED THAT SHEARSON LEHMAN HUTTON HAD VIOLATED CRUDE OIL POSITION LIMITS. Current Status: Final Resolution: Consent Resolution Date: 05/16/1989 Sanctions NASD BrokerCheck October 12, 2005 Page 96 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Ordered: Monetary/Fine Monetary Amount: $25,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, THE FIRM ACCEPTED AN OFFER OF SETTLEMENT FROM THE NYME WHEREIN IT CONSENTED THAT A REASONABLE BASIS EXISTED TO BELIEVE THAT SUCH VIOLATIONS OCCURRED, AGREED TO THE IMPOSITION OF A FINE AND A PENALTY TOTALLING $25,000.00, AND AGREED TO ENFORCE PROCEDURES TO PREVENT A REOCCURRENCE OF THE SITUATION. Summary: ****** REGULATORY ACTION (116 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: CHICAGO BOARD OF TRADE Date initiated: 06/05/1989 Docket/ Case Number: 88-EX-34 Allegations: IT WAS FOUND THAT SHEARSON LEHMAN HUTTON HAD FAILED TO PROPERLY TIME-STAMP CUSTOMER ORDERS AND FAILED TO KEEP ACCURATE BOOKS AND RECORDS IN THE MANNER PRESCRIBED. Current Status: Final Resolution: Decision Resolution Date: 06/05/1989 Sanctions Ordered: Monetary/Fine Monetary Amount: $1,000.00 Resolution Details: THE BUSINESS CONDUCT COMMITTEE OF THE CBT ISSUED A DECISION FINDING THE ABOVE VIOLATIONS; A FINE OF $1,000.00 WAS IMPOSED. Summary: ****** REGULATORY ACTION (117 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NEW YORK MERCANTILE EXCHANGE Date initiated: 06/09/1989 Docket/ Case Number: MATTER OF TN #14 Allegations: IT WAS FOUND THAT A CUSTOMER OF SHEARSON LEHMAN HUTTON HAD FAILED TO MAKE A TIMELY DELIVERY OF CERTAIN GASOLINE FUTURES CONTRACTS. Current Status: Final Resolution: Settled Resolution Date: 06/09/1989 Sanctions Ordered: Monetary/Fine Monetary Amount: $17,500.00 Resolution Details: THE NYME IMPOSED AN AUTOMATIC FINE OF $17,500.00 AGAINST SHEARSON LEHMAN HUTTON. Summary: NASD BrokerCheck October 12, 2005 Page 97 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) ****** REGULATORY ACTION (118 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: CHICAGO BOARD OPTIONS EXCHANGE Date initiated: 09/20/1989 Docket/ Case Number: 88-0014(A) Allegations: IT WAS ALLEGED THAT E.F.HUTTON HAD FAILED TO SUPERVISE A FORMER EMPLOYEE IN 1984. Current Status: Final Resolution: Consent Resolution Date: 09/20/1989 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $7,500.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS THAT IT HAD FAILED TO SUPERVISE THE FORMER EMPLOYEE, E.F.HUTTON CONSENTED TO A FINING, A CENSURE AND A $7,500.00 FINE. Summary: ****** REGULATORY ACTION (119 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NEW YORK STOCK EXCHANGE Date initiated: 09/28/1989 Docket/ Case Number: NO NUMBER Allegations: THE NYSE FOUND THAT SHEARSON LEHMAN HUTTON HAD FILED PROGRAM TRADING REPORTS TWO DAYS LATE WITH THE EXCHANGE. Current Status: Final Resolution: Consent Resolution Date: 09/28/1989 Sanctions Ordered: Monetary/Fine Monetary Amount: $1,000.00 Resolution Details: THE FIRM CONSENTED TO THE IMPOSITION OF A $1,000.00 FINE. Summary: ****** REGULATORY ACTION (120 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 02/28/2001 Initiated By: CHICAGO MERCANTILE EXCHANGE Date initiated: 09/28/1989 Docket/ Case Number: MS-89-28 NASD BrokerCheck October 12, 2005 Page 98 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Allegations: THE CME CHARGED THAT SHEARSON LEHMAN HUTTON HAD VIOLATED CME RULE 817 (REPORTS OF LARGE POSITIONS). THESE REPORTS, DUE BY 7AM, ARE FILED BY COMPUTER TAPE A THE CME BY THE FIRM'S CHICAGO-BASED COMMODITY OPERATIONS DEPARTMENT AND, DURING A TWELVE MONTH PERIOD, WERE FILED LATE, BUT NOT MORE THAN THREE HOURS, ON SIX OCCASIONS. Current Status: Final Resolution: Consent Resolution Date: 09/28/1989 Sanctions Ordered: Monetary/Fine Monetary Amount: $5,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, THE FIRM CONSENTED TO FINDS, TO THE ABOVE-MENTIONED FINE, AND ADVISED THE CME THAT IT HAS TAKEN STEPS TO AVOID FUTURE LATE SUBMISSIONS. Summary: ****** REGULATORY ACTION (121 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: DISTRICT OF COLUMBIA Date initiated: 06/30/1988 Docket/ Case Number: 872F Allegations: NONE. SEE ITEM #2 ABOVE. Current Status: Final Resolution: Stipulation and Consent Resolution Date: 03/23/1989 Sanctions Ordered: Monetary/Fine Monetary Amount: $17,500.00 Resolution Details: THE PUBLIC SERVICE COMMISSION OF THE DISTRICT OF COLUMBIA ENTERED ORDER NO. 9247 ACCEPTING THE STIPULATION AND AGREEMENT SUBMITTED BY E.F.HUTTON WHEREIN HUTTON PAID $17,500.00 REPRESENTING THE COSTS OF THE COMMISSION'S INVESTIGATION INTO THE MATTERS SURROUNDING HUTTON'S GUILTY PLEA IN 1985. Summary: ****** REGULATORY ACTION (122 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: COMMODITY FUTURES TRADING COMMISSION Date initiated: 09/21/1989 Docket/ Case Number: NOT GIVEN Allegations: THE CFTC'S COMPLAINT ALLEGED THAT E.F.HUTTON & CO. FAILED TO DILIGENTLY SUPERVISE MOGENS M. WASSERMAN, A REGISTERED ACCOUNT EXECUTIVE EMPLOYED BY THE FIRM. WASSERMAN IS ALLEGED TO HAVE AIDED AND ABETTED THE FRAUDULENT CONDUCT OF MARK ROSS WEINBERG. WEINBERG, WHO WAS NEVER EMPLOYED BY E.F.HUTTON, OPENED ACCOUNTS AT THE FIRM, WHICH ACCOUNTS WERE SERVICED BY WASSERMAN. WEINBERG IS ALLEGED TO HAVE USED THESE ACCOUNTS IN NASD BrokerCheck October 12, 2005 Page 99 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) AN ELABORATE SCHEME TO TO STEAL MONEY FROM PUBLIC INVESTORS. E.F.HUTTON WAS NOT ALLEGED TO HAVE BEEN INVOLVED IN WEINBERG'S SCHEME. IOYRTTAOISHELGSGBWEA,CIEEWYMGENMOPRERO Current Status: Final Resolution: Order Resolution Date: 09/21/1989 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $50,000.00 Resolution Details: THE CFTC ENTERED AN OPINION AND ORDER ACCEPTING E.F.HUTTON'S OFFER OF SETTLEMENT. THE FIRM WAS ORDERED TO CEASE AND DESIST FROM FURTHER VIOLATIONS AND PAY A CIVIL PENALTY OF $50,000.00. Summary: ****** REGULATORY ACTION (123 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: CHICAGO BOARD OPTIONS EXCHANGE Date initiated: 11/16/1989 Docket/ Case Number: 88-0058(G) Allegations: THE STATEMENT OF CHARGES ALLEGED THAT E.F.HUTTON & CO. HAD FAILED TO ADEQUATELY SUPERVISE THE SALES ACTIVITIES OF FIVE ACCOUNT EXECUTIVES. STATEMENT ALSO ALLEGED HUTTON FAILED TO ADEQUATELY SUPERVISE SIX INDIVIDUALS BY ALLOWING THEM TO ACT IN THE CAPACITY OF A REGISTERED OPTION PRINCIPAL WHILE SUCH INDIVIDUALS WERE NOT REGISTERED WITH THE CBOE. FINALLY, THE STATEMENT ALLEGED HUTTON FAILED TO RETAIN ALL DOCUMENTS WHICH WOULD VERIFY THAT THREE PUBLIC CUSTOMER ACCOUNTS WERE PROPERLY APPROVED FOR DISCRETIONARY TRADING. Current Status: Final Resolution: Consent Resolution Date: 11/16/1989 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $7,500.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE VIOLATIONS ALLEGED IN THE CBOE'S STATEMENT OF CHARGES, E.F.HUTTON CONSENTED TO THE ENTRY OF THE ORDER AND A PENALTY OF A CENSURE AND A $7,500.00 FINE. Summary: ****** REGULATORY ACTION (124 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD - DBCC FOR DISTRICT NO. 10 Date initiated: 06/07/1989 Docket/ Case Number: WA-613 Allegations: THE NASD FOUND THAT E.F.HUTTON & CO. HAD VIOLATED NASD RULES BY EMPLOYING "COLD CALLERS" WHO MADE TELEPHONE CALLS TO MEMBERS OF THE PUBLIC UTILIZING PREPARED SCRIPTS FOR THE PURPOSE OF SOLICITING TRANSACTIONS IN SECURITIES, AT TIMES WHEN SUCH CALLERS WERE NOT NASD-REGISTERED. THE COMPLAINT INITIALLY NAMED E.F.HUTTON, SHEARSON LEHMAN HUTTON AND BRANCH MANAGER S. NASD BrokerCheck October 12, 2005 Page 100 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) PAUL POWERS II. Current Status: Final Resolution: Consent Resolution Date: 12/28/1989 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $15,000.00 Resolution Details: THE NASD DISMISSED THE COMPLAINT AGAINST THE BRANCH MANAGER AND SHEARSON LEHMAN HUTTON. THE NASD FOUND THAT E.F.HUTTON HAD VIOLATED NASD BY-LAWS AND RULES. WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, E.F. HUTTON CONSENTED TO THE ENTRY OF AN ORDER OF CENSURE AND THE IMPOSITION OF A $15,000.00 FINE. Summary: ****** REGULATORY ACTION (125 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NEW YORK COTTON EXCHANGE (CITRUS ASSOC.) Date initiated: 01/11/1989 Docket/ Case Number: 88-128 Allegations: IT WAS ALLEGED THAT SHEARSON LEHMAN HUTTON MAINTAINED FCOJ FUTURES IN EXCESS OF THE SPECULATIVE POSITION LIMITS IMPOSED BY THE CITRUS ASSOCIATES OF THE NYCE. Current Status: Final Resolution: Consent Resolution Date: 01/11/1989 Sanctions Ordered: Monetary/Fine Monetary Amount: $1,500.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATION OUTLINED ABOVE, SLH CONSENTED TO THE IMPOSITION OF A FINE IN THE AMOUNT OF $1,500.00. Summary: ****** REGULATORY ACTION (126 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NEW YORK MERCANTILE EXCHANGE Date initiated: 01/27/1989 Docket/ Case Number: 88-11 Allegations: IT WAS ALLEGED THAT SHEARSON LEHMAN HUTTON HAD FAILED TO PROPERLY TIME-STAMP ORDERS ON ONE DAY IN AUGUST 1988. Current Status: Final Resolution: Consent Resolution Date: 01/27/1989 Sanctions Ordered: Monetary/Fine NASD BrokerCheck October 12, 2005 Page 101 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Monetary Amount: $20,000.00 Other Sanctions: SUBMIT STATEMENT DESCRIBING PROCEDURES ADOPTED TO PREVENT THE REOCCURRENCE OF THE ALLEGATIONS. Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS OUTLINED ABOVE, SLH CONSENTED TO FINDINGS THAT A REASONABLE BASIS EXISTED TO BELIEVE THAT SUCH ALLEGATIONS HAD OCCURRED, CONSENTED TO THE IMPOSITION OF A $20,000.00 FINE, AND AGREED TO SUBMIT A STATEMENT DESCRIBING PROCEDURES ADOPTED TO PREVENT THE REOCCURRENCE OF THE ALLEGATIONS. Summary: ****** REGULATORY ACTION (127 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NEW YORK STOCK EXCHANGE Date initiated: 01/30/1989 Docket/ Case Number: NOT NUMBERED Allegations: SHEARSON LEHMAN HUTTON ALLEGEDLY FAILED TO FURNISH INFORMATION TO THE EXCHANGE ON CUSTOMER COMPLAINTS WITHIN SPECIFIED TIME PERIODS. Current Status: Final Resolution: Settled Resolution Date: 01/30/1989 Sanctions Ordered: Monetary/Fine Monetary Amount: $1,000.00 Resolution Details: SLH CONSENTED TO THE IMPOSITION OF A $1,000.00 FINE FOR THE ALLEGED VIOLATION. Summary: ****** REGULATORY ACTION (128 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NEW YORK COTTON EXCHANGE Date initiated: 01/04/1989 Docket/ Case Number: C-88-1 Allegations: IT WAS ALLEGED THAT E.F. HUTTON & CO., INC. FAILED TO FILE IN A TIMELY AND ACCURATE MANNER THE REQUIRED LIQUIDATION REPORTS AND CORRECTIONS TO THE COMMODITY CLEARING CORPORATIONS'S DAILY GROSS POSITION REPORT FOR OPTIONS CONTRACTS OPEN ON ITS BOOKS. Current Status: Final Resolution: Consent Resolution Date: 02/13/1989 Sanctions Ordered: Monetary/Fine Monetary Amount: $4,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS OUTLINED ABOVE, E.F. HUTTON AGREED TO THE IMPOSITION OF A $4,000.00 FINE. NASD BrokerCheck October 12, 2005 Page 102 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Summary: ****** REGULATORY ACTION (129 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NEW YORK COTTON EXCHANGE (CITRUS ASSOC.) Date initiated: 04/24/1989 Docket/ Case Number: 88-061A Allegations: IT WAS ALLEGED THAT SHEARSON LEHMAN HUTTON IMPROPERLY CLASSIFIED ACCOUNTS TO BE MARGINED AS HEDGED RATHER THAN SPECULATIVE. Current Status: Final Resolution: Stipulation and Consent Resolution Date: 04/24/1989 Sanctions Ordered: Monetary/Fine Monetary Amount: $2,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, SLH CONSENTED TO A $2,000.00 FINE. Summary: ****** REGULATORY ACTION (130 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NEW YORK COTTON EXCHANGE (CITRUS ASSOC.) Date initiated: 04/24/1989 Docket/ Case Number: 88-061 Allegations: THE NYCE ACCEPTED SHEARSON LEHMAN HUTTON'S STIPULATION AND CONSENT IN RELATION TO ITS SUBMISSION OF SPEC HEDGE REPORTS ALLEGED TO BE INACCURATE. Current Status: Final Resolution: Stipulation and Consent Resolution Date: 04/24/1989 Sanctions Ordered: Monetary/Fine Monetary Amount: $10,000.00 Other Sanctions: SUPERVISION OF FIRM'S SPEC/HEDGE REPORTS. Resolution Details: WITHOUT ADMITTING OR DENYING ALLEGATIONS THAT THE FIRM HAD SUBMITTED INACCURATE SPEC/HEDGE REPORTS, SHEARSON LEHMAN HUTTON CONSENTED TO A $10,000.00 FINE AND SIX MONTHS FURTHER SUPERVISION OF ITS SPEC/HEDGE REPORT. Summary: ****** REGULATORY ACTION (131 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: NASD BrokerCheck October 12, 2005 Page 103 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Initiated By: NEW YORK STOCK EXCHANGE Date initiated: 04/25/1989 Docket/ Case Number: 89-44 Allegations: IT WAS ALLEGED THAT SHEARSON LEHMAN HUTTON HAD VIOLATED EXCHANGE RULES BY FAILING TO PROVIDE RECORDS AND INFORMATION TO THE EXCHANGE IN A TIMELY MANNER. Current Status: Final Resolution: Stipulation and Consent Resolution Date: 04/25/1989 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $50,000.00 Resolution Details: THE NYSE ACCEPTED THE STIPULATION OF FACTS AND CONSENT TO PENALTY ENTERED INTO BY SLH AND THE EXCHANGE'S DIVISION OF ENFORCEMENT WHEREIN, WITHOUT ADMITTING OR DENYING ALLEGATIONS THAT IT HAD VIOLATED EXCHANGE RULES, SLH CONSENTED TO THE IMPOSITION OF A CENSURE AND A $50,000.00 FINE. Summary: ****** REGULATORY ACTION (132 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: CHICAGO BOARD OPTIONS EXCHANGE Date initiated: 10/12/1988 Docket/ Case Number: 88-0100(B);88-0100(C) Allegations: IT WAS FOUND THAT E.F.HUTTON AND ONE OF ITS BRANCH MANAGERS HAD FAILED TO SUPERVISE ONE OF THE FIRM'S AGENTS FROM 1982 THROUGH 1984. Current Status: Final Resolution: Consent Resolution Date: 10/12/1989 Sanctions Ordered: Monetary/Fine Monetary Amount: $5,000.00 Resolution Details: THE FIRM AND THE MANAGER CONSENTED TO THE FINDINGS AND AGREED TO THE IMPOSITION OF A JOINT AND SEVERAL FINE IN THE AMOUNT OF $5,000.00. Summary: ****** REGULATORY ACTION (133 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: CHICAGO BOARD OPTIONS EXCHANGE Date initiated: 10/12/1988 Docket/ Case Number: 88-0021 Allegations: IT WAS FOUND THAT E.F. HUTTON & CO., INC. FAILED TO SUPERVISE NASD BrokerCheck October 12, 2005 Page 104 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) ONE OF ITS AGENTS IN THAT IT HAD ALLOWED THE AGENT TO EFFECT TRANSACTIONS IN FOUR PUBLIC CUSTOMER ACCOUNTS WHICH WERE EXCESSIVE IN FREQUENCY, AND THAT IT HAD FAILED TO REPORT INTERNAL DISCIPLINE IMPOSED ON THE AGENT. Current Status: Final Resolution: Consent Resolution Date: 10/12/1988 Sanctions Ordered: Monetary/Fine Monetary Amount: $7,500.00 Resolution Details: E.F.HUTTON CONSENTED TO THE FINDINGS AND AGREED TO THE IMPOSITION OF A $7,500.00 FINE. Summary: ****** REGULATORY ACTION (134 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NEW YORK COTTON EXCHANGE Date initiated: 01/11/1989 Docket/ Case Number: 88-111;88-171 Allegations: IT WAS ALLEGED SHEARSON LEHMAN HUTTON FAILED TO FILE REPORTS OF FYTR R OPTIONS REPORTABLE ACCOUNTS IN A TIMELY MANNER AS REQUIRED BY THE NYCE IN JUNE, JULY AND OCTOBER 1988. Current Status: Final Resolution: Settled Resolution Date: 01/11/1989 Sanctions Ordered: Monetary/Fine Monetary Amount: $1,500.00 Resolution Details: WITHOUT ADMITTING NOR DENYING THE ALLEGATIONS THAT IT HAD FAILED TO DO SO, THE FIRM CONSENTED TO THE IMPOSITION OF A FINE IN THE AMOUNT OF $1,500.00. Summary: ****** REGULATORY ACTION (135 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: STATE OF MICHIGAN Date initiated: 01/12/1989 Docket/ Case Number: BD-8023 Allegations: ORDER BY MICHIGAN CORPORATION AND SECURITIES BUREAU ALLEGED THAT E.F. HUTTON & CO. INC., THROUGH ONE OF ITS FORMER REPRESENTATIVES, EXECUTED TWO ORDERS ON BEHALF OF A CUSTOMER WITHOUT THE CUSTOMER'S AUTHORIZATION. Current Status: Final Resolution: Consent Resolution Date: 07/14/1989 Sanctions NASD BrokerCheck October 12, 2005 Page 105 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Ordered: Monetary/Fine, Censure Monetary Amount: $12,500.00 Resolution Details: E.F. HUTTON & CO., INC., WITHOUT ADMITTING OR DENYING ANY VIOLATIONS, CONSENTED TO THE ENTRY OF A CONSENT FINAL ORDER BY THE DIRECTOR OF THE CORPORATION & SECURITIES BUREAU OF MICHIGAN. THE FIRM WAS CENSURED, AGREED TO PAY A CIVIL PENALTY OF $5,000.00, AND AGREED TO REIMBURSE THE BUREAU IN THE AMOUNT OF $7,500.00 FOR ITS INVESTIGATIVE COSTS. Summary: ****** REGULATORY ACTION (136 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: CHICAGO BOARD OPTIONS EXCHANGE Date initiated: 02/16/1990 Docket/ Case Number: 89-0136 Allegations: STATEMENT OF CHARGES AGAINST E.F. HUTTON & CO. INC. ALLEGED THAT, DURING THE PERIOD JANUARY 1983 THROUGH JUNE 1986, HUTTON VIOLATED EXCHANGE RULES BY FAILING TO ADEQUATELY SUPERVISE A REGISTERED REPRESENTATIVE AND BY ALLOWING THE REPRESENTATIVE TO EFFECT NUMEROUS STOCK AND OPTION TRANSACTIONS THAT WERE EXCESSIVE IN SIZE AND/OR FREQUENCY. Current Status: Final Resolution: Consent Resolution Date: 06/20/1990 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $15,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE VIOLATIONS ALLEGED IN THE CBOE'S STATEMENT OF CHARGES, HUTTON AND CARL SETTE CONSENTED TO A CENSURE AND A JOINT AND SEVERAL FINE OF $15,000.00. IN ADDITION, SETTE WILL RETAKE AND MUST SUCCESSFULLY COMPLETE THE SERIES 4 EXAMINATION AND SUBMIT PROOF THAT HE PASSED THE EXAM TO THE CBOE. Summary: ****** REGULATORY ACTION (137 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NEW YORK MERCANTILE EXCHANGE Date initiated: 10/11/1990 Docket/ Case Number: N/A Allegations: NYME FOUND THAT SHEARSON LEHMAN BROTHERS, ON BEHALF OF A CUSTOMER, WAS LATE IN PERFORMANCE OF A SHORT DELIVERY OBLIGATION UNDER TENDER NUMBER 6 OF THE OCTOBER 1989 UNLEADED GASOLINE FUTURES COMTRACT ("TN6"). THE NYME FOUND THAT THE FIRM WAS LATE IN PERFORMANCE FOR ONE DAY IN THE DELIVERY OF EIGHTY FIVE CONTRACTS IN SATISFACTION OF TN6. Current Status: Final Resolution: Stipulation and Consent Resolution Date: 05/07/1990 Sanctions NASD BrokerCheck October 12, 2005 Page 106 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Ordered: Monetary/Fine Monetary Amount: $25,000.00 Resolution Details: FIRM WAS ASSESSED A PENALTY OF $25,000.00. Summary: ****** REGULATORY ACTION (138 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: COMMODITY FUTURES TRADING COMMISSION Date initiated: 09/25/1990 Docket/ Case Number: N/A Allegations: NOT SPECIFIED. Current Status: Final Resolution: Consent Resolution Date: 09/25/1990 Sanctions Ordered: Monetary/Fine Monetary Amount: $220,000.00 Resolution Details: THE CFTC ACCEPTED AN OFFER OF SETTLEMENT MADE BY SHEARSON LEHMAN BROTHERS. WITHOUT ADMITTING OR DENYING THE ALLEGATIONS OF THE CFTC'S COMPLAINT, THE FIRM CONSENTED TO THE PAYMENT OF A FINE IN THE AMOUNT OF $220,000.00 AND AGREED TO CERTAIN OTHER UNDERTAKINGS AS LISTED IN THE OPINION AND ORDER ACCEPTING OFFER OF SETTLEMENT. Summary: ****** REGULATORY ACTION (139 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: STATE OF CONNECTICUT Date initiated: 07/05/1990 Docket/ Case Number: N/A Allegations: IT WAS ALLEGED THAT SHEARSON LEHMAN HUTTON, IN 1989, EMPLOYED, APPOINTED OR AUTHORIZED NUMEROUS INDIVIDUALS TO ACT AS INVESTMENT ADVISOR AGENTS IN CONNECTICUT WITHOUT BEING REGISTERED AS SUCH WITH THE STATE. Current Status: Final Resolution: Stipulation and Consent Resolution Date: 01/08/1991 Sanctions Ordered: Monetary/Fine Monetary Amount: $250,000.00 Resolution Details: FIRM AND STATE ENTERED INTO A STIPULATION AND AGREEMENT IN WHICH FIRM AGREED, FOR PURPOSES OF SETTLING THE ACTIONS AND IN LIEU OF ANY PROCEEDING OR ACTION, TO 1) PAY TO THE STATE $250,000.00 (ALLOCATED AS $175,000.00 CIVIL PENALTY AND $75,000.00 CONTRIBUTED TO THE STATE'S INVESTOR EDUCATION FUND); 2) TO ISSUE A "COMPLIANCE ALERT" WITHIN ONE HUNDRED TWENTY DAYS OF THE DAY OF THE STIPULATION AND AGREEMENT; 3) TO NASD BrokerCheck October 12, 2005 Page 107 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) REVISE ITS POLICIES, REGULATIONS AND PROCEDURES MANUAL TO MAKE FIRM PERSONNEL AWARE OF THE STATE'S REGISTRATION REQUIREMENTS; 4) WITHIN ONE HUNDRED TWENTY DAYS, PROVIDE A WRITTEN REPORT TO THE STATE REGARDING THESE MEASURES. THE STIPULATION AND AGREEMENT ALSO NOTES THE FIRM'S CONTRIBUTION OF $75,000.00 TO CONNECTICUT-BASED CHARITABLE ORGANIZATIONS. Summary: ****** REGULATORY ACTION (140 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD DBCC FOR DISTRICT NO. 9 Date initiated: 03/16/1989 Docket/ Case Number: CLE-344 Allegations: IT WAS ALLEGED THAT SHEARSON LEHMAN BROTHERS AND THE FORMER BRANCH MANAGER OF ITS CLEVELAND, OH OFFICE, STEPHEN J. WEINBERG, FAILED TO ADEQUATELY SUPERVISE THE ACTIVITIES OF SHELDON STRAUSS, A REPRESENTATIVE IN THIS OFFICE. MR. STRAUSS WAS ALLEGED TO HAVE, AMONG OTHER THINGS, ENGAGED IN UNSUITABLE TRANSACTIONS, UNAUTHORIZED TRANSACTIONS, UNAUTHORIZED USE OF MARGIN AND THE EXERCISE OF DISCRETION WITHOUT WRITTEN AUTHORITY IN A NUMBER OF CUSTOMER ACCOUNTS. Current Status: Final Resolution: Consent Resolution Date: 01/14/1991 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $60,000.00 Resolution Details: FIRM, WITHOUT ADMITTING OR DENYING THE ALLEGATIONS IN THE NASD'S COMPLAINT, CONSENTED TO THE IMPOSITION OF THE SANCTIONS OF A CENSURE AND A $60,000.00 FINE. THE NASD'S BOARD OF GOVERNORS ALSO ACCEPTED AN OFFER OF SETTLEMENT FROM WEINBERG IN WHICH, WITHOUT ADMITTING OR DENYING THE ALLEGATIONS IN THE COMPLAINT, HE CONSENTED TO THE IMPOSITION OF A CENSURE, A TEN DAY SUSPENSION FROM ASSOCIATION WITH ANY NASD MEMBER FIRM AND A $10,000.00 FINE. Summary: ****** REGULATORY ACTION (141 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: COFFEE, SUGAR AND COCOA EXCHANGE Date initiated: 12/27/1990 Docket/ Case Number: N/A Allegations: SHEARSON LEHMAN BROTHERS WAS CITED FOR TEN POSSIBLE VIOLATIONS OF SPECULATIVE POSITION LIMIT RULE 13.02(B). Current Status: Final Resolution: Settled Resolution Date: 12/27/1990 Sanctions Ordered: Monetary/Fine Monetary Amount: $5,000.00 Resolution NASD BrokerCheck October 12, 2005 Page 108 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Details: FIRM ENTERED INTO A SETTLEMENT AGREEMENT. WITHOUT ADMITTING OR DENYING THE ALLEGATIONS IN THAT AGREEMENT, THE FIRM AGREED TO THE IMPOSITION OF A $5,000.00 FINE FOR THE POSSIBLE RULE VIOLATIONS. Summary: ****** REGULATORY ACTION (142 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: CHICAGO BOARD OF TRADE Date initiated: 05/31/1990 Docket/ Case Number: 90-MAV-02 Allegations: COMPLAINT BY CBT CHARGED THAT SHEARSON LEHMAN BROTHERS VIOLATED CERTAIN OF ITS RULES STEMMING FROM THE ALLEGED FAILURE OF A SHEARSON BROKER TO EXECUTE A CUSTOMER ORDER TO SELL 200 MARCH 1990 U.S. TREASURY BOND FUTURES CONTRACTS AT 100.10. Current Status: Final Resolution: Consent Resolution Date: 12/06/1990 Sanctions Ordered: Monetary/Fine Monetary Amount: $15,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS OF THE COMPLAINT, SHEARSON CONSENTED TO THE PAYMENT OF A FINE IN THE AMOUNT OF $15,000.00. Summary: ****** REGULATORY ACTION (143 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: PACIFIC STOCK EXCHANGE Date initiated: 12/01/1990 Docket/ Case Number: C-80912-1 Allegations: THE PSE FOUND THAT THE MANNER IN WHICH THE ORDERS IN QUESTION WERE REPRESENTED ON THE PSE OPTIONS FLOOR CONSTITUTED A VIOLATION OF PSE RULE 6.47 BY SHEARSON LEHMAN BROTHERS. Current Status: Final Resolution: Settled Resolution Date: 12/01/1990 Sanctions Ordered: Monetary/Fine Monetary Amount: $2,500.00 Resolution Details: WITHOUT ADMITTING OR DENYING ANY FINDINGS OF FACT, SHEARSON AGREED TO PAY A FINE OF $2,500.00 FOR THIS VIOLATION. ALL CHARGES AGAINST REGISTERED REPRESENTATIVE AND ALL OTHER CHARGES AGAINST SHEARSON WERE DISMISSED. Summary: ****** REGULATORY ACTION (144 of 335) ****** NASD BrokerCheck October 12, 2005 Page 109 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NEW YORK STOCK EXCHANGE Date initiated: 11/27/1990 Docket/ Case Number: NONE Allegations: THE NYSE FOUND THAT SHEARSON LEHMAN BROTHERS HAD VIOLATED RULE 351(A) BY FAILING TO FILE AN AMENDED FORM U-5 NOTIFYING THE NYSE THAT A CUSTOMER COMPLAINT HAD BEEN FILED AGAINST ONE OF SHEARSON'S FORMER REGISTERED REPRESENTATIVES. Current Status: Final Resolution: Settled Resolution Date: 11/27/1999 Sanctions Ordered: Monetary/Fine Monetary Amount: $1,000.00 Resolution Details: SHEARSON DECIDED NOT TO CONTEST THE MATTER AND AGREED TO PAY A FINE OF $1,000.00. Summary: ****** REGULATORY ACTION (145 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NEW YORK COTTON EXCHANGE CITRUS ASSOCIATES Date initiated: 10/01/1990 Docket/ Case Number: 90-028 Allegations: IT WAS ALLEGED THAT SHEARSON LEHMAN BROTHERS VIOLATED CERTAIN NYCE RULES BY FAILING TO SUPERVISE THE EXECUTION OF NUMEROUS ORDERS AND FAILING TO PREPARE AND/OR MAINTAIN BRANCH ORDER TICKETS CORRESPONDING TO ORDERS RECEIVED BETWEEN APRIL 20-27, 1988. Current Status: Final Resolution: Settled Resolution Date: 10/01/1990 Sanctions Ordered: Monetary/Fine Monetary Amount: $17,500.00 Resolution Details: SHEARSON WAS FINED $17,500.00. Summary: ****** REGULATORY ACTION (146 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: US DEPARTMENT OF LABOR Date initiated: 05/01/1989 Docket/ Case Number: 89-CV-547 NASD BrokerCheck October 12, 2005 Page 110 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Allegations: SUIT BROUGHT BY US DEPARTMENT OF LABOR AGAINST SHEARSON LEHMAN HUTTON INC. AND OTHERS REGARDING THEIR HANDLING OF CERTAIN NEW YORK STATE TEAMSTERS BENEFIT PLAN ACCOUNTS. Current Status: Final Resolution: Settled Resolution Date: 09/10/1990 Sanctions Ordered: Monetary/Fine Monetary Amount: $2,000,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS OF THE DEPARTMENT'S COMPLAINT, SHEARSON CONSENTED TO THE PAYMENT IN THE AMOUNT OF $2,000,000.00 TO THE NEW YORK STATE TEAMSTERS CONFERENCE PENSION & RETIREMENT FUND, THE UPSTATE TEAMSTERS PENSION & RETIREMENT FUND AND THE NEW YORK STATE TEAMSTERS JOINT COUNCIL 18 HEALTH AND HOSPITAL FUND AND AGREED TO CERTAIN OTHER UNDERTAKINGS AS LISTED IN THE CONSENT ORDER. Summary: ****** REGULATORY ACTION (147 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: CHICAGO BOARD OPTIONS EXCHANGE Date initiated: 03/06/1991 Docket/ Case Number: 90-0080 Allegations: THE OFFER OF SETTLEMENT (THAT SHEARSON LEHMAN BROTHERS AND ITS REPRESENTATIVE BRUCE BERKOWITZ ENTERED INTO) AGREED TO FINDINGS OF FACT THAT ON OCTOBER 18TH, 1989, SHEARSON AND BERKOWITZ FAILED TO PROPERLY TALLY A CUSTOMER'S ORDERS AND CONSEQUENTLY ALLOWED THAT CUSTOMER TO ENTER ORDERS RESULTING IN THE CUSTOMER EXCEEDING THE APPLICABLE POSITION LIMIT IN STOCK OPTIONS FOR ONE DAY. Current Status: Final Resolution: Settled Resolution Date: 03/06/1991 Sanctions Ordered: Monetary/Fine Monetary Amount: $1,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE VIOLATIONS ALLEGED, THE SETTLEMENT AGREED TO THE ABOVE FINDINGS OF FACT; SHEARSON AND BERKOWITZ ALSO AGREED TO THE PAYMENT OF A $1,000.00 FINE. Summary: ****** REGULATORY ACTION (148 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NEW YORK STOCK EXCHANGE Date initiated: 04/01/1988 Docket/ Case Number: 91-69 Allegations: ALLEGATIONS WERE RELATIVE TO THE EXCHANGE'S APPROXIMATELY THREE YEAR INVESTIGATION CONCERNING THE SALES PRACTICES AND RELATED NASD BrokerCheck October 12, 2005 Page 111 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) ACTIVITIES IN SHEARSON LEHMAN BROTHERS' OFFICE LOCATED AT 55 WATER STREET, NEW YORK, NY. Current Status: Final Resolution: Consent Resolution Date: 05/14/1991 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $750,000.00 Other Sanctions: UNDERTAKING BY FIRM TO REVIEW POLICIES, PROCEDURES AND SYSTEMS OF ITS MARGIN DEPARTMENT TO ENSURE COMPLIANCE WITH REGULATION T. Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS ARISING FROM THE EXCHANGE'S INVESTIGATION, SHEARSON CONSENTED TO CERTAIN FINDINGS OF FACT AND THE AFOREMENTIONED CENSURE, FINE AND UNDERTAKING. Summary: ****** REGULATORY ACTION (149 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: COMMONWEALTH OF VIRGINIA Date initiated: 04/15/1991 Docket/ Case Number: SEC900098 Allegations: ALLEGATIONS IN THE COMMONWEALTH'S SECURITIES DIVISION'S COMPLAINT AROSE FROM E F HUTTON'S DELAY IN REGISTRATION AS AN INVESTMENT ADVISOR IN THE COMMONWEALTH IN JULY 1987. HUTTON'S REGISTRATION FORMS FOR THE FIRM AND ITS BROKERS WHO WERE ACTING AS I/A REPS WERE FILED 27 DAYS LATE. Current Status: Final Resolution: Stipulation and Consent Resolution Date: 04/15/1991 Sanctions Ordered: Monetary/Fine, Disgorgement/Restitution Monetary Amount: $25,000.00 Resolution Details: THE COMMONWEALTH'S SECURITIES DIVISION ENTERED AN ORDER ACCEPTING THE OFFER OF SETTLEMENT OF E F HUTTON. WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, HUTTON AGREED TO THE FOLLOWING TERMS: 1) HUTTON WOULD MAKE A WRITTEN OFFER TO ONE CUSTOMER TO RESCIND ALL SECURITIES TRANSACTIONS EFFECTED IN THE CUSTOMER'S ACCOUNT BETWEEN THE PERIOD JULY 1, 1987 THROUGH JULY 27, 1987, INCLUSIVE, AS A RESULT OF THE INVESTMENT ADVISORY CONTRACT ENTERED INTO AND ADVICE RENDERED DURING SUCH PERIOD. THE FIRM ALSO AGREED TO A PAY A PENALTY OF $25,000.00. Summary: ****** REGULATORY ACTION (150 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: STATE OF ILLINOIS Date initiated: 10/23/1989 Docket/ Case Number: 87-00092 NASD BrokerCheck October 12, 2005 Page 112 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Allegations: IT WAS ALLEGED THAT, FROM APPROXIMATELY DECEMBER 1986 THROUGH APRIL 1987, E F HUTTON & COMPANY MAINTAINED A SECURITIES ACCOUNT FOR THE MONEY MAKERS OPTIO INVESTMENT CLUB, HUTTON REPRESENTATIVE CHARLES S GREENBERG BEING ITS ACCOUNT EXECUTIVE. THE STATE ALLEGED THAT THE INTERESTS IN THE CLUB WERE SECURITIES THAT WERE REQUIRED TO BE REGISTERED PURSUANT TO THE ILLINOIS ACT. CONSEQUENTLY, THE SECURITIES DEPARTMENT ALLEGED THAT HUTTON AND MR. GREENBERG OFFERED AND SOLD UNREGISTERED SECURITIES IN VIOLATION OF ILLINOIS SECURITIES LAW. Current Status: Final Resolution: Consent Resolution Date: 03/19/1991 Sanctions Ordered: Monetary/Fine Monetary Amount: $1,000.00 Resolution Details: HUTTON ENTERED INTO A STIPULATION AND CONSENT WITHOUT ADMITTING OR DENYING THE CHARGES. HUTTON AND GREENBERG CONSENTED TO THE ENTRY OF AN ORDER OF PROHIBITION AND EACH AGREED TO PAY A FINE OF $1,000.00. Summary: ****** REGULATORY ACTION (151 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: CHICAGO MERCANTILE EXCHANGE Date initiated: 09/23/1991 Docket/ Case Number: 91-353-BC Allegations: THE CME ALLEGED THAT SHEARSON, DURING THE PERIOD APRIL 1988 THROUGH DECEMBER 1989, 1) FAILED TO SUBMIT ACCURATE CUSTOMER ACCOUNT DESIGNATION FOR CERTAIN OF ITS TRADE SUBMISSIONS; 2)FAILED TO RECORD CUSTOMER ACCOUNT DESIGNATIONS FOR FLOOR ORDERS; 3) FAILED TO TIME-STAMP, UPON RECEIPT, SOME CUSTOMER ORDER TICKETS; AND 4) TOOK LONGER THAN THIRTY DAYS TO PROVIDE CERTAIN REQUESTED DOCUMENTS TO THE CME. THE CME FOUND THAT THIS CONDUCT CONSTITUTED VIOLATIONS OF CME RULES 432.Q, 536.E AND 810. Current Status: Final Resolution: Settled Resolution Date: 09/23/1991 Sanctions Ordered: Monetary/Fine Monetary Amount: $65,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, SHEARSON AGREED TO PAY A FINE OF $65,000.00. IN ACCEPTING THE OFFER OF SETTLEMENT, THE CME TOOK INTO CONSIDERATION THAT SHEARSON HAD AGREED TO REIMBURSE IT FOR A PORTION OF THE COST OF ITS INVESTIGATION. Summary: ****** REGULATORY ACTION (152 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: CHICAGO BOARD OF TRADE Date initiated: 08/26/1991 NASD BrokerCheck October 12, 2005 Page 113 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Docket/ Case Number: 90-EX-32 Allegations: IT WAS ALLEGED THAT SHEARSON 1) FAILED TO TIME-STAMP FLOOR ORDERS PROPERLY; 2) MADE INSUFFICIENT MARGIN CALLS AND IMPROPERLY REDUCED OR ELIMINATED MARGIN CALLS; 3) FAILED TO INDICATE THAT THE ACCOUNTS WERE DISCRETIONARY ON MONTHLY CUSTOMER ACCOUNT STATEMENTS FOR CERTAIN ACCOUNTS OVER WHICH SHEARSON EMPLOYEES EXERCISED DISCRETION; 4) FAILED TO SUBMIT OPTION PROMOTIONAL MATERIAL TO OIA; 5) FAILED TO NOTIFY OIA OF THE OPENING OR CLOSING OF CERTAIN OMNIBUS ACCOUNTS; 6) FAILED TO SEND COPIES OF CERTAIN OPTION CUSTOMER COMPLAINTS TO OIA; AND 7) FAILED TO MAINTAIN ACCURATE BOOKS AND RECORDS. Current Status: Final Resolution: Consent Resolution Date: 08/26/1991 Sanctions Ordered: Monetary/Fine Monetary Amount: $10,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, SHEARSON CONSENTED TO THE ORDER AND IMPOSITION OF PENALTY. Summary: ****** REGULATORY ACTION (153 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: CHICAGO BOARD OF TRADE Date initiated: 08/26/1991 Docket/ Case Number: 90-MSI-75 Allegations: THE CBT ALLEGED THAT SHEARSON TRANSFERRED MISCLEARED TRADES UTILIZING AN INCORRECT EXCHANGE DESIGNATION. Current Status: Final Resolution: Consent Resolution Date: 08/26/1991 Sanctions Ordered: Monetary/Fine Monetary Amount: $1,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE CBT'S ALLEGATION, SHEARSON CONSENTED TO THE ENTRY OF THE DECISION AND PENALTY. Summary: ****** REGULATORY ACTION (154 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NEW YORK STOCK EXCHANGE Date initiated: 07/03/1991 Docket/ Case Number: "UNNUMBERED" Allegations: THE EXCHANGE ALLEGED THAT SHEARSON FAILED TO PROMPTLY REPORT TO THE EXCHANGE TWO ARBITRATION AWARDS INVOLVING PUBLIC CUSTOMERS, ONE ALLEGEDLY NOT REPORTED TO THE EXCHANGE, THE OTHER REPORTED ON MAY 10, 1991. NASD BrokerCheck October 12, 2005 Page 114 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Current Status: Final Resolution: Settled Resolution Date: 07/03/1991 Sanctions Ordered: Monetary/Fine Monetary Amount: $2,500.00 Resolution Details: WITHOUT ADMITTING OR DENYING DENYING THE VIOLATION, SHEARSON CONSENTED TO THE IMPOSITION OF A $2,500.00 FINE. Summary: ****** REGULATORY ACTION (155 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: CHICAGO BOARD OF TRADE Date initiated: 06/24/1991 Docket/ Case Number: 90-INV-98 Allegations: IT WAS ALLEGED THAT A SHEARSON PHONE CLERK FAILED TO PLACE FUTURES CONTRACTS FROM A PARTIALLY-EXECUTED CUSTOMER ORDER INTO AN ERROR ACCOUNT; AND THAT ANOTHER SHEARSON EMPLOYEE FAILED TO WRITE UP A FLOOR ORDER TICKET ON RECEIPT OF A CUSTOMER ORDER, IN VIOLATION OF CBT REGULATIONS 350.04, REGULATION INTERPRETATION 350.04A(3) AND REGULATION 465.01. Current Status: Final Resolution: Consent Resolution Date: 06/24/1991 Sanctions Ordered: Monetary/Fine Monetary Amount: $10,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE VIOLATIONS, SHEARSON CONSENTED TO THE IMPOSITION OF A FINE OF 10K. Summary: ****** REGULATORY ACTION (156 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: STATE OF INDIANA Date initiated: 11/21/1991 Docket/ Case Number: 91-0214 CA Allegations: NOT AVAILABLE Current Status: Final Resolution: Consent Resolution Date: 11/21/1991 Sanctions Ordered: Monetary/Fine, Disgorgement/Restitution Monetary Amount: $5,000.00 Other Sanctions: ADDITIONAL FINES/REINBURSEMENTS: $30,000.00 RESTITUTION TO NASD BrokerCheck October 12, 2005 Page 115 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) CLIENT; $1,500.00 TO STATE TO COVER COSTS OF INVESTIGATION. Resolution Details: SHEARSON LEHMAN BROTHERS AND WILSON RONDINI ENTERED INTO A CONSENT AGREEMENT WITH THE INDIANA SECURITIES DIVISION. RESTITUTION/FINES/COSTS ARE OUTLINED ABOVE. Summary: ****** REGULATORY ACTION (157 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 06/11/2001 Initiated By: STATE OF ILLINOIS SECURITIES DEPT Date initiated: 05/06/1991 Docket/ Case Number: 9100060 Allegations: E F HUTTON & COMPANY, INC., JEFFREY MACKEVICH AND EUGENE MACKEVICH ALLEGEDLY OFFERED AND SOLD (BETWEEN APRIL 1986 AND DECEMBER 1987) SHARES IN THE HUTTON INVESTMENT GOVERNMENT SECURITIES SERIES (A MUTUAL FUND) TO THREE INVESTORS. MACKEVICH AND MACKEVICH WERE ALLEGED TO HAVE FAILED TO FULLY INFORM THE THREE INVESTORS OF ALL THE POTENTIAL RISKS AND ALL OF THE CONTINGENT SALES CHARGES PRIOR TO THEIR INVESTMENT IN THE FUND. Current Status: Final Resolution: Consent Resolution Date: 08/28/1991 Sanctions Ordered: Monetary/Fine Monetary Amount: $10,000.00 Resolution Details: MACKEVICH AND MACKEVICH CONSENTED TO AN ORDER PROHIBITING THEM FROM OFFERING FOR SALE OR SELLING ANY SECURITIES IN THE STATE IN VIOLATION OF THE ILLINOIS SECURITIES ACT. E F HUTTON WAS FINED 10K (WHILE SHEARSON LEHMAN HUTTON HAD BEEN NAMED IN THE NOTICE OF HEARING, THE SANCTION WAS ASSESSED AGAINST E F HUTTON). Summary: ****** REGULATORY ACTION (158 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NEW YORK STOCK EXCHANGE Date initiated: 10/29/1991 Docket/ Case Number: "UNNUMBERED" Allegations: THE EXCHANGE ALLEGED THAT SHEARSON FAILED TO PROMPTLY REPORT TO THE EXCHANGE FOUR ARBITRATION AWARDS INVOLVING PUBLIC CUSTOMERS, IN VIOLATION OF RULE 351(A)(7). Current Status: Final Resolution: Settled Resolution Date: 10/29/1991 Sanctions Ordered: Monetary/Fine Monetary Amount: $5,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE VIOLATION, SHEARSON CONSENTED NASD BrokerCheck October 12, 2005 Page 116 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) TO THE IMPOSITION OF A 5K FINE. Summary: ****** REGULATORY ACTION (159 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: STATE OF INDIANA Date initiated: 12/06/1991 Docket/ Case Number: 91-0099 SC Allegations: IT WAS ALLEGED THAT SHEARSON AND ONE OF ITS FINANCIAL CONSULTANTS IN ITS CARMEL, IN OFFICE MADE MISREPRESENTATIONS TO INVESTORS, EFFECTED A TRANSACTION IN A CUSTOMER'S ACCOUNT WITHOUT AUTHORIZATION AND RECOMMENDED UNSUITABLE TRANSACTIONS. SHEARSON WAS ALLEGED TO HAVE IMPROPERLY SUPERVISED THE FINANCIAL CONSULTANT. Current Status: Final Resolution: Consent Resolution Date: 12/06/1991 Sanctions Ordered: Monetary/Fine Monetary Amount: $30,000.00 Other Sanctions: ALLOW CUSTOMER TO MAINTAIN OWNERSHIP IN LP INVESTMENT; FIRM HAD PREVIOUSLY REIMBURSED A SECOND CUSTOMER THE AMOUNT OF 70K; CONDUCT COMPLIANCE AND LEGAL ED MEETINGS SO THAT ALL REG REPS AND BOMS OF SHEARSON BRANCH OFFICES LOCATED IN INDIANA ATTEND AT LEAST ONE MEETING; IMPLEMENTATION OF NEW PROCESSES AND GUIDELINES FOR REVIEW OF CERTAIN CLIENT COMPLIANTS RECEIVED BY SHEARSON FROM INDIANA CLIENTS. Resolution Details: INDIANA SECURITIES DIVISION FILED ITS MOTION TO DISMISS ADMINISTRATIVE COMPLAINT AND TO VACATE THE ORDER TO SHOW CAUSE WITH RESPECT TO SHEARSON. WITHOUT ADMITTING OR DENYING THE ALLEGATIONS CONTAINED IN THE ADMINISTRATIVE COMPLAINT, SHEARSON AGREED TO UNDERTAKINGS OUTLINED ABOVE AND PAID THE DIVISION'S COSTS OF INVESTIGATION AND A CIVIL PENALTY IN THE TOTAL AMOUNT OF 30K. Summary: ****** REGULATORY ACTION (160 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: COFFEE, SUGAR AND COCOA EXCHANGE Date initiated: 07/28/1992 Docket/ Case Number: NO. 192-20 Allegations: THE CSCE ALLEGED THAT A VIOLATION MAY HAVE OCCURRED OF MEMBERSHIP RULE 1.12(C)(2)--FAILURE TO HAVE AN OFFICE TICKET TIMESTAMPED UPON RECEIPT--ON THREE OCCASIONS. Current Status: Final Resolution: Settled Resolution Date: 07/28/1992 Sanctions Ordered: Monetary/Fine Monetary Amount: $300.00 NASD BrokerCheck October 12, 2005 Page 117 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Resolution Details: SHEARSON LEHMAN BROTHERS, WITHOUT ADMITTING OR DENYING THE ALLEGED VIOLATIONS, ENTERED INTO A SETTLEMENT AGREEMENT AND AGREED TO PAY A $300.00 PENALTY. Summary: ****** REGULATORY ACTION (161 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 06/11/2001 Initiated By: STATE OF SOUTH CAROLINA Date initiated: 09/15/1992 Docket/ Case Number: N/A Allegations: SHEARSON WAS ALLEGED TO HAVE FAILED TO ADVISE ONE OF ITS FINANCIAL CONSULTANTS OF ADDITIONAL REGISTRATION REQUIREMENTS NEEDED TO BE A QUALIFIER. Current Status: Final Resolution: Consent Resolution Date: 09/15/1992 Sanctions Ordered: Monetary/Fine Monetary Amount: $2,500.00 Resolution Details: SHEARSON CONSENTED TO THE ENTRY OF AN ORDER IMPOSING ADMINISTRATIVE FINE AND CONSENT TO ORDER BY SOUTH CAROLINA SECURITIES DIVISION FOR VIOLATING THEIR CODE 35-1-410(1976). AN ADMINSTRATIVE FINE IN THE AMOUNT OF $2,500.00 WAS IMPOSED. Summary: ****** REGULATORY ACTION (162 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 06/11/2001 Initiated By: STATE OF FLORIDA DIVISION OF SECURITIES Date initiated: 07/27/1992 Docket/ Case Number: NO. 1607A-S-12/91 Allegations: STATE OF FLORIDA ALLEGED THAT SHEARSON FAILED TO FULLY DISCLOSE FORMER SHEARSON REGISTERED REPRESENTATIVE MARK W. MCLAUGHLIN'S PRIOR DISCIPLINARY HISTORY ON FORM U-4. Current Status: Final Resolution: Consent Resolution Date: 07/27/1992 Sanctions Ordered: Monetary/Fine Monetary Amount: $5,000.00 Resolution Details: SHEARSON, WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, ENTERED INTO A STIPULATION WITH AND CONSENTED TO THE ENTRY OF A FINAL ORDER BY THE STATE OF FLORIDA, DEPARTMENT OF BANKING AND FINANCE, DIVISION OF SECURITIES AND INVESTOR PROTECTION. FIRM AGREED TO PAY A FINE OF $5,000.00. Summary: NASD BrokerCheck October 12, 2005 Page 118 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) ****** REGULATORY ACTION (163 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: CHICAGO MERCANTILE EXCHANGE COMPLIANCE DEPT Date initiated: 10/01/1992 Docket/ Case Number: 92-1175-FP Allegations: ON APRIL 24, MAY 5 AND JULY 14, SHEARSON ACCEPTED FROM A CUSTOMER CONTEMPORANEOUS BUYING AND SELLING ORDERS. THE CME HEARING PANEL ALLEGED THAT THIS CONDUCT VIOLATED CME RULE 433.B. Current Status: Final Resolution: Settled Resolution Date: 10/19/1992 Sanctions Ordered: Monetary/Fine Monetary Amount: $10,000.00 Resolution Details: SHEARSON PAID A $10,000.00 FINE. Summary: ****** REGULATORY ACTION (164 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: COMMONWEALTH OF PENNSYLVANIA Date initiated: 02/11/1993 Docket/ Case Number: N/A Allegations: A REGISTERED SALES ASSISTANT TRANSACTED BUSINESS WITH A PENNSYLVANIA RESIDENT BEFORE BEING REGISTERED IN THAT STATE. Current Status: Final Resolution: Settled Resolution Date: 04/27/1993 Sanctions Ordered: Monetary/Fine Monetary Amount: $3,500.00 Resolution Details: SHEARSON HAS PAID RETROACTIVE REGISTRATION FEES AND $3,500.00 TOWARD THE COSTS INCURRED BY THE STATE. Summary: JEFFREY CLARK, WHILE A REGISTERED SALES ASSISTANT, TRANSACTED BUSINESS WITH ONE PENNSYLVANIA RESIDENT PRIOR TO HIS REGISTRATION IN THAT STATE. ****** REGULATORY ACTION (165 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: STATE OF RHODE ISLAND Date initiated: 06/30/1993 Docket/ Case Number: CA-93-17 NASD BrokerCheck October 12, 2005 Page 119 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Allegations: SHEARSON DID NOT REGISTER AN INVESTMENT ADVISOR AGENT IN THE STATE OF RHODE ISLAND. THE AGENT WAS HANDLING THE MANAGED ACCOUNT OF HIS MOTHER WHO HAD RESIDENCES IN CALIFORNIA AND RHODE ISLAND. SHEARSON ENTERED INTO A CONSENT AGREEMENT AND PAID RETROACTIVE REGISTRATION FEES OF $100.00. Current Status: Final Resolution: Consent Resolution Date: 07/07/1993 Sanctions Ordered: Monetary/Fine Monetary Amount: $100.00 Resolution Details: SHEARSON ENTERED INTO A CONSENT AGREEMENT WITH THE STATE AND PAID REGISTRATION FEE OF $100.00. Summary: ****** REGULATORY ACTION (166 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: CHICAGO BOARD OF TRADE Date initiated: 08/30/1993 Docket/ Case Number: 93-EX-102 Allegations: THE CBT ALLEGED THAT A BRANCH OFFICE OF LEHMAN BROTHERS FAILED TO PREPARE A WRITTEN RECORD OF ORDERS WHEN THEY WERE RECEIVED, A VIOLATION OF REGULATION 465.01. Current Status: Final Resolution: Settled Resolution Date: 12/14/1993 Sanctions Ordered: Monetary/Fine Monetary Amount: $10,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, LEHMAN BROTHERS AGREED TO PAY A FINE OF $1,000.00. Summary: ****** REGULATORY ACTION (167 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: STATE OF OKLAHOMA SECURITIES DIVISION Date initiated: 07/11/1994 Docket/ Case Number: N/A Allegations: SHEARSON LEHMAN BROTHERS INC., PREDECESSOR FIRM, THROUGH BRANCH MANAGER ALLEGEDLY FAILED AND NEGLECTED TO ADEQUATELY FOLLOW AND ENFORCE SUPERVISORY PROCEDURES FOR DISBURSEMENT OF CHECKS FROM CLIENT ACCOUNTS BY PERSONNEL IN SHEARSON'S TULSA, OKLAHOMA BRANCH. Current Status: Final Resolution: Settled NASD BrokerCheck October 12, 2005 Page 120 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Resolution Date: 07/11/1994 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $10,000.00 Resolution Details: LEHMAN BROTHERS INC. ACCEPTED A CENSURE AND PAID A FINE OF $10,000.00. Summary: THIS MATTER INVOLVED MISAPPROPRIATION BY FORMER BROKER JERRY N. WOOD. THE SANCTIONS ARE LARGELY IDENTICAL TO THOSE IMPOSED BY THE NASD IN THIS MATTER. ****** REGULATORY ACTION (168 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: AMERICAN STOCK EXCHANGE Date initiated: 11/18/1994 Docket/ Case Number: N/A Allegations: AMERICAN STOCK EXCHANGE, ARTICLE V, SECTIONS 4(H) AND (J); FAILURE TO SUBMIT ACCURATE AUDIT TRAIL DATA. Current Status: Final Resolution: Consent Resolution Date: 11/18/1994 Sanctions Ordered: Monetary/Fine Monetary Amount: $5,000.00 Resolution Details: $5,000.00 FINE. Summary: ****** REGULATORY ACTION (169 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: STATE OF MAINE SECURITIES DIVISION Date initiated: 11/30/1994 Docket/ Case Number: N/A Allegations: MAINE ALLEGED THAT A REGISTERED REPRESENTATIVE IN SHEARSON'S CORAL SPRINGS, FLORIDA OFFICE CONDUCTED BUSINESS IN MAINE PRIOR TO BEING PROPERLY REGISTERED. Current Status: Final Resolution: Consent Resolution Date: 11/30/1994 Sanctions Ordered: Monetary/Fine Monetary Amount: $3,000.00 Resolution Details: SHEARSON LEHMAN BROTHERS INC., WITHOUT ADMITTING OR DENYING THE ALLEGED VIOLATIONS, ENTERED INTO A CONSENT AGREEMENT AND PAID A PENALTY OF $3,000.00. Summary: NASD BrokerCheck October 12, 2005 Page 121 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) ****** REGULATORY ACTION (170 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: CHICAGO BOARD OF TRADE Date initiated: 03/27/1995 Docket/ Case Number: 94-RRR-405 Allegations: THE OFFICE OF INVESTIGATIONS ALLEGED THAT LEHMAN BROTHERS INC. VIOLATED CBT REGULATIONS 332.02 AND 332.08 IN THAT IT HAD, ON SEVERAL OCCASIONS, INCORRECTLY KEYPUNCHED INFORMATION RELATING TO TIME BRACKET AND ORDER ENTRY TIMES INTO THE CLEARING SYSTEM. Current Status: Final Resolution: Consent Resolution Date: 04/10/1995 Sanctions Ordered: Monetary/Fine Monetary Amount: $500.00 Resolution Details: WITHOUT ADMITTING TO OR DENYING THAT IT HAD VIOLATED ANY REGULATIONS, THE FIRM AGREED TO PAY A FINE OF $500.00. Summary: ****** REGULATORY ACTION (171 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NEW YORK STOCK EXCHANGE INC. Date initiated: 12/06/1995 Docket/ Case Number: N/A Allegations: THE NEW YORK STOCK EXCHANGE ISSUED A "NOTICE OF FINE FOR MINOR VIOLATION(S) OF RULES" BY LEHMAN BROTHERS AND ITS CORPORATE PREDECESSOR, SHEARSON LEHMAN BROTHERS INC. Current Status: Final Resolution: Consent Resolution Date: 12/21/1995 Sanctions Ordered: Monetary/Fine Monetary Amount: $3,000.00 Resolution Details: LEHMAN BROTHERS CONSENTED TO THE IMPOSITION OF THE FINE IN THE AMOUNT OF $3,000.00. Summary: THE MINOR VIOLATIONS RELATE TO 1) THE FIRM'S FAILURE TO TIMELY RESPOND TO AN INVESTIGATIVE REQUEST MADE TO IT CONCERNING IDENTIFICATION OF CERTAIN CUSTOMER COMPLAINTS, IN VIOLATION OF RULE 476(A)(11) AND 2) THE FIRM'S FAILURE TO INCLUDE ON A FORM U-5 FILED FOR A FORMER REGISTERED REPRESENTATIVE CERTAIN REPORTABLE CUSTOMER COMPLAINTS, WHICH THE FIRM REPORTED ON A AMENDED FORM U-5 FILED IN SEPTEMBER 1995, IN VIOLATION OF RULE 345.17. ****** REGULATORY ACTION (172 of 335) ****** Reporting Source: Brokerage Firm (Form BD) NASD BrokerCheck October 12, 2005 Page 122 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Date Reported: 02/28/2001 Initiated By: STATE OF INDIANA Date initiated: 05/10/1991 Docket/ Case Number: N/A Allegations: IT WAS ALLEGED THAT SHEARSON LEHMAN BROTHERS INC. VIOLATED REGULATIONS UNDER THE INDIANA SECURITIES ACT REGARDING THE OFFER AND SALE OF SECURITIES. Current Status: Final Resolution: Settled Resolution Date: 02/14/1994 Sanctions Ordered: Monetary/Fine Monetary Amount: $1,000.00 Resolution Details: ALTHOUGH SHEARSON LEHMAN BROTHERS INC. DENIED THE ALLEGATIONS, IT AGREED TO PAY THE COST OF THE INVESTIGATION IN THE AMOUNT OF $1,000.00. Summary: ****** REGULATORY ACTION (173 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: CHICAGO BOARD OF TRADE Date initiated: 05/06/1996 Docket/ Case Number: 95-RRR-271 Allegations: IT WAS ALLEGED THAT LEHMAN BROTHERS VIOLATED CBOT REGULATIONS 332.02 AND 332.08 IN THAT IT HAD, ON SEVERAL OCCASIONS, INCORRECTLY KEYPUNCHED INFORMATION RELATING TO TIME BRACKET, ORDER TYPE AND ORDER ENTRY TIMES INTO THE CLEARING SYSTEM. Current Status: Final Resolution: Settled Resolution Date: 06/21/1996 Sanctions Ordered: Monetary/Fine Monetary Amount: $250.00 Resolution Details: WITHOUT ADMITTING OR DENYING THAT IT HAD VIOLATED ANY REGULATIONS, THE FIRM AGREED TO PAY A FINE OF $250.00. Summary: ****** REGULATORY ACTION (174 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: CHICAGO BOARD OF TRADE - BUSINESS CONDUCT COMMITTEE Date initiated: 01/31/1997 Docket/ Case Number: 96-RRR-268 Allegations: IT WAS ALLEGED THAT LEHMAN VIOLATED CBT REGULATIONS 332.02 AND NASD BrokerCheck October 12, 2005 Page 123 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) 332.08 IN THAT IT HAD, ON SEVERAL OCCASIONS, INCORRECTLY KEYPUNCHED INFORMATION RELATING TO TIME BRACKET, ORDER TYPE, CONFIRMATION TIME AND ORDER ENTRY TIMES INTO THE CLEARING SYSTEM, AS WELL AS FAILED TO ENTER A FLASHED ORDER INDICATOR AND THE UDDATED ORDER ENTRY TIME FOR CANCEL/REPLACE ORDERS. Current Status: Final Resolution: Other Resolution Date: 02/14/1997 Sanctions Ordered: Monetary/Fine Monetary Amount: $250.00 Resolution Details: WITHOUT ADMITTING TO OR DENYING THAT IT HAD VIOLATED ANY REGULATIONS, LEHMAN AGREED TO PAY A FINE OF $250.00. Summary: ****** REGULATORY ACTION (175 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 06/12/2001 Initiated By: NASD REGULATION, INC. - MARKET REGULATION COMMITTEE Date initiated: 07/03/1997 Docket/ Case Number: CMS970020 Allegations: IT WAS ALLEGED THAT AT VARIOUS TIME DURING THE PERIOD AUGUST 31, 1995 THROUGH OCTOBER 8, 1996, LEHMAN VIOLATED RULE 11AC1-1(C) OF THE SECURITIES EXCHANGE ACT OF 1934, MARKETPLACE RULE 4613(B) AND CONDUCT RULES 2110, 3320 AND 3010. Current Status: Final Resolution: Settled Resolution Date: 06/30/1998 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $9,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS ALLEGED IN THE COMPLAINT, LEHMAN CONSENTED TO A CENSURE AND A FINE OF $9,000.00. Summary: CHARGES WERE ISSUED AGAINST LEHMAN BROTHERS ALLEGING THAT IT FAILED TO HONOR THE QUOTATIONS IT CAUSED TO BE DISSEMINATED THROUGH THE NASDAQ SYSTEM AND FAILED TO ESTABLISH, MAINTAIN AND ENFORCE ADEQUATE SUPERVISORY PROCEDURES. ****** REGULATORY ACTION (176 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: CHICAGO BOARD OF TRADE - BUSINESS CONDUCT COMMITTEE Date initiated: 05/21/1997 Docket/ Case Number: 95-MSR-09B Allegations: IT WAS ALLEGED THAT LEHMAN VIOLATED THE FOLLOWING: 1) REGULATION 444.01 IN THAT LEHMAN EXECUTED EXCHANGE OF FUTURES FOR PHYSICALS TRANSACTIONS IN WHICH QUANTITIES OF T-BOND AND FIVE-YEAR T-NOTE FUTURES EXCHANGED FOR THEIR UNDERLYING CASH GOVERNMENT SECURITIES WERE NOT EQUIVALENT; AND 2) REGULATION 480.10, IN THAT LEHMAN FAILED TO ENSURE COMPLIANCE WITH REGULATION 444.01. NASD BrokerCheck October 12, 2005 Page 124 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Current Status: Final Resolution: Settled Resolution Date: 10/15/1997 Sanctions Ordered: Monetary/Fine Monetary Amount: $20,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING ANY VIOLATION OF REGULATION 444.01, LEHMAN AGREED TO PAY A FINE OF $20,000.00 IN SETTLEMENT OF THIS MATTER. THE ALLEGED VIOLATION OF REGULATION 480.10 WAS DISMISSED. Summary: ****** REGULATORY ACTION (177 of 335) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: AMERICAN STOCK EXCHANGE Date initiated: 09/14/1998 Docket/ Case Number: 98-14 Allegations: IT WAS ALLEGED THAT LEHMAN VIOLATED ARTICLE V, SECTION 4(H) OF THE EXCHANGE CONSTITUTION AND EXCHANGE RULES 320 AND 342(F). Current Status: Final Resolution: Settled Resolution Date: 11/12/1998 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $225,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE EXCHANGE'S ALLEGATIONS, LEHMAN CONSENTED TO A CENSURE AND A FINE IN THE AMOUNT OF $225,000.00. Summary: ALLEGATIONS RELATED TO PRICING OF JAPANESE BEAR WARRANTS (A LEHMAN BROTHERS HOLDINGS INC. PRODUCT LISTED ON THE AMERICAN STOCK EXCHANGE). ****** REGULATORY ACTION (178 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 04/10/2000 Initiated By: UNITED STATES SECURITIES AND EXCHANGE COMMISSION Date initiated: 04/06/2000 Docket/ Case Number: RELS. 33-7835; 34-42638; FILE #3-10179 Allegations: THE SEC'S ORDERS ALLEGE AS FOLLOWS: FROM 1990 THROUGH 1994, EACH OF THE TEN BROKERAGE FIRMS CHARGED ISSUERS OF MUNICIPAL REFUNDING BONDS EXCESSIVE, UNDISCLOSED MARKUPS ON TREASURY SECURITIES. THE FIRMS ALSO CERTIFIED THAT THE PRICES THEY CHARGED DID NOT EXCEED THE SECURITIES' FAIR MARKET VALUE UNDER THE FEDERAL TAX LAWS, EVEN THOUGH THEY KNEW OR SHOULD HAVE KNOWN THAT THEY WERE CHARGING PRICES ABOVE FAIR MARKET VALUE. THE FALSE REPRESENTATIONS BY THE FIRMS ABOUT THE FAIR MARKET VALUE OF THE SECURITIES WERE CRITICAL TO ESTABLISHING THE TAX-EXEMPT STATUS OF THE ASSOCIATED MUNICIPAL REFUNDING BONDS. THAT TAX-EXEMPT STATUS WAS THE BONDS' ESSENTIAL INVESTMENT FEATURE. IN SOME CASES, A BROKERAGE FIRM'S OVERCHARGING DIVERTED MONEY FROM THE U.S. TREASURY TO THE FIRM. IN THE REMAINING CASES, OVERCHARGING BY THE BROKERAGE FIRM TOOK MONEY NASD BrokerCheck October 12, 2005 Page 125 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) AWAY FROM THE MUNICIPALITY BY REDUCING, DOLLAR FOR DOLLAR, THE SAVINGS THAT THE MUNICIPALITY RECEIVED FROM THE REFUNDING. THEREFORE, EACH OF THE FIRMS VIOLATED THE FEDERAL SECURITIES LAWS BY SELLING SECURITIES TO MUNICIPALITIES AT INFLATED PRICES AND JEOPARDIZING THE TAX-EXEMPT STATUS OF THE MUNICIPALITIES' REFUNDING BONDS. Current Status: Final Resolution: Consent Resolution Date: 04/06/2000 Sanctions Ordered: Disgorgement/Restitution, Censure, Cease and Desist/Injunction Resolution Details: (1) A CENSURE; (2) A CEASE AND DESIST ORDER PROHIBITING FROM FUTURE VIOLATIONS OF THE SECTIONS 17(A)(2) AND 17(A)(3) OF THE SECURITIES ACT OF 1933; AND (3) DISGORGEMENT OF $4.95 MILLION ($4.5 MILLION TO THE TREASURY AND $450,000 TO MUNICIPAL ISSUERS). Summary: +04/09/2000+ SEC NEWS DIGEST, ISSUE NO. 2000-65, DATED 04/06/2000, ENFORCEMENT PROCEEDINGS DISCLOSES: THE SEC TODAY BROUGHT AND SETTLED CIVIL ADMINISTRATIVE FRAUD CHARGES AGAINST TEN WALL STREET AND REGIONAL BROKERAGE FIRMS FOR OVERCHARGING MUNICIPALITIES FOR GOVERNMENT SECURITIES IN A PRACTICE COMMONLY KNOWN AS "YIELD BURNING." THE SETTLEMENTS ANNOUNCED TODAY ARE PART OF A GLOBAL RESOLUTION OF ALL YIELD BURNING CLAIMS WITH A TOTAL OF SEVENTEEN BROKERAGE FIRMS BY THE SEC, NASD REGULATION, INC., THE U.S. ATTORNEY FOR THE SOUTHERN DISTRICT OF NEW YORK, AND THE DEPARTMENT OF THE TREASURY. THIS GLOBAL RESOLUTION REQUIRES THE FIRMS TO PAY A TOTAL OF MORE THAN $139 MILLION. INCLUDING THE ACTIONS ANNOUNCED TODAY, MORE THAN $172 MILLION WILL HAVE BEEN PAID BY 21 FIRMS TO RESOLVE CHARGES OF YIELD BURNING AND RELATED CLAIMS. YIELD BURNING INVOLVES OVERCHARGES BY BROKERAGE FIRMS ON TREASURY SECURITIES PURCHASED WITH PROCEEDS FROM THE SALE OF MUNICIPAL BONDS. YIELD BURNING BY BROKERAGE FIRMS JEOPARDIZED THE TAX-EXEMPT STATUS OF INTEREST PAID TO HOLDERS OF THOSE BONDS. WITHOUT ADMITTING OR DENYING THE FINDINGS, EACH FIRM INCLUDING LEHMAN BROTHERS INC. CONSENTED TO A CENSURE, A CEASE AND DESIST ORDER PROHIBITING FUTURE VIOLATIONS, AND AGREED TO DISGORGE THE ILL-GOTTEN GAINS IT RECEIVED FROM THE OVERCHARGING. (RELS. 33-7835; 34-42638; FILE NO. 3-10179) *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: UNITED STATES SECURITIES AND EXCHANGE COMMISSION Date initiated: 04/06/2000 Docket/ Case Number: FILE #3-10179 Allegations: IN AN ACTION BROUGHT AGAINST 10 BROKERAGE FIRMS, THE SEC ALLEGED THAT FROM 1990 THROUGHT 1994 THESE 10 FIRMS, INCLUDING LEHMAN BROTHERS, VIOLATED THE FEDERAL SECURITIES LAWS BY SELLING U.S. TREASURY SECURITIES TO MUNICIPALITIES AT PRICES NOT REASONABLY RELATED TO THE CURRENT WHOLESALE MARKET PRICES FOR THE SECURITIES UNDER THE PARTICULAR FACTS AND CIRCUMSTANCES, INCLUDING PERTINENT TAX REGULATIONS. Current Status: Final Resolution: Settled Resolution Date: 04/06/2000 Sanctions Ordered: Disgorgement/Restitution, Censure, Cease and Desist/Injunction Resolution Details: (1) A CENSURE; (2) A CEASE AND DESIST ORDER, PROHIBITING FUTURE VIOLATIONS OF SECTIONS 17(A)(2) AND 17(A)(3) OF THE SECURITIES ACT OF 1933; AND (3) DISGORGEMENT OF $4,971,008.91 ($4,520,857.29 TO THE U.S. TREASURY AND $450,151.62 TO MUNICIPAL ISSUERS). Summary: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, LEHMAN BROTHERS AGREED TO A CENSURE AND A DISGORGEMENT TO THE U.S. TREASURY AND THE MUNICIPAL ISSUERS. IN ADDITION, LEHMAN AGREED TO A CEASE AND DESIST ORDER. NASD BrokerCheck October 12, 2005 Page 126 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) ****** REGULATORY ACTION (179 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 05/25/2000 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 11/24/1999 Docket/ Case Number: CMS990151 Allegations: 01-04-00, SEC RULES 10B-10 AND 11AC1 - RESPONDENT MEMBER FAILED TO DISPLAY IMMEDIATELY CUSTOMER LIMIT ORDERS WHEN THE ORDERS WERE AT A PRICE THAT WOULD HAVE IMPROVED THE FIRM'S BID OR OFFER IN EACH SECURITY RELATED TO THOSE ORDERS, OR WHEN THE FULL SIZE OF THE ORDERS WERE PRICED EQUAL TO THE FIRM'S BID OR OFFER AND THE NATIONAL BEST BID OR OFFER AND THE ORDERS REPRESENTED MORE THAN A DE MINIMUS CHANGE IN RELATION TO THE SIZE ASSOCIATED WITH THE FIRM'S BID OR OFFER IN EACH SECURITY. THE FIRM, WHEN IT ACTED AS PRINCIPAL FOR ITS OWN ACCOUNT, FAILED TO PROVIDE WRITTEN NOTIFICATION TO THE CUSTOMER THAT THE PRICE TO THE CUSTOMER WAS AN AVERAGE OF THE TRADE PRICES REPORTED TO ACT. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 11/24/1999 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $7,000.00 Resolution Details: FINED $7,000 Summary: 05-25-00,$7,000 PAID ON 1/14/00, INVOICE #99-MS-1038 *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD REGULATION, INC. Date initiated: 11/23/1999 Docket/ Case Number: CMS990151 AWC Allegations: IT WAS ALLEGED THAT LEHMAN BROTHERS INC. ("LEHMAN") WAS IN VIOLATION OF SECURITIES EXCHANGE ACT RULES 11AC1-4 AND 10B-10 Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 11/23/1999 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $7,000.00 Resolution Details: THE AMOUNT OF THE FINE IS $7,000.00. PURSUANT TO NASD REGULATION, INC.'S PROCEDURES, LEHMAN WILL PAY THE FINE AS SOON AS AN INVOICE IS SENT BY NASD REGULATION, INC.'S DEPARTMENT OF FINANCE. Summary: WITHOUT ADMITTING OR DENYING THE ALLEGED VIOLATIONS. LEHMAN ACCEPTED AND CONSENTED TO THE ENTRY OF THE FOLLOWING FINDINGS: 1) ON DECEMBER 30, 1997, IN TWENTY INSTANCES, LEHMAN FAILED TO DISPLAY IMMEDIATELY THIRTEEN CUSTOMER LIMIT ORDERS, IN VIOLATION OF SECURITIES EXCHANGE ACT RULE 11AC1-4; AND 2) ON SEVEN OCCASIONS WHEN LEHMAN ACTED AS A PRINCIPAL FOR ITS OWN ACCOUNT, IT FAILED TO PROVIDE WRITTEN NOTIFICATION TO THE CUSTOMER THAT THE PRICE TO THE CUSTOMER WAS AN AVERAGE OF THE TRADE PRICES REPORTED BY LEHMAN TO ACT, IN VIOLATION OF SECURITIES EXCHANGE ACT RULE 10B-10. NASD BrokerCheck October 12, 2005 Page 127 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) ****** REGULATORY ACTION (180 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 05/22/2000 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 12/16/1999 Docket/ Case Number: CAF990027 Allegations: 12-15-99, DECEMBER 16, 1999, THE DEPARTMENT OF ENFORCEMENT ACCEPTED THE LETTER OF ACCEPTANCE,WAIVER AND CONSENT SUBMITTED BY LEHMAN BROTHERS, INC.WHEREBY THE FIRM FAILED TO REPORT MUNICIPAL SECURITIES TRADES ON A TIMELY AND ACCURATE BASIS DURING THE PERIOD JANUARY THROUGH JUNE 1999 IN VIOLATION OF MUNICIPAL SECURITIES RULEMAKING BOARD RULES G-12 AND G-14. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 12/16/1999 Sanctions Ordered: Monetary/Fine Monetary Amount: $1,000.00 Resolution Details: FINED $1,000 Summary: 05-22-00, $1,000 PAID ON 1/07/00, INVOICE #99-AF-1048 *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD REGULATION,INC. Date initiated: 12/16/1999 Docket/ Case Number: CAF990027 Allegations: IT WAS ALLEGED THAT LEHMAN BROTHERS INC.("LEHMAN") WAS IN VIOLATION OF MSRB RULES G-12 AND G-14. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 12/16/1999 Sanctions Ordered: Monetary/Fine Monetary Amount: $1,000.00 Resolution Details: THE AMOUNT OF THE FINE IS $1,000.00. THE FINE WAS PAID ON JANUARY 4TH, 2000. Summary: WITHOUT ADMITTING OR DENYING THE ALLEGED VIOLATIONS, LEHMAN ACCEPTED AND CONSENTED TO THE ENTRY OF THE FOLLOWING FINDINGS: 1) DURING THE FIRST HALF OF 1999, LEHMAN'S T-INPUT PERCENTAGE WAS BELOW THE INDUSTRY T-INPUT PERCENTAGE; AND 2) BY VIRTUE OF ITS FAILURE TO PROVIDE ACCURATE AND TIMELY INFORMATION REGARDING MUNICIPAL SECURITIES TRADES TO THE NSCC DURING THE FIRST HALF OF 1999, LEHMAN VIOLATED MSRB RULES G-12 AND G-14. ****** REGULATORY ACTION (181 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 10/28/1999 NASD BrokerCheck October 12, 2005 Page 128 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 06/18/1999 Docket/ Case Number: C3B990021 Allegations: 6/24/99GS: ON JUNE 18, 1999, DISTRICT NO. 3 NOTIFIED RESPONDENT LEHMAN BROTHERS INC. THAT THE LETTER OF ACCEPTANCE, WAIVER, AND CONSENT NO. C3B990021 WAS ACCEPTED; THEREFORE, RESPONDENT MEMBER IS CENSURED AND FINED $100,000 - (NASD RULES 2110, 2830(N), 3010, 3350(A), 6130(D)(6), AND IM 2110-1) - RESPONDENT MEMBER EXECUTED SHORT SALES AT BID PRICES LOWER THAN THE PREVIOUS INSIDE BID AND FAILED TO APPEND A SHORT SALE MODIFIER ON ELIGIBLE TRANSACTIONS THAT WERE REPORTED THROUGH "ACT"; FAILED TO INCLUDE REQUIRED DISCLOSURE LANGUAGE ON APPROXIMATELY 4,100 CONFIRMATIONS MAILED TO PUBLIC CUSTOMERS WHO HAD PURCHASED APPROXIMATELY $165 MILLION IN INVESTMENT COMPANY SHARES WHICH WERE SUBJECT TO A SALES CHARGE UPON REDEMPTION OF SHARES; FILED INACCURATE FREE RIDING QUESTIONNAIRES WITH THE NASD IN CONNECTION WITH INITIAL PUBLIC OFFERINGS IN THAT THE FIRM DID NOT DISCLOSE SALES OF THE HOT ISSUE TO CERTAIN OFFICERS AND DIRECTORS OF A BANK, SAVINGS AND LOAN, OR OTHER INSTITUTIONAL TYPE ACCOUNTS, OTHER DOMESTIC BROKER-DEALERS, DOMESTIC BANKS, TRUST COMPANIES, OR OTHER CONDUITS FOR UNDISCLOSED PRINCIPALS, AND FOREIGN BANKS, AND UNDERSTATED THE NUMBER OF INVESTMENT PARTNERSHIPS AND CORPORATIONS THAT PURCHASED SHARES OF THE HOT ISSUE; SOLD SHARES IN INITIAL PUBLIC OFFERINGS THAT TRADED AT A PREMIUM IN THE SECONDARY MARKET EITHER TO PERSONS OR ENTITIES WITHOUT OBTAINING PROPER ASSURANCES IN WRITING THAT SUCH PURCHASES WOULD BE MADE TO FILL ORDERS FOR BONA FIDE PUBLIC CUSTOMERS OR WOULD BE MADE TO UNRESTRICTED PERSONS OR ACCOUNTS; AND, FAILED TO TAKE REASONABLE STEPS TO ENSURE THAT ADEQUATE SUPERVISION IN EACH OF THESE AREAS WAS BEING CARRIED OUT, AND THAT FAILURES IN THESE AREAS WERE NOTED AND ADDRESSED IN A TIMELY MANNER). Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 06/18/1999 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $100,000.00 Resolution Details: FINED Summary: 10-28-99, $100,000 PAID ON 7/14/99, INVOICE #99-3B-533 *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD REGULATION, INC. Date initiated: 06/15/1999 Docket/ Case Number: AWC C3B990021 Allegations: LEHMAN FAILED, AT VARIOUS POINTS FROM 2/95 TO 2/97, TO COMPLY WITH NASD RULES RELATING TO THE EXECUTION AND REPORTING OF SHORT SALES, CONFIRMATION REQUIREMENTS, AND FREE-RIDING AND WITHHOLDING REQUIREMENTS, AND FAILED TO MAINTAIN AND ENFORCE REASONABLE SUPERVISORY PROCEDURES IN THESE AREAS. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 06/15/1999 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $100,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGED VIOLATIONS, LEHMAN CONSENTED TO THE FINDINGS AND TO A CENSURE AND FINE IN THE AMOUNT OF $100,000. NASD BrokerCheck October 12, 2005 Page 129 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Summary: ****** REGULATORY ACTION (182 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 10/23/1998 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 10/23/1998 Docket/ Case Number: CMS980094 AWC Allegations: Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 10/23/1998 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $7,500.00 Resolution Details: Summary: LETTER OF ACCEPTANCE, WAIVER AND CONSENT NO. CMS980094 AWC. ON OCTOBER 23, 1998, LEHMAN BROTHERS INC. (LEHM) WAS NOTIFIED THAT THE LETTER OF ACCEPTANCE, WAIVER AND CONSENT (AWC) IT SUBMITTED WAS ACCEPTED BY NASD REGULATION INC.'S DEPARTMENT OF ENFORCEMENT AND THE NATIONAL ADJUDICATORY COUNCIL. THE AWC ALLEGES THAT THE FOLLOWING ACTIVITY OCCURRED: LEHM FAILED TO REPORT THE CONTRA SIDE EXECUTING BROKER TO ACT IN 66 INSTANCES; AND FAILED TO ACCEPT OR DECLINE IN ACT FIVE TRANSACTIONS IN ELIGIBLE SECURITIES WITHIN 20 MINUTES AFTER EXECUTION OF SUCH TRANSACTIONS. THIS CONDUCT CONSTITUTES SEPARATE AND DISTINCT VIOLATIONS OF NASD MARKETPLACE RULES 6130(b) AND 6130(d). LEHM FAILED TO ESTABLISH WRITTEN SUPERVISORY PROCEDURES RELATING TO TRADES REPORTED VIA PAPER FORM T AND FAILED TO ENFORCE ITS WRITTEN SUPERVISORY PROCEDURES RELATING TO COMPLIANCE WITH THE ACT RULES. THE ABOVE CONDUCT CONSTITUTES A VIOLATION OF NASD CONDUCT RULES 2110 AND 3010. LEHM WAS CENSURED AND FINED $7,500. 04-13-99, $7,500 PAID ON 12/11/98, INVOICE #98-MS-931 *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD REGULATION, INC. Date initiated: 10/21/1998 Docket/ Case Number: CMS980094 AWC Allegations: IT WAS ALLEGED THAT LEHMAN BROTHERS WAS IN VIOLATION OF NASDR MARKETPLACE RULES 6130(B) AND 6130(D), AND NASDR CONDUCT RULES 2110 AND 3010. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 10/23/1998 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $7,500.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS OF VIOLATIONS, LEHMAN CONSENTED TO THE ENTRY OF FINDINGS AND CONSENTED TO A CENSURE AND TO A $7,500 FINE. Summary: IT WAS ALLEGED THAT LEHMAN 1) FAILED TO REPORT THE CONTRA SIDE NASD BrokerCheck October 12, 2005 Page 130 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) EXECUTING BROKER TO ACT, 2) FAILED TO ACCEPT OR DECLINE IN ACT TRANSACTIONS IN ELIGIBLE SECURITIES WITHIN TWENTY MINUTES AFTER EXECUTION OF SUCH TRANSACTIONS AND 3) FAILED TO ESTABLISH WRITTEN SUPERVISORY PROCEDURES RELATING TO TRADES REPORTED VIA PAPER FORM T AND FAILED TO ENFORCE ITS WRITTEN SUPERVISORY PROCEDURES RELATING TO COMPLIANCE WITH THE ACT RULES. ****** REGULATORY ACTION (183 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 07/17/1978 Initiated By: COMMODITY FUTURES TRADE COMMISSION Date initiated: 07/17/1978 Docket/ Case Number: R 77-209 Allegations: Current Status: Final Resolution: Order Resolution Date: 07/17/1978 Sanctions Ordered: Resolution Details: Summary: CFTC DOCKET NO R 77-209 ORDERED TO PAY REPARATIONS, INTEREST AND FEES. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 02/28/2001 Initiated By: COMMODITY FUTURES TRADING COMMISSION Date initiated: 07/17/1978 Docket/ Case Number: R77-209 Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Order Resolution Date: 07/17/1978 Sanctions Ordered: Other Sanctions: ORDERED TO PAY REPARATIONS, INTEREST AND FEES. Resolution Details: UNKNOWN (CONVERSION). Summary: ****** REGULATORY ACTION (184 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 05/12/1978 Initiated By: COMMODITY FUTURES TRADE COMMISSION Date initiated: 05/12/1978 Docket/ Case Number: R 77-167 NASD BrokerCheck October 12, 2005 Page 131 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Allegations: Current Status: Final Resolution: Order Resolution Date: 05/12/1978 Sanctions Ordered: Resolution Details: Summary: CFTC DOCKET NO. R-77-167 5/12/78 ORDERED TO PAY REPARATIONS, INTEREST, FILING FEE AND ATTORNEY'S FEE. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 02/28/2001 Initiated By: COMMODITY FUTURES TRADING COMMISSION Date initiated: 05/12/1978 Docket/ Case Number: R77-167 Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Order Resolution Date: 05/12/1978 Sanctions Ordered: Other Sanctions: ORDERED TO PAY REPARATIONS, INTEREST, FILING FEE AND ATTORNEY'S FEE. Resolution Details: UNKNOWN (CONVERSION). Summary: ****** REGULATORY ACTION (185 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 01/11/1979 Initiated By: COMMODITY FUTURES TRADE COMMISSION Date initiated: 01/11/1979 Docket/ Case Number: R 77-219 Allegations: Current Status: Final Resolution: Order Resolution Date: 01/11/1979 Sanctions Ordered: Resolution Details: Summary: CFTC DOCKET NO. R 77-219 1/11/79 ORDERED TO PAY REPARATIONS, INTEREST AND FILING FEE J&S *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 02/28/2001 NASD BrokerCheck October 12, 2005 Page 132 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Initiated By: COMMODITY FUTURES TRADING COMMISSION Date initiated: 01/11/1979 Docket/ Case Number: R77-219 Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Order Resolution Date: 01/11/1979 Sanctions Ordered: Other Sanctions: ORDERED TO PAY REPARATIONS, INTEREST AND FILING FEE. Resolution Details: UNKNOWN (CONVERSION). Summary: ****** REGULATORY ACTION (186 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 01/18/1980 Initiated By: COMMODITY FUTURES TRADE COMMISSION Date initiated: 01/18/1980 Docket/ Case Number: R 77-315 Allegations: Current Status: Final Resolution: Order Resolution Date: 01/18/1980 Sanctions Ordered: Resolution Details: Summary: CFTC DOCKET NO R 77-315 1/18/80 ORDERED TO PAY REPARATIONS IN THE AMOUNT OF $29,256.25, PLUS INTEREST AT 6 PERCENT. J&S *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 02/28/2001 Initiated By: COMMODITY FUTURES TRADING COMMISSION Date initiated: 01/18/1980 Docket/ Case Number: R77-315 Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Order Resolution Date: 01/18/1980 Sanctions Ordered: Monetary/Fine Monetary Amount: $29,256.25 Other Sanctions: ORDERED TO PAY REPARATIONS IN ABOVE AMOUNT PLUS INTEREST AT 6%. NASD BrokerCheck October 12, 2005 Page 133 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Resolution Details: SEE ABOVE. Summary: ****** REGULATORY ACTION (187 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 08/29/1985 Initiated By: COMMODITY FUTURES TRADE COMMISSION Date initiated: 09/19/1985 Docket/ Case Number: 84-R29 Allegations: Current Status: Final Resolution: Order Resolution Date: 08/29/1985 Sanctions Ordered: Resolution Details: Summary: 9/19/85, CFTC DOCKET NO. 84-R29, THOMAS PLUNK V. SHEARSON/AMERICAN EXPRESS, INC. ON AUGUST 29, 1985, THE COMMISSION ISSUED AN ORDER OF SUMMARY AFFIRMANCE. . *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 02/28/2001 Initiated By: COMMODITY FUTURES TRADING COMMISSION Date initiated: 09/19/1985 Docket/ Case Number: 84-R29 Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Order Resolution Date: 08/29/1985 Sanctions Ordered: Other Sanctions: CFTC ISSUED ORDER OF SUMMARY AFFIRMANCE. Resolution Details: UNKNOWN (CONVERSION). Summary: ****** REGULATORY ACTION (188 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 03/06/1974 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 03/06/1974 Docket/ Case Number: ND 74-45 Allegations: NASD BrokerCheck October 12, 2005 Page 134 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Current Status: Final Resolution: Stipulation and Consent Resolution Date: 03/06/1974 Sanctions Ordered: Suspension Resolution Details: Summary: ND 73-219 11/13/73 LR-6145 COMPLAINT FILED SEEKING TO ENJOIN REGISTRANT, AND PERMANENTLY ENJOINED, BY CONSENT, FROM VIOLATIONS OF ANTI-FRAUD PROVISIONS IN PUBLIC OFFERINGS AND PRIVATE PLACEMENTS. ND 74-45 03/06/74 LR-6269 INJUNCTIVE ACTION FILED AND STIPULATION AND CONSENT ENTERED WHEREIN RESPONDENT IS SUSPENDED FROM MANAGING UNDERWRITINGS FOR 60 DAYS AND REGISTRANT AGREES TO ESTABLISH A FUND OF $300,000.00 TO BE REMITTED TO PURCHASERS OF UNDERWRITING. REGISTRANT VIOLATED ANTIFRAUD PROVISIONS IN THE OFFERING OF SECURITIES. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD Date initiated: 03/06/1974 Docket/ Case Number: ND 74-45 Allegations: ALLEGED VIOLATIONS OF ANTI-FRAUD PROVISIONS IN PUBLIC OFFERINGS AND PRIVATE PLACEMENTS. COMPLAINT FILED SEEKING TO ENJOIN REGISTRANT, AND PERMANANTLY ENJOINED, BY CONSENT, FROM VIOLATIONS OF ANTI-FRAUD PROVISIONS AS OUTLINED PREVIOUSLY. Current Status: Final Resolution: Stipulation and Consent Resolution Date: 03/06/1974 Sanctions Ordered: Suspension Other Sanctions: INJUNCTIVE ACTION FILED AND STIPULATION AND CONSENT ENTERED WHEREIN RESPONDENT WAS SUSPENDED FROM MANAGING UNDERWRITINGS FOR SIXTY DAYS AND REGISTRANT AGREED TO ESTABLISH A FUND OF $300,000.00 TO BE REMITTED TO PURCHASERS OF UNDERWRITING. REGISTRANT VIOLATED ANTI-FRAUD PROVISIONS IN THE OFFERING OF SECURITIES. Resolution Details: SEE ABOVE. Summary: ****** REGULATORY ACTION (189 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 11/30/1983 Initiated By: COMMODITY FUTURES TRADE COMMISSION Date initiated: 11/30/1983 Docket/ Case Number: R 79-795-80-123 Allegations: Current Status: Final Resolution: Decision Resolution Date: 11/30/1983 Sanctions Ordered: Disgorgement/Restitution NASD BrokerCheck October 12, 2005 Page 135 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Resolution Details: Summary: CFTC DOCKET NO. R 79-795-80-123; RICHARD AND RUTH PARCIASEPE, complainants, vs. SHEARSON, HAYDEN, STONE, INC., JONATHAN MUSHER AND LEONARD MERKOWITZ, respondents. ON NOVEMBER 30, 1983, THE COURT GRANTED A REVIEW OF THE ABOVE CASE. THE COURT HAD FOUND THE RESPONDENTS VIOLATED COMMODITY ANTIFRAUD PROVISIONS ON AUGUST 18, 1982 AND HAD ORDERED THE RESPONDENTS TO PAY REPARATIONS TO THE COMPLAINANTS. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 02/28/2001 Initiated By: COMMODITY FUTURES TRADING COMMISSION Date initiated: 11/30/1983 Docket/ Case Number: R 79-795-80-123 Allegations: ALLEGED VIOLATION BY SHEARSON HAYDEN STONE, JONATHAN MUSHER AND LEONARD MERKOWITZ OF COMMODITY ANTI-FRAUD PROVISIONS. Current Status: Final Resolution: Decision Resolution Date: 11/30/1983 Sanctions Ordered: Disgorgement/Restitution Resolution Details: FINDINGS OF VIOLATION OF COMMODITY ANTI-FRAUD PROVISIONS ON AUGUST 18TH, 1982; ORDERED RESPONDENTS TO PAY REPARATIONS TO COMPLAINTANTS. Summary: ****** REGULATORY ACTION (190 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 07/07/1999 Initiated By: COMMODITY FUTURES TRADE COMMISSION ("CFTC") Date initiated: 06/19/1984 Docket/ Case Number: 82 R-678 Allegations: CFTC ORDER RECD 11/12/84: SUBSEQUENT TO AN INITIAL DECISION RENDERED JUNE 19, 1984 IN THE MATTER OF CFTC DOCKET NO. 82 R-678, WHICH WAS DEEMED TO BE AN ORDER AWARDED BY VIRTUE OF DEFAULT AGAINST THE RESPONDENT FOR FAILURE TO FILE A TIMELY RESPONSE, THE RESPONDENT FILED FOR ACCEPTANCE OF NOTICE OF APPEAL. Current Status: Final Resolution: Decision Resolution Date: 10/11/1984 Sanctions Ordered: Resolution Details: ON OCTOBER 11, 1984, THE CFTC ORDERED THAT THE INITIAL DECISION RENDERED WAS SUPPORTED BY FACT AND SUBSEQUENTLY DENIED THE RESPONDENT'S MOTION FOR APPEAL. Summary: *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 02/28/2001 NASD BrokerCheck October 12, 2005 Page 136 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Initiated By: COMMODITY FUTURES TRADING COMMISSION Date initiated: 06/19/1984 Docket/ Case Number: 82 R-678 Allegations: HARROLD P. BOWEN VS. KIM B. KETCHUM AND SHEARSON/AMERICAN EXPRESS. ALLEGATIONS UNKNOWN (CONVERSION), BUT APPARENT FAILURE TO FILE A TIMELY RESPONSE (TO?). Current Status: Final Resolution: Decision Resolution Date: 10/11/1984 Sanctions Ordered: Other Sanctions: RESPONDENTS FILED FOR ACCEPTANCE OF NOTICE OF APPEAL. CFTC ORDERED THAT INITIAL DECISION WAS SUPPORTED BY FACT AND SUBSEQUENTLY DENIED THE RESPONDENT'S MOTION FOR APPEAL. Resolution Details: SEE ABOVE. Summary: ****** REGULATORY ACTION (191 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 01/17/1985 Initiated By: COMMODITY FUTURES TRADE COMMISSION Date initiated: 01/17/1985 Docket/ Case Number: 83-R692 Allegations: Current Status: Final Resolution: Order Resolution Date: 01/17/1985 Sanctions Ordered: Resolution Details: Summary: CFTC DOCKET NO. 83-R692, THOMAS F. RIDDICK, COMPLAINANT V. SHEARSON LEHMAN/AMERICAN EXPRESS, INC., AND BRUCE A. DREZNER, RESPONDENTS. THE COMPLAINANT ALLEGES MISREPRESENTATIONS BY RESPONDENTS AND SEEKS DAMAGES IN THE AMOUNT OF $2,273.47. THE COURT FOUND THAT DREZNER MADE MATERIAL MISREPRESENTATIONS WHICH CONSTITUTES A VIOLATION OF SECTION 4b OF THE COMMODITY EXCHANGE ACT. IN ADDITION, IT WAS CONCLUDED THAT SHEARSON IS RESPONSIBLE FOR VIOLATIONS OF THE ACT COMMITTED BY ITS AGENT, DREZNER UNDER SECTION 2(a)(1)(A) OF THE ACT. SHEARSON IS INDEPENDENTLY LIABLE FOR FAILING TO SUPERVISE ITS EMPLOYEE UNDER REGULATION 166.3 OF THE ACT. THE COURT ORDERED THAT RESPONDENTS PAY DAMAGES TO THE COMPLAINANT IN THE AMOUNT OF $2,273.47, PLUS INTEREST AND FILING FEE. LIABILITY IS JOINT AND SEVERAL. ORDER DATED 1/17/85. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 02/28/2001 Initiated By: COMMODITY FUTURES TRADING COMMISSION Date initiated: 01/17/1985 Docket/ Case Number: 83-R692 NASD BrokerCheck October 12, 2005 Page 137 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Allegations: COMPLAINTANT ALLEGED MISREPRESENTATION BY SHEARSON/AMERICAN EXPRESS AND ONE OF ITS REPRESENTATIVES. Current Status: Final Resolution: Order Resolution Date: 01/17/1985 Sanctions Ordered: Monetary/Fine Monetary Amount: $2,273.47 Other Sanctions: ABOVE AMOUNT TO COMPLAINTANT PLUS INTEREST AND FILING FEE (LIABILITY IS JOINT AND SEVERAL). Resolution Details: IT WAS FOUND THAT REPRESENTATIVE MADE MATERIAL MISREPRESENTATIONS WHICH CONSTITUTED A VIOLATION OF SECTION 4B OF THE COMMODITY EXCHANGE ACT. ALSO, IT WAS CONCLUDED SHEARSON/AMERICAN EXPRESS WAS RESPONSIBLE FOR VIOLATIONS OF THE ACT COMMITTED BY ITS REPRESENTATIVE, UNDER SECTION 2(A)(1)(A) OF THE ACT. FIRM WAS HELD INDEPENDENTLY LIABLE FOR FAILING TO SUPERVISE ITS REPRESENTATIVE UNDER REGULATION 166.3 OF THE ACT. THE COURT ORDERED RESPONDENTS TO PAY DAMAGES TO COMPLAINTANT IN THE ABOVE-INDICATED AMOUNT. Summary: ****** REGULATORY ACTION (192 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 01/28/1983 Initiated By: COMMODITY FUTURES TRADE COMMISSION Date initiated: 01/28/1983 Docket/ Case Number: R 81-226-81-516 Allegations: Current Status: Final Resolution: Decision Resolution Date: 01/28/1983 Sanctions Ordered: Resolution Details: Summary: CFTC DOCKET R 81-226-81-516 AUSTIN F. MENZIES COMPLAINANT, VS. SHEARSON LOEB RHOADES, INC., RESPONDENT. DECISION RENDERED JAN. 28, 1983. THE COMPLAINANT ALLEGES THAT THE RESPONDENT PURCHASED TWO DEC. 1980 COTTON CONTRACTS THAT WERE NOT AUTHORIZED BY THE CUSTOMER. THE COURT HELD THAT THE FIRM WAS IN VIOLATION OF THE COMMISSION'S REGULATIONS RELATED TO SUPERVISION AND ORDERED THE FIRM TO PAY DAMAGES IN THE AMOUNT OF $3,124, PLUS INTEREST AND FILING FEES TO THE COMPLAINANT TO SUSTAIN THE LOSS TO THE COMPLAINANT'S ACCOUNT WHEN THE TWO DECEMBER 1980 COTTON CONTRACTS WERE SOLD BY THE RESPONDENT FIRM. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: COMMODITY FUTURES TRADING COMMISSION Date initiated: 01/28/1983 Docket/ Case Number: R81-226-81-516 Allegations: IT WAS ALLEGED THAT SHEARSON LOEB RHOADES PURCHASED TWO FUTURES CONTRACTS THAT WERE NOT AUTHORIZED BY THE CUSTOMER. NASD BrokerCheck October 12, 2005 Page 138 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Current Status: Final Resolution: Decision Resolution Date: 01/28/1983 Sanctions Ordered: Monetary/Fine Monetary Amount: $3,124.00 Other Sanctions: ABOVE AMOUNT OF DAMAGES TO BE PAID BY FIRM PLUS INTEREST AND FILING FEES TO COMPLAINTANT. Resolution Details: THE COMMISSION HELD THAT THE FIRM WAS IN VIOLATION OF THE COMMISSION'S REGULATIONS RELATED TO SUPERVISION AND ORDERED THE FIRM TO PAY DAMAGES AS OUTLINED ABOVE TO SUSTAIN THE LOSS TO THE COMPLAINTANT'S ACCOUNT WHEN THE TWO FUTURES CONTRACTS WERE SOLD BY THE FIRM. Summary: ****** REGULATORY ACTION (193 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 06/26/1981 Initiated By: COMMODITY FUTURES TRADE COMMISSION Date initiated: 06/26/1981 Docket/ Case Number: R 79-359-80-45 Allegations: Current Status: Final Resolution: Decision Resolution Date: 06/26/1981 Sanctions Ordered: Disgorgement/Restitution Resolution Details: Summary: CFTC DOCKET NO. R 79-359-80-45: JUNE 26, 1981 COMPLAINT WAS FILED WITH THE REPARATIONS UNIT, CFTC ON OR ABOUT MARCH 27, 1979. COMPLAINT ALLEGES THAT RESPONDENT ENTERED OR CAUSED TO BE ENTERED UNAUTHORIZED TRADES IN THEIR ACCOUNT, FAILED TO PROPERLY MONITOR THE ACCOUNT AND BY REASON OF THESE ALLEGED VIOLATIONS OF THE COMMODITY EXCHANGE ACT CAUSED COMPLAINANTS TO SUSTAIN MONETARY DAMAGES IN THE AMOUNT OF APPROXIMATELY $20,000.00 PLUS THE COSTS OF THIS PROCEEDING. RESPONDENT WAS FOUND TO HAVE VIOLATED SECTIONS 4g AND 4b(C) 4g OF THE COMMODITY EXCHANGE ACT AND CAUSED COMPLAINANTS TO SUSTAIN MONETARY DAMAGES AS A RESULT OF VIOLATIONS COMMITTED BY RESPONDENT IN THE AMOUNT OF $17,974.20. RESPONDENT WAS ORDERED TO PAY COMPLAINANTS WITHIN 30 DAYS FROM THE DATE OF THIS DECISION $17,974.20, PLUS THE $25.00 FILING FEE PLUS INTEREST AT THE RATE OF 12% PER ANNUM FROM THE DATE THE ACCOUNT WAS OPENED. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 02/28/2001 Initiated By: COMMODITY FUTURES TRADING COMMISSION Date initiated: 03/27/1979 Docket/ Case Number: R79-359-80-45 Allegations: ALLEGED THAT RESPONDENT ENTERED OR CAUSED TO BE ENTERED UNAUTHORIZED TRADES IN COMPLAINTANT'S ACCOUNT, FAILED TO PROPERLY MONITOR ACCOUNT AND BY REASON OF THESE ALLEGED VIOLATIONS OF THE COMMODITY EXCHANGE ACT CAUSED DAMAGES OF NASD BrokerCheck October 12, 2005 Page 139 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) APPROXIMATELY $20,000.00. Current Status: Final Resolution: Decision Resolution Date: 06/26/1981 Sanctions Ordered: Monetary/Fine, Disgorgement/Restitution Monetary Amount: $17,974.20 Other Sanctions: PAY ABOVE AMOUNT PLUS $25.00 FILING FEE PLUS INTEREST AT THE RATE OF 12% PER ANNUM FROM THE DATE THE ACCOUNT WAS OPENED. Resolution Details: RESPONDENT WAS FOUND TO HAVE VIOLATED SECTIONS OF THE COMMODITY EXCHANGE ACT; RESPONDENT ORDERED TO PAY CLAIMANT $17,974.20 AND OTHER AMOUNTS AS OUTLINED ABOVE. Summary: ****** REGULATORY ACTION (194 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 04/20/1981 Initiated By: COMMODITY FUTURES TRADE COMMISSION Date initiated: 04/20/1981 Docket/ Case Number: R 76-22 Allegations: Current Status: Final Resolution: Order Resolution Date: 04/20/1981 Sanctions Ordered: Monetary/Fine Monetary Amount: $675.50 Resolution Details: Summary: CFTC DOCKET R 76-22 11/1/77: ALLEGED VIOLATION OF SECTION 4b(B) OF THE COMMODITY EXCHANGE ACT. 4/20/81: IT IS ORDERED THAT RESPONDENT SHALL PAY $675.50 PLUS INTEREST AT A RATE OF 12 PERCENT PER ANNUM AND THE $25.00 FILING FEE. J&S. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 02/28/2001 Initiated By: COMMODITY FUTURES TRADING COMMISSION Date initiated: 04/20/1981 Docket/ Case Number: R76-22 Allegations: ALLEGED VIOLATION OF SECTION 4B(B) OF THE COMMODITY EXCHANGE ACT. Current Status: Final Resolution: Order Resolution Date: 04/20/1981 Sanctions Ordered: Monetary/Fine Monetary Amount: $675.50 Other Sanctions: PAY ABOVE FINE PLUS INTEREST AT A RATE OF 12% PER ANNUM AND NASD BrokerCheck October 12, 2005 Page 140 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) $25.00 FILING FEE. Resolution Details: RESPONDENT PAID FINE AND FEE AS INDICATED ABOVE. Summary: ****** REGULATORY ACTION (195 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 07/07/1982 Initiated By: COMMODITY FUTURES TRADE COMMISSION Date initiated: 06/11/1981 Docket/ Case Number: R 77-354-7821 Allegations: Current Status: Final Resolution: Decision & Order of Offer of Settlement Resolution Date: 07/07/1982 Sanctions Ordered: Disgorgement/Restitution Resolution Details: Summary: CFTC DOCKET NO. R 77-354-7821, JUNE 11, 1981; DECISION RELEASED JULY 7, 1982 - REPARATION PROCEEDING INSTITUTED PURSUANT TO A COMPLAINT AGAINST SHEARSON HAYDEN STONE, INC., MORRIS STEINBERG AND MARVIN KOENIG, FOR ALLEGED VIOLATIONS OF THE COMMODITY EXCHANGE ACT. COMPLAINANT ASSERTS DAMAGES IN THE AMOUNT OF $23,358.64. IN AN INITIAL DECISION AND ORDER THE COMMISSION ORDERED THAT COMPLAINANT'S ACCOUNT WITH RESPONDENTS SHALL BE CREDITED WITH THE AMOUNT OF $2,626.50 FROM RESPONDENT UNAUTHORIZED TRADE IN COMPLAINANT'S ACCOUNT IN VIOLATION OF THE ACT. IN ALL OTHER RESPECTS, THE REMAINING AVERMENTS IN THE COMPLAINT ARE DETERMINED TO BE WITHOUT MERIT AND ARE DISMISSED. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 02/28/2001 Initiated By: COMMODITY FUTURES TRADING COMMISSION Date initiated: 06/11/1981 Docket/ Case Number: R77-354-7821 Allegations: ALLEGED VIOLATIONS OF COMMODITY EXCHANGE ACT BY SHEARSON HAYDEN STONE, MORRIS STEINBERG AND MARVIN KOENIG. DAMAGES OF $23,358.64 ALLEGED--REPARATION PROCEEDING. Current Status: Final Resolution: Decision & Order of Offer of Settlement Resolution Date: 07/07/1982 Sanctions Ordered: Disgorgement/Restitution Other Sanctions: COMPLAINTANT'S ACCOUNT CREDITED $2,626.50. Resolution Details: IN A DECISION AND ORDER THE CFTC ORDERED COMPLAINTANT'S ACCOUNT BE CREDITED $2,626.50 DUE TO UNAUTHORIZED TRADE. IN ALL OTHER RESPECTS, REMAINING AVERMENTS IN COMPLAINT WERE DEEMED TO BE WITHOUT MERIT AND WERE DISMISSED. Summary: ****** REGULATORY ACTION (196 of 335) ****** NASD BrokerCheck October 12, 2005 Page 141 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Reporting Source: Regulator (Form U-6) Date Reported: 10/13/1954 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 10/13/1954 Docket/ Case Number: 34 Allegations: Current Status: Final Resolution: Other Resolution Date: 12/08/1954 Sanctions Ordered: Resolution Details: Summary: COMPLAINT #34 (HOLLLYWOOD, CA OFFICE) 10/13/54 CLOSED 12/8/54 *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 06/11/2001 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC Date initiated: 10/13/1954 Docket/ Case Number: 34 Allegations: UNKNOWN (CONVERSION) Current Status: Final Resolution: Other Resolution Date: 12/08/1954 Sanctions Ordered: Monetary/Fine Monetary Amount: $0.00 Other Sanctions: UNKNOWN (CONVERSION). DUE TO THE AGE OF THIS EVENT THERE ARE NO DOCUMENTS AVAILABLE. Resolution Details: UNKNOWN (CONVERSION) Summary: ****** REGULATORY ACTION (197 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 01/30/1981 Initiated By: COMMODITY FUTURES TRADE COMMISSION Date initiated: 01/30/1981 Docket/ Case Number: R77-296 Allegations: Current Status: Final Resolution: Order Resolution Date: 01/30/1981 NASD BrokerCheck October 12, 2005 Page 142 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Sanctions Ordered: Disgorgement/Restitution Resolution Details: Summary: CFTC - DOCKET NO. R 77-296 1/30/81 - RESPONDENT SHALL PAY TO COMPLAINANT A REPARATION AWARD IN THE AMOUNT OF $74.19. RESPONDENT SHALL PAY TO COMPLAINANT INTEREST AT THE RATE OF TWELVE PERCENT PER ANNUM ON THE AMOUNT OF THE REPARATION AWARD FROM THE DATE THIS INITIAL DECISION IS FILED TO THE DATE OF PAYMENT. RESPONDENT SHALL PAY TO COMPLAINANT, AS COSTS $25.00 FOR REIMBURSEMENT OF THE FILING FEE IN THIS CASE. THIS AWARD MUST BE SATISFIED WITHIN 15 DAYS FROM THE DATE ON WHICH THIS ORDER BECOMES FINAL, AS INDICATED BY A NOTICE OF SERVED PURSUANT TO RULE 12.84(e), UNLESS AN APPEAL IS FILED IN COURT WITHIN 15 DAYS FOLLOWING SUCH NOTICE. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 02/28/2001 Initiated By: COMMODITY FUTURES TRADING COMMISSION Date initiated: 01/30/1981 Docket/ Case Number: R77-296 Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Order Resolution Date: 01/30/1981 Sanctions Ordered: Disgorgement/Restitution Resolution Details: RESPONDENT PAID COMPLAINTANT A REPARATION AWARD OF $74.19. RESPONDENT PAID COMPLAINTANT INTEREST A RATE OF 12% PER ANNUM ON AMOUNT OF REPARATION AWARD FROM DATE THIS DECISION FILED TO DATE OF PAYMENT. RESPONDENT PAID $25.00 FILING FEE. Summary: ****** REGULATORY ACTION (198 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 08/13/1986 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 08/13/1986 Docket/ Case Number: WA-507 Allegations: Current Status: Pending Summary: ENTERED 9/16/86: COMPLAINT NO. WA-507 FILED AUGUST 13, 1986 BY DISTRICT NO. 10 AGAINST SHEARSON LEHMAN BROTHERS, INC. AND GEORGE C. SCHWELLING ALLEGING VIOLATIONS OF ARTICLE III, SECTION 1 OF THE RULES OF FAIR PRACTICE IN THAT RESPONDENT SCHWELLING, WITH THE APPROVAL OF AND THROUGH THE USE OF THE FACILITIES OF THE RESPONDENT MEMBER, ARRANGED FOR PAYMENTS TO UNREGISTERED INDIVIDUALS IN CONNECTION WITH HIS "DIVIDEND ROLL-OVER PROGRAM" WHICH PAYMENTS CONSTITUTED COMPENSATION FOR THE REFERRAL OF CUSTOMERS TO RESPONDENT SCHWELLING. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 06/13/2001 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC NASD BrokerCheck October 12, 2005 Page 143 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Date initiated: 08/13/1986 Docket/ Case Number: WA-507 Allegations: UNKNOWN (CONVERSION) Current Status: Final Resolution: Other Resolution Date: 08/13/1986 Sanctions Ordered: Resolution Details: Summary: UNKNOWN (CONVERSION. NO INFORMATION OR DOCUMENTS AVAILABLE. ****** REGULATORY ACTION (199 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 05/22/1990 Initiated By: MN DEPT OF COMMERCE Date initiated: 05/22/1990 Docket/ Case Number: SE9001271/TMF Allegations: REPRESENTING ITS AGENTS TO BE IN THE BUSINESS OF FINANCIAL PLANNING WITHOUT PROVIDING REQUIRED DISCLOSURE TO CLIENTS Current Status: Final Resolution: Consent Resolution Date: 05/22/1990 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $30,000.00 Resolution Details: CONSENT TO CENSURE OF BD LICENSE AND FINE OF $30,000 Summary: SHEARSON CONSENTED TO A CENSURE OF ITS BROKER/DEALER LICENSE AND CIVIL FINE OF $30,000 BASED UPON ALLEGATIONS THAT SHEARSON, THROUGH ITS AGENTS, USED THE TITLE "FINANCIAL CONSULTANT" WITHOUT PROVIDING DISCLOSURE OF THE AGENTS REMUNERATION AND LICENSING AS REQUIRED BY MINN RULE 2875.1051. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: STATE OF MINNESOTA Date initiated: 05/21/1990 Docket/ Case Number: SE9001271/TMF Allegations: SHEARSON LEHMAN BROTHERS' REPRESENTATIVES WERE FOUND TO HAVE USED THE TITLE "FINANCIAL CONSULTANT" WITHOUT COMPLYING WITH MINNESOTA RULE PART 2875.10851 (1989); FIRM WAS FOUND ALSO TO HAVE FAILED TO ADEQUATELY SUPERVISE ITS BROKERS TO ENSURE COMPLIANCE (THE RULE REQUIRES THOSE WHO USE THE TITLE "FINANCIAL CONSULTANT"--OR SIMILAR TITLES--TO SEND A DISCLOSURE STATEMENT TO CUSTOMERS SETTING FORTH, AMONG OTHER THINGS, THE BASIS FOR THE FINANCIAL CONSULTANT'S COMPENSATION, THE PRODUCTS THAT THE FINANCIAL CONSULTANT IS AUTHORIZED TO OFFER FOR SALES AND THE LICENSES HELD BY THE FINANCIAL CONSULTANT. Current Status: Final NASD BrokerCheck October 12, 2005 Page 144 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Resolution: Consent Resolution Date: 05/21/1990 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $30,000.00 Resolution Details: FIRM CONSENTED TO THE ENTRY OF THE ORDER; IN DOING SO, IT AGREED TO 1) A CENSURE; 2) A FINE OF $30,000.00; AND 3) IMMEDIATELY COMPLY WITH THE RULE. Summary: ****** REGULATORY ACTION (200 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 01/16/1990 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 04/25/1989 Docket/ Case Number: BOS-588 Allegations: Current Status: Final Resolution: Decision & Order of Offer of Settlement Resolution Date: 01/16/1990 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $1,500.00 Resolution Details: Summary: COMPLAINT NO. BOS-588 FILED APRIL 25, 1989 BY DISTRICT NO. 13 AGAINST RESPONDENTS SHEARSON LEHMAN HUTTON INC., WILLIAM ARVID ULLMARK, RONALD ALAN FURMAN AND EDWARD ANTHONY OKON ALLEGING VIOLATIONS OF ARTICLE III, SECTIONS 1, 2 AND 27(b) AND (c) OF THE RULES OF FAIR PRACTICE IN THAT RESPONDENT OKON WHILE ACTING IN THE CAPACITY OF A GENERAL SECURITIES REPRESENTATIVE FOR THE ACOCUNT OF A CUSTOMER ENGAGED IN A COURSE OF CONDUCT INVOLVING THE RECOMMENDATION, PURCHASE AND SALE OF VARIOUS SECURITIES WHICH WERE EXCESSIVE AND UNSUITABLE IN RELATION TO THE CUSTOMER'S INVESTMENT OBJECTIVES AND FINANCIAL SITUATION AND NEEDS; AND RESPONDENT MEMBER AND RESPONDENTS ULLMARK AND FURMAN FAILED TO SUPERVISE THE ACTIVITIES OF OKON. DECISION RENDERED JANUARY 16, 1990, WHEREIN THE OFFER OF SETTLEMENT SUBMITTED BY RESPONDENTS MEMBER, ULLMARK AND OKON WAS ACCEPTED; THEREFORE, RESPONDENT MEMBER IS CENSURED, FINED $15,000; RESPONDENT ULLMARK IS CENSURED AND FINED $5,000 AND RESPONDENT OKON IS CENSURED, FINED $10,000 AND SUSPENDED FROM ASSOCIATION WITH ANY MEMBER OF THE NASD IN ANY CAPACITY FOR TEN (10) BUSINESS DAYS. FURTHERMORE, WITHIN SIXTY (60) DAYS AFTER OKON'S SUSPENSION, IN ORDER TO MAINTAIN HIS REGISTRATION WITH THE NASD AS A REGISTERED REPRESENTATIVE, HE MUST TAKE AND SUCCESSFULLY PASS THE SERIES 7 QUALIFICATION EXAMINATION. THE ALLEGATIONS WERE DISMISSED AS TO RESPONDENT FURMAN. ***$15,000.00 PAID ON 2/27/90 INVOICE #90-13-105*** *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD - DBCC FOR DISTRICT NO. 13 Date initiated: 04/25/1989 Docket/ Case Number: BOS-588 Allegations: IT WAS ALLEGED THAT SHEARSON LEHMAN HUTTON FAILED TO SUPERVISE REGISTERED REPRESENTATIVE EDWARD ANTHONY OKON. OKON HAD NASD BrokerCheck October 12, 2005 Page 145 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) ALLEGEDLY ENGAGED IN A COURSE OF CONDUCT INVOLVING THE RECOMMENDATION, PURCHASE AND SALE OF VARIOUS SECURITIES WHICH WERE EXCESSIVE AND UNSUITABLE. Current Status: Final Resolution: Consent Resolution Date: 01/04/1990 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $15,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS IN THE COMPLAINT, SLH CONSENTED TO THE ENTRY OF AN ORDER OF CENSURE AND AGREED TO PAY A $15,000.00 FINE. Summary: ****** REGULATORY ACTION (201 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 07/27/2000 Initiated By: SECURITIES AND EXCHANGE COMMISSION Date initiated: 01/11/1999 Docket/ Case Number: Allegations: VIOLATION OF, SECTIONS 15(C)(1) AND (2) OF THE EXCHANGE ACT, AND RULES 15C1-2 AND 15C2-7 THEREUNDER Current Status: Final Resolution: Consent Resolution Date: 01/11/1999 Sanctions Ordered: Disgorgement/Restitution, Cease and Desist/Injunction Resolution Details: CIVIL PENALTY OF $212,500; DISGORGEMENT OF $7,813 Summary: [TOP] +02/11/99+ SEC NEWS DIGEST, ISSUE NO. 99-6, 01/11/1999, ENFORCEMENT PROCEEDINGS DISCLOSES: SEC TODAY ANNOUNCED THE INSTITUTION OF ADMINISTRATIVE PROCEEDINGS AGAINST 28 NASDAQ MARKET MAKING FIRMS AND 51 INDIVIDUALS ASSOCIATED WITH SUCH FIRMS PURSUANT TO SECTIONS 15(B) AND 21C OF THE SECURITIES EXCHANGE ACT OF 1934 AND, AS TO ONE FIRM, PURSUANT TO SECTION 203(K) OF THE INVESTMENT ADVISERS ACT OF 1940. SIMULTANEOUSLY WITH THAT FILING, ALL OF THE RESPONDENTS CONSENTED, WITHOUT ADMITTING OR DENYING SEC?S FINDINGS, TO THE ENTRY OF ORDERS WHICH IMPOSE CIVIL PENALTIES TOTALING $26,302,500, DISGORGEMENT OF WRONGFUL GAINS TOTALING $791,525, SUSPENSIONS OR BARS, CEASE AND DESIST ORDERS AND OTHER SANCTIONS. SEC FOUND THAT THE RESPONDENTS COMMITTED VARIOUS VIOLATIONS ARISING FROM MARKET MAKING ACTIVITIES IN THE NASDAQ STOCK MARKET, INCLUDING THE COORDINATION OF QUOTATIONS AND TRANSACTIONS BY TRADERS MAKING MARKETS IN NASDAQ STOCKS IN VIOLATION OF ANTIFRAUD AND FICTITIOUS QUOTATION RULES, AND OTHER FORMS OF MARKET MANIPULATION. 2/11/99+ SEC ADMINISTRATIVE PROCEEDING FILE NO. 3-9803 01/11/1999 DISCLOSES: SEC ACCEPTED AN OFFER OF SETTLEMENT FROM LEHMAN BROTHERS INC. ("RESPONDENT"), WITH FINDING THAT RESPONDENT TRADED NASDAQ STOCKS FOR ITS OWN ACCOUNTS AND FOR THE ACCOUNTS OF INSTITUTIONAL AND RETAIL INVESTORS, AND, AS A NASDAQ MARKET MAKER, ENGAGED IN THE FOLLOWING ACTIVITIES. (1) THE FRAUDULENT COORDINATION OF QUOTE MOVEMENTS; (2) UNDISCLOSED ARRANGEMENTS TO COORDINATE QUOTATIONS; (3) BEST EXECUTION VIOLATIONS; (4) FAILURE TO REASONABLY SUPERVISE NASDAQ TRADING; (5) UNLAWFUL PROFITS AND OTHER GAINS. SEC ORDERED THAT: (1) LEHMAN BROTHERS INC. SHALL CEASE AND DESIST FROM COMMITTING OR CAUSING ANY VIOLATION OF, AND COMMITTING OR CAUSING ANY FUTURE VIOLATION OF, SECTIONS 15(C)(1) AND (2) OF THE EXCHANGE ACT, AND RULES 15C1-2 AND 15C2-7 THEREUNDER; (2) SHALL, PAY A CIVIL PENALTY OF $212,500 WITHIN 10 BUSINESS DAYS; (3) SHALL, PAY DISGORGEMENT OF $7,813 WITHIN 10 BUSINESS DAYS. NASD BrokerCheck October 12, 2005 Page 146 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: SEC Date initiated: 01/11/1999 Docket/ Case Number: FILE NO. 3-9803 (REL.40913, 40900) Allegations: IN AN ACTION BROUGHT AGAINST ALMOST ALL OF THE MAJOR NASDAQ MARKET MAKERS, THE SEC ALLEGED THAT IN 1994 MARKET MAKERS, INCLUDING LEHMAN BROTHERS, VIOLATED PROVISIONS OF THE FEDERAL SECURITIES LAWS IN CONNECTION WITH THEIR MARKETING MAKING ACTIVITIES IN NASDAQ SECURITIES. Current Status: Final Resolution: Settled Resolution Date: 01/11/1999 Sanctions Ordered: Monetary/Fine, Disgorgement/Restitution, Cease and Desist/Injunction Monetary Amount: $212,500.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, LEHMAN BROTHERS AGREED TO PAY A CIVIL PENALTY OF $212,500 AND DISGORGEMENT OF $7,813 TO SETTLE THE MATTER. IN ADDITION, IT AGREED TO A CEASE AND DESIST ORDER. Summary: ****** REGULATORY ACTION (202 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 01/19/1999 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 01/19/1999 Docket/ Case Number: C10980152 Allegations: Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 01/19/1999 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $9,000.00 Resolution Details: Summary: 01/21/99GK: ON JANAURY 19, 1999, DISTRICT NO. 10 NOTIFIED RESPONDENT LEHMAN BROTHERS INC. THAT THE LETTER OF ACCEPTANCE, WAIVER AND CONSENT NO. C10980152 WAS ACCEPTED; THEREFORE, RESPONDENT MEMBER IS CENSURED AND FINED $9,000 - (MSRB RULES G-36 AND G-8 - RESPONDENT MEMBER SERVED AS SOLE OR MANAGING UNDERWRITER IN A SUBSTANTIAL NUMBER OF PRIMARY OFFERINGS OF MUNICIPAL SECURITIES AND, IN CONNECTION WITH THOSE OFFERINGS, FAILED TO SUBMIT ADVANCE REFUNDING DOCUMENTATION TO THE MSRB; FAILED TO TIMELY SUBMIT OFFICIAL STATEMENTS AND/OR OTHER DOCUMENTS TO THE MSRB; FAILED TO SEND REQUIRED DOCUMENTS TO THE MSRB BY CERTIFIED OR REGISTERED MAIL, OR SOME OTHER EQUALLY PROMPT MEANS THAT PROVIDES A RECORD OF SENDING; AND, FAILED TO MAINTAIN RECORDS AS REQUIRED BY MSRB RULE G-8(a)(xv)). **** $9,000 PAID ON 2/12/99 - INVOICE NO. 99-10-76 **** *********************************** NASD BrokerCheck October 12, 2005 Page 147 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD REGULATION, INC. Date initiated: 01/19/1999 Docket/ Case Number: AWC C10980152 Allegations: IT WAS ALLEGED THAT IN ONE OR MORE INSTANCES DURING THE PERIODS 9/1/95 THROUGH 9/30/96 AND 1/1/97 THROUGH 3/31/97 LEHMAN'S FILINGS OF OFFICIAL STATEMENTS AND ADVANCE REFUNDINGS WERE IN VIOLATION OF MSRB RULES G-36 AND G-8. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 01/19/1999 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $9,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGED VIOLATIONS, LEHMAN CONSENTED TO THE FINDINGS AND ALSO CONSENTED TO A CENSURE AND A $9,000 FINE. Summary: ****** REGULATORY ACTION (203 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 07/07/1998 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 07/07/1998 Docket/ Case Number: CMS980059 AWC Allegations: Current Status: Final Resolution: Decision Resolution Date: 07/07/1998 Sanctions Ordered: Monetary/Fine Monetary Amount: $9,500.00 Resolution Details: Summary: LETTER OF ACCEPTANCE, WAIVER AND CONSENT NO. CMS980059 AWC. ON JULY 7, 1998, LEHMAN BROTHERS INC. (LEHM) WAS NOTIFIED THAT THE LETTER OF ACCEPTANCE, WAIVER AND CONSENT (AWC) THAT IT SUBMITTED WAS ACCEPTED BY NASD REGULATION, INC.'S DEPARTMENT OF ENFORCEMENT AND THE NATIONAL ADJUDICATORY COUNCIL. THE AWC ALLEGES THAT THE FOLLOWING VIOLATIONS OCCURRED: LEHM INCORRECTLY REPORTED SHORT POSITIONS FOR THREE SECURITIES DURING THE MONTHS OF NOVEMBER 1996, FEBRUARY 1997 AND JUNE 1997. THIS CONDUCT CONSTITUTES VIOLATIONS OF NASD CONDUCT RULE 3360. DURING THE PERIOD NOVEMBER 1996 THROUGH JUNE 1997, LEHM FAILED TO ESTABLISH, MAINTAIN AND ENFORCE ADQUATE WRITTEN SUPERVISORY PROCEDURES REASONABLY DESIGNED TO ACHIEVE OCMPLIANCE WITH NASD CONDUCT RULES 3360. THIS CONSTITUTES A VIOLATION OF NASD CONDUCT RULES 2110 AND 3010. LEHM WAS FINED $9,500. ****** $9,500 PAID ON 9/16/98, INVOICE NO. 98-MS-709 **** *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: NASD BrokerCheck October 12, 2005 Page 148 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Initiated By: NASD REGULATION, INC. Date initiated: 07/07/1998 Docket/ Case Number: CMS980059 AWC Allegations: IN THREE INSTANCES FROM NOVEMBER 1996 TO JUNE 1997, LEHMAN ALLEGEDLY VIOLATED NASD CONDUCT RULE ("RULE") 3360 BY INCORRECTLY REPORTING ITS SHORT INTEREST POSITION AND ALLEGEDLY VIOLATED RULES 2110 AND 3010 BY HAVE SUPERVISORY PROCEDURES INSUFFICIENT TO SECURE COMPLIANCE WITH RULE 3360. Current Status: Final Resolution: Consent Resolution Date: 07/07/1998 Sanctions Ordered: Monetary/Fine Monetary Amount: $9,500.00 Resolution Details: WITHOUT ADMITTING OR DENYING ALLEGATIONS, LEHMAN CONSENTED TO ENTRY OF FINDINGS AND A $9,500.00 FINE, AND AGREED TO IMMEDIATELY REVISE WRITTEN PROCEDURES FOR RULE 3360. Summary: ****** REGULATORY ACTION (204 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 10/28/1997 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 10/28/1997 Docket/ Case Number: CMS970044 AWC Allegations: Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 10/28/1997 Sanctions Ordered: Monetary/Fine Monetary Amount: $2,000.00 Resolution Details: Summary: LETTER OF ACCEPTANCE, WAIVER AND CONSENT NO. CMS970044 AWC. ON OCTOBER 28,1997, LEHMAN BROTHERS INC. (LEHM) WAS NOTIFIED THAT THE LETTER OF ACCEPTANCE, WAIVER AND CONSENT (AWC) IT SUBMITTED WAS ACCEPTED BY THE MARKET REGULATION AND THE NATIONAL BUSINESS CONDUCT COMMITTEES. THE AWC ALLEGES THAT THE FOLLOWING ACTIVITY OCCURRED: LEHM IMPROPERLY USED FORM T FOR 16 TRANSACTIONS IN LISTED SECURITIES, 12 TRANSACTIONS IN NASDAQ NATIONAL MARKET SECURITIES, AND ONE TRANSACTION IN AN OTC EQUITY SECURITY. LEHM FAILED TO IDENTIFY TO THE AUTOMATED CONFIRMATION TRANSACTION SERVICE ("ACT") ONE AGGREGATED TRANSACTION REPORT IN A NASDAQ NATIONAL MARKET SECURITY IN A MANNER DIRECTED BY THE ASSOCIATION; IMPROPERLY DESIGNATED AS LATE TO ACT ONE TRANSACTION IN A NASDAQ NATIONAL MARKET SECURITY; AND FAILED TO ACCEPT OR DECLINE IN ACT THREE TRANSACTIONS IN ELIGIBLE SECURITIES WITHIN 20 MINUTES AFTER EXECUTION. THIS CONDUCT CONSTITUTES SEPARATE AND DISTINCT VIOLATIONS OF NASD MARKETPLACE RULES 4632(a), 4632(a)(5), 4632(f), 6130(b), 6420(a)(3) AND 6620(a)(4). LEHM FAILED TO PROVIDE, ON NINE OCCASIONS, WRITTEN NOTIFICATION DISCLOSING THAT THE PRICE TO EACH OF ITS CUSTOMERS WAS AN AVERAGE PRICE. THIS CONSTITUTES VIOLATIONS OF SEC RULE 10b-10(a)(2). LEHM WAS FINED $2,000. ****** $2,000 PAID ON 12/16/97, INVOICE NO. 97-MS-979 ***** NASD BrokerCheck October 12, 2005 Page 149 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD REGULATION, INC. Date initiated: 10/28/1997 Docket/ Case Number: CMS970044 AWC Allegations: IT WAS ALLEGED THAT LEHMAN WAS IN VIOLATION OF MARKETPLACE RULES 4632(A), (A)(5), (F); 6130(B), 6420(A)(3), 6620(A)(4) AND SEC RULE 10B-10(A)(2). Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 10/28/1997 Sanctions Ordered: Monetary/Fine Monetary Amount: $2,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS OF VIOLATIONS, LEHMAN CONSENTED TO THE ENTRY OF FINDINGS AND CONSENTED TO A $2,000 FINE. THE FIRM IS REQUIRED TO IMPLEMENT REVISED WRITTEN SUPERVISORY PROCEDURES CONCERNING TRADE REPORTING AND THE LIMIT ORDER PROTECTION INTERPRETATION. Summary: ****** REGULATORY ACTION (205 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 01/09/1998 Initiated By: CBOE Date initiated: 12/11/1997 Docket/ Case Number: 97-0061 Allegations: SEE SUMMARY Current Status: Final Resolution: Decision Resolution Date: 12/11/1997 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $7,500.00 Resolution Details: LEHMAN BROTHERS, INC., AN EXCHANGE MEMBER ORGANIZATION, WAS CENSURED AND FINED $7,500. Summary: LEHMAN BROTHERS, INC., AN EXCHANGE MEMBER ORGANIZATION, WAS CENSURED AND FINED $7,500 FOR THE FOLLOWING CONDUCT. ON FEBRUARY 27, 1997, A LEHMAN FIRM TRADER ("FIRM TRADER") RECEIVED A CUSTOMER ORDER TO BUY 1950 PAIRGAIN TECHNOLOGIES, INC. ("PQG") MAR 35 PUT OPTION CONTRACTS AT 2 3/4 AND SELL 1950 PQG JUL 45 CALL OPTION CONTRACTS AT 2 3/4 ("ORIGINAL ORDER"). AT APPROXIMATELY 12:47 P.M., FIRM TRADER ENTERED AN ORDER TO SELL 80,000 SHARES OF PAIRGAIN TECHNOLOGIES, INC. COMMON STOCK ("PAIR") WITH LEHMAN'S OVER-THE-COUNTER BROKER TO HEDGE THE FIRM'S ANTICIPATED FACILITATION OF THE ORIGINAL ORDER PRIOR TO DISCLOSING THE ORIGINAL ORDER TO THE PQG TRADING CROWD. (CBOE RULES 4.1 AND 6.9(e)). *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: NASD BrokerCheck October 12, 2005 Page 150 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Initiated By: CHICAGO BOARD OF OPTIONS EXCHANGE, INC. Date initiated: 12/11/1997 Docket/ Case Number: 97-0061 Allegations: IT WAS ALLEGED THAT LEHMAN WAS IN VIOLATION OF EXCHANGE RULE 4.1 IN THAT LEHMAN ENTERED A PAIRGAIN COMMON STOCK ORDER PRIOR TO DISCLOSING THE TERMS AND CONDITIONS OF AN ORIGINAL CUSTOMER OPTION ORDER TO THE PAIRGAIN OPTION TRADING CROWD AS REQUIRED BY EXCHANGE RULE 6.9(E) Current Status: Final Resolution: Settled Resolution Date: 01/09/1998 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $7,500.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, LEHMAN AGREED TO A CENSURE AND A PAYMENT OF A $7,500.00 FINE IN SETTLEMENT OF THIS MATTER. Summary: ****** REGULATORY ACTION (206 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 04/23/1997 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 04/23/1997 Docket/ Case Number: CMS960196 Allegations: Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 04/23/1997 Sanctions Ordered: Monetary/Fine Monetary Amount: $2,000.00 Resolution Details: Summary: LETTER OF ACCEPTANCE, WAIVER & CONSENT NO. CMS960196 AWC. ON APRIL 23, 1997, LEHMAN BROTHERS INC. (LEHM) WAS NOTIFIED THAT THE LETTER OF ACCEPTANCE, WAIVER AND CONSENT (AWC) IT SUBMITTED WAS ACCEPTED BY THE MARKET REGULATION AND THE NATIONAL BUSINESS CONDUCT COMMITTEES. THE AWC ALLEGES THAT LEHM, A PASSIVE MARKET MAKER IN THE COMMON STOCK OF OXHP, VIOLATED SEC RULE 10b-6A FOR ENTERING A BID FOR OXHP WHICH WAS ABOVE THE HIGHEST INDEPENDENT BID FOR THAT SECURITY. LEHM WAS FINED $2,000. ***$2,000.00 PAID ON 6/11/97, INVOICE #97-MS-428*** *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD INC. - MARKET SURVEILLANCE COMMITTEE Date initiated: 04/23/1997 Docket/ Case Number: CMS960196 NASD BrokerCheck October 12, 2005 Page 151 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Allegations: IT WAS ALLEGED THAT IN ONE INSTANCE ON APRIL 2ND, 1996, LEHMAN ENGAGED IN PASSIVE MARKET-MAKING IN VIOLATION OF SEC RULE 10B-6A. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 04/23/1997 Sanctions Ordered: Monetary/Fine Monetary Amount: $2,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS IN THE AWC, LEHMAN CONSENTED TO THE ENTRY OF FINDINGS BY THE ASSOCIATION AND CONSENTED TO PAY A FINE IN THE AMOUNT OF $2,000.00. Summary: ****** REGULATORY ACTION (207 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 07/11/1997 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 07/11/1997 Docket/ Case Number: CMS960062 AWC Allegations: Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 07/11/1997 Sanctions Ordered: Monetary/Fine Monetary Amount: $3,000.00 Resolution Details: Summary: LETTER OF ACCEPTANCE, WAIVER & CONSENT NO. CMS960062 AWC. ON JULY 11, 1997, LEHMAN BROTHERS, INC. (LEHM) WAS NOTIFIED THAT THE LETTER OF ACCEPTANCE, WAIVER AND CONSENT (AWC) IT SUBMITTED WAS ACCEPTED BY THE MARKET REGULATION AND THE NATIONAL BUSINESS CONDUCT COMMITTEES. THE AWC ALLEGES THAT LEHM VIOLATED MARKETPLACE RULE 4613(d) FOR ENTERING QUOTATIONS INTO THE NASDAQ SYSTEM THAT EXCEEDED THE PARAMETERS FOR THE MAXIMUM ALLOWABLE SPREADS. LEHM WAS FINED $3,000. **$3,000.00 PAID ON 8/20/97, INVOICE #97-MS-672** *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD INC.- MARKET SURVEILLANCE COMMITTEE Date initiated: 07/11/1997 Docket/ Case Number: CMS960062 Allegations: IT WAS ALLEGED THAT ON JANUARY 15TH AND 16TH, 1996 AND ON FEBRUARY 7TH, 1996, LEHMAN ENTERED INTO THE NASDAQ SYSTEM QUOTATIONS WHICH CONTAINED SPREADS IN EXCESS OF THE MAXIMUM ALLOWABLE SPREADS. Current Status: Final Resolution: Consent Resolution Date: 07/11/1997 NASD BrokerCheck October 12, 2005 Page 152 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Sanctions Ordered: Monetary/Fine Monetary Amount: $3,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, LEHMAN CONSENTED TO THE ENTRY OF FINDINGS THAT IT VIOLATED PART V, SECTION 2(D) OF SCHEDULE D OF THE ASSOCIATION'S BYLAWS. IN ADDITION, LEHMAN CONSENTED TO A FINE IN THE AMOUNT OF $3,000.00. Summary: ****** REGULATORY ACTION (208 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 07/28/2000 Initiated By: SECURITIES AND EXCHANGE COMMISSION Date initiated: 09/13/1996 Docket/ Case Number: Allegations: FAILURE TO SUPERVISE Current Status: Final Resolution: Consent Resolution Date: 09/12/1996 Sanctions Ordered: Censure, Cease and Desist/Injunction Resolution Details: CIVIL PENALTY OF $50,000. Summary: [TOP] 09-16-96, SEC NEWS DIGEST ISSUE NO. 96-175, DATED 09/13/1996, ENFORCEMENT PROCEEDINGS DISCLOSE: SEC TODAY ANNOUNCED THE INSTITUTION AND SETTLEMENT OF A PUBLIC ADMINISTRATIVE PROCEEDING AGAINST LEHMAN BROTHERS INC. (LEHMAN), AS SUCCESSOR TO SHEARSON LEHMAN BROTHERS INC. (SHEARSON). IN THIS MATTER, LEHMAN, WITHOUT ADMITTING OR DENYING THE FINDINGS IN THE ORDER, CONSENTED TO THE ISSUANCE OF THE ORDER. SEC?S ORDER FOUND THAT SHEARSON FAILED REASONABLY TO SUPERVISE A FORMER STOCKBROKER WITH THE FIRM, STANLEY J. FEMINELLA, WHO OVER A TWO-YEAR PERIOD CAUSED TWO CUSTOMERS -- CONSUMERS UNION OF UNITED STATES, INC. AND ITS EMPLOYEE PENSION FUND (COLLECTIVELY CU) -- TO PAY AT LEAST $1 MILLION IN UNDISCLOSED, EXCESSIVE MARKUPS ON THEIR PURCHASES OF GOVERNMENT SECURITIES. THE ORDER MAKES FINDINGS THAT SHEARSON'S SUPERVISORY FAILURE STEMMED FROM ITS LACK OF SUFFICIENT FIRM-WIDE POLICIES AND PROCEDURES REASONABLY DESIGNED TO PREVENT AND DETECT FEMINELLA'S CHARGING OF EXCESSIVE MARKUPS. FROM NOVEMBER 1988 THROUGH FEBRUARY 1991, CU PURCHASED THROUGH FEMINELLA $38.5 MILLION IN GOVERNMENT SECURITIES, IN THIRTY-THREE TRANSACTIONS. ON THESE TRANSACTIONS, RANGING IN AMOUNTS FROM $107,000 TO MORE THAN $3,000,000, CU WAS CHARGED MARKUPS THAT RANGED FROM 3.5 PERCENT TO 4.7 PERCENT. CU PAID A TOTAL OF AT LEAST $1,390,000 IN MARKUPS, OF WHICH FEMINELLA RECEIVED AT LEAST $904,000. BASED ON THE ABOVE AND OTHER FINDINGS IN THE ORDER, SEC CENSURED LEHMAN, REQUIRED LEHMAN TO CEASE AND DESIST FROM COMMITTING OR CAUSING ANY VIOLATIONS, AND COMMITTING OR CAUSING ANY FUTURE VIOLATIONS, OF THE CUSTOMER CONFIRMATION AND BOOKS AND RECORDS PROVISIONS OF THE SECURITIES EXCHANGE ACT OF 1934, AND REQUIRED LEHMAN TO PAY A CIVIL PENALTY OF $50,000. 62 SEC DOCKET 2324, DATED 10/08/1996, DISCLOSES: SEC CEASE AND DESIST ORDER IS DATED 09/12/1996. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: SEC Date initiated: 09/12/1996 Docket/ Case Number: FILE NO. 3-9079 NASD BrokerCheck October 12, 2005 Page 153 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Allegations: THE SEC ALLEGED THAT SHEARSON 1) FAILED REASONABLY TO SUPERVISE A REGISTERED REPRESENTATIVE, WHO WAS SUBJECT TO ITS SUPERVISION, WITH A VIEW TO PREVENTING HIS CHARGING TWO CLIENTS EXCESSIVE MARKUPS ON FIXED INCOME SECURITIES; 2) SENT ERRONEOUS CUSTOMER CONFIRMATIONS IN VIOLATION OF SECTION 10(B)OF THE EXCHANGE ACT AND RULE 10B-10B; AND 3) FAILED TO MAINTAIN CERTAIN REQUIRED BOOKS AND RECORDS IN VIOLATION OF SECTION 17(A)OF THE EXCHANGE ACT AND RULES 17A-3 AND 17A-4. Current Status: Final Resolution: Other Resolution Date: 09/12/1996 Sanctions Ordered: Monetary/Fine, Censure, Cease and Desist/Injunction Monetary Amount: $50,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, LEHMAN CONSENTED TO 1) A CENSURE, 2) A REQUIREMENT TO CEASE AND DESIST FROM FUTURE VIOLATIONS OF THE RELEVANT EXCHANGE ACT PROVISIONS AND 3) PAYMENT OF A CIVIL PENALTY OF $50,000.00. Summary: SIMULTANEOUSLY WITH THE ENTRY OF THE ORDER, THE COMMISSION GRANTED RELIEF FROM THE DISQUALIFYING PROVISIONS OF REGULATIONS A,D AND E. ****** REGULATORY ACTION (209 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 03/05/1997 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 03/05/1997 Docket/ Case Number: C10970025 Allegations: Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 03/05/1997 Sanctions Ordered: Monetary/Fine, Disgorgement/Restitution, Censure Monetary Amount: $250,000.00 Resolution Details: Summary: ON MARCH 5, 1997, DISTRICT NO. 10 NOTIFIED RESPONDENT LEHMAN BROTHERS, INC. THAT THE LETTER OF ACCEPTANCE, WAIVER AND CONSENT NO. C10970025 WAS ACCEPTED; THEREFORE, RESPONDENT MEMBER IS CENSURED, FINED $250,000, AND MUST COMPLY WITH THE FOLLOWING UNDERTAKING: (A) WITHIN 180 DAYS FROM THE DATE THIS AWC IS ACCEPTED AND ISSUED BY NASDR, RESPONDENT MEMBER MUST, IF IT HAS NOT ALREADY DONE SO, DISGORGE TO THE RETAIL CUSTOMERS $2,923,482.61. UPON APPLICATION BY RESPONDENT MEMBER, AND A REASONABLE SHOWING THAT IT HAS BEEN UNABLE TO LOCATE, AFTER EXERCISING ALL DILIGENT MEANS, A SIGNIFICANT NUMBER OF CUSTOMERS DURING THE INITIAL 180 DAY PERIOD, NASDR MAY EXTEND THE DISGORGEMENT PERIOD AN ADDITIONAL 90 DAYS. (B) THE CUSTOMER PAYMENTS MUST BE ACCOMPANIED BY A LETTER ACCEPTABLE TO NASDR WHICH DESCRIBES THE PURPOSE OF THE PAYMENT. (C) ONCE THE FIRM HAS MADE THE PAYMENTS TO THE RETAIL CUSTOMERS IT WILL PROVIDE THE DISTRICT NO. 10 OFFICE OF NASDR WITH SATISFACTORY PROOF OF SUCH PAYMENTS. IN THE EVENT THE FIRM, AFTER USING ALL DILIGENT MEANS, IS UNABLE TO MAKE PAYMENT TO ANY CUSTOMER IDENTIFIED, THOSE MONIES SHALL BE PAID TO NASDR AS AN ADDITIONAL FINE. RESPONDENT MEMBER SHALL PAY THE ADDITIONAL FINE WITHIN 60 DAYS OF THE EXPIRATION OF THE DISGORGEMENT PERIOD. PAYMENT OF THE ADDITIONAL FINE SHALL SATISFY RESPONDENT MEMBER'S DISGORGEMENT OBLIGATIONS WITH RESPECT TO THOSE CUSTOMERS TO WHOM THE FIRM IS UNABLE TO MAKE PAYMENT. - (NASD RULES 2110 AND 2830(j) - RESPONDENT MEMBER NASD BrokerCheck October 12, 2005 Page 154 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) IMPROPERLY CHARGED ITS RETAIL CUSTOMERS EXCESSIVE FEES/COMMISSIONS FOR EXECUTING NON-PROPRIETARY MUTUAL FUND REDEMPTION TRANSACTIONS ON THEIR BEHALF). ***$250,000.00 PAID ON 3/24/97, INVOICE #97-10-172*** ***RESTITUTION COMPLETED AS OF 4/98** *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD REGULATION INC. - DBCC FOR DISTRICT 10 Date initiated: 03/05/1997 Docket/ Case Number: C10970025 Allegations: IT WAS ALLEGED THAT DURING THE PERIOD BETWEEN OCTOBER 1ST, 1990 AND FEBRUARY 16TH, 1995, LEHMAN, IN CERTAIN INSTANCES, CHARGED EXCESSIVE FEES/COMMISSIONS FOR EXECUTING NON-PROPRIETARY MUTUAL FUND TRANSACTIONS. LEHMAN CHARGED THESE FEES IN 13,310 TRANSACTIONS, AGGREGATING TO $1,963,485.70 IN EXCESS FEES/COMMISSIONS. AS SUCH, THIS WAS IN VIOLATION OF NASD CONDUCT RULES 2830(J)AND 2110. Current Status: Final Resolution: Consent Resolution Date: 03/05/1997 Sanctions Ordered: Monetary/Fine, Disgorgement/Restitution, Censure Monetary Amount: $250,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, LEHMAN CONSENTED TO THE ENTRY OF FINDINS AND CONSENTED TO A CENSURE, A FINE IN THE AMOUNT OF $250,000.00 AND A DISGORGEMENT TO THE RETAIL CUSTOMERS OF $2,923,482.61, INCLUDING PRE-JUDGEMENT INTEREST. Summary: ****** REGULATORY ACTION (210 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 10/08/1996 Initiated By: CBOE Date initiated: 02/23/1996 Docket/ Case Number: 96-0003 Allegations: see summary Current Status: Final Resolution: Decision Resolution Date: 10/08/1996 Sanctions Ordered: Monetary/Fine Monetary Amount: $25,000.00 Resolution Details: fined in the amount of $25,000 Summary: On September 15, 1994, Lehman exercised 900 OEX Sep 410 call option contracts, 1700 OEX Sep 415 call option contracts, 2000 OEX Sep 420 call option contracts, and 200 OEX Sep 430 call option contracts, respectively, without submitting an advice to the Exchange indicating the intent to exercise the aforementioned option contracts. On September 15, 1994, the Exchange received an advice submitted via C/MACS at 3:12 p.m. (CT) indicating that Lehman intended to exercise 500 OEX Sep 425 call option contracts. Lehman subsequently exercised a total of 2900 OEX Sep 425 call option contracts, 2400 option NASD BrokerCheck October 12, 2005 Page 155 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) contracts in excess of the 500 contracts that Lehmann previously indicated that it intended to exercise (CBOE Rule 11.1) *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: CHICAGO BOARD OPTIONS EXCHANGE - BUSINESS CONDUCT COMMITTEE Date initiated: 02/23/1996 Docket/ Case Number: 96-0003 Allegations: A STATEMENT OF CHARGES WAS ISSUED AGAINST LEHMAN BROTHERS ALLEGING THAT LEHMAN WAS IN VIOLATION OF EXCHANGE RULE 11.1. Current Status: Final Resolution: Consent Resolution Date: 10/08/1996 Sanctions Ordered: Monetary/Fine Monetary Amount: $25,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE VIOLATIONS ALLEGED IN THE STATEMENT OF CHARGES, LEHMAN BROTHERS CONSENTED TO A FINE OF $25,000.00. Summary: THE CHARGES STEM FROM LEHMAN BROTHERS' ALLEGED FAILURE, ON SEPTEMBER 15, 1994, TO FILE EXERCISE ADVICES WITH THE CBOE PRIOR TO EXERCISING 4800 CONTRACTS OF VARIOUS OEX CALLS, AS WELL AS FROM LEHMAN'S EXERCISE, ON SEPTEMBER 15TH, 1994, OF 2400 MORE CONTRACTS OF OEX CALLS, THAN THE EXERCISE ADVICE IT FILED WITH THE CBOE INDICATED IT INTENDED TO EXERCISE ****** REGULATORY ACTION (211 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 07/15/1996 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 07/15/1996 Docket/ Case Number: CMS960023 Allegations: Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 07/15/1996 Sanctions Ordered: Monetary/Fine Monetary Amount: $2,000.00 Resolution Details: Summary: LETTER OF ACCEPTANCE, WAIVER AND CONSENT NO. CMS960023 AWC ON JULY 15, 1996, LEHMAN BROTHERS, INC. (LEHM) WAS NOTIFIED THAT THE LETTER OF ACCEPTANCE, WAIVER AND CONSENT (AWC) IT SUBMITTED WAS ACCEPTED BY THE MARKET SURVEILLANCE AND THE NATIONAL BUSINESS CONDUCT COMMITTEES. UNDER THE AWC, LEHM IS ALLEGEDLY IN VIOLATION OF SEC RULE 10b-6A IN THAT ON THREE OCCASIONS, LEHM ENTERED BIDS WHICH WERE ABOVE THE LEVEL OF THE HIGHEST INDEPENDENT BIDS. LEHM FAILED TO ENFORCE SUPERVISORY PROCEDURES TO PREVENT THE VIOLATION(S) DESCRIBED ABOVE AS REQUIRED BY ARTICLE III, SECTIONS 1 AND 27 OF THE NASD'S RULES OF FAIR PRACTICE. LEHMAN IS HEREBY FINED $2,000. THE AWC BECAME FINAL ON JULY 15, 1996. ***$2,000.00 PAID ON 09/10/96, INVOICE #96-MS-551*** NASD BrokerCheck October 12, 2005 Page 156 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD - MARKET SURVEILLANCE COMMITTEE Date initiated: 07/15/1996 Docket/ Case Number: CMS960023 AWC Allegations: IT WAS ALLEGED THAT IN THREE INSTANCES IN 1995, LEHMAN BROTHERS ENGAGED IN PASSIVE MARKET MAKING CONDUCT THAT WAS IN VIOLATION OF SEC RULE 10B-6A AND FAILED TO ENFORCE SUPERVISORY PROCEDURES TO PREVENT THESE VIOLATIONS AS REQUIRED BY ARTICLE III SECTIONS 1 AND 27 OF THE NASD'S RULES OF FAIR PRACTICE. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 07/15/1996 Sanctions Ordered: Monetary/Fine Monetary Amount: $2,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS IN THE AWC, LEHMAN BROTHERS CONSENTED TO THE ENTRY OF FINDINGS BY THE ASSOCIATION AND CONSENTED TO A FINE IN THE AMOUNT OF $2,000.00. Summary: ****** REGULATORY ACTION (212 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 02/02/1996 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 10/06/1995 Docket/ Case Number: CMS950075 Allegations: Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 02/02/1996 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $1,000.00 Resolution Details: Summary: MARKET SURVEILLANCE COMMITTEE COMPLAINT NO. CMS950075 AWC LETTER OF ACCEPTANCE, WAIVER AND CONSENT (AWC) FILED ON OCTOBER 6, 1995 AGAINST LEHMAN BROTHERS, INC. (LEHM) ALLEGING VIOLATIONS OF ARTICLE III, SECTIONS 1 AND 27 OF THE ASSOCIATION'S RULES OF FAIR PRACTICE FOR FAILING TO ENFORCE SUPERVISORY PROCEDURES TO PREVENT THE VIOLATIONS AND SEC RULE 10b-6A IN THAT RESPONDENT LEHM ENTERED A BID OF 17 1/2 WHICH WAS ABOVE THE HIGHEST INDEPENDENT BID OF 17 3/8 AND PURCHASED 1000 SHARES AT A PRICE OF 18 1/8 WHICH WAS 1/4 POINT ABOVE THE HIGHEST INDEPENDENT BID OF 17/78. AS SANCTIONS, RESPONDENT LEHM WAS CENSURED AND FINED $1,000. THE AWC BECAME FINAL ON FEBRUARY 2, 1996. **$1,000.00 PAID ON 02/27/96, INVOICE # 96-MS-123** *********************************** Reporting Source: Brokerage Firm (Form BD) NASD BrokerCheck October 12, 2005 Page 157 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Date Reported: Initiated By: NASD - MARKET SURVEILLANCE COMMITTEE Date initiated: 02/02/1996 Docket/ Case Number: CMS950075 Allegations: IT WAS ALLEGED THAT IN TWO INSTANCES ON JANUARY 31, 1995, LHEMAN BROTHERS ENGAGED IN PASSIVE MARKET MAKING CONDUCT THAT WAS IN VIOLATION OF SEC RULE 10B-6A AND FAILED TO ENFORCE SUPERVISORY PROCEDURES TO PREVENT THESE VIOLATIONS AS REQUIRED BY ARTICLE III SECTIONS 1 AND 27 OF THE NASD'S RULES OF FAIR PRACTICE. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 02/02/1996 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $1,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS IN THE AWC, LEHMAN BROTHERS CONSENTED TO THE ENTRY OF FINDINGS BY THE ASSOCIATION AND CONSENTED TO A CENSURE AND A FINE IN THE AMOUNT OF $1,000.00. Summary: ****** REGULATORY ACTION (213 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 10/31/1995 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 02/24/1995 Docket/ Case Number: CMS950007 Allegations: Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 10/31/1995 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $1,000.00 Resolution Details: Summary: LETTER OF ACCEPTANCE, WAIVER AND CONSENT NO. CMS950007 AWC (AWC) FILED BY THE MARKET SURVEILLANCE COMMITTEE AGAINST LEHMAN BROTHERS, INC. (LEHM) ON FEBRUARY 24, 1995 AND ACCEPTED BY THE NATIONAL BUSINESS CONDUCT COMMITTEE ON OCTOBER 31, 1995. IN THE AWC, LEHM IS ALLEGED TO BE IN VIOLATION OF SEC RULE 10B-6 FOR FAILING TO REMOVE ITS QUOTES IN A TIMELY MANNER, PURCHASING SHARES ABOVE THE PREVAILING HIGHEST INDEPENDENT MARKET MAKER BID, FAILING TO LOWER ITS BID PRIOR TO MARKET'S OPEN THEREBY ESTABLISHING THE INSIDE BID AT THE OPEN AND ARTICLE III, SECTIONS 1 AND 27 OF THE ASSOCIATION'S RULES OF FAIR PRACTICE FOR FAILING TO ENFORCE SUPERVISORY PROCEDURES TO PREVENT THE PASSIVE MARKET MAKING VIOLATIONS. AS SANCTIONS, LEHM WAS CENSURED AND FINED $1,000. THE AWC BECAME FINAL ON OCTOBER 31, 1995. ************************************************************* *****$1,000.00 PAID ON 11/16/95, INVOICE #95-MS-724***** *********************************** Reporting Source: Brokerage Firm (Form BD) NASD BrokerCheck October 12, 2005 Page 158 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Date Reported: Initiated By: NASD - MARKET SURVEILLANCE COMMITTEE Date initiated: 10/31/1995 Docket/ Case Number: CMS950007 AWC Allegations: IT WAS ALLEGED THAT IN THREE INSTANCES IN 1994, LEHMAN BROTHERS ENGAGED IN PASSIVE MARKET MAKING CONDUCT THAT WAS IN VIOLATION OF SEC RULE 10B-6A AND FAILED TO ENFORCE SUPERVISORY PROCEDURES TO PREVENT THESE VIOLATIONS AS REQUIRED BY ARTICLE III SECTIONS 1 AND 27 OF THE NASD'S RULES OF FAIR PRACTICE. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 10/31/1995 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $1,000.00 Resolution Details: WITHOT ADMITTING OR DENYING THE ALLEGATIONS IN THE AWC, LEHMAN BROTHERS CONSENTED TO THE ENTRY OF FINDINGS BY THE ASSOCIATION AND CONSENTED TO A CENSURE AND A FINE OF $1,000.00. Summary: ****** REGULATORY ACTION (214 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 09/20/1996 Initiated By: NYSE DIVISION OF ENFORCEMENT Date initiated: 05/30/1996 Docket/ Case Number: HPD 96-81 Allegations: Not Provided Current Status: Final Resolution: Consent Resolution Date: 09/20/1996 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $125,000.00 Resolution Details: Not Provided Summary: **9/20/96** THE DECISION IS NOW FINAL AND EFFECTIVE IMMEDIATELY. CONTACT: PEGGY L. GERMINO (212)656-8450 *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NEW YORK STOCK EXCHANGE INC. Date initiated: 09/09/1996 Docket/ Case Number: DECISION 96-81 Allegations: IT WAS ALLEGED THAT LEHMAN BROTHERS FAILED TO MEET CERTAIN REQUIREMENTS CONCERNING OPERATIONS, REPORTING, RECORDKEEPING AND SUPERVISION IN AUGUST 1993. Current Status: Final NASD BrokerCheck October 12, 2005 Page 159 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Resolution: Consent Resolution Date: 09/09/1996 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $125,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING GUILT, THE FIRM CONSENTED TO THE FINDINGS BY AN NYSE HEARING PANEL AND CONSENTED TO A CENSURE AND A FINE OF $125,000.00. Summary: ****** REGULATORY ACTION (215 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 06/20/2000 Initiated By: SECURITIES AND EXCHANGE COMMISSION Date initiated: 08/15/1995 Docket/ Case Number: Allegations: VIOLATIONS OF THE ANTIFRAUD AND RECORDKEEPING PROVISIONS OF THE SECURITIES EXCHANGE ACT OF 1934. Current Status: Final Resolution: Consent Resolution Date: 08/15/1995 Sanctions Ordered: Censure, Cease and Desist/Injunction Resolution Details: CIVIL MONEY PENALTY OF $850,000,00 Summary: TOP] 8/23/95 SEC NEWS DIGEST, ISSUE NO. 95-158, DATED 8/16/95, ENFORCEMENT PROCEEDINGS DISCLOSE: THE COMMISSION TODAY ANNOUNCED THE INSTITUTION AND SETTLEMENT OF AN ADMINSTRATIVE PROCEEDING AGAINST LEHMAN BROTHERS INC., WITHOUT ADMITTING OR DENYING THE FINDINGS, LEHMAN BROTHERS CONSENTED TO THE ENTRY OF AN ORDER CENSURING THE FIRM, REQUIRING IT TO PAY A CIVIL MONEY PENALTY OF $850,000, AND REQUIRING IT TO PERMANENTLY CEASE AND DESIST FROM COMMITTING FUTURE VIOLATIONS OF THE ANTIFRAUD AND RECORDKEEPING PROVISIONS OF THE SECURITIES EXCHANGE ACT OF 1934. THE VIOLATIONS ARISE FROM CONDUCT OF LEHMAN BROTHERS IN AUCTIONS OF AMERICAN EXPRESS COMPANY MONEY MARKET PREFERRED STOCK (MMP). AMERICAN EXPRESS' REGISTRATION STATEMENT FOR THE MMP OFFERINGS STATED THAT LEHMAN, BECAUSE OF ITS AFFILIATION WITH AMERICAN EXPRESS, COULD NOT SUBMIT BIDS IN THE AUCTIONS FOR ITS OWN ACCOUNT. THE COMMISSION FOUND, HOWEVER, THAT LEHMAN HAD SUBMITTED BIDS IN CERTAIN MMP AUCTIONS THAT RESULTED IN THE PURCHASE OF SHARES FOR ITS OWN ACCOUNT. ACCORDING TO THE ORDER, IN THIRTEEN AUCTIONS BETWEEN 1988 AND 1990, LEHMAN'S BIDS HAD THE EFFECT OF LOWERING THE DIVIDEND RATE OTHERWISE ESTABLISHED THROUGH THE AUCTION AND PREVENTED TWO AUCTIONS FROM FAILING, WHICH WOULD HAVE RESULTED IN THE IMPOSITION OF A PENALTY DIVIDEND RATE. THE ORDER FINDS THAT LEHMAN REDUCED THE AGGREGATE AMOUNT OF DIVIDENDS PAID BY AMERICAN EXPRESS TO HOLDERS OF MMP BY APPROXIMATELY $585,000. (REL. 34-36104) 08/14/96 SEC DOCKET, VOLUME 59, NO. 20, DATED 9/12/95, PAGE 3135, DISCLOSES; THE COMMISSION ORDERED RESPONDENT FIRM TO CEASE AND DESIST FROM COMMITTING OR CAUSING ANY VIOLATIONS OR FUTURE VIOLATIONS OF SECTION 10(B) AND 17(A) OF THE EXCHANGE ACT AND RULES 10B-5, 17A-3 AND 17A-4 THEREUNDER. THE ORDER CONTAINING THE CEASE AND DESIST ORDER AND THE ORDER CENSURING RESPONDENT FIRM IS DATED 8/15/95. (REL. 36104) *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: SECURITIES AND EXCHANGE COMMISSION Date initiated: 08/15/1995 NASD BrokerCheck October 12, 2005 Page 160 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Docket/ Case Number: FILE NO. 3-8782 Allegations: THE SEC ALLEGED THAT THE FIRM VIOLATED SECTIONS 10(B) AND 17 (A) OF THE EXCHANGE ACT AND RULES THEREUNDER, BY ENGAGING IN BIDDING PRACTICES IN THE AUCTION OF AMERICAN EXPRESS MONEY MARKET PREFERRED STOCK THAT RESULTED IN CERTAIN REGISTRATION STATEMENT DISCLOSURES BECOMING INACCURATE, AND BY FAILING TO MAINTAIN CERTAIN REQUIRED BOOKS AND RECORDS. Current Status: Final Resolution: Consent Resolution Date: 08/15/1995 Sanctions Ordered: Monetary/Fine, Censure, Cease and Desist/Injunction Monetary Amount: $850,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, THE FIRM CONSENTED TO FINDINGS OF VIOLATIONS, CENSURE, AN ORDER TO CEASE AND DESIST FROM FUTURE VIOLATIONS OF THE RELEVANT EXCHANGE ACT PROVISIONS, AND TO PAY AN $850,000.00 CIVIL MONETARY PENALTY. Summary: ****** REGULATORY ACTION (216 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 12/12/1991 Initiated By: STATE OF OREGON, DEPARTMENT OF INSURANCE AND FINANC*See FAQ #1* Date initiated: 12/12/1991 Docket/ Case Number: 0-91-0019 Allegations: UNLICENSED SALESPERSON ACTIVITY. Current Status: Final Resolution: Consent Resolution Date: 12/12/1991 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $25,000.00 Resolution Details: CONSENT TO CEASE AND DESIST ORDER, $25,000 FINE, REQUIRED TO FILE QUARTERLY SALESPERSON RECONCILIATION REPORTS. Summary: UNLICENSED SALESPERSONS TRANSACTED BUSINESS IN OREGON. SHEARSON AGREED TO ENHANCE INTERNAL CONTROLS AND WILL SUBMIT QUARTERLY SALESPERSON LICENSING EXCEPTION REPORTS TO THE DEPARTMENT THROUGH 1993. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 06/08/2001 Initiated By: STATE OF OREGON Date initiated: 12/06/1991 Docket/ Case Number: 0-91-0019 Allegations: INVESTIGATION BY OREGON CONCERNED A CLERICAL ERROR RESULTING IN AN OREGON SALESPERSON NOT BEING REGISTERED IN THE STATE FOR A PERIOD OF TIME AND THE FIRM ALLOWING SEVERAL NON-OREGON REGISTERED RESIDENT SALESPERSONS UNREGISTERED IN OREGON CONDUCT TRANSACTIONS WITH OREGON RESIDENTS. NASD BrokerCheck October 12, 2005 Page 161 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Current Status: Final Resolution: Consent Resolution Date: 12/06/1991 Sanctions Ordered: Monetary/Fine Monetary Amount: $25,000.00 Other Sanctions: FIRM AGREED TO FILE QUARTERLY REPORTS TO STATE REGARDING REGISTRATION FOR A PERIOD OF TWO YEARS. Resolution Details: FIRM ENTERED INTO A CONSENT AGREEMENT WITH THE STATE'S SECURITIES DIVISION TO SETTLE THE INVESTIGATION, PAID A 25K FINE AND AGREED TO FILE REPORTS AS OUTLINED ABOVE. Summary: ****** REGULATORY ACTION (217 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 07/21/1987 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 07/21/1987 Docket/ Case Number: MS-577-AWC Allegations: Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 09/07/1987 Sanctions Ordered: Monetary/Fine Monetary Amount: $1,000.00 Resolution Details: Summary: MARKET SURVEILLANCE COMMITTEE COMPLAINT #MS-577-AWC: LETTER OF ACCEPTANCE, WAIVER & CONSENT (AWC) ALLEGES VIOLATIONS OF PART VI, SECTION 2(d) OF SCHEDULE D FOR ENTERING NASDAQ QUOTATIONS CONTAINING EXCESS SPREADS. THE AWC WAS ACCEPTED BY THE MARKET SURVEILLANCE COMMITTEE ON 8/25/87 AND BY THE NATIONAL BUSINESS CONDUCT COMMITTEE ON 9/7/87. $1,000 FINE $1,000 FINE PAID 7/29/87 *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD Date initiated: 08/25/1987 Docket/ Case Number: MS-577-AWC Allegations: THE NASD ALLEGED THAT SHEARSON LEHMAN BROTHERS VIOLATED PART VI, SECTION 2(D) OF SCHEDULE D FOR ENTERING NASD QUOTATIONS CONTAINING EXCESSIVE SPREADS. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 09/07/1987 Sanctions Ordered: Monetary/Fine NASD BrokerCheck October 12, 2005 Page 162 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Monetary Amount: $1,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, THE FIRM AGREED TO PAY A FINE OF $1,000.00. Summary: ****** REGULATORY ACTION (218 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 09/30/1985 Initiated By: COMMODITY FUTURES TRADE COMMISSION Date initiated: 09/30/1985 Docket/ Case Number: Allegations: Current Status: Final Resolution: Decision & Order of Offer of Settlement Resolution Date: 09/30/1985 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $90,000.00 Resolution Details: Summary: 12/9/85, SECURITIES VIOLATORS PRINTOUT DISCLOSES: THE COMMISSION FOUND THAT SHEARSON LEHMAN VIOLATED SECTION 4K(1) OF THE COMMODITY EXCHANGE ACT AND SECTION 3.12 OF THE REGULATION THEREUNDER. SHEARSON WAS ORDERED TO CEASE AND DESIST CERTAIN VIOLATIONS; COMPLY WITH THE UNDERTAKINGS SET FORTH IN THE OFFER OF SETTLEMENT; AND ASSESSED A PENALTY OF $90,000. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 06/08/2001 Initiated By: COMMODITY FUTURES TRADING COMMISSION Date initiated: 09/30/1985 Docket/ Case Number: 85-49 Allegations: ALLEGED VIOLATIONS BY SHEARSON LEHMAN OF SECTION 4K(1) OF THE COMMODITY EXCHANGE ACT AND SECTION 3.12 OF THE REGULATION THEREUNDER. Current Status: Final Resolution: Decision & Order of Offer of Settlement Resolution Date: 12/09/1985 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $90,000.00 Resolution Details: CFTC FOUND THAT SHEARSON LEHMAN WAS IN VIOLATION OF THE ACT AS SPECIFIED ABOVE. FIRM WAS ORDERED TO CEASE AND DESIST FROM COMMITTING FUTURE VIOLATIONS, WAS ORDERED TO COMPLY WITH THE UNDERTAKINGS SET FORTH IN THE OFFER OF SETTLEMENT AND WAS ASSESSED A PENALTY OF $90,000.00. Summary: ****** REGULATORY ACTION (219 of 335) ****** NASD BrokerCheck October 12, 2005 Page 163 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Reporting Source: Regulator (Form U-6) Date Reported: 09/08/1970 Initiated By: SECURITIES AND EXCHANGE COMMISSION Date initiated: 09/08/1970 Docket/ Case Number: Allegations: Current Status: Final Resolution: Decision Resolution Date: 09/08/1970 Sanctions Ordered: Suspension Resolution Details: Summary: OTC TRADING OF BRANCH OFFICE SUSPENDED BY THE SEC FOR 30 DAYS, COMMENCING 9/8/70 AND FOR AN ADDITIONAL 10 DAYS THE BRANCH MAY NOT PARTICIPATE IN ANY PRIMARY OR SECONDARY OFFERINGS OF SECURITIES. (SEE SEA RELEASE # 34-8973) *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: SEC Date initiated: 09/08/1970 Docket/ Case Number: UNKNOWN Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Decision Resolution Date: 09/08/1970 Sanctions Ordered: Suspension Resolution Details: OTC TRADING OF BRANCH OFFICE SUSPENDED BY THE SEC FOR THIRTY DAYS, COMMENCING ON SEPTEMBER 8TH, 1970 AND (FOR AN ADDITIONAL TEN DAYS) THE BRANCH MAY NOT PARTICIPATE IN ANY PRIMARY OR SECONDARY OFFERINGS OF SECURITIES (SEA RELEASE # 34-8973). Summary: ****** REGULATORY ACTION (220 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 05/01/1991 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 05/01/1991 Docket/ Case Number: NEW-822-AWC Allegations: Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 05/01/1991 NASD BrokerCheck October 12, 2005 Page 164 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $50,000.00 Resolution Details: Summary: ON MAY 1, 1991, THE LETTER OF ACCEPTANCE, WAIVER AND CONSENT C05910023 (NEW-822-AWC) (DISTRICT NO. 5) SUBMITTED BY RESPONDENT SHEARSON LEHMAN BROTHERS INC. AND CHARLES W. GLADNEY WAS ACCEPTED; THEREFORE, RESPONDENT MEMBER IS CENSURED AND FINED $50,000 AND RESPONDENT GLADNEY IS CENSURED, FINED $5,000, SUSPENDED FROM ASSOCIATION WITH ANY MEMBER OF THE NASD IN ANY PRINCIPAL CAPACITY FOR SIX (6) MONTHS AND REQUIRED TO REQUALIFY AS A PRINCIPAL BEFORE SERVING AGAIN IN ANY PRINCIPAL CAPACITY - (ARTICLE III, SECTIONS 1 AND 27 OF THE RULES OF FAIR PRACTICE - RESPONDENT MEMBER, ACTING THROUGH RESPONDENT GLADNEY, FAILED TO ESTABLISH, MAINTAIN AND/OR ENFORCE WRITTEN SUPERVISORY PROCEDURES WHICH WOULD HAVE ENABLED IT TO REASONABLY AND PROPERLY SUPERVISE AN INDIVIDUAL). ***$50,000.00 PAID ON 5/22/91 INVOICE #91-05-568*** *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD - DBCC FOR DISTRICT NO. 5 Date initiated: 05/01/1991 Docket/ Case Number: NEW-822-AWC Allegations: IT WAS ALLEGED THAT SHEARSON LEHMAN BROTHERS AND ONE OF ITS PRINCIPALS, C. WALLACE GLADNEY (FORMERLY THE MANAGER OF SHEARSON'S BATON ROUGE, LA OFFICE) FAILED TO ADEQUATELY SUPERVISE JOHN W. GRIFFITH, A FORMER REPRESENTATIVE. GRIFFITH WAS ALLEGED TO HAVE, AMONG OTHER THINGS AND DURING THE PERIOD 1986 THROUGH 1988 ENGAGED IN UNAUTHORIZED TRADING, FAILED TO HAVE FOLLOWED CUSTOMER INSTRUCTIONS, ALTERED AND DISTRIBUTED CONFIRMATIONS TO CUSTOMERS, AND PREPARED AND DISTRIBUTED INACCURATE ACCOUNT SUMMARIES TO CUSTOMERS. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 05/01/1991 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $55,000.00 Other Sanctions: GLADNEY AGREED TO REQUALIFY AS A PRINCIPAL BY TAKING AND PASSING THE SERIES 24 EXAM BEFORE AGAIN SERVING IN A SUPERVISORY CAPACITY. FINE: 50K LEVIED AGAINST SHEARSON; 5K, AGAINST GLADNEY. Resolution Details: WITHOUT ADMITTING OR DENYING THE NASD'S ALLEGATIONS, SHEARSON AND GLADNEY CONSENTED TO THE IMPOSITIONS OF A CENSURE AND FINES AS OUTLINED ABOVE. Summary: ****** REGULATORY ACTION (221 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 12/11/1992 Initiated By: NORTH DAKOTA SECURITIES COMMISSIONER Date initiated: 12/11/1992 Docket/ Case Number: Allegations: COMPLAINT INITIATED BY LLOYD E. AND DOREAN ELLIOTT, JTWROS DATED 12/19/91 ALLEGING UNSUITABLE SECURITIES RECOMMENDATIONS NASD BrokerCheck October 12, 2005 Page 165 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) AND UNTRUE STATEMENTS ON NEW ACCOUNT CARD. Current Status: Final Resolution: Consent Resolution Date: 12/11/1992 Sanctions Ordered: Disgorgement/Restitution Resolution Details: CONSENT ORDER EXECUTED 12/11/92 TO TERMINATE AND AVOID FURTHER ADMINISTRATIVE PROCEEDING ONLY AND DOES NOT CONSTITUTE AN ADMISSION BY THE RESPONDENTS OF ANY VIOLATION OF THE NORTH DAKOTA SECURITIES ACT OR THE RULES AND REGULATIONS PROMULGATED THEREUNDER. RESPONDENTS REPAID $40,535.07 to COMPLAINANTS AND ALSO PAID $5,000 IN ADMINISTRATIVE COSTS TO THE STATE. Summary: COMPLAINT INITIATED BY LLOYD E. AND DOREAN ELLIOTT, JTWROS DATED 12/19/91 ALLEGING UNSUITABLE SECURITIES RECOMMENDATIONS AND UNTRUE STATEMENTS ON NEW ACCOUNT CARD. RESULTS: CONSENT ORDER EXECUTED 12/11/92 TO TERMINATE AND AVOID FURTHER ADMINISTRATIVE PROCEEDING ONLY AND DOES NOT CONSTITUTE AN ADMISSION BY THE RESPONDENTS OF ANY VIOLATION OF THE NORTH DAKOTA SECURITIES ACT OR THE RULES PROMULGATED THEREUNDER. RESPONDENTS REPAID $40,535.07 TO COMPLAINANTS AND ALSO PAID $5,000 IN ADMINISTRATIVE COSTS TO THE STATE. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: STATE OF NORTH DAKOTA Date initiated: 12/11/1992 Docket/ Case Number: N/A Allegations: THE NORTH DAKOTA SECURITIES COMMISSIONER ALLEGED VIOLATIONS OF SECTIONS 10-04-04 AND 10-04-11 OF THE NORTH DAKOTA SECURITIES ACT IN THE HANDLING OF A CUSTOMER ACCOUNT. Current Status: Final Resolution: Consent Resolution Date: 12/11/1992 Sanctions Ordered: Monetary/Fine Monetary Amount: $5,000.00 Other Sanctions: SETTLEMENT WITH CLIENT OF $40,535.01. Resolution Details: RESPONDENTS SHEARSON LEHMAN BROTHERS AND JOHN DONALDSON AGREED TO SETTLE WITH THE CLIENT IN THE AMOUNT OF $40,535.01 AND TO PAY ADMINISTRATIVE COSTS OF $5,000.00 TO THE SECURITIES COMMISSIONER. Summary: ****** REGULATORY ACTION (222 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 01/03/1978 Initiated By: NEW YORK Date initiated: 01/03/1978 Docket/ Case Number: Unknown Allegations: Current Status: Final Resolution: Decision NASD BrokerCheck October 12, 2005 Page 166 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Resolution Date: 01/03/1978 Sanctions Ordered: Cease and Desist/Injunction Resolution Details: Summary: 1/3/78 STATE OF NY: THREE ASSURANCES OF DISCONTINUANCES TO CEASE AND DESIST FROM FURTHER VIOLATIONS. COSTS: $5,000 PAID. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: STATE OF NEW YORK Date initiated: 01/03/1978 Docket/ Case Number: UNKNOWN Allegations: RULE VIOLATION (NOT SPECIFIED; CONVERSION). Current Status: Final Resolution: Decision Resolution Date: 01/03/1978 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $5,000.00 Resolution Details: THREE ASSURANCES OF DISCONTINUANCES TO CEASE AND DESIST FROM FURTHER VIOLATIONS. COSTS: $5,000.00. Summary: ****** REGULATORY ACTION (223 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 07/06/1978 Initiated By: SECURITIES AND EXCHANGE COMMISSION Date initiated: 07/06/1978 Docket/ Case Number: Unknown Allegations: Current Status: Final Resolution: Consent Resolution Date: 07/06/1978 Sanctions Ordered: Suspension Resolution Details: Summary: ND 78-130 7/6/78 REL 34-14917 AND 14918 ADMINISTRATIVE PROCEEDINGS INSTITUTED. PURSUANT TO OFFER OF SETTLEMENT, WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, ORDER ENTERED SUSPENDING ALL OPTION TRADING FOR PERIODS OF 30 AND 60 DAYS RESPECTIVELY IN RESPONDENT'S ATLANTA, GA AND SHERMAN OAKS, CA, BRANCH OFFICES AS TO ACCOUNTS FOR WHICH AN OPTION SUITABILITY FORM HAS NOT BEEN SUBMITTED PRIOR TO THE ENTRY OF THE ORDER. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 09/25/2002 NASD BrokerCheck October 12, 2005 Page 167 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Initiated By: SECURITIES AND EXCHANGE COMMISSION Date initiated: 07/06/1978 Docket/ Case Number: 3-5378 Allegations: FINDING OF WILLFUL VIOLATIONS OF SECTIONS 17(A) AND 10(B) OF THE '34 ACT IN OPTIONS TRADING. Current Status: Final Resolution: Settled Resolution Date: 07/06/1978 Sanctions Ordered: Cease and Desist/Injunction, Suspension Resolution Details: FINDING OF WILLFUL VIOLATIONS AS DESCRIBED ABOVE. Summary: ****** REGULATORY ACTION (224 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 06/23/1977 Initiated By: CHICAGO BOARD OF OPTION EXCHANGE Date initiated: 06/23/1977 Docket/ Case Number: Unknown Allegations: Current Status: Final Resolution: Consent Resolution Date: 06/23/1977 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $2,500.00 Resolution Details: Summary: 6/23/77, CBOE: FAILURE TO PROPERLY SUPERVISE. WITHOUT ADMITTING OR DENYING CHARGES, CONSENTED TO A CENSURE AND FINE IN THE AMOUNT OF $2,500. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: CHICAGO BOARD OPTIONS EXCHANGE Date initiated: 06/23/1977 Docket/ Case Number: UNKNOWN Allegations: FAILURE TO PROPERLY SUPERVISE. Current Status: Final Resolution: Consent Resolution Date: 06/23/1977 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $2,500.00 Resolution NASD BrokerCheck October 12, 2005 Page 168 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Details: WITHOUT ADMITTING OR DENYING CHARGES, FIRM CONSENTED TO A CENSURE AND A FINE IN THE AMOUNT OF $2,500.00. Summary: ****** REGULATORY ACTION (225 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 02/12/1976 Initiated By: CHICAGO BOARD OF OPTION EXCHANGE Date initiated: 02/12/1976 Docket/ Case Number: Unknown Allegations: Current Status: Final Resolution: Consent Resolution Date: 02/12/1976 Sanctions Ordered: Monetary/Fine Monetary Amount: $10,000.00 Resolution Details: Summary: 2/12/76, CBOE: PURSUANT TO AN OFFER OF SETTLEMENT, FINED $10,000. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: CHICAGO BOARD OPTIONS EXCHANGE Date initiated: 02/12/1976 Docket/ Case Number: UNKNOWN Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Consent Resolution Date: 02/12/1976 Sanctions Ordered: Monetary/Fine Monetary Amount: $10,000.00 Resolution Details: PURSUANT TO OFFER OF SETTLEMENT, FIRM FINED $10,000.00. Summary: ****** REGULATORY ACTION (226 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 03/21/1974 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 03/16/1973 Docket/ Case Number: 464 NASD BrokerCheck October 12, 2005 Page 169 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Allegations: Current Status: Final Resolution: Decision Resolution Date: 01/24/1974 Sanctions Ordered: Monetary/Fine Resolution Details: Summary: COMPLAINT #464 FILED 3-16-73 1-24-74: RIGHTS WAIVED: FINAL 3-21-74: PAID (FC# 5544) *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD Date initiated: 03/16/1973 Docket/ Case Number: 464 Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Decision Resolution Date: 01/24/1974 Sanctions Ordered: Other Sanctions: FINE (UNKNOWN AMOUNT; CONVERSION). Resolution Details: RIGHTS WAIVED: FINAL MARCH 21ST, 1974. PAID. Summary: ****** REGULATORY ACTION (227 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 05/21/1976 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 05/21/1976 Docket/ Case Number: AWC-63 Allegations: Current Status: Final Resolution: Decision Resolution Date: 05/21/1976 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $500.00 Resolution Details: Summary: COMPLAINT #AWC-63 FILED 05/21/76 DIST. #2N DECISION 05/21/76: CENSURED; FINED $500. 05/21/76: FINAL FINES & COSTS 06/11/76, FC# 6531 PD. *********************************** Reporting Source: Brokerage Firm (Form BD) NASD BrokerCheck October 12, 2005 Page 170 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Date Reported: Initiated By: NASD - DBCC FOR DISTRICT NO. 2N Date initiated: 05/21/1976 Docket/ Case Number: AWC-63 Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Decision Resolution Date: 05/21/1976 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $500.00 Resolution Details: DECISION MAY 21ST, 1976: CENSURED; FINED $500.00. Summary: ****** REGULATORY ACTION (228 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 03/06/1974 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 11/13/1973 Docket/ Case Number: ND 73-219 Allegations: Current Status: Final Resolution: Consent Resolution Date: 11/13/1973 Sanctions Ordered: Cease and Desist/Injunction Resolution Details: Summary: ND 73-219 11/13/73 LR-6145 COMPLAINT FILED SEEKING TO ENJOIN REGISTRANT, AND PERMANENTLY ENJOINED, BY CONSENT, FROM VIOLATIONS OF ANTI-FRAUD PROVISIONS IN PUBLIC OFFERINGS AND PRIVATE PLACEMENTS. ND 74-45 03/06/74 LR-6269 INJUNCTIVE ACTION FILED AND STIPULATION AND CONSENT ENTERED WHEREIN RESPONDENT IS SUSPENDED FROM MANAGING UNDERWRITINGS FOR 60 DAYS AND REGISTRANT AGREES TO ESTABLISH A FUND OF $300,000.00 TO BE REMITTED TO PURCHASERS OF UNDERWRITING. REGISTRANT VIOLATED ANTIFRAUD PROVISIONS IN THE OFFERING OF SECURITIES. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD Date initiated: 11/13/1973 Docket/ Case Number: ND 73-219 Allegations: COMPLAINT SOUGHT TO ENJOIN REGISTRANT, AND PERMANENTLY ENJOIN, BY CONSENT, FROM VIOLATIONS OF ANTI-FRAUD PROVISIONS IN PUBLIC OFFERINGS AND PRIVATE PLACEMENTS. Current Status: Final Resolution: Consent NASD BrokerCheck October 12, 2005 Page 171 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Resolution Date: 11/13/1973 Sanctions Ordered: Cease and Desist/Injunction Resolution Details: INJUNCTIVE ACTION FILED AN STIPULATION AND CONSENT ENTERED WHEREIN RESPONDENT IS SUSPENDED FROM MANAGING UNDERWRITINGS FOR A PERIOD OF SIXTY DAYS; REGISTRANT AGREES TO ESTABLISH A FUND OF $300,000.00 TO BE REMITTED TO PURCHASERS OF UNDERWRITING. REGISTRANT VIOLATED ANTIFRAUD PROVISIONS IN THE OFFERING OF SECURITIES. Summary: ****** REGULATORY ACTION (229 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 05/19/1971 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 04/07/1971 Docket/ Case Number: NY-SC-84 Allegations: Current Status: Final Resolution: Consent Resolution Date: 05/19/1971 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $500.00 Resolution Details: Summary: #NY-SC-84 FILED 04/07/71 - SC ACCEPTED 04/19/71 WHEREIN RESPS. MEMBER IS CENSURED & FINED FINED $500.00 TO BE FINAL 05/19/71 FINAL FINED 04/22/71 *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD Date initiated: 04/07/1971 Docket/ Case Number: NY-SC-84 Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Consent Resolution Date: 05/19/1971 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $500.00 Resolution Details: RESPONDENT WAS CENSURED AND FINED IN THE AMOUNT OF $500.00. Summary: ****** REGULATORY ACTION (230 of 335) ****** NASD BrokerCheck October 12, 2005 Page 172 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Reporting Source: Regulator (Form U-6) Date Reported: 12/16/1985 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 06/14/1985 Docket/ Case Number: KC-332 Allegations: Current Status: Final Resolution: Consent Resolution Date: 12/16/1985 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $2,500.00 Resolution Details: Summary: COMP# KC-332, DISTRICT NO. 4, FILED JUNE 14, 1985; ALLEGING VIOLATIONS OF ARTICLE III, SECTION 1 OF THE RULES OF FAIR PRACTICE IN THAT RESPONDENT MEMBER, ACTING THROUGH RESPONDENTS JOSEPH A. DEL DUCA AND PETER J. RENALDO, FAILED TO RESPOND TO THE ASSOCIATION'S FORMAL WRITTEN REQUESTS FOR INFORMATION MADE PURSUANT TO ARTICLE IV, SECTION 5 OF THE RULES OF FAIR PRACTICE. ENTERED 1/21/86: DECISION RENDERED DECEMBER 16, 1985, WHEREIN THE OFFER OF SETTLEMENT SUBMITTED BY THE RESPONDENTS WAS ACCEPTED; THEREFORE, RESPONDENT MEMBER IS CENSURED AND FINED $2,500.00, AND RESPONDENT RENALDO IS ISSUED A LETTER OF CAUTION FOR WHICH THE DECISION WILL SERVE. FC #9301 $2,500 PAID IN FULL 1/22/86 *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD - DBCC FOR DISTRICT NO. 4 Date initiated: 12/16/1985 Docket/ Case Number: KC-332 Allegations: ALLEGED VIOLATIONS BY SHEARSON LEHMAN BROTHERS OF ARTICLE III, SECTION 1 OF THE NASD'S RULES OF FAIR PRACTICE. Current Status: Final Resolution: Consent Resolution Date: 12/16/1985 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $2,500.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, THE FIRM CONSENTED TO A CENSURE AND A $2,500.00 FINE. Summary: ****** REGULATORY ACTION (231 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 11/25/1970 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 08/27/1970 Docket/ Case Number: NY-1271 NASD BrokerCheck October 12, 2005 Page 173 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Allegations: Current Status: Final Resolution: Decision Resolution Date: 11/25/1970 Sanctions Ordered: Monetary/Fine, Censure Resolution Details: Summary: #NY-1271 FILED 08/27/70 11/25/70 CENSURED FINED PD. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD Date initiated: 08/27/1970 Docket/ Case Number: NY-1271 Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Decision Resolution Date: 11/25/1970 Sanctions Ordered: Censure Other Sanctions: FINE (UNKNOWN AMOUNT; CONVERSION). Resolution Details: FIRM CENSURED AND FINED. Summary: ****** REGULATORY ACTION (232 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 05/29/1985 Initiated By: ARKANSAS Date initiated: 05/29/1985 Docket/ Case Number: 85-45-S Allegations: Current Status: Final Resolution: Consent Resolution Date: 05/29/1985 Sanctions Ordered: Censure Resolution Details: Summary: FORM U-6 RECEIVED 6/20/85 DISCLOSES: SHEARSON WILFULLY VIOLATED SECTION 3(b) OF THE AR SEC. ACT BY EMPLOYING AN AGENT, TERRY WAIN BISHOP, CRD# 500054, WITHOUT REGISTRATION IN ARKANSAS. SHEARSON CONSENTS TO FINDING, UNDERTAKES TO ABIDE BY PROVISIONS OF ACT AND IS CENSURED. CASE NO. 85-45-S. *********************************** Reporting Source: Brokerage Firm (Form BD) NASD BrokerCheck October 12, 2005 Page 174 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Date Reported: Initiated By: STATE OF ARKANSAS Date initiated: 05/29/1985 Docket/ Case Number: 85-45-S Allegations: IT WAS FOUND THAT SHEARSON LEHMAN BROTHERS HAD VIOLATED THE ARKANSAS ACT BY EMPLOYING AN AGENT WITHOUT REGISTRATION IN THE STATE. Current Status: Final Resolution: Consent Resolution Date: 05/29/1985 Sanctions Ordered: Censure Resolution Details: THE FIRM CONSENTED TO THE STATE'S FINDINGS, AGREED TO THE IMPOSITION OF A CENSURE AND UNDERSTOOD TO ABIDE BY THE PROVISIONS OF THE ACT. Summary: ****** REGULATORY ACTION (233 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 09/25/1995 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 05/30/1995 Docket/ Case Number: CMS940116 AWC Allegations: Current Status: Final Resolution: Consent Resolution Date: 09/25/1995 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $15,000.00 Resolution Details: Summary: MARKET SURVEILLANCE COMMITTEE COMPLAINT NO. CMS940116 AWC LETTER OF ACCEPTANCE, WAIVER AND CONSENT (AWC) FILED BY THE MSC ON MAY 30, 1995 AGAINST LEHMAN BROTHERS, INC. ALLEGING VIOLATIONS OF RULE 11Ac1-1(c) OF THE SECURITIES EXCHANGE ACT OF 1934, PART V, SECTION 2(b) OF SCHEDULE D TO THE ASSOCIATION'S BY-LAWS AND ARTICLE III, SECTIONS 1 AND 6 OF THE ASSOCIATION'S RULES OF FAIR PRACTICE IN THAT LEHM FAILED TO HONOR THE QUOTATIONS IT CAUSED TO BE DISSEMINATED THROUGH THE NASDAQ SYSTEM. THE AWC WAS ACCEPTED BY THE NATIONAL BUSINESS CONDUCT COMMITTEE ON SEPTEMBER 25, 1995 WHEREIN LEHM WAS CENSURED AND FINED $15,000. THE AWC BECAME FINAL ON SEPTEMBER 25, 1995. *********************************************************** ***$15,000.00 PAID ON 11/10/95, INVOICE #95-MS-656*** *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD - MARKET SURVEILLANCE COMMITTEE Date initiated: 09/25/1995 Docket/ NASD BrokerCheck October 12, 2005 Page 175 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Case Number: CMS940116 AWC Allegations: IT WAS ALLEGED THAT IN SIX INSTANCES IN 1994, LEHMAN BROTHERS FAILED TO HONOR THE QUOTATIONS IT CAUSED TO BE DISSEMINATED THROUGH THE NASDAQ SYSTEM, IN VIOLATION OF RULE 11AC1-1(C) OF THE SECURITIES EXCHANGE ACT OF 1934, PART V, SECTION 2(B)OF SCHEDULE D TO THE ASSOCIATION'S BY-LAWS, AND ARTICLE III, SECTIONS 1 AND 6 OF THE ASSOCIATION'S RULES OF FAIR PRACTICE. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 09/25/1995 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $15,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS IN THE AWC, LEHMAN BROTHERS INC. CONSENTED TO THE ENTRY OF FINDINGS BY THE ASSOCIATION AND CONSENTED TO CENSURE AND FINE IN THE AMOUNT OF $15,000.00. Summary: ****** REGULATORY ACTION (234 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 09/25/1995 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 05/01/1995 Docket/ Case Number: CMS950046 AWC Allegations: Current Status: Final Resolution: Consent Resolution Date: 09/25/1995 Sanctions Ordered: Monetary/Fine Monetary Amount: $1,000.00 Resolution Details: Summary: MARKET SURVEILLANCE COMMITTEE COMPLAINT NO. CMS950046 AWC LETTER OF ACCEPTANCE, WAIVER AND CONSENT (AWC) FILED BY THE MSC ON MAY 1, 1995 AGAINST LEHMAN BROTHERS, INC. (LEHM) ALLEGING VIOLATIONS OF PART X, SECTION 2(a)(8) AND PART XI, SECTION 2(a)(8) OF THE SCHEDULE D TO THE ASSOCIATION'S BY-LAWS AND THE INTERPRETATION OF THE BOARD OF GOVERNORS CONCERNING THE OBLIGATION OF MEMBERS TO REPORT TRANSACTIONS WITHIN 90 SECONDS OF EXECUTION. THIS AWC WAS ACCEPTED BY THE NATIONAL BUSINESS CONDUCT COMMITTEE ON SEPTEMBER 25, 1995 WHEREIN LEHM WAS FINED $1,000 AND SHALL UNDERTAKE TO IMPLEMENT ITS SUPERVISORY PROCEDURES TO PREVENT SUCH A PATTERN OR PRACTICE OF LATE TRADE REPORTING. THE AWC BECAME FINAL ON SEPTEMBER 25, 1995. ********************************************************* ****$1,000.00 PAID ON 11/10/95, INVOICE #95-MS-659**** *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD - MARKET SURVEILLANCE COMMITTEE Date initiated: 09/25/1995 Docket/ Case Number: CMS950046 AWC NASD BrokerCheck October 12, 2005 Page 176 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Allegations: IT WAS ALLEGED THAT DURING THE WEEKS ENDING DECEMBER 16, 1994 AND MARCH 10, 1995 LEHMAN BROTHERS REPORTED TRANSACTIONS LATE AND IN EXCESS OF NINETY SECONDS OF EXECUTION, IN VIOLATION OF ARTICLE III, SECTION 1 OF THE ASSOCIATION'S RULES OF FAIR PRACTICE AND CONTRARY TO THE PROVISIONS OF SCHEDULE D TO THE ASSOCIATION'S BY-LAWS (PART X, SECTION 2(A)(8), PART XI, SECTION 2(A)(8) AND THE INTERPRETATION OF THE BOARD OF GOVERNORS. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 09/25/1995 Sanctions Ordered: Monetary/Fine Monetary Amount: $1,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS CONTAINED IN THE AWC, LEHMAN BROTHERS CONSENTED TO THE ENTRY OF FINDINGS BY THE ASSOCIATION AND CONSENTED TO A FINE IN THE AMOUNT OF $1,000.00. Summary: ****** REGULATORY ACTION (235 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 10/26/1990 Initiated By: MASSACHUSETTS SECURITIES DIVISION Date initiated: 10/26/1990 Docket/ Case Number: E-88-396 Allegations: BASED ON FINDINGS THAT AGENT GEORGE PREBOLA ENGAGED IN UNSUITABLE TRANSACTIONS IN THE ACCOUNT OF A 90 YEAR OLD WIDOW AND FALSIFYING HER NEW ACCOUNT FORMS AND THAT SHEARSON FAILED REASONABLY TO SUPERVISE. Current Status: Final Resolution: Decision Resolution Date: 11/26/1990 Sanctions Ordered: Resolution Details: THE DIVISION ORDERED SHEARSON TO PAY $50,000.00 AS THE COST OF SETTING UP A PROGRAM THROUGH MASSACHUSETTS HOME CARE ASSOCIATION TO ASSIST THE ELDERLY IN MANAGING THEIR FINANCIAL AFFAIRS. Summary: Not Provided *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: COMMONWEALTH OF MASSACHUSETTS Date initiated: 08/06/1990 Docket/ Case Number: E-88-396 Allegations: IT WAS ALLEGED THAT SHEARSON VIOLATED SECTION 101 OF THE MASSACHUSETTS UNIFORM SECURITIES ACT BY A FORMER REPRESENTATIVE CONDUCTING UNSUITABLE TRADES IN A CUSTOMER ACCOUNT; BY FAILING TO ACT IN ACCORDANCE WITH SAID CUSTOMER'S INVESTMENT OBJECTIVES; BY ALTERING ACCOUNT DOCUMENTATION OF SAID CUSTOMER; BY CONDUCTING EXCESSIVE SPECULATIVE TRADING IN THE CUSTOMER ACCOUNT; BY RR FAILING TO COMPLY WITH SHEARSON'S OWN INTERNAL COMPLIANCE PROCEDURES AND GUIDELINES; AND BY NASD BrokerCheck October 12, 2005 Page 177 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) FAILING TO FULFILL THE FIDUCIARY RESPONSIBILITY TO CUSTOMER. IT WAS ALSO ALLEGED THAT SHEARSON FAILED TO PROPERLY SUPERVISE THE REPRESENTATIVE. Current Status: Final Resolution: Consent Resolution Date: 10/26/1990 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $50,000.00 Other Sanctions: COMPLY WITH ACT, REVIEW RRS ACCOUNTS FOR PERIOD OF ONE YEAR, ISSUE STATEMENT TO CLARIFY SUITABILITY GUIDELINES, ASSIST ELDERLY IN MASSACHUSETTS WITH FINANCIAL MANAGEMENT THROUGH A PROGRAM FUNDED WITH ABOVE FINE; CENSURE OF RR. Resolution Details: WITHOUT ADMITTING OR DENYING ANY VIOLATION OF THE MASSACHUSETTS ACT, SHEARSON AND THE RR CONSENTED TO IMPOSITION OF FOLLOWING SANCTIONS: 1) BOTH SHEARSON AND REPRESENTATIVE AGREE TO COMPLY WITH ALL PROVISIONS OF THE ACT, 2) SHEARSON SHALL APPOINT AN INDIVIDUAL TO REVIEW ACCOUNTS OF THE REPRESENTATIVE FOR A PERIOD OF ONE YEAR FROM DATE OF ENTRY OF ORDER, 3) SHEARSON SHALL ISSUE STATEMENT TO ALL OF ITS REGISTERED REPRESENTATIVES SETTING FORTH SUITABILITY GUIDELINES, 4) SHEARSON SHALL AGREE TO PROVIDE THROUGH THE MASSACHUSETTS HOME CARE ASSOCIATION, A PROGRAM TO ASSIST THE ELDER IN THE MANAGEMENT OF THEIR FINANCIAL AFFAIRS, 5) COST OF MONEY MANAGEMENT PROGRAM SHALL AMOUNT TO 50K AND 6) THE REGISTERED REPRESENTATIVE SHALL BE CENSURED. Summary: ****** REGULATORY ACTION (236 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 09/24/1981 Initiated By: MASSACHUSETTS SECURITIES DIVISION Date initiated: 09/24/1981 Docket/ Case Number: E-81-08 Allegations: Not Provided Current Status: Final Resolution: Decision Resolution Date: 09/24/1981 Sanctions Ordered: Censure Resolution Details: Not Provided Summary: SHEARSON LOEB RHOADES WAS CENSURED FOR FAILURE TO SUPERVISE, IN ALLOWING AN UNLICENSED AGENT TO MAKE TRADES WITH TWO CUSTOMERS. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: COMMONWEALTH OF MASSACHUSETTS Date initiated: 09/24/1981 Docket/ Case Number: E-81-08 Allegations: SHEARSON LOEB RHOADES WAS ALLEGED TO HAVE FAILED TO SUPERVISE IN THAT IT ALLEGEDLY ALLOWED AN UNLICENSED AGENT TO EFFECT TWO TRANSACTIONS. Current Status: Final NASD BrokerCheck October 12, 2005 Page 178 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Resolution: Decision Resolution Date: 09/24/1981 Sanctions Ordered: Censure Resolution Details: THE FIRM WAS CENSURED FOR THE ALLEGED VIOLATION. Summary: ****** REGULATORY ACTION (237 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 02/15/1963 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 06/22/1962 Docket/ Case Number: A-187 Allegations: Current Status: Final Resolution: Decision Resolution Date: 02/15/1963 Sanctions Ordered: Monetary/Fine, Suspension Monetary Amount: $25,000.00 Resolution Details: Summary: #A-187 FILED 06/22/62 02/15/63 SUSPENDED 5 DAYS. FINED $25,000 ASSESSED $20,000 PD. 03/07/63 *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 06/13/2001 Initiated By: NASD Date initiated: 06/22/1962 Docket/ Case Number: A-187 Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Decision Resolution Date: 02/15/1963 Sanctions Ordered: Monetary/Fine, Suspension Monetary Amount: $25,000.00 Resolution Details: SUSPENDED FIVE DAYS. FINED $25,000.00; ASSESSED $20,000.00. Summary: ****** REGULATORY ACTION (238 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 08/03/1994 NASD BrokerCheck October 12, 2005 Page 179 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 08/03/1994 Docket/ Case Number: C04940012 Allegations: Current Status: Final Resolution: Consent Resolution Date: 08/03/1994 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $10,000.00 Resolution Details: Summary: ON AUGUST 3, 1994, DISTRICT NO. 4 NOTIFIED SHEARSON LEHMAN BROTHERS, INC. (n/k/a LEHMAN BROTHERS INC.) THAT THE LETTER OF ACCEPTANCE, WAIVER AND CONSENT NO. C04940012 WAS ACCEPTED; THEREFORE, RESPONDENT MEMBER IS CENSURED AND FINED $10,000 - (ARTICLE III, SECTIONS 1 AND 27 OF THE RULES OF FAIR PRACTICE - RESPONDENT MEMBER FAILED TO ADEQUATLY AND PROPERLY SUPERVISE AN ACCOUNT EXECUTIVE OF THE FIRM). ***$10,000 PAID ON 9/26/94 INVOICE #94-04-538*** *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD DBCC FOR DISTRICT NO. 4 Date initiated: 08/03/1994 Docket/ Case Number: C04940012 Allegations: IT WAS ALLEGED THAT SHEARSON LEHMAN BROTHERS INC. VIOLATED ARTICLE III, SECTIONS 1 AND 27 OF THE ASSOCIATION'S RULES OF FAIR PRACTICE WHEN IT FAILED TO ADEQUATELY AND PROPERLY SUPERVISE AN ACCOUNT REPRESENTATIVE BY A)NEGLECTING TO SET FORTH WRITTEN PROCEDURES DETAILING THE APPROVAL EXCEPTIONS FOR ACCOUNT REPRESENTATIVES ACTING AS FIDUCIARIES FOR ACCOUNTS THEY SERVICE AND B) FAILING TO FOLLOW UP TO DETERMINE WHETHER APPROPRIATE SUPERVISORY ACTION WAS TAKEN WITH RESPECT TO AN ACCOUNT REPRESENTATIVE'S HANDLING OF A TRUST ACCOUNT. Current Status: Final Resolution: Consent Resolution Date: 08/03/1994 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $10,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, SHEARSON LEHMAN BROTHERS INC. CONSENTED TO THE FINDINGS AND AGREED TO A CENSURE AND A FINE IN THE AMOUNT OF $10,000.00. Summary: ****** REGULATORY ACTION (239 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 05/11/1994 Initiated By: VIRGINIA - STATE CORPORATION COMMISSION DIVISION OF SECURITIES Date initiated: 05/11/1994 Docket/ Case Number: SEC940047 NASD BrokerCheck October 12, 2005 Page 180 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Allegations: FIRM VIOLATED RULE 300 OF THE COMMISSION' SECURITIES ACT RULES PERTAINING TO NOTICE OF CIVIL, CRIMINAL AND ADMINISTRATIVE ACTION. SPECIFICALLY, RULE 303A.1, 300A.2, 300A.3 AND 300B. Current Status: Final Resolution: Decision Resolution Date: 05/11/1994 Sanctions Ordered: Monetary/Fine Monetary Amount: $1,000.00 Resolution Details: FIRM FINED $1,000.00 FOR ALLEGED VIOLATIONS OF RULE 300 AND ASSESSED $250.00 FOR INVESTIGATION COSTS. Summary: CONTACT HAZEL C. STEWART, SENIOR BROKER-DEALER EXAMINER, 804-371-9685. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: COMMONWEALTH OF VIRGINIA STATE CORPORATION COMMISSION Date initiated: 05/02/1994 Docket/ Case Number: SEC940047 Allegations: THE ORDER ALLEGED THAT SHEARSON LEHMAN BROTHERS INC. FAILED TO TIMELY NOTIFY THE STATE CORPORATION COMMISSION OF A CIVIL COMPLAINT FILED AGAINST THE FIRM. Current Status: Final Resolution: Consent Resolution Date: 05/02/1994 Sanctions Ordered: Monetary/Fine Monetary Amount: $1,000.00 Other Sanctions: $250.00 PAID TO STATE TO COVER COST OF INVESTIGATION. Resolution Details: ORDER OF SETTLEMENT ENTERED. SHEARSON LEHMAN BROTHERS INC. CONSENTED TO UNDERTAKING TO PAY A CIVIL PENALTY OF $1,000.00 AND TO REIMBURSE THE STATE $250.00 FOR THE COSTS OF ITS INVESTIGATION. Summary: THE ORDER OF SETTLEMENT NOTED THAT "LEHMAN BROTHERS DID NOT PARTICIPATE IN, NOR HAVE ANY RESPONSIBILITY FOR, ANY OF THE CONDUCT DISCUSSED IN THIS ORDER." ****** REGULATORY ACTION (240 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 02/16/1994 Initiated By: AMEX Date initiated: 09/03/1992 Docket/ Case Number: 92-D-20 Allegations: A STIPULTATION OF FACTS AND CONSENTS TO PENALTY WAS SUBSEQUENTLY ENTERED INTO BETWEEN THE EXCHANGE, SHEARSON AND WAS ACCEPTED BY AN EXCHANGE DISCIPLINARY PANEL AT A HEARING HELD ON DECEMBER 15, 1994. RESPONDENT SHEARSON CONSENTED TO A FINDING THAT IT VIOLATED EXCHANGE RULE 320 AND 411 IN THAT THE FIRM FAILED TO DILIGENTLY SUPERVISE PEYTON, SALYER, GYEVARA AND SALYER'S CUSTOMER ACCOUNTS BY NOT PREVENTING GUEVARA FROM a) ENTERING ORDERS FOR SALYER'S CUSTOMERS FOR THE PURCHASE OF NASD BrokerCheck October 12, 2005 Page 181 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) LFT SHARES AT OR NEAR THE CLOSE OF TRADING WHICH HAD THE EFFECT OF UNDULY INFLUENCING THE PRICE OF THAT SECURITY; AND b) IMPROPERLY RECORDING THE TIME WHEN ORDERS IN LFT WERE TRANSMITTED FOR EXECUTION. Current Status: Final Resolution: Consent Resolution Date: 02/16/1994 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $50,000.00 Resolution Details: SHEARSON WAS CENSURED AND FINED $50,000. Summary: Not Provided *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: AMERICAN STOCK EXCHANGE INC. Date initiated: 09/03/1992 Docket/ Case Number: N/A Allegations: IT WAS ALLEGED THAT SHEARSON LEHMAN BROTHERS INC. FAILED TO SUPERVISE RANDOLPH PEYTON, RONALD SALYER, MARIE GUEVARA, AND SALYER'S CUSTOMER ACCOUNTS. Current Status: Final Resolution: Consent Resolution Date: 10/12/1993 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $50,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, SHEARSON LEHMAN BROTHERS INC. AGREED TO A CENSURE AND FINE IN THE AMOUNT OF $50,000.00. Summary: ****** REGULATORY ACTION (241 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 03/08/1994 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 03/08/1994 Docket/ Case Number: C05930076 Allegations: Current Status: Final Resolution: Consent Resolution Date: 03/08/1994 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $10,000.00 Resolution Details: NASD BrokerCheck October 12, 2005 Page 182 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Summary: ON MARCH 8, 1994, DISTRICT NO. 5 NOTIFIED SHEARSON LEHMAN BROTHERS INC. (n/k/a LEHMAN BROTHERS INC.) AND RICHARD A. STROUD THAT THE LETTER OF ACCEPTANCE, WAIVER AND CONSENT NO. C05930076 WAS ACCEPTED; THEREFORE, RESPONDENT MEMBER IS CENSURED AND FINED $10,000; AND RESPONDENT STROUD IS CENSURED AND AGREES TO REQUALIFY AS A GENERAL SECURITIES PRINCIPAL BY TAKING AND PASSING THE SERIES 24 EXAMINATION WITHIN 90 DAYS OF THE ACCEPTANCE OF THIS AWC. IF RESPONDENT STROUD FAILS TO COMPLETE AND PASS THE SERIES 24 EXAMINATION WITHIN THAT TIME PERIOD, HE SHALL BE SUSPENDED FROM ACTING IN ANY PRINCIPAL, SUPERVISORY, OR BRANCH MANAGER CAPACITY UNTIL SUCH TIME AS HE DOES COMPLETE AND PASS THE SERIES 24 EXAMINATION. FURTHER RESPONDENT STROUD, MUST TAKE AND COMPLETE THE NEXT AVAILABLE IN-HOUSE TRAINING PROGRAM GIVEN BY HIS CURRENT MEMBER FIRM (SMITH BARNEY SHEARSON INC.) FOR ALL NEW BRANCH MANAGERS. IF THERE IS NO FIRM-WIDE TRAINING PROGRAM OFFERED ON OR BEFORE MARCH 31, 1994, HIS MEMBER FIRM WILL PROVIDE INDIVIDUAL TRAINING TO RESPONDENT STROUD BEFORE SUCH DATE, IN A MANNER SATISFACTORY TO THE NASD. - (ARTICLE III, SECTIONS 1 AND 27 OF THE RULES OF FAIR PRACTICE - RESPONDENT MEMBER, ACTING THROUGH RESPONDENT STROUD, FAILED AND NEGLECTED TO EXERCISE REASONABLE AND PROPER SUPERVISION OVER A REGISTERED REPRESENTATIVE OF THE FIRM IN CONNECTION WITH THE FIRM'S POLICY FOR CHECK DISBURSEMENT. SPECIFICAILLY, RESPONDENT MEMBER, ACTING THROUGH RESPONDENT STROUD, FAILED TO ADEQUATELY FOLLOW AND ENFORCE THE SUPERVISORY PROCEDURES IN PLACE FOR THE DISBURSEMENT OF CHECKS OUT OF CLIENT ACCOUNTS BY PERSONNEL IN A BRANCH OFFICE OF RESPONDENT MEMBER). ***$10,000.00 PAID ON 4/14/94, INVOICE #94-05-186. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD DBCC FOR DISTRICT NO. 5 Date initiated: 10/12/1993 Docket/ Case Number: C05930076 Allegations: IT WAS ALLEGED THAT SHEARSON LEHMAN BROTHERS INC. FAILED TO FOLLOW AND ENFORCE THE SUPERVISORY PROCEDURES IN PLACE FOR DISBURSEMENT OF CHECKS FROM CLIENT ACCOUNTS IN ITS TULSA, OKLAHOMA OFFICE. Current Status: Final Resolution: Consent Resolution Date: 10/12/1993 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $10,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, SHEARSON LEHMAN BROTHERS INC. CONSENTED TO A CENSURE AND FINE IN THE AMOUNT OF $10,000.00. Summary: ****** REGULATORY ACTION (242 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 03/09/1994 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 11/23/1993 Docket/ Case Number: CMS930091 AWC Allegations: Current Status: Final Resolution: Consent NASD BrokerCheck October 12, 2005 Page 183 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Resolution Date: 03/09/1994 Sanctions Ordered: Monetary/Fine Monetary Amount: $6,000.00 Resolution Details: Summary: 3/10/94: MARKET SURVEILLANCE COMMITTEE COMPLAINT #CMS930091 AWC (A) LETTER OF ACCEPTANCE, WAIVER AND CONSENT FILED NOVEMBER 23, 1993 AGAINST RESPONDENT MEMBER LEHMAN BROTHERS, INC. ALLEGING VIOLATIONS OF PART V, SECTION 2(d) OF SCHEDULE D FOR ENTERING NASDAQ QUOTATIONS CONTAINING EXCESS SPREADS. THE LETTER OF ACCEPTANCE, WAIVER AND CONSENT WAS ACCEPTED BY THE MARKET SURVEILLANCE COMMITTEE ON JAMUARY 31, 1994 AND BY THE NATIONAL BUSINESS CONDUCT COMMITTEE ON MARCH 9, 1994. **$6,000.00 FINE. ***$6,000.00 PAID ON 4/11/94, INVOICE #MS93-0091. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD - MARKET SURVEILLANCE COMMITTEE Date initiated: 03/09/1994 Docket/ Case Number: CMS 930091 AWC Allegations: IT WAS ALLEGED THAT, ON OCTOBER 5, 8 AND 11, 1993, LEHMAN BROTHERS INC. ENTERED INTO THE NASDAQ SYSTEM QUOTATIONS WHICH CONTAINED SPREADS IN EXCESS OF THE MAXIMUM ALLOWABLE SPREADS. Current Status: Final Resolution: Consent Resolution Date: 03/09/1994 Sanctions Ordered: Monetary/Fine Monetary Amount: $6,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, LEHMAN BROTHERS INC. CONSENTED TO THE ENTRY OF FINDINGS THAT IT VIOLATED PART V, SECTION 2(D) OF SCHEDULE D OF THE ASSOCIATION'S BY-LAWS. IN ADDITION, LEHMAN BROTHERS CONSENTED TO A FINE IN THE AMOUNT OF $250.00. Summary: ****** REGULATORY ACTION (243 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 03/09/1994 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 11/23/1993 Docket/ Case Number: CMS930089 AWC Allegations: Current Status: Final Resolution: Consent Resolution Date: 03/09/1994 Sanctions Ordered: Monetary/Fine Monetary Amount: $250.00 Resolution NASD BrokerCheck October 12, 2005 Page 184 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Details: Summary: 3/10/94: MARKET SURVILLANCE COMMITTEE COMPLAINT #CMS930089 AWC (A) LETTER OF ACCEPTANCE, WAIVER AND CONSENT FILED NOVEMBER 23, 1993 AGAINST RESPONDENT MEMBER LEHMAN BROTHERS, INC. ALLEGING VIOLATIONS OF ARTICLE III, SECTION 1 OF THE ASSOCIATION'S RULES OF FAIR PRACTICE IN THAT THAT RESPONDENTS UPDATED QUOTATIONS IN THE BULLETIN BOARD SYSTEM OUTSIDE THE ALLOWABLE TIME FOR UPDATING FOREIGN OR ADR SECURITIES ON THE BULLETIN BOARD. THE LETTER OF ACCEPTANCE, WAIVER AND CONSENT WAS ACCEPTED BY THE MARKET SURVEILLANCE COMMITTEE ON JANUARY 31, 1994 AND BY THE NATIONAL BUSINESS CONDUCT COMMITTEE ON MARCH 9, 1994. **$250.00 FINE. ***$250.00 PAID ON 4/05/94, INVOICE #MS93-0089. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD - MARKET SURVEILLANCE COMMITTEE Date initiated: 03/09/1994 Docket/ Case Number: CMS930089 AWC Allegations: IT WAS ALLEGED THAT, ON NOVEMBER 15, 1993, LEHMAN BROTHERS UPDATED QUOTATIONS ON THE BULLETIN BOARD SYSTEM IN THE SECURITY LONRHO LTD ADR (US)(LNRHY) OUTSIDE OF THE ALLOWABLE TIME FOR UPDATING FOREIGN OR ADR SECURITIES ON THE BULLETIN BOARD. Current Status: Final Resolution: Consent Resolution Date: 03/09/1994 Sanctions Ordered: Monetary/Fine Monetary Amount: $250.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, LEHMAN BROTHERS INC. CONSENTED TO AN ENTRY OF FINDINGS THAT IT VIOLATED ARTICLE III, SECTION 1 OF THE ASSOCIATION'S RULES OF FAIR PRACTICE. IN ADDITION, LEHMAN BROTHERS CONSENTED TO A FINE IN THE AMOUNT OF $250.00. Summary: ****** REGULATORY ACTION (244 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 07/17/1995 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 02/23/1994 Docket/ Case Number: C06940007 Allegations: Current Status: Final Resolution: Consent Resolution Date: 07/17/1995 Sanctions Ordered: Monetary/Fine, Disgorgement/Restitution, Censure Monetary Amount: $3,390.00 Resolution Details: Summary: COMPLAINT NO. C06940007 FILED FEBRUARY 23, 1994 BY DISTRICT NO. 6 AGAINST SHEARSON LEHMAN BROTHERS, INC. (k/n/a - LEHMAN NASD BrokerCheck October 12, 2005 Page 185 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) BROTHERS, INC.), FRANCIS M. MAGGIO AND PAUL C. DAVY ALLEGING VIOLATIONS OF ARTICLE III, SECTIONS 1, 2, 18 AND 27 OF THE RULES OF FAIR PRACTICE CONCERNING SUITABILITY IN THAT RESPONDENT DAVY EFFECTED TRANSACTIONS IN THE ACCOUNT OF A PUBLIC CUSTOMER WITHOUT HAVING REASONABLE GROUNDS FOR BELIEVING THAT SUCH TRANSACTIONS WERE SUITABLE FOR THE CUSTOMER BASED ON FACTS, IF ANY, DISCLOSED BY SUCH CUSTOMER AS TO HIS OTHER SECURITY HOLDINGS, FINANCIAL SITUTATION AND NEEDS; EFFECTED EXCESSIVE AND UNWARRANTED TRANSACTIONS IN THE ACCOUNT OF A PUBLIC CUSTOMER AT A LOSS IN EXCESS OF $8,000; MADE FALSE AND MISLEADING STATEMENTS TO A PUBLIC CUSTOMER; AND, RESPONDENTS MEMBER AND MAGGIO FAILED TO ADEQUATELY SUPERVISE THE ACTIVITIES OF RESPONDENT DAVY. DECISION RENDERED APRIL 17, 1995, WHEREIN THE COMPLAINT AGAINST RESPONDENT MAGGIO IS DISMISSED IN THAT THE DBCC DOES NOT BELIEVE THAT RESPONDENT MAGGIO FAILED TO SUPERVISE THE ACTIVITIES OF RESPONDENT DAVY AS ALLEGED IN THE COMPLAINT. THE DBCC BELIEVES THAT RESPONDENT MAGGIO ACTED IN ACCORDANCE WITH RESPONDENT MEMBER PROCEDURES IN EFFECT AT THE TIME OF THE ALLEGED VIOLATION. IF NO FURTHER ACTION, DECISION IS FINAL JUNE 2, 1995. ON JULY 17, 1995, THE DECISION AND ORDER OF ACCEPTANCE OF OFFER OF SETTLEMENT SUBMITTED BY RESPONDENTS MEMBER AND DAVY WAS ISSUED: THEREFORE, RESPONDENT DAVY IS CENSURED, FINED AND $5,000, ORDERED TO DISGORGE $4,786 IN COMMISSIONS; AND, RESPONDENT MEMBER IS CENSURED AND FINED $10,000, WHICH INCLUDES DISGORGEMENT OF $6,610 IN COMMISSIONS. **$10,000.00 PAID ON 8/4/95, INVOICE #95-06-445** *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD DBCC FOR DISTRICT NO. 6 Date initiated: 02/23/1994 Docket/ Case Number: C06940007 Allegations: DISTRICT NO. 6 ISSUED A COMPLAINT ALLEGING THAT SHEARSON LEHMAN BROTHERS INC., K/N/A LEHMAN BROTHERS INC., FAILED TO SUPERVISE A REGISTERED REPRESENTATIVE'S HANDLING OF A CUSTOMER ACCOUNT (SEE ITEM 13 BELOW). Current Status: Final Resolution: Consent Resolution Date: 07/17/1995 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $10,000.00 Resolution Details: AN OFFER OF SETTLEMENT WAS ACCEPTED BY THE DBCC FOR DISTRICT NO. 6 AND THE NATIONAL BUSINESS CONDUCT COMMITTEE. WITHOUT ADMITTING OR DENYING THE ALLEGATIONS OF THE COMPLAINT, LEHMAN BROTHERS CONSENTED TO AN ENTRY OF FINDINGS THAT IT VIOLATED ARTICLE III, SECTION 1 OF THE RULES OF FAIR PRACTICE. LEHMAN BROTHERS CONSENTED TO CENSURE AND A FINE IN THE AMOUNT OF $10,000.00. Summary: DISTRICT NO. 6 ALLEGED THAT DURING THE PERIOD JUNE 1987 THROUGH ABOUT DECEMBER 1988, A REGISTERED REPRESENTATIVE OF SHEARSON LEHMAN BROTHERS INC. EFFECTED UNAUTHORIZED AND EXCESSIVE TRADES WHICH WERE UNSUITABLE FOR THE CUSTOMER'S ACCOUNT AND THAT SHEARSON LEHMAN BROTHERS INC. FAILED TO SUPERVISE THE REGISTERED REPRESENTATIVE. ****** REGULATORY ACTION (245 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 12/20/1993 Initiated By: HEARING PANEL Date initiated: 12/20/1993 Docket/ Case Number: 93-137 NASD BrokerCheck October 12, 2005 Page 186 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Allegations: VIOLATED EXCHANGE RULE 390(a) BY EFFECTING AS PRINCIPAL TRANSACTIONS IN THE DOMESTIC OVER-THE-COUNTER MARKET BASKETS OF STOCKS WHICH INCLUDED EXCHANGE LISTED SECURITIES NOT ELIGIBLE FOR SUCH TRADING; VIOLATED EXCHANGE RULE 476(a)(11) BY FILING INCOMPLETE DAILY PROGRAM TRADING REPORTS WITH THE EXCHANGE; AND VIOLATED SEC REG. 240.17A-4(b)(1) BY FAILING TO PRESERVE RECORDS OF ORDERS. Current Status: Final Resolution: Consent Resolution Date: 12/20/1993 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $35,000.00 Resolution Details: CONSENT TO CENSURE AND $35,000 FINE. Summary: THE FINE MUST BE PAID WITHIN 45 DAYS. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NEW YORK STOCK EXCHANGE INC. - DIVISION OF ENFORCEMENT Date initiated: 11/01/1993 Docket/ Case Number: 93-137 Allegations: IT WAS ALLEGED THAT SHEARSON LEHMAN BROTHERS INC. VIOLATED NYSE RULES BY EFFECTING AS PRINCIPAL TRANSACTIONS IN THE DOMESTIC OTC MARKET BASKETS OF STOCKS WHICH INCLUDED EXCHANGE-LISTED SECURITIES NOT ELIGIBLE FOR SUCH TRADING, AND BY FILING INCOMPLETE DAILY PROGRAM TRADING REPORTS WITH THE EXCHANGE. IT WAS ALSO ALLEGED THAT SHEARSON LEHMAN BROTHERS VIOLATED SEC REGULATIONS BY FAILING TO PRESERVE RECORDS OF ORDERS. Current Status: Final Resolution: Consent Resolution Date: 12/20/1993 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $35,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, LEHMAN BROTHERS INC. CONSENTED TO THE FINDINGS OF THE NYSE AND AGREED TO A CENSURE AND A FINE IN THE AMOUNT OF $35,000.00. Summary: ****** REGULATORY ACTION (246 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 09/22/1993 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 07/20/1993 Docket/ Case Number: CMS930033 AWC Allegations: Current Status: Final Resolution: Consent Resolution Date: 09/21/1993 NASD BrokerCheck October 12, 2005 Page 187 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Sanctions Ordered: Monetary/Fine Monetary Amount: $5,000.00 Resolution Details: Summary: MARKET SURVEILLANCE COMPLAINT NO. CMS930033 AWC: THE FOLLOWING LETTER OF ACCEPTANCE, WAIVER AND CONSENT (AWC) FILED BY MSC ON 7/20/93, ALLEGES VIOLATIONS OF SECTION (c) 2(D) OF THE ASSOCIATION'S SOES RULES BY RESPONDENTS WAS ACCEPTED BY MSC ON 8/13/93 AND BY NBCC 9/21/93. FINE $5,000. **$5,000.00 PAID ON 11/17/93 INVOICE #93-MS-767** *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD - MARKET SURVEILLANCE COMMITTEE Date initiated: 07/20/1993 Docket/ Case Number: CMS930033 AWC Allegations: IT WAS ALLEGED THAT, DURING THE PERIOD OF MARCH 4 THROUGH JUNE 14, 1993, SHEARSON LEHMAN BROTHERS INC. ENTERED ORDERS ON AN AGENCY BASIS INTO SOES FOR SECURITIES FOR WHICH SHEARSON LEHMAN BROTHERS WAS A MARKET MAKER. AS SUCH, IT WAS ALLEGED THAT SHEARSON LEHMAN BROTHERS VIOLATED C)2(D) OF THE RULES AND PROCEDURES FOR SOES AND ARTICLE III, SECTION 1 OF THE ASSOCIATIONS RULES OF FAIR PRACTICE. Current Status: Final Resolution: Consent Resolution Date: 09/22/1993 Sanctions Ordered: Monetary/Fine Monetary Amount: $5,000.00 Resolution Details: SHEARSON LEHMAN BROTHERS INC. CONSENTED TO A FINE IN THE AMOUNT OF $5,000.00. Summary: ****** REGULATORY ACTION (247 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 08/27/1993 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 08/27/1993 Docket/ Case Number: C06930026 Allegations: Current Status: Final Resolution: Consent Resolution Date: 07/17/1995 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $10,000.00 Resolution Details: Summary: COMPLAINT NO. C06930026 FILED AUGUST 27, 1993 BY DISTRICT NO. 6 AGAINST LEHMAN BROTHERS INC., FRANK GERALD SARAN AND MARK JAMES STEVENSON ALLEGING VIOLATIONS OF ARTICLE III, SECTIONS NASD BrokerCheck October 12, 2005 Page 188 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) 1, 18 AND 27 OF THE RULES OF FAIR PRACTICE IN THAT RESPONDENT SARAN EXECUTED SECURITIES TRANSACTIONS FOR THE ACCOUNTS OF PUBLIC CUSTOMERS WITHOUT THE KNOWLEDGE OR CONSENT OF THE CUSTOMERS, AND IN THE ABSENCE OF WRITTEN OR ORAL AUTHORIZATION TO EXERCISE DISCRETION IN THE ACCOUNTS; AND, RESPONDENT MEMBER, ACTING THROUGH RESPONDENT STEVENSON, FAILED TO ESTABLISH, MAINTIAN AND ENFORCE A SUPERVISORY SYSTEM WHICH REQUIRED THE REVIEW OF CUSTOMER ACCOUNTS TO DETECT UNAUTHORIZED TRADING. ON DECEMBER 2, 1994, THE COMBINED (C06930026/C06940016) DECISION AND ORDER OF ACCEPTANCE OF OFFER OF SETTLEMENT SUBMITTED BY RESPONDENT SARAN WAS ACCEPTED; THEREFORE, HE IS CENSURED AND FINED $10,000. ON JULY 17, 1995, INC. THE DECISION AND ORDER OF ACCEPTANCE OF OFFER OF SETTLEMENT SUBMITTED BY RESPONDENT MEMBER WAS ISSUED: THERFORE, RESPONDENT MEMBER IS CENSURED AND FINED $10,000. THE COMMITTEE DETERMINED TO DISMISS THE COMPLIANT AGAINST RESPONDENT STEVENSON IN THAT THEY CONCLUDED THAT ANY SUPERVISORY DEFICIENCIES WHICH MAY HAVE EXISTED IN THE BRANCH OFFICE OF RESPONDENT MEMBER PROBABLY STEMMED FROM RESPONDENT MEMBER, RATHER THAN THE ACTIONS OR INACTIONS OF RESPONDENT STEVENSON. **$10,000.00 PAID ON 8/4/95, INVOICE #95-06-443** *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD DBCC FOR DISTRICT NO. 6 Date initiated: 08/27/1993 Docket/ Case Number: C06930026 Allegations: IT WAS ALLEGED THAT LEHMAN BROTHERS FAILED TO SUPERVISE THE ACTIVITY OF AGENT SARAN, SPECIFICALLY WITH REGARD TO REVIEW OF CUSTOMER ACCOUNTS TO DETECT UNAUTHORIZED TRADING. Current Status: Final Resolution: Consent Resolution Date: 07/17/1995 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $10,000.00 Resolution Details: AN OFFER OF SETTLEMENT WAS ACCEPTED BY THE DBCC FOR DISTRICT NO. 6 AND THE NATIONAL BUSINESS CONDUCT COMMITTEE. WITHOUT ADMITTING OR DENYING THE ALLEGATIONS OF THE COMPLAINT, LEHMAN BROTHERS CONSENTED TO AN ENTRY OF FINDINGS THAT IT VIOLATED ARTICLE III, SECTION 1 OF THE RULES OF FAIR PRACTICE. LEHMAN BROTHERS CONSENTED TO CENSURE AND A FINE OF $10,000.00. Summary: ****** REGULATORY ACTION (248 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 08/26/1993 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 04/28/1993 Docket/ Case Number: CMS930027 AWC Allegations: Current Status: Final Resolution: Consent Resolution Date: 08/26/1993 Sanctions Ordered: Monetary/Fine Monetary Amount: $250.00 NASD BrokerCheck October 12, 2005 Page 189 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Resolution Details: Summary: MARKET SURVEILLANCE COMPLAINT NO. CMS930027 AWC: THE FOLLOWING LETTER OF ACCEPTANCE, WAIVER AND CONSENT (AWC) FILED ON 4/28/93, ALLEGE VIOLATIONS OF ARTICLE III, SECTION 1 OF THE ASSOCIATION'S RULES OF FAIR PRACTICE IN THAT THE RESPONDENTS UPDATED QUOTATIONS IN THE BULLETIN BOARD SYSTEM OUTSIDE THE ALLOWABLE TIME FOR UPDATING FOREIGN OR ADR SECURITIES ON THE BULLETIN BOARD. ACCEPTED BY MSC ON 7/19/93 AND BY NBCC ON 8/26/93. FINE $250. **$250.00 PAID ON 9/30/93 INVOICE #93-MS-679** *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD - MARKET SURVEILLANCE COMMITTEE Date initiated: 06/10/1993 Docket/ Case Number: CMS930027 AWC Allegations: SHEARSON LEHMAN BROTHERS ALLEGEDLY VIOLATED ARTICLE III, SECTION 1 OF THE ASSOCIATION'S RULES OF FAIR PRACTICE BY UPDATING QUOTATIONS OF CERTAIN SECURITIES IN THE BULLETIN BOARD SYSTEM OUTSIDE OF THE ALLOWABLE TIME FOR UPDATING FOREIGN OR ADR SECURITIES ON THE BULLETIN BOARD. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 08/26/1993 Sanctions Ordered: Monetary/Fine Monetary Amount: $250.00 Resolution Details: SHEARSON LEHMAN BROTHERS CONSENTED TO A FINE IN THE AMOUNT OF $250.00. Summary: ****** REGULATORY ACTION (249 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 08/18/1993 Initiated By: VIRGINIA - STATE CORPORATION COMMISSION DIVISION OF SECURITIES Date initiated: 08/18/1993 Docket/ Case Number: SEC930034 Allegations: ALLEGED THAT SHEARSON LEHMAN BROTHERS VIOLATED THE VIRGINIA SECURITIES ACT RULE 305A.6 IN THAT THE FIRM THROUGH ITS AGENT EXECUTED A TRANSACTION OR TRANSACTIONS IN A MARGIN ACCOUNT WITHOUT SECURING FROM THE CUSTOMER A PROPERLY EXECUTED MARGIN AGREEMENT PROMPTLY AFTER THE INITIAL TRANSACTION IN THE ACCOUNT. Current Status: Final Resolution: Consent Resolution Date: 08/18/1993 Sanctions Ordered: Monetary/Fine Monetary Amount: $5,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING ALLEGATIONS, SHEARSON LEHMAN BROTHERS, AGREED TO A PENALTY TO THE COMMONWEALTH OF VIRGINIA IN THE AMOUNT OF $5,000, REIMBURSE CUSTOMER FOR MARGIN NASD BrokerCheck October 12, 2005 Page 190 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) INTEREST CHARGED ACCOUNT AND PAY COSTS OF THE DIVISION'S INVESTIGATION. Summary: CONTACT: CONTACT BRIAN SILVERMAN, BROKER-DEALER EXAMINER, 804-371-9415. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: COMMONWEALTH OF VIRGINIA Date initiated: 09/01/1993 Docket/ Case Number: SEC930034 Allegations: THE COMMONWEALTH OF VIRGINIA ALLEGED THAT SHEARSON EXECUTED SECURITIES TRANSACTIONS IN MARGIN IN A CUSTOMER ACCOUNT WITHOUT A PROPERLY EXECUTED CLIENT AGREEMENT. Current Status: Final Resolution: Settled Resolution Date: 09/01/1993 Sanctions Ordered: Monetary/Fine, Disgorgement/Restitution Monetary Amount: $6,000.00 Other Sanctions: RESTITUTION TO CUSTOMER OF $3,532.69. Resolution Details: $6,000.00 TO VIRGINIA (REPRESENTING A 5K FINE AND 1K IN INVESTIGATION COST); $3,532.69 TO CUSTOMER (REPRESENTING MARGIN INTEREST CHARGED). Summary: ****** REGULATORY ACTION (250 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 03/11/1991 Initiated By: CORP AND SECURITIES BUREAU, STATE OF MICHIGAN Date initiated: 03/11/1991 Docket/ Case Number: BD 8089 Allegations: CONSENT ORDER TO CENSURE, TO C&D, TO IMPOSE CIVIL PENALTY AND IMPOSE SANCTIONS--204 (a) (1) (T), 204 (a) (1) (T), 204 (a) (2) ETC--- RESPONDENT PAID $50,000 PENALTY GS-----NT Current Status: Final Resolution: Consent Resolution Date: 03/11/1991 Sanctions Ordered: Censure, Cease and Desist/Injunction Resolution Details: SEE ABOVE Summary: SEE ABOVE CONTACT: 517-334-6215 *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: STATE OF MICHIGAN Date initiated: 02/19/1991 Docket/ NASD BrokerCheck October 12, 2005 Page 191 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Case Number: BD 8089 Allegations: IT WAS ALLEGED SHEARSON LEHMAN BROTHERS INC VIOLATED CERTAIN MARGIN RULES AND RULES PERTAINING TO EXTENSION OF CREDIT DURING THE PERIOD MAY 9, 1986 THROUGH APPROXIMATELY MAY 27, 1987. Current Status: Final Resolution: Consent Resolution Date: 02/19/1991 Sanctions Ordered: Monetary/Fine, Censure, Cease and Desist/Injunction Monetary Amount: $50,000.00 Resolution Details: FIRM AGREED TO THE ENTRY OF A CONSENT ORDER TO CENSURE, TO CEASE AND DESIST, TO IMPOSE CIVIL PENALTY AND IMPOSE SANCTIONS PURSUANT TO THE MICHIGAN ACT BY THE MICHIGAN SECURITIES BUREAU. PRIOR TO THE ENTRY OF THE CONSENT ORDER, SHEARSON, OF ITS OWN VOLITION, INSTITUTED NEW POLICIES AND PROCEDURES TO RECTIFY THE VIOLATIONS ALLEGED IN THE CONSENT DECREE. AS A SETTLEMENT, SHEARSON HAS BEEN CENSURED, AGREED TO CEASE AND DESIST FROM ANY PRACTICE OR ACT CONSTITUTING A VIOLATION OF THE ACT DURING THE PERIOD MAY 9, 1986 TO ON OR ABOUT MAY 27, 1987 AND AGREED TO PAY A CIVIL PENALTY AND COSTS OF INVESTIGATION TOTALLING $50,000.00. Summary: ****** REGULATORY ACTION (251 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 02/03/1993 Initiated By: FLORIDA DIVISION OF SECURITIES AND INVESTOR PROTECT*See FAQ #1* Date initiated: 02/03/1993 Docket/ Case Number: 1805-S-12/92 Allegations: THE DEPARTMENT ALLEGES RESPONDENT SHEARSON LEHMAN BROTHERS, INC. ALLOWED UNREGISTERED SALES ASSISTANTS TO ENGAGE IN ACTIVITIES REQUIRING REGISTRATION. Current Status: Final Resolution: Consent Resolution Date: 02/03/1993 Sanctions Ordered: Monetary/Fine Monetary Amount: $5,000.00 Resolution Details: ON FEBRUARY 3, 1993, THE FLORIDA DEPARTMENT OF BANKING AND FINANCE ENTERED INTO A FINAL ORDER AND STIPULATION AND CONSENT AGREEMENT WITH RESPONDENT SHEARSON LEHMAN BROTHERS, INC. RESPONDENT AGREES TO ENGAGE IN ACTIVITIES WHICH WOULD REQUIRE REGISTRATION; TO PAY AN ADMINISTRATIVE FINE OF $5,000 AND TO PAY ANOTHER $5,000 TO THE FLORIDA COUNCIL ON ECONOMIC EDUCATION. Summary: Not Provided *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: STATE OF FLORIDA DIV OF SECURITIES AND INVESTOR PROTECTION Date initiated: 11/12/1990 Docket/ Case Number: 1805-S-12/92 NASD BrokerCheck October 12, 2005 Page 192 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Allegations: THE STATE ALLEGED THAT IN 1987 AND 1988, SHEARSON LEHMAN BROTHERS UTILIZED, IN TWO BRANCH OFFICES IN FLORIDA, UNREGISTERED SALES ASSISTANTS, WHOSE DUTIES WERE MORE THAN JUST CLERICAL AND MINISTERIAL. Current Status: Final Resolution: Stipulation and Consent Resolution Date: 01/04/1993 Sanctions Ordered: Monetary/Fine Monetary Amount: $5,000.00 Other Sanctions: ADDITIONAL $5,000.00 CONTRIBUTION TO THE FLORIDA COUNCIL ON ECONOMIC EDUCATION. Resolution Details: SHEARSON LEHMAN BROTHERS CONSENTED TO THE STIPULATION AND AGREED TO PAY A $5,000.00 ADMINISTRATIVE FINE AND MAKE A $5,000.00 CONTRIBUTION TO THE FLORIDA COUNCIL ON ECONOMIC EDUCATION. Summary: ****** REGULATORY ACTION (252 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 04/07/1993 Initiated By: MARYLAND DIVISION OF SECURITIES Date initiated: 04/07/1993 Docket/ Case Number: BD-93-0128 Allegations: THE MARYLAND SECURITIES COMMISSIONER ALLEGED THAT SHEARSON VIOLATED THE MARYLAND SECURITIES ACT BY FAILING TO AMEND CERTAIN FORM U-4 FILINGS IN A TIMELY AND EXPEDITIOUS MANNER. Current Status: Final Resolution: Consent Resolution Date: 04/07/1993 Sanctions Ordered: Resolution Details: SHEARSON HAS NOW IMPLEMENTED PROCEDURES DESIGNED TO AVOID SUCH FUTURE VIOLATIONS AND IN SETTLEMENT OF THIS PROCEEDING, THE COMMISSIONER ACCEPTED A CONSENT ORDER WHEREIN SHEARSON AGREED TO COMPLY WITH THE ACT IN THE FUTURE AND PAYMENT OF ADMINISTRATIVE COSTS IN THE AMOUNT OF $30,000.00. Summary: N/A *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: STATE OF MARYLAND DIVISION OF SECURITIES Date initiated: 04/05/1993 Docket/ Case Number: BD-93-0128 Allegations: FAILURE TO PROMPTLY AMEND CERTAIN FORM U-4 FILINGS PRIOR TO 1992. Current Status: Final Resolution: Settled Resolution Date: 04/07/1993 NASD BrokerCheck October 12, 2005 Page 193 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Sanctions Ordered: Monetary/Fine Monetary Amount: $30,000.00 Resolution Details: PAYMENT OF $30,000.00 IN ADMINISTRATIVE COSTS. Summary: ****** REGULATORY ACTION (253 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 03/17/1993 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 03/17/1993 Docket/ Case Number: C04920071 Allegations: Current Status: Final Resolution: Consent Resolution Date: 03/17/1993 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $2,500.00 Resolution Details: Summary: ON MARCH 17, 1993, THE LETTER OF ACCEPTANCE, WAIVER AND CONSENT NO. C04920071 (DISTRICT NO. 4) SUBMITTED BY SHEARSON LEHMAN BROTHERS INC. WAS ACCEPTED; THEREFORE, RESPONDENT MEMBER IS CENSURED AND FINED $2,500 - (ARTICLE III, SECTIONS 1 AND 27 OF THE RULES OF FAIR PRACTICE - RESPONDENT MEMBER FAILED TO ADEQUATELY AND PROPERLY SUPERVISE A FORMER REGISTERED REPRESENTATIVE IN THAT IT FAILED TO ENSURE THAT PUBLIC CUSTOMERS RECEIVED ACTIVITY LETTERS AND FAILED TO ENSURE THAT A BRANCH OFFICE WAS ADEQUATELY STAFFED WITH SUPERVISORY PERSONNEL SO THAT REGISTERED REPRESENTATIVES AT THAT BRANCH OFFICE COULD BE PROPERLY SUPERVISED). **$2.500.00 PAID ON 4/12/93 INVOICE #93-04-338** *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD DBCC NO. 4 Date initiated: 01/30/1993 Docket/ Case Number: C04920071 Allegations: IT WAS ALLEGED THAT SHEARSON LEHMAN BROTHERS INC., FROM APRIL 1988 TO DECEMBER 1988, FAILED TO ADEQUATELY AND PROPERLY SUPERVISE AN INVESTMENT REPRESENTATIVE'S SALES ACTIVITIES. Current Status: Final Resolution: Consent Resolution Date: 03/17/1993 Sanctions Ordered: Monetary/Fine Monetary Amount: $2,500.00 Resolution Details: WITHOUT ADMITTING OR DENYING ANY VIOLATIVE ACTIVITY, SHEARSON LEHMAN BROTHERS INC. CONSENTED TO THE NASD'S FINDINGS AND AGREED TO A CENSURE AND FINE OF $2,500.00. NASD BrokerCheck October 12, 2005 Page 194 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Summary: ****** REGULATORY ACTION (254 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 05/18/1993 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 11/13/1992 Docket/ Case Number: C8A920084 Allegations: Current Status: Final Resolution: Consent Resolution Date: 05/18/1993 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $5,000.00 Resolution Details: Summary: COMPLAINT NO. C8A920084 (DISTRICT NO. 8) FILED NOVEMBER 13, 1992 AGAINST RESPONDENTS SHEARSON LEHMAN BROTHERS, INC., WILLARD S. STAWSKI AND DAVID S. WILLIAMS ALLEGING VIOLATIONS OF ARTICLE III, SECTIONS 1, 2 AND 27 OF THE RULES OF FAIR PRACTICE IN THAT RESPONDENT STAWSKI RECOMMENDED TO 16 PUBLIC CUSTOMERS THAT THEY LIQUIDATE THEIR HOLDINGS IN CERTAIN SECURITIES AND PURCHASE ANOTHER SECURITY WITHOUT HAVING A REASONABLE BASIS FOR BELIEVING THAT SUCH RECOMMENDATIONS WERE SUITABLE FOR THE CUSTOMERS IN VIEW OF THEIR FINANCIAL SITUATIONS AND NEEDS AND INVESTMENT OBJECTIVES; AND, IN CONNECTION WITH THE ABOVE ACTIVITIES, RESPONDENT MEMBER, ACTING THROUGH RESPONDENT WILLIAMS, FAILED TO ESTABLISH, MAINTAIN AND ENFORCE ADEQUATE WRITTEN SUPERVISORY PROCEDURES OR TO OTHERWISE SUPERVISE RESPONDENT STAWSKI PROPERLY TO PREVENT OCCURRENCE OF SUCH VIOLATIONS. DECISION RENDERED MAY 18, 1993 WHEREIN THE OFFER OF SETTLEMENT SUBMITTED BY RESPONDENTS WAS ACCEPTED; THEREFORE, RESPONDENT MEMBER IS CENSURED AND FINED $5,000, AND RESPONDENT STAWSKI IS CENSURED, FINED $7,500 AND REQUIRED TO REQUALIFY BY EXAMINATION AS A GENERAL SECURITIES REPRESENTATIVE WITHIN 90 DAYS OF THE DATE OF THIS DECISION OR CEASE ACTING IN SUCH A CAPACITY UNTIL HE HAS SO REQUALIFIED. THIS DECISION SHALL SERVE AS A LETTER OF CAUTION AS TO RESPONDENT WILLIAMS. ***$5,000.00 PAID ON 6/15/93 INVOICE #93-8A-425*** *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD DISTRICT NO. 8 (CHICAGO) Date initiated: 11/13/1992 Docket/ Case Number: C8A920084 Allegations: ALLEGED TO HAVE FAILED TO SUPERVISE A REGISTERED REPRESENTATIVE WHO IS ALLEGED TO HAVE MADE UNSUITABLE RECOMMENDATIONS TO CLIENTS CONCERNING THE PURCHASE OF MUTUAL FUND SHARES. Current Status: Final Resolution: Consent Resolution Date: 05/19/1993 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $5,000.00 Resolution NASD BrokerCheck October 12, 2005 Page 195 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Details: CONSENTED TO A PENALTY OF A CENSURE AND A $5,000.00 FINE. Summary: SETTLED THIS MATTER BY CONSENTING TO THE SANCTIONS WITHOUT ADMITTING OR DENYING THE NASD'S FINDINGS. ****** REGULATORY ACTION (255 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 09/18/1992 Initiated By: SECURITIES AND EXCHANGE COMMISSION Date initiated: 09/18/1992 Docket/ Case Number: Allegations: Current Status: Final Resolution: Consent Resolution Date: 09/18/1992 Sanctions Ordered: Cease and Desist/Injunction Resolution Details: Summary: +10/6/92+ SEC NEWS DIGEST, ISSUE 92-182, DATED SEPTEMBER 18, 1992 ADMINISTRATIVE PROCEEDINGS DISCLOSES; "ORDER INSTITUTING PROCEEDINGS, MAKING FINDINGS AND IMPOSING SANCTIONS AGAINST SHEARSON LEHMAN BROTHERS, INC."; THE COMMISSION INSTITUTED PUBLIC ADMINISTRATIVE PROCEEDINGS AGAINST SHEARSON LEHMAN BROTHERS, INC., PURSUANT TO SECTIN 21C OF THE SECURITIES EXCHANGE ACT OF 1934. THE COMMISSION SIMULTANEOUSLY ACCEPTED SHEARSON'S OFFER OF SETTLEMENT WHEREBY, WITHOUT ADMITTING OR DENYING THE CONTENTS THEREOF, SHEARSON CONSENTED TO ENTRY OF AN ORDER FINDING THAT SHEARSON VIOLATED SECTIONS 7(c), 8(a), AND 17(a) OF THE EXCHANGE ACT, AND REGULATION T PROMULGATED BY THE FEDERAL RESERVE BOARD. THE ORDER REQUIRES SHEARSON TO CEASE AND DESIST FROM COMMITTING OR CAUSING SUCH VIOLATIONS, AND TO ADOPT AND MAINTAIN MEASURES TO ASSURE COMPLAINCE WITH THOSE PROVISIONS. THE COMMISSION FOUND THAT, BETWEEN JANUARY 1986 AND OCTOBER 1988, SHEARSON BORROWED SECURITIES TO CAPTURE STOCK DIVIDENDS AT A DISCOUNT PURSUANT TO DIVIDEND REINVESTMENT PLANS (DRIPS) OFFERED BY VARIOUS ISSUERS. SHEARSON CONCURRENTLY MAINTAINED A PROFIT-SHARING ARRANGMENT WITH ITS CUSTOMERS, PRINCETON NEWPORT PARTNERS, L.P., PURSUANT TO WHICH SHEARSON EFFECTED A SERIES OF PURPORTED TRADES WITH PRINCETON DESIGNED TO RENDER SHEARSON THE RECORD OWNER OF THE SECURITIES FOR DIVIDEND ELECTION PURPOSES WITHOUT EXPOSING THE PARTIES TO NORMAL MARKET RISK. PARTICIPATION IN DRIPS DOES NOT GIVE RISE TO A PERMITTED PURPOSE TO BORROW SECURITIES UNDER SECTION 16 OF REGULATION T. (REL. 34-31196) *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 06/08/2001 Initiated By: SEC Date initiated: 09/17/1992 Docket/ Case Number: FILE NO. 3-7853 Allegations: PROCEEDING INVOLVED CERTAIN PURCHASE AND SALE TRANSACTIONS WHICH RESULTED IN THE BORROWING OF SECURITIES BY SHEARSON IN ORDER TO TAKE ADVANTAGE OF REDUCED STOCK PRICES AVAILABLE UNDER DIVIDEND REINVESTMENT PLANS OFFERED BY VARIOUS ISSUERS. PURSUANT TO THESE PLANS, COMMONLY REFERRED TO AS AS "DRIPS", SHAREHOLDERS OF RECORD MAY ELECT TO RECEIVE DIVIDENDS IN THE FORM OF ADDITIONAL STOCK AT A DISCOUNT TO MARKET PRICE DIRECTLY FROM THE ISSUER IN LIEU OF CASH. SHEARSON WAS ALLEGED TO HAVE FAILED TO GIVE RISE TO A "PERMITTED PURPOSE" TO BORROW SECURITIES UNDER REGULATION T AND HAD THE EFFECT OF ACCOMPLISHING INDIRECTLY WHAT WAS PROHIBITED BY THE FEDERAL RESERVE BULLETINS DURING THE PERIOD JANUARY 1986 AND OCTOBER 1988. NASD BrokerCheck October 12, 2005 Page 196 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Current Status: Final Resolution: Consent Resolution Date: 09/17/1992 Sanctions Ordered: Cease and Desist/Injunction Resolution Details: SEC ACCEPTED ORDER OF SETTLEMENT SUBMITTED BY SHEARSON. WITHOUT ADMITTING OR DENYING THE MATTERS SET FORTH THEREIN, SHEARSON CONSENTED TO THE ISSUANCE BY THE SEC OF THE ORDER WHICH 1) MADE FINDINGS THAT SHEARSON VIOLATED SECTIONS 7(C), 8(A) AND 17(A) OF THE EXCHANGE ACT, RULES 17A-3 AND 17A-4 THEREUNDER AND SECTION 16 OF REGULATION T, 2) ORDERED THAT SHEARSON (I) CEASE AND DESIST FROM COMMITTING OR CAUSING ANY VIOLATION, AND COMMITTING ANY FUTURE VIOLATIONS OF ABOVE, AND (II) ADOPT, IMPLEMENT AND MAINTAIN INTERNAL PROCEDURES, POLICIES AND CONTROLS WHICH ARE REASONABLY DESIGNED TO ASSURE COMPLIANCE WITH ABOVE RULES AND REG T. Summary: ****** REGULATORY ACTION (256 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 08/10/1992 Initiated By: STATE OF OREGON, DEPARTMENT OF INSURANCE AND FINANC*See FAQ #1* Date initiated: 08/10/1992 Docket/ Case Number: 0-92-0025 Allegations: UNLICENSED SALESPERSONS, VIOLATION OF PREVIOUS CEASE AND DESIST ORDER. Current Status: Final Resolution: Consent Resolution Date: 08/10/1992 Sanctions Ordered: Cease and Desist/Injunction Resolution Details: SHEARSON CONSENTED TO THE ENTRY OF A CEASE AND DESIST ORDER, PAID A CIVIL PENALTY OF $105,000 AND CONTRIBUTED $35,000 TO THE OREGON INVESTOR EDUCATION ACCOUNT. Summary: SHEARSON TRANSACTED BROKER-DEALER BUSINESS IN OREGON THROUGH UNLICENSED SALESPERSONS, VIOLATING ADMINISTRATIVE ORDER 0-91-0019 ISSUED 12-6-91. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: STATE OF OREGON Date initiated: 08/10/1992 Docket/ Case Number: 0-92-0025 Allegations: SHEARSON ENGAGED IN SECURITIES TRANSACTIONS VIOLATIVE OF OREGON SECURITIES AGENT REGISTRATION PROVISION. MATTER INVOLVED SECURITIES TRANSACTIONS EFFECTED FOR OREGON CUSTOMERS DURING PERIOD NOV 1991 THROUGH MARCH 1992 BY SHEARSON FINANCIAL CONSULTANTS WHO WERE NOT ROKER-DEALER AGENT-LICENSED IN OREGON WHEN THEY EFFECTED THE TRANSACTIONS. THESE TRANSACTIONS WERE EFFECTED IN VIOLATION OF A DECEMBER 1991 CONSENT ORDER ENTERED INTO BY SHEARSON WITH THE DIVISION (PREVIOUSLY REPORTED ON SHEARSON'S JANUARY 28, 1992 AMENDMENT TO FORM BD) AND WERE REPORTED TO THE DIVISION PURSUANT TO THE REQUIREMENTS OF THAT ORDER. Current Status: Final NASD BrokerCheck October 12, 2005 Page 197 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Resolution: Consent Resolution Date: 08/10/1992 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Monetary Amount: $105,000.00 Other Sanctions: COMPLY WITH UNDERTAKINGS Resolution Details: SHEARSON CONSENTED TO THE FINDING THAT IT ENGAGED IN SECURITIES TRANSACTIONS VIOLATIVE OF OREGON SECURITIES AGENT REGISTRATION PROVISIONS. SHEARSON ALSO CONSENTED TO BEING ORDERED TO 1) CEASE AND DESIST FROM FURTHER VIOLATIONS OF OREGON'S REGISTRATION PROVISIONS; 2) TO PAY $105,000.00 IN CIVIL PENALTIES; AND 3) COMPLY WITH CERTAIN UNDERTAKINGS, INCLUDING ISSUING A MORE STRINGENT COMPLIANCE ALERT INVOLVING REGISTRATION REQUIREMENTS, RESTRUCTURING EDUCATION EFFORTS CONCERNING REGISTRATION AND CONTINUING TO REPORT TO THE DIVISION, ON A QUARTERLY BASIS, ALL TRANSACTIONS EFFECTED FOR OREGON CUSTOMERS BY UNREGISTERED FINANCIAL CONSULTANTS. Summary: IN IMPOSING PENALTIES, THE DIVISION CONSIDERED EFFORTS SHEARSON HAD MADE TO CURB VIOLATIVE TRANSACTIONS AND A CONTRIBUTION IN THE AMOUNT OF $35,000.00 THAT SHEARSON HAD MADE TO THE OREGON INVESTOR EDUCATION ACCOUNT. ****** REGULATORY ACTION (257 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 07/13/1992 Initiated By: NYSE HEARING PANEL Date initiated: 07/13/1992 Docket/ Case Number: 92-84 Allegations: EFFECTED AND/OR CAUSED TO BE EFFECTED A TRANSACTION FOR THE PURPOSE OF IMPROPERLY INFLUENCING THE CLOSING PRICE OF A STOCK, WHICH PRICE WAS ALSO USED TO DETERMINE THE OFFERING PRICE OF AN UNDERWRITING; VIOLATED EXCHANGE RULE 342 IN THAT THE FIRM EMPLOYED PROCEDURES WHICH FAILED TO CONTROL ADEQUATELY INFORMATION AS TO RESEARCH RATINGS CHANGES AND THEIR USE AND FAILED TO SUPERVISE ADEQUATELY ASPECTS OF ITS "CHINESE WALL" PROCEDURE Current Status: Final Resolution: Consent Resolution Date: 07/13/1992 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $500,000.00 Resolution Details: CONSENT TO A CENSURE, A FINE OF $500,000 AND AN UNDERTAKING TO REVIEW CERTAIN PROCEDURES AND IMPLEMENT RECOMMENDATIONS. Summary: THE FIRM SHALL UNDERTAKE TO COMPLETE A REVIEW UNDER THE SUPERVISION OF THE AUDIT COMMITTEE OF THE BOARD OF DIRECTORS OF THE FIRM OF ITS PROCEDURES RELATING TO THE INTENDED DISSEMINATION OF EQUITIES TRADING RESEARCH INFORMATION, CHINESE WALL AND SURVEILLANCE PROCEDURES WHICH REVIEW WILL BE IN ADDITION TO ANY REGULARLY SCHEDULED AUDIT, AND A WRITTEN REPORT OF THE FINDINGS AND RECOMMENDATIONS OF SUCH REVIEW WILL BE SUBMITTED TO THE AUDIT COMMITTEE. THE FIRM FURTHER UNDERTAKES TO IMPLEMENT ALL RECOMMENDATIONS OF THE AUDIT COMMITTEE RESULTING FROM THE AFOREMENTIONED REPORT, AND SUBMIT TO THE DIVISION OF ENFORCEMENT A COPY OF SUCH REPORT AND THE AUDIT COMM ITTEE RESULTING FROM THE AFOREMENTIONED REPORT, AND SUBMIT TO THE DIVISION OF ENFORCEMENT A COPY OF SUCH REPORT AND THE AUDIT COMMITTEE RECOMMENDATIONS. THE FIRM FURTHER UNDERTAKES TO PROVIDE THE DIVISION WITH A WRITTEN REPRESENTATION THAT ALL RECOMMENDATIONS HAVE BEEN IMPLEMENTED BY DECEMBER 22, 1992. NASD BrokerCheck October 12, 2005 Page 198 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NEW YORK STOCK EXCHANGE Date initiated: 07/13/1992 Docket/ Case Number: DECISION 92-84 Allegations: NYSE'S INVESTIGATION INVOLVED PRICING BY LEHMAN BROTHERS, A DIVISION OF SHEARSON LEHMAN BROTHERS INC, OF CONAGRA'S NOVEMBER 1990 PUBLIC OFFERING. THE NYSE ALLEGED THAT SHEARSON, THROUGH CERTAIN EMPLOYEES, EFFECTED A TRANSACTION FOR THE PURPOSE OF IMPROPERLY INFLUENCING THE CLOSING PRICE OF AN UNDERWRITING, WHEREIN LEHMAN WAS THE SOLE UNDERWRITER. Current Status: Final Resolution: Consent Resolution Date: 07/13/1992 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $500,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, SHEARSON CONSENTED TO FINDINGS THAT IT VIOLATED NYSE RULES 342 AND 401, AND TO THE IMPOSITION OF CENSURE AND A FINE OF $500,000.00. SHEARSON ALSO AGREED TO REVIEW, UNDER SUPERVISION OF ITS AUDIT COMMITTEE, INTERNAL POLICIES AND PROCEDURES AND RELATED SURVEILLANCE OF TRADES EXECUTED IN PROPRIETARY ACCOUNTS. Summary: ****** REGULATORY ACTION (258 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 07/07/1992 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 07/07/1992 Docket/ Case Number: C10910218 Allegations: Current Status: Final Resolution: Consent Resolution Date: 07/07/1992 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $20,000.00 Resolution Details: Summary: ON JULY 7, 1992, THE LETTER OF ACCEPTANCE, WAIVER AND CONSENT NO. C10910218 (DISTRICT NO. 10) SUBMITTED BY SHEARSON LEHMAN BROTHERS, INC. WAS ACCEPTED; THEREFORE, RESPONDENT MEMBER IS CENSURED AND FINED $20,000 - (ARTICLE III, SECTION 1 OF THE RULES OF FAIR PRACTICE AND SCHEDULE E OF THE NASD BY-LAWS - IN CONTRAVENTION OF THE FREE-RIDING AND WITHHOLDING INTERPRETATION, RESPONDENT MEMBER EFFECTED THE SALES OF SIX HOT ISSUES TO THREE INVESTMENT PARTNERSHIPS/HEDGE FUNDS WITHOUT OBTAINING THE NAMES AND/OR BUSINESS CONNECTIONS OF ALL INDIVIDUALS HAVING A BENFICIAL INTEREST IN THE ACCOUNTS; EFFECTED SALES IN DISCRETIONARY ACCOUNTS WITHOUT OBTAINING PRIOR SPECIFIC WRITTEN APPROVAL OF THE CUSTOMERS; AND, FAILED TO DISCLOSE ON CONFIRMATIONS OF PRINCIPAL RETAIL TRANSACTIONS THE PRICE REPORTED TO NASDAQ AND DID NOT DISCLOSE MARK-UP/MARK-DOWN TO CUSTOMERS). **$20,000.00 PAID ON 8/18/92 INVOICE #92-10-677** NASD BrokerCheck October 12, 2005 Page 199 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 06/11/2001 Initiated By: NASD DISTRICT NO. 10 Date initiated: 07/07/1992 Docket/ Case Number: C-10910218 AWC Allegations: NASD'S ACTIONS AROSE OUT OF AN AUDIT CONDUCTED BETWEEN DECEMBER 19, 1990 AND APRIL 8, 1991. THE FIRM ALLEGEDLY VIOLATED THE FREERIDING AND WITHHOLDING INTERPRETATION IN THAT IT DID NOT HAVE REQUIRED DOCUMENTS ON FILE FOR THREE ACCOUNTS WHICH PURCHASED "HOT ISSUES". FURTHER, THE NASD ALLEGED THAT, IN NINETEEN INSTANCES, THE FIRM VIOLATED SCHEDULE E, SECTION 16 OF THE NASD'S BYLAWS BY ALLOWING DISCRETIONARY ACCOUNTS TO PURCHASE NEWLY-ISSUED AMERICAN EXPRESS STOCK WITHOUT OBTAINING THE PRIOR CONSENT OF THE CUSTOMERS IN WRITING. FINALLY, THE NASD ALLEGED THAT THE FIRM'S DISCLOSURE ON CONFIRMATIONS OF TRANSACTIONS IN PREFERRED SECURITIES TRADED OVER-THE-COUNTER WAS INADEQUATE. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 07/07/1992 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $20,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING GUILT, THE FIRM CONSENTED TO THE NASD'S FINDINGS AND WAS FINED $20,000.00. Summary: ****** REGULATORY ACTION (259 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 04/07/1992 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 02/11/1992 Docket/ Case Number: CMS920024 AWC Allegations: Current Status: Final Resolution: Consent Resolution Date: 04/07/1992 Sanctions Ordered: Monetary/Fine Monetary Amount: $250.00 Resolution Details: Summary: MARKET SURVEILLANCE COMMITTEE COMPLAINT #CMS920024 AWC (A) LETTER OF ACCEPTANCE, WAIVER AND CONSENT FILED FEBRUARY 11, 1992 AGAINST RESPONDENT MEMBER LEHMAN BROTHERS ALLEGING VIOLATIONS OF PART VI, SECTION 5(a) OF SCHEDULE D IN THAT THE FOLLOWING RESPONDENTS FAILED TO REPORT THEIR NASDAQ VOLUME: THE LETTER OF ACCEPTANCE, WAIVER AND CONSENT WAS ACCEPTED BY THE MARKET SURVEILLANCE COMMITTEE ON MARCH 18, 1992 AND BY THE NATIONAL BUSINESS CONDUCT COMMITTEE ON APRIL 7, 1992. ***$250.00 FINE*** ***$250.00 PAID ON 5/5/92 INVOICE #92-MS-402*** NASD BrokerCheck October 12, 2005 Page 200 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD - MARKET SURVEILLANCE COMMITTEE Date initiated: 02/11/1992 Docket/ Case Number: CMS920024 AWC Allegations: FIRM ALLEGEDLY VIOLATED PART VI, SECTION 5(A) OF SCHEDULE D OF NASD BY-LAWS IN THAT IT FAILED TO REPORT ITS NASDAQ VOLUME. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 04/07/1992 Sanctions Ordered: Monetary/Fine Monetary Amount: $250.00 Resolution Details: FINE WAS FINED $250.00. Summary: ****** REGULATORY ACTION (260 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 05/20/1991 Initiated By: THE OHIO DIVISION OF SECURITIES, 77 S HIGH ST, 22ND*See FAQ #1* Date initiated: 05/20/1991 Docket/ Case Number: 90-144 Allegations: SHEARSON CONSENTED TO A CEASE AND DESIST ORDER AGAINST IT FOR FAILURE TO SUPERVISE ONE OF ITS EMPLOYEES. Current Status: Final Resolution: Consent Resolution Date: 05/20/1991 Sanctions Ordered: Cease and Desist/Injunction Resolution Details: CEASE AND DESIST ORDER ISSUED. Summary: Not Provided *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: STATE OF OHIO Date initiated: 05/20/1991 Docket/ Case Number: 90-144 Allegations: MATTER AROSE FROM THE ACTIVITIES OF FORMER REPRESENTATIVE SHELDON STRAUSS, AS A RESULT OF WHOSE ACTIVITIES NUMEROUS SETTLEMENTS WERE ENTERED INTO, AS WELL AS AN AWC WITH THE NATIONAL ASSOCIATION OF SECURITIES DEALERS. Current Status: Final Resolution: Consent Resolution Date: 05/20/1991 NASD BrokerCheck October 12, 2005 Page 201 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Sanctions Ordered: Cease and Desist/Injunction Resolution Details: SHEARSON LEHMAN BROTHERS ENTERED INTO A CONSENT AGREEMENT BY WHICH THE STATE ISSUED A CEASE AND DESIST ORDER AGAINST THE FIRM. SIMULTANEOUSLY, WITH THE ISSUANCE OF THAT ORDER, THE STATE ALSO GRANTED SHERSON A WAIVER OF THE DISQUALIFICATIONS PROVISION OF THE OHIO REVISED CODE. Summary: ACTIVITIES OF STRAUSS RELATE TO THE TIME PERIOD 1986 THROUGH NOVEMBER 1987. AS A PART OF THE CONSENT AGREEMENT, SHEARSON ALSO AGREED TO CERTAIN REVISED PROCEDURES WHICH HAVE ALL BEEN MET. ****** REGULATORY ACTION (261 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 11/08/1991 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 05/31/1991 Docket/ Case Number: MS-1117-AWC Allegations: Current Status: Final Resolution: Consent Resolution Date: 11/08/1991 Sanctions Ordered: Monetary/Fine Monetary Amount: $250.00 Resolution Details: Summary: MARKET SURVEILLANCE COMMITTEE COMPLAINT #MS-1117-AWC: (A) LETTER OF ACCEPTANCE, WAIVER AND CONSENT FILED MAY 31, 1991 AGAINST RESPONDENT MEMBER LEHMAN BROTHERS ALLEGING VIOLATIONS OF PART VI, SECTION 5(a) OF SCHEDULE D IN THAT RESPONDENTS FAILED TO REPORT THEIR NASDAQ VOLUME: THE LETTER OF ACCEPTANCE, WAIVER AND CONSENT WAS ACCEPTED BY THE MARKET SURVEILLANCE COMMITTEE ON SEPTEMBER 6, 1991 AND BY THE NATIONAL BUSINESS CONDUCT COMMITTEE ON NOVEMBER 8, 1991. ***$250.00 FINE*** ***$250.00 PAID ON 3/9/92 INVOICE #91-MS-1332*** *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD - MARKET SURVEILLANCE COMMITTEE Date initiated: 05/31/1991 Docket/ Case Number: MS-1117-AWC Allegations: FIRM ALLEGEDLY FAILED TO REPORT ITS NASDAQ VOLUME, IN VIOLATION OF PART VI, SECTION 5(A) OF SCHEDULE D OF THE NASD'S BY-LAWS. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 11/08/1991 Sanctions Ordered: Monetary/Fine Monetary Amount: $250.00 Resolution Details: THE FIRM WAS FINED $250.00. NASD BrokerCheck October 12, 2005 Page 202 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Summary: ****** REGULATORY ACTION (262 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 07/01/1991 Initiated By: NYSE Date initiated: 07/01/1991 Docket/ Case Number: 91-69 Allegations: SEE SUMMARY Current Status: Final Resolution: Consent Resolution Date: 07/01/1991 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $750,000.00 Resolution Details: SEE SUMMARY Summary: SHEARSON LEHMAN BROTHERS, INC. (THE "FIRM"), A MEMBER ORGANIZATION , VIOLATED SECTION 220.8 OF REGULATION T OF THE BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM ("REGULATION T") BY FAILING TO PROMPTLY CANCEL PURCHASE TRANSACTIONS IN CUSTOMER CASH ACCOUNTS WHICH WERE ON A 90 DAY RESTRICTION; VIOLATED SECTION 220.8(b) OF REGULATION T BY FAILING TO PROMPTLY CANCEL OR OTHERWISE LIQUIDATE CERTAIN PURCHASE TRANSACTIONS IN CUSTOMER CASH ACCOUNTS OR OBTAIN EXTENSIONS OF TIME WHEN PAYMENT WAS NOT RECEIVED WITHIN THE REQUIRED TIME; VIOLATED SECTION 220.8(c) OF REGULATION T BY FAILING TO RESTRICT FOR 90 DAYS CUSTOMER CASH ACCOUNTS THAT HAD PURCHASED AND SOLD SECURITIES WITHOUT FULL PAYMENT BEING MADE FOR SUCH PURCHASES; VIOLATED FORMER EXCHANGE RULE 431(d)(9) BY PERMITTING CUSTOMERS TO MAKE A PRACTICE OF FREE RIDING; VIOLATED REGULATION 240.10b-10, PROMULGATED PURSUANT TO THE SECURITIES EXCHANGE ACT OF 1934 (THE "SEA"), BY FAILING TO DISCLOSE MARKUPS CHARGED ON CERTAIN PURCHASE TRANSACTIONS ON WRITTEN CONFIRMATIONS TO CUSTOMERS; VIOLATED SEA REGULATIONS 240.15c3-3(m) and (n) BY FAILING TO PURCHASE SECURITIES OF A LIKE KIND AND QUANTITY THAT WERE SOLD FOR CUSTOMERS IN "RETAIL" AND "RECEIVE VERSUS PAYMENT" ACCOUNTS AND WHICH HAD NOT BEEN RECEIVED WITHIN TEN BUSINESS DAYS AFTER THE SETTLEMENT DATE OF THE TRANSACTION, OR OBTAINING AN EXTENSION OF TIME WITHIN WHICH SUCH SECURITIES HAD TO BE PURCHASED; VIOLATED EXCHANGE RULE 342(a) BY FAILING TO REASONABLY DISCHARGE ITS DUTIES AND OBLIGATIONS IN CONNECTION WITH SUPERVISON AND CONTROL OF CERTAIN OF ITS BUSINESS ACTIVITIES BY: PERMITTING A REGISTERED REPRESENTATIVE TO PLACE SECURITIES, WHICH IT WAS DISTRIBUTING TO THE PUBLIC, IN THREE INACTIVE CUSTOMER ACCOUNTS WITHOUT ANY AUTHORIZATION TO DO SO, WHICH SECURITIES WERE THEREAFTER TRANSFERRED TO THIRTEEN OTHER CUSTOMER ACCOUNTS; EFFECTING TRADE CORRECTIONS IN CUSTOMER ACCOUNTS WHICH WERE NOT APPROVED BY A BRANCH OFFICE MANAGER; AND PERMITTI*See FAQ #1* *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NEW YORK STOCK EXCHANGE Date initiated: 07/01/1991 Docket/ Case Number: 91-69 Allegations: THE NYSE INVESTIGATION OF THE SALES PRACTICES AND RELATED ACTIVITIES IN SHEARSON LEHMAN BROTHERS' 55 WATER STREET, NEW YORK, NY OFFICE ALLEGED NUMEROUS SALES PRACTICE VIOLATIONS. Current Status: Final NASD BrokerCheck October 12, 2005 Page 203 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Resolution: Consent Resolution Date: 07/01/1991 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $750,000.00 Other Sanctions: UNDERTAKING BY FIRM TO REVIEW POLICIES, PROCEDURES AND SYSTEMS OF ITS MARGIN DEPARTMENT TO ENSURE REG T COMPLIANCE. Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS ARISING FROM THE EXCHANGE'S INVESTIGATION, SHEARSON CONSENTED TO CERTAIN FINDINGS OF FACT AND TO THE IMPOSITION OF PENALTIES AS OUTLINED ABOVE. Summary: ****** REGULATORY ACTION (263 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 09/18/1990 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 09/18/1990 Docket/ Case Number: MS-991-AWC Allegations: Current Status: Final Resolution: Consent Resolution Date: 12/24/1990 Sanctions Ordered: Monetary/Fine Monetary Amount: $1,000.00 Resolution Details: Summary: MARKET SURVEILLANCE COMMITTEE COMPLAINT #MS-991-AWC (A) LETTER OF ACCEPTANCE, WAIVER AND CONSENT FILED SEPTEMBER 18, 1990 AGAINST RESPONDENT MEMBER LEHMAN BROTHERS ALLEGES VIOLATIONS OF PART VI, SECTIONS 2(d) OF SCHEDULE D FOR ENTERING NASDAQ QUOTATIONS CONTAINING EXCESS SPREADS. THE LETTER OF ACCEPTANCE, WAIVER AND CONSENT WAS ACCEPTED BY THE MARKET SURVEILLANCE COMMITTEE ON OCTOBER 31, 1990 AND BY THE BUSINESS CONDUCT COMMITTEE ON DECEMBER 24, 1990. $1,000 FINE. **$1,000.00 PAID ON 3/26/91 INVOICE #91-MS-162*** *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD - NBCC Date initiated: 01/24/1991 Docket/ Case Number: MS-991 AWC Allegations: IT WAS ALLEGED THAT SHEARSON LEHMAN BROTHERS INC. ENTERED NASDAQ QUOTATIONS ON AUGUST 6, 1991 FOR GAMBRO THAT WERE NOT REASONABLY RELATED TO THE PREVAILING MARKET FOR THOSE SECURITIES (SUCH QUOTATIONS CONTAINED SPREADS WHICH WERE IN EXCESS OF THE MAXIMUM ALLOWABLE SPREAD); IT WAS DETERMINED THAT SHEARSON HAD BEEN CAUTIONED, WITHIN A TWELVE MONTH PERIOD PRIOR TO AUGUST 6TH, 1990 (ON MARCH 23RD, 1990), OF A SIMILAR VIOLATION THAT OCCURRED ON MARCH 5TH, 1990. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) NASD BrokerCheck October 12, 2005 Page 204 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Resolution Date: 01/24/1991 Sanctions Ordered: Monetary/Fine Monetary Amount: $1,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE TRUTH OF THE ALLEGATIONS OR FINDINGS, SHEARSON AGREED TO ACCEPT THE AWC AND CONSENTED TO A FINE OF $1,000.00. Summary: ****** REGULATORY ACTION (264 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 05/18/2000 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 03/17/1988 Docket/ Case Number: C9A880040 Allegations: VIOLATIONS OF ARTICLE III, SECTIONS 1, 2, 15(A) AND 27(A) OF THE RULES OF FAIR PRACTICE Current Status: Final Resolution: Decision Resolution Date: 08/22/1991 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $5,000.00 Resolution Details: DBCC COSTS OF $3,112.50 Summary: [TOP] COMPLAINT NO. PHL-664 FILED 3/17/88 BY DISTRICT NO. 11 AGAINST RESPONDENTS E. F. HUTTON & COMPANY, INC., ALLEN G.GELB, MELVIN ACKERMAN, ALAN WIENER AND WILLIAM E. HUFFMAN ALLEGING VIOLATIONS OF ARTICLE III, SECTIONS 1, 2, 15(A) AND 27(A) OF THE RULES OF FAIR PRACTICE IN THAT RESPONDENT GELB USED DISCRETIONARY POWER TO EFFECT OPTIONS TRANSACTIONS IN THE ACCOUNTS OF CUSTOMERS WHICH WERE EXCESSIVE IN FREQUENCY AND WHICH WERE EFFECTED WITHOUT HAVING REASONABLE GROUNDS TO BELIEVE THAT THEY WERE SUITABLE; E. F. HUTTON & COMPANY, INC., ACTING THROUGH MELVIN ACKERMAN, FAILED TO ADEQUATELY ENFORCE ITS SUPERVISORY PROCEDURES PERTAINING TO OPTIONS TRANSACTIONS AND ACCOUNTS; E. F. HUTTON & COMPANY, INC., ACTING THROUGH ALAN WIENER, DID NOT TAKE REASONABLE STEPS TO REVIEW THE TRANSACTIONS FOR EXCESSIVE TRADING AND SUITABILITY; AND E. F. HUTTON & COMPANY, INC., ACTING THROUGH WILLIAM E. HUFFMAN, FAILED TO REASONABLY SUPERVISE THE ACTIVITIES OF ALLEN G. GELB. DECISION RENDERED 11/30/90, WHEREIN RESPONDENT MEMBER IS CENSURED AND FINED $50,000; FURTHERMORE, RESPONDENTS MEMBER AND GELB ARE ASSESSED COSTS OF $3,112.50, JOINTLY AND SEVERALLY.12/12/90 - APPEALED TO THE BOARD OF GOVERNORS. BOARD OF GOVERNORS DECISION RENDERED 7/23/91, C9A880040 (PHL-664) WHEREIN THE FINDINGS MADE AND SANCTIONS IMPOSED ARE MODIFIED; THEREFORE, RESPONDENT MEMBER IS CENSURED, FINED $5,000 AND ASSESSED DBCC COSTS OF $3,112.50., THE EIGHTH CAUSE OF COMPLAINT REGARDING RESPONDENTS MEMBER AND WIENER'S SUPERVISION OF GELB WAS DISMISSED IN THAT THE BOARD DETERMINED THAT WIENER FOLLOWED FIRM PROCEDURES TO PERFORM HIS MANAGERIAL FUNCTIONS.8/22/91 - DECISION IS FINAL. ***$8,112.50 PAID ON 9/3/91 INVOICE #91-9A-922*** *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD - NBCC Date initiated: 07/23/1991 Docket/ NASD BrokerCheck October 12, 2005 Page 205 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Case Number: C9A880040 (PHL 664) Allegations: NONE SPECIFICALLY FOR THIS ACTION. THE NATIONAL BUSINESS CONDUCT COMMITTEE REDUCED THE FINE IMPOSED ON E F HUTTON & COMPANY FROM $50,000.00 TO $5,000.00 AND DISMISSED FINDINGS AGAINST ALL INDIVIDUALS. THESE MATTERS ORIGINALLY STEMMED FROM A COMPLAINT INITIATED BY DBCC FOR DISTRICT NO. 11, THE DECISION OF WHICH WAS APPEALED. Current Status: Final Resolution: Decision Resolution Date: 07/23/1991 Sanctions Ordered: Monetary/Fine Monetary Amount: $5,000.00 Resolution Details: FINE REDUCED AS SPECIFIED ABOVE. Summary: ****** REGULATORY ACTION (265 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 06/12/2000 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 11/19/1990 Docket/ Case Number: C05910011 Allegations: VIOLATIONS OF ARTICLE III, SECTIONS 1, 2, 19 AND 27 OF THE RULES OF FAIR PRACTICE. FAILED TO RESPOND TO NASD REQUESTS FOR INFORMATION MADE PURSUANT TO ARTICLE IV, SECTION 5 OF THE RULES OF FAIR PRACTICE. Current Status: Final Resolution: Decision & Order of Offer of Settlement Resolution Date: 06/17/1991 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $10,000.00 Resolution Details: $10,000.00 PAID ON 7/31/91 INVOICE #91-05-732 Summary: [TOP] COMPLAINT NO. NEW-803 FILED 11/19/90 BY DISTRICT NO. 5 AGAINST SHEARSON LEHMAN BROTHERS INC.,ET.AL.,ALLEGING VIOLATIONS OF ARTICLE III, SECTIONS 1, 2, 19 AND 27 OF THE RULES OF FAIR PRACTICE IN THAT RESPONDENT LANDRUM EXECUTED 37 UNAUTHORIZED MUTUAL FUND TRANSACTIONS AND ONE UNAUTHORIZED LIQUIDATION OF A CERTIFICATE OF DEPOSIT IN THE ACCOUNTS OF 13 PUBLIC CUSTOMERS; RECOMMENDED AND EXECUTED THE SALE OF VARIOUS MUTUAL FUNDS AND PURCHASE OF OTHER MUTUAL FUNDS WITH SIMILAR INVESTMENT GOALS IN 14 ACCOUNTS OF PUBLIC CUSTOMERS WITHOUT HAVING REASONABLE GROUNDS FOR BELEIVING THAT THESE MUTUAL FUND SWITCHES WERE SUITABLE FOR THE CUSTOMERS; SENT WRITTEN CORRESPONDENCE TO PUBLIC CUSTOMERS WITHOUT OBTAINING PRIOR APPROVAL FROM RESPONDENT MEMBER; PURCHASED MUTUAL FUNDS ON MARGIN IN THE ACCOUNT OF PUBLIC CUSTOMERS WITHOUT HAVING REASONABLE GROUNDS FOR BELEIVING THAT SUCH TRANSACTION WAS SUITABLE IN VIEW OF THEIR FINANCIAL SITUATION, INVESTMENT EXPERIENCE AND INVESTMENT OBJECTIVES; RECOMMENDED AND EXECUTED THE PURCHASE OF A GOVERNMENT TRUST AND A GOVERNMENT FUND IN THE ACCOUNT OF A PUBLIC CUSTOMER, BUT FAILED TO DISCLOSE THE AVAILABILITY OF A BREAKPOINT IF THE CUSTOMER INVESTED $50,000 IN THE GOVERNMENT TRUST; MADE A DEPOSIT IN THE ACCOUNT OF A PUBLIC CUSTOMER WITHOUT THE KNOWLEDGE OR CONSENT OF THE CUSTOMER OR RESPONDENT MEMBER; FAILED TO RESPOND TO NASD REQUESTS FOR INFORMATION MADE PURSUANT TO ARTICLE IV, SECTION 5 OF THE RULES OF FAIR PRACTICE. DECISION RENDERED 6/17/91, CASE ID. C05910011 (NEW-803), WHEREIN THE OFFER OF SETTLEMENT SUBMITTED BY RESPONDENTS MEMBER AND HINES WAS ACCEPTED; THEREFORE, RESPONDENT MEMBER IS CENSURED AND FINED $10,000 NASD BrokerCheck October 12, 2005 Page 206 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) ***$10,000.00 PAID ON 7/31/91 INVOICE #91-05-732*** *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD - DBCC FOR DISTRICT NO. 5 Date initiated: 11/19/1990 Docket/ Case Number: C05910011 (NEW-803) Allegations: COMPLAINT ALLEGED VIOLATIONS OF NASD'S RULES OF FAIR PRACTICE BY BOTH SHEARSON LEHMAN HUTTON INC. AND W. JACKSON HINES, JR., A SHEARSON BRANCH MANAGER, IN THAT SHEARSON, ACTING THROUGH HINES, FAILED TO REASONABLY AND PROPERLY SUPERVISE FORMER REPRESENTATIVE AUDREY W. LANDRUM IN CONNECTION WITH THE ACTIVITY OF THIRTEEN CUSTOMERS. Current Status: Final Resolution: Consent Resolution Date: 06/17/1991 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $12,500.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS IN THE COMPLAINT, SHEARSON AND MR. HINES CONSENTED TO THE IMPOSITION OF A CENSURE AND A $10,000.00 FINE. MR. HINES WAS CENSURED AND FINED $2,500.00. Summary: ****** REGULATORY ACTION (266 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 05/29/1990 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 05/29/1990 Docket/ Case Number: NY-8078-AWC Allegations: Current Status: Final Resolution: Consent Resolution Date: 05/29/1990 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $15,000.00 Resolution Details: Summary: ON MAY 29, 1990, THE LETTER OF ACCEPTANCE, WAIVER AND CONSENT NO. NY-8078-AWC (DISTRICT NO. 12) SUBMITTED BY RESPONDENT SHEARSON LEHMAN HUTTON, INC. WAS ACCEPTED; THEREFORE, RESPONDENT MEMBER IS CENSURED AND FINED $15,000 (ARTICLE III, SECTION 1 OF THE RULES OF FAIR PRACTICE AND SECTION 66 OF THE UNIFORM PRACTICE CODE AND MSRB RULES G-8, G-9 AND G-32 - IN CONTRAVENTION OF THE BOARD OF GOVERNORS FREE-RIDING AND WITHHOLDING INTERPRETATION, RESPONDENT MEMBER SOLD SHARES OF A NEW ISSUE THAT TRADED AT A PREMIUM IN THE IMMEDIATE AFTERMARKET TO RESTRICTED PERSONS; FAILED TO OBTAIN PERTINENT INFORMATION FROM CERTAIN INDIVIDUALS WHO PARTICIPATED IN HOT ISSUES; FAILED TO EFFECT FINAL SETTLEMENT WITHIN THE 90 DAY TIMEFRAME IN FIVE CORPORATE UNDERWRITINGS; DUE TO DEFICIT POSITIONS IN CUSTOMER ACCOUNTS CAUSED BY FAILS TO RECEIVE MORE THAN 30 CALENDAR DAYS OLD, IT WAS DETERMINED THAT RESPONDENT NASD BrokerCheck October 12, 2005 Page 207 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) DID NOT PROPERLY EFFECT BUY-IN PROCEDURES OR REQUEST EXTENSIONS OF TIME; OUT OF 588 CUSTOMERS WHO PURCHASED CERTAIN SECURITIES, RESPONDENT FAILED TO DELIVER THE FINAL OFFICIAL STATEMENT TO 555, AND OF THE 33 THAT DID RECEIVE THE FINAL OFFICIAL STATEMENT, EIGHT WERE SENT ONE TO 21 DAYS AFTER SETTLEMENT). ***$15,000.00 PAID ON 10/3/90 INVOICE #90-12-753*** *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD - NBCC Date initiated: 02/09/1990 Docket/ Case Number: NY-8078-AWC Allegations: THE AWC AGREED TO ACCEPT NASD FINDINGS THAT INVOLVED SHEARSON'S ALLEGED FAILURE TO 1) COMPLY WITH NASD FREE-RIDING AND WITHHOLDING INTERPRETATION IN CONNECTION WITH TWO UNDERWRITINGS, 2) EFFECT FINAL SETTLEMENT, IN FIVE CORPORATE UNDERWRITINGS, WITH THE SYNDICATE WITHIN NINETY DAYS FOLLOWING SECURITIES DELIVERY TO THE SYNDICATE MEMBER, AND 3) PROPERLY EFFECT, IN EIGHTEEN INSTANCES, BUY-IN PROCEDURES OR REQUEST EXTENSIONS OF TIME IN CONNECTION WITH FAILS TO RECEIVE OVER THIRTY CALENDER DAYS OLD AND 4) PROVE THAT A NUMBER OF CUSTOMERS, IN CONNECTION WITH SEVEN MUNICIPAL UNDERWRITINGS, WERE DELIVERED A COPY OF THE FINAL OFFICIAL STATEMENT, AND TO TIME-DELIVER TO CUSTOMERS A COPY OF THE FINAL OFFICIAL STATEMENT, IN VIOLATION OF MSRB RULES G-8, G-9 AND G-32. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 05/29/1990 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $15,000.00 Resolution Details: THE AWC AGREED TO ACCEPT, WITHOUT ADMITTING OR DENYING THE TRUTH OF THE ALLEGATIONS, THE NASD'S FINDINGS CONCERNING THE AFOREMENTIONED FAILURE OF THE FIRM IN THE FOUR CITED INSTANCES. THE FIRM CONSENTED TO A CENSURE AND A $15,000.00 FINE. FIRM TO MAINTAIN CONTACT WITH NASD STAFF IN AN EFFORT TO IMPROVE REGULATORY ADHERENCE. Summary: ****** REGULATORY ACTION (267 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 08/21/1990 Initiated By: ILLINOIS SECURITIES DEPARTMENT Date initiated: 07/19/1990 Docket/ Case Number: 8900584 Allegations: AMENDED ORDER OF PROHIBITION WAS ENTERED AUGUST 21, 1990. ORDER OF PROHIBITION WAS AMENDED TO NEGATE EFFECT OF STATUTORY DISQUALIFICATIONS FROM THE USE OF REGULATION D AT THE FEDERAL LEVEL AND THE LIKE. Current Status: Final Resolution: Decision Resolution Date: 08/21/1990 Sanctions Ordered: Monetary/Fine Monetary Amount: $200.00 NASD BrokerCheck October 12, 2005 Page 208 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Resolution Details: Not Provided Summary: Not Provided *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: STATE OF ILLINOIS Date initiated: 07/19/1990 Docket/ Case Number: 8900584 Allegations: SHEARSON LEHMAN BROTHERS WAS FOUND TO HAVE VIOLATED SECTIONS 8.E(1)(C) AND 12.A OF THE ILLINOIS ACT WHEN IT FAILED TO ACCOUNT TO A CUSTOMER AS TO THE STATUS OF A DELAYED TRANSACTION DURING THE PERIOD FEBRUARY 15TH, 1989 THROUGH MARCH 1ST, 1989. Current Status: Final Resolution: Settled Resolution Date: 07/19/1990 Sanctions Ordered: Monetary/Fine Monetary Amount: $200.00 Resolution Details: SECURITIES DEPARTMENT OF STATE OF ILLINOIS ENTERED AN ORDER OF PROHIBITION AGAINST FIRM; SUBSEQUENTLY, IT FILED AN AMENDED ORDER OF PROHIBITION AGAINST FIRM PROHIBITING IT FROM THE OFFER AND SALE OF ANY SECURITIES IN ILLINOIS EXCEPT IN COMPLIANCE WITH THE ILLINOIS ACT. FIRM WAS FURTHER ORDERED TO PAY A $200.00 FINE. AMENDED ORDER FURTHER STATED THAT SAID ORDER SHOULD NOT BE CONSTRUED AS AN INJUNCTION ORDER, JUDGMENT OR DECREE WHICH WOULD CAUSE ANY STATUTORY DISQUALIFICATION OF FIRM OR ANY OF IT AFFILIATES IN ILLINOIS. SPECIFICALLY, THE ORDER IS NOT MEANT TO TRIGGER THE STATUTORY DISQUALIFICATIONS FROM THE USE OF REGULATION D AT THE FEDERAL LEVEL OR ANY DISQUALIFICATION FOR RESALE OF SECURITIES AND/OR DISQUALIFICATION FROM RELIANCE UPON ILLINOIS REV. STAT. CH 121 1/2, SEC.3 CAUSED BY THIS ORDER IS WAIVED. Summary: ****** REGULATORY ACTION (268 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 07/03/1990 Initiated By: NYSE Date initiated: 07/03/1990 Docket/ Case Number: 90-126 Allegations: VIOLATIONS OF VARIOUS NYSE AND SEC RULES AND REGULATIONS WITH RESPECT TO THE SALE OF STOCK AND EXECUTION OF PURCHASE ORDERS ON THE NYSE. Current Status: Final Resolution: Consent Resolution Date: 07/03/1990 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $500,000.00 Resolution Details: SEE SUMMARY Summary: SHEARSON LEHMAN BROTHERS INC., NOW KNOWN AS SHEARSON LEHMAN NASD BrokerCheck October 12, 2005 Page 209 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) HUTTON INC., A MEMBER ORGANIZATION, ENGAGED IN CONDUCT INCONSISTENT WITH JUST AND EQUITABLE PRINCIPLES OF TRADE AND/OR ENGAGED IN ACTS DETRIMENTAL TO THE INTEREST OR WELFARE OF THE EXCHANGE AS A RESULT OF ITS ACTIVTIES IN CONNECTION WITH THE SALE OF HUTTON STOCK; VIOLATED EXCHANGE RULE 410(b) THAT IT DIRECTED ORDERS FOR THE PURCHASE OF STOCK TO BE TRANSMITTED TO THE FLOOR OF THE EXCHANGE WHICH ORDERS SHOULD HAVE BEEN EXECUTED PURSUANT TO SECTION 11(a)(1)(G) OF THE SECURITIES EXCHANGE ACT OF 1934 (THE "EXCHANGE ACT") AND RULE 11a1-1(T) PROMULGATED THEREUNDER, BUT WERE NOT IDENTIFIED IN A MANNER WHICH ENABLED THE EXECUTING MEMBER TO DISCLOSE TO OTHER MEMBERS THAT THE ORDERS WERE SUBJECT TO THE AFOREMENTIONED PROVISIONS OF THE FEDERAL REGULATIONS; CAUSED AND/OR ALLOWED ITS EXCHANGE MEMBER(S) TO VIOLATE SECTION 11(a)(1)(G) OF THE EXCHANGE AND RULE 11a1-1(T)(a) PROMULGATED THEREUNDER, IN THAT IT CAUSED AND/OR ALLOWED PURCHASE ORDERS FOR ITS PROPRIETARY ACCOUNT TO BE COMMUNICATED TO OTHERS PARTICIPATING IN EFFECTING THE ORDERS WITHOUT DISCLOSING THAT THE ORDERS WERE FOR ITS PROPRIETARY ACCOUNT; CAUSED AND/OR ALLOWED ITS EXCHANGE MEMBER(S) TO VIOLATE SECTION 11(a)(1)(G) OF THE EXCHANGE ACT AND RULE 11a1-1(T)(a) PROMULGATED THEREUNDER, IN THAT IT CAUSED AND/OR ALLOWED PURCHASE ORDERS IN CERTAIN COMMON STOCK FOR ITS PROPRIETARY ACCOUNT TO BE EFFECTED ON THE FLOOR OF THE EXCHANGE BY SUCH EXCHANGE MEMBER(S), WHICH ORDERS WERE NOT IDENTIFIED TO THE OTHER MEMBERS ON THE FLOOR BEFORE EXECUTION AS ORDERS FOR THE MEMBER ORGANIZATION'S ACCOUNT; AND CAUSED AND/OR ALLOWED ITS EXCHANGE MEMBER(S) TO VIOLATE SECTION 11(a)(1)(G) OF THE EXCHANGE ACT AND RULE 11a1-1(T)(a) PROMULGATED THEREUNDER, IN THAT IT CAUSED AND/OR ALLOWED PURCHASE ORDERS IN CERTAIN COMMON STOCK FOR ITS PROPRIETARY ACCOUNT TO BE EFFECTED ON THE FLOOR OF THE EXCHANGE BY SUCH EXCHANGE MEMBER(S), WHICH ORDERS, WHEN E*See FAQ #1* *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NEW YORK STOCK EXCHANGE Date initiated: 05/07/1990 Docket/ Case Number: 90-126 Allegations: THE NYSE FOUND THAT SHEARSON LEHMAN BROTHERS 1) ENGAGED IN CONDUCT INCONSISTENT WITH JUST AND EQUITABLE PRINCIPALS OF TRADE AND/OR ENGAGED IN ACTS DETRIMENTAL TO THE INTEREST OF THE EXCHANGE; 2) VIOLATED RULE 410(B); AND 3) CAUSED AND/OR ALLOWED ITS EXCHANGE MEMBER(S) TO VIOLATE SECTION 11(A)(1)(G) OF THE SECURITIES EXCHANGE ACT OF 1934 AND RULE 11A1-1(T)(A). Current Status: Final Resolution: Consent Resolution Date: 07/03/1990 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $500,000.00 Other Sanctions: UNDERTAKING THAT FIRM HIRE SPECIAL COUNSEL. Resolution Details: THE NYSE IMPOSED A PENALTY OF CENSURE, A FINE OF $500,000.00 AND AN UNDERTAKING THAT THE FIRM HIRE SPECIAL COUNSEL. Summary: ****** REGULATORY ACTION (269 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 06/28/1989 Initiated By: WISCONSIN Date initiated: 06/30/1987 Docket/ Case Number: Unknown NASD BrokerCheck October 12, 2005 Page 210 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Allegations: Current Status: Final Resolution: Decision Resolution Date: 06/30/1987 Sanctions Ordered: Censure Resolution Details: Summary: #6/12/90# SEC LITIGATION, ACTIONS AND PROCEEDINGS BULLETIN FOR THE QUARTER ENDING 6/30/87 (VOLUME 53 NO. 3 PAGE 298) DISCLOSES: SHEARSON LEHMAN HUTTON INC. FAILED TO EXECUTE A SELL ORDER. SHEARSON LEHMAN HUTTON INC. WAS CENSURED. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: STATE OF WISCONSIN Date initiated: 06/30/1987 Docket/ Case Number: UNKNOWN Allegations: FAIL TO EXECUTE A SELL ORDER. Current Status: Final Resolution: Decision Resolution Date: 06/30/1987 Sanctions Ordered: Censure Resolution Details: SHEARSON LEHMAN HUTTON WAS CENSURED BY THE STATE. Summary: ****** REGULATORY ACTION (270 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 02/04/1988 Initiated By: ARKANSAS Date initiated: 02/04/1988 Docket/ Case Number: Unknown Allegations: Current Status: Final Resolution: Decision Resolution Date: 02/04/1988 Sanctions Ordered: Monetary/Fine Monetary Amount: $10,000.00 Resolution Details: Summary: 6/4/90: PER S.E.C. LITIGATION, ACTIONS AND PROCEEDINGS BULLETIN (VOL. 54, BULL NO. 1, PG 23), RESPONDENT MEMBER SHEARSON LEHMAN BROTHERS INC. IS FINED $10,000.00 BY THE ARKANSAS SECURITIES COMMISSION. THE ACTION WAS TAKEN BASED ON COMMISSION'S FINDING FO THE SALE OF UNREGISTERED & NON-EXEMPT SECURITIES AND FAILURE TO REASONABLY SUPERVISE. (LKA: NEW YORK, NY) NASD BrokerCheck October 12, 2005 Page 211 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: STATE OF ARKANSAS Date initiated: 02/04/1988 Docket/ Case Number: NOT GIVEN Allegations: ALLEGATIONS CONCERNED SHEARSON LEHMAN BROTHERS SUPERVISORY ROLE IN RELATION TO THE ALLEGED MISCONDUCT OF A FORMER REGISTERED REPRESENTATIVE OF SHEARSON LEHMAN BROTHERS' FORT SMITH, ARKANSAS OFFICE, AND A BRANCH MANAGER. Current Status: Final Resolution: Settled Resolution Date: 02/04/1988 Sanctions Ordered: Monetary/Fine Monetary Amount: $10,000.00 Resolution Details: THE ARKANSAS SECURITIES DEPARTMENT ISSUED A LETTER OF CAUTION TO SHEARSON LEHMAN BROTHERS INC. IN CONNECTION WITH THE DEPARTMENT'S EXAMINATION OF THE FIRM'S SUPERVISORY ROLE IN RELATION TO THE ALLEGED MISCONDUCT OF A FORMER REGISTERED REPRESENTATIVE OF THE FIRM'S FORT SMITH, ARKANSAS OFFICE, AND A BRANCH MANAGER. FIRM AGREED TO PAY A FINE OF $10,000.00 IN CONNECTION WITH THE DEPARTMENT'S EXAMINATION. Summary: ****** REGULATORY ACTION (271 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 06/26/2000 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 02/16/1988 Docket/ Case Number: MS-659 Allegations: VIOLATIONS OF ARTICLE III, SECTIONS 1 AND 27 OF THE ASSOCIATIONS'S RULES OF FAIR PRACTICE WITH RESPECT TO SAXP AND LATTUGA IN THAT THEY FAILED TO ESTABLISH, MAINTAIN AND REASONABLY ENFORCE SUPERVISORY PROCEDURES TO ASSURE COMPLIANCE WITH APPLICABLE SECURITIES RULES AND REGULATIONS. CAUSE TEN (10) ALLEGES VIOLATIONS OF ARTICLE III, SECTIONS 1 AND 27 OF THE ASSOCIATIONS'S RULES OF FAIR PRACTICE WITH RESPECT TO SAXP AND LATTUGA IN THAT THEY FAILED TO ESTABLISH, MAINTAIN AND REASONABLY ENFORCE SUPERVISORY PROCEDURES TO ASSURE COMPLIANCE WITH APPLICABLE SECURITIES RULES AND REGULATIONS. CAUSE ELEVEN (11) ALLEGES VIOLATIONS OF SCHEDULE C OF THE ASSOCIATION'S RULES OF FAIR PRACTICE WITH RESPECT TO SAXP IN THAT DURING THE PERIOD FROM 1984 TO THE PRESENT, SAXP FAILED TO HAVE LATTUGA QUALIFIED AND REGISTERED AS A GENERAL SECURITIES PRINCIPAL NOTWITHSTANDING THAT LATTUGA WAS A SENIOR VICE PRESIDENT OF SAXP AND WAS ACTIVELY ENGAGED IN THE SUPERVISION AND TRAINING OF ASSOCIATED PERSONS. Current Status: Final Resolution: Settled Resolution Date: 10/28/1988 Sanctions Ordered: Monetary/Fine, Censure, Suspension Monetary Amount: $25,000.00 Resolution Details: LATTUGA IS CENSURED AND FINED $7,500; ANDNORTON IS CENSURED, NASD BrokerCheck October 12, 2005 Page 212 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) FINED $10,000 AND SUSPENDED FROM ASSOCIATION WITH ANY MEMBER IN ANY CAPACITY FOR THIRY (30) CALENDAR DAYS; SAXP IS CENSURED, FINED $25,000 AND SUSPENDED AS A MARKET MARKER IN BPAO, BOCB, MDIN, NBSC, POLY, TMBR AND TELE FOR TEN (10) BUSINESS DAYS. Summary: [TOP] MARKET SURVEILLANCE COMMITTEE COMPLAINT #MS-659: THIS COMPLAINT WAS FILED ON 2/16/88 BY THE MARKET SURVEILLANCE COMMITTEE (MSC) NAMING AS RESPONDENTS SHEARSON LEHMAN HUTTON INC. (SAXP), ET AL. CAUSE TEN (10) ALLEGES VIOLATIONS OF ARTICLE III, SECTIONS 1 AND 27 OF THE ASSOCIATIONS'S RULES OF FAIR PRACTICE WITH RESPECT TO SAXP AND LATTUGA IN THAT THEY FAILED TO ESTABLISH, MAINTAIN AND REASONABLY ENFORCE SUPERVISORY PROCEDURES TO ASSURE COMPLIANCE WITH APPLICABLE SECURITIES RULES AND REGULATIONS. CAUSE ELEVEN (11) ALLEGES VIOLATIONS OF SCHEDULE C OF THE ASSOCIATION'S RULES OF FAIR PRACTICE WITH RESPECT TO SAXP IN THAT DURING THE PERIOD FROM 1984 TO THE PRESENT, SAXP FAILED TO HAVE LATTUGA QUALIFIED AND REGISTERED AS A GENERAL SECURITIES PRINCIPAL NOTWITHSTANDING THAT LATTUGA WAS A SENIOR VICE PRESIDENT OF SAXP AND WAS ACTIVELY ENGAGED IN THE SUPERVISION AND TRAINING OF ASSOCIATED PERSONS. RESPONDENTS SAXP, LATTUGA AND NORTON SUBMITTED AN OFFER OF SETTLEMENT ON 6/29/88 WHICH WAS ACCEPTED BY THE MSC ON 6/30/88 AND BY THE NATIONAL BUSINESS CONDUCT COMMITTEE ON 10/28/88. THE COMMITTEE DETERMINED THAT SAXP VIOLATED ARTICLE III, SECTIONS 1 AND 27 OF THE RULES OF FAIR PRACTICE AS ALLEGED IN THE TENTH CAUSE OF COMPLAINT AND VIOLATED SCHEDULE C OF THE BY-LAWS AS ALLEGED IN THE ELEVENTH CAUSE OF COMPLAINT. BASED ON THE COMMITTEE'S ACCEPTANCE OF THE RESPONDENTS' OFFER OF SETTLEMENT, THE COMMITTEE IMPOSED THE FOLLOWING SANCTIONS; LATTUGA IS CENSURED AND FINED $7,500; ANDNORTON IS CENSURED, FINED $10,000 AND SUSPENDED FROM ASSOCIATION WITH ANY MEMBER IN ANY CAPACITY FOR THIRY (30) CALENDAR DAYS; SAXP IS CENSURED, FINED $25,000 AND SUSPENDED AS A MARKET MARKER IN BPAO, BOCB, MDIN, NBSC, POLY, TMBR AND TELE FOR TEN (10) BUSINESS DAYS. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 02/28/2001 Initiated By: NASD - MARKET SURVEILLANCE COMMITTEE Date initiated: 02/16/1988 Docket/ Case Number: MS-659 Allegations: IT WAS ALLEGED THAT SHEARSON LEHMAN HUTTON 1) FAILED TO ESTABLISH, MAINTAIN AND ENFORCE PROCEDURES DESIGNED TO DETER AND DETECT THE REPORTING OF FICTITIOUS TRADES TO THE NASDAQ SYSTEM; AND 2) FAILED TO REGISTER AN INDIVIDUAL WHO HAD SUBSTANTIAL SUPERVISORY RESPONSIBILITIES AS A GENERAL SECURITIES PRINCIPAL. Current Status: Final Resolution: Consent Resolution Date: 11/30/1988 Sanctions Ordered: Monetary/Fine, Censure, Suspension Monetary Amount: $25,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE NASD'S ALLEGATIONS, THE FIRM CONSENTED TO THE IMPOSITION OF A PENALTY OF $25,000.00 FINE AND A SUSPENSION AS A MARKET MAKER FOR TEN BUSINESS DAYS IN SEVEN NASDAQ NATIONAL MARKET SYSTEM SECURITIES. IN ADDITION, FIRM AGREED TO ADOPT SPECIFIC SUPERVISORY PROCEDURES RELATING TO THE CLOSE OF THE MARKET AND RELATED ACTIVITY AND TO PERIODICALLY REVIEW TRADE REPORTS TO DETECT THIS CONDUCT. Summary: ****** REGULATORY ACTION (272 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 03/19/1990 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. NASD BrokerCheck October 12, 2005 Page 213 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Date initiated: 03/19/1990 Docket/ Case Number: NY-8071-AWC Allegations: Current Status: Final Resolution: Consent Resolution Date: 03/19/1990 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $25,000.00 Resolution Details: Summary: ON MARCH 19, 1990, THE LETTER OF ACCEPTANCE, WAIVER AND CONSENT NO. NY-8071-AWC (DISTRICT NO. 12) SUBMITTED BY RESPONDENT SHEARSON LEHMAN HUTTON INC. WAS ACCEPTED; THEREFORE, THE FIRM IS CENSURED AND FINED $25,000.00 (ARTICLE III, SECTIONS 1 AND 35 OF THE RULES OF FAIR PRACTICE - MADE USE OF ADVERTISMENTS OR PIECES OF SALES LITERATURE IN CONTRAVENTION OF CERTAIN NASD AND SEC RULES). ***$25,000.00 PAID ON 5/29/90 INVOICE #90-12-379*** *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD - DBCC FOR DISTRICT NO. 12 Date initiated: 03/19/1990 Docket/ Case Number: NY-8071-AWC Allegations: ALLEGED VIOLATIONS OF NASD AND SEC RULES CONCERNING THE USE OF TWENTY TWO ADVERTISEMENTS OR PIECES OF SALES LITERATURE BY SHEARSON LEHMAN HUTTON. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 03/19/1990 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $25,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, FIRM CONSENTED TO A CENSURE AND A $25,000.00 FINE FOR FINDINGS REGARDING COMMUNICATIONS WITH THE PUBLIC AND RELATED FILING REQUIREMENTS AND REVIEW PROCEDURES. Summary: ****** REGULATORY ACTION (273 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 01/18/1991 Initiated By: ILLINOIS SECURITIES DEPARTMENT Date initiated: 01/18/1991 Docket/ Case Number: 9000075 Allegations: RESPONDENT DEALER PERMITTED EMPLOYEE TO SUPERVISE WITHOUT PROPER REGISTRATION RESPONDENT EMPLOYED PERSONS CLASSIFIED AS PROSPECTING CLERKS WHOSE PURPOSE AND ASSIGNMENTS WERE TO ASSIST A PARTICULAR REGISTERED REPRESENTATIVE BY STAFFING HIS NASD BrokerCheck October 12, 2005 Page 214 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) CORPORATION AND WORKING UNDER HIS SUPERVISION. THE REGISTERED REPRESENTATIVE HAD NOT TAKEN SERIES 8 EXAM REQUIRED BEFORE SUPERVISION. NOTICE OF HEARING INCLUDED A FAILURE TO SUPERVISE COUNT RELATING TO TO UNSUITABILITY OF CERTAIN INVESTMENTS IN A PARTICULAR ACCOUNT HANDLED BY SAME REGISTERED REPRESENTATIVE REFERRED TO ABOVE. Current Status: Final Resolution: Consent Resolution Date: 01/18/1991 Sanctions Ordered: Monetary/Fine, Bar Monetary Amount: $4,000.00 Resolution Details: CONSENT ORDER OF PROHIBITION ENTER 1/18/91 SUBSEQUENT TO ENTRY OF STIPULATION AND CONSENT TO ENTER ORDER OF PROHIBITION. RESPONDENT ADMITTED CERTAIN FACTS, NEITHER ADMITTED OR DENIED OTHERS. ORDER INCLUDES PAYMENT OF 4,000 FINE. Summary: Not Provided *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: STATE OF ILLINOIS Date initiated: 03/23/1990 Docket/ Case Number: 90-00075 Allegations: IT WAS ALLEGED THAT SHEARSON LEHMAN HUTTON INC. 1) PERMITTED AN EMPLOYEE TO SUPERVISE WITHOUT PROPER REGISTRATION AND 2) FAILED TO SUPERVISE THE SECURITIES ACTIVITIES OF ITS REPRESENTATIVE. Current Status: Final Resolution: Consent Resolution Date: 01/14/1991 Sanctions Ordered: Monetary/Fine Monetary Amount: $4,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS MADE BY THE STATE, SHEARSON CONSENTED TO THE ENTRY OF AN ORDER PROHIBITING IT FROM OFFERING FOR SALE OR SELLING ANY SECURITIES IN ILLINOIS OR TO ILLINOIS RESIDENTS OR IN ANY WAY ENGAGE IN THE SECURITIES BUSINESS OTHER THAN IN COMPLIANCE WITH THE APPLICABLE PROVISIONS AND REGULATIONS OF ILLINOIS' SECURITIES LAW. SHEARSON FURTHER CONSENTED TO THE PAYMENT OF A $4,000.00 FINE. Summary: ****** REGULATORY ACTION (274 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 03/06/1990 Initiated By: CHICAGO BOARD OF OPTION EXCHANGE Date initiated: 12/20/1989 Docket/ Case Number: 89-0125 Allegations: Current Status: Final Resolution: Consent NASD BrokerCheck October 12, 2005 Page 215 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Resolution Date: 03/06/1990 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $2,500.00 Resolution Details: Summary: FORM BD FILED BY BD# 10890 WITH JDS 10135-09990 DISCLOSED ON 12/20/89, IN CASE NO. 89-0125, THE BUSINESS CONDUCT COMMITTEE OF THE CHICAGO BOARD OPTIONS EXCHANGE ("CBOE") INITIATED CHARGES AGAINST SHEARSON LEHMAN HUTTON INC. ("SLH"). THE CHARGES AROSE FROM THE CBOE'S MOST RECENT AUDIT OF THE FIRM AND ALLEGE THAT: (1) THREE SLH OFFICES WITH MORE THAN THREE REGISTERED REPRESENTATIVES TRANSACTING AN OPTIONS BUSINESS WITH THE PUBLIC DID NOT HAVE A BRANCH MANAGER ON THE PREMISES WHO WAS A REGISTERED OPTIONS PRINCIPAL; AND (2) 19 CUSTOMER OPTIONS COMPLAINTS WERE NOT RECORDED AS OPTIONS-RELATED. *************************************************************** #4/20/90 FORM U6 (8059-10190) DISCLOSES; THIS CASE WAS RESOLVED BY AN OFFER OF SETTLEMENT WHEREBY SLH DID NOT ADMIT OR DENY THAT CBOE RULES HAD BEEN VIOLATED. SLH, AN EXCHANGE MEMBER ORGANIZATION, FAILED TO RECORD AT LEAST 19 OPTIONS- RELATED CUSTOMER COMPLAINTS ON ITS CENTRAL OPTION COMPLAINT FILE. AT LEAST THREE BRANCH OFFICES OF SLH, WHICH HAD MORE THAN THREE REGISTERED REPRESENTATIVES TRANSACTED AN OPTIONS BUSINESS WITH THE PUBLIC WHEN THE BRANCH OFFICE MANAGER OF EACH OFFICE WAS NOT QUALIFIED OR REGISTERED WITH THE EXCHANGE AS A REGISTERED OPTIONS PRINCIPAL. ******SANCTION: A CENSURE AND $2,500 FINE. DOCKET/CASE NO. 89-0125, DATED 3/6/90. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: CHICAGO BOARD OPTIONS EXCHANGE Date initiated: 12/20/1989 Docket/ Case Number: 89-0125 Allegations: STATEMENT OF CHARGES BY CBOE ALLEGED 1) THAT THREE SHEARSON LEHMAN HUTTON OFFICES WITH MORE THAN THREE REPRESENTATIVES TRANSACTING AN OPTIONS BUSINESS WITH THE PUBLIC DID NOT HAVE A BRANCH MANAGER ON THE PREMISES WHO WAS A REGISTERED OPTIONS PRINCIPAL; AND 2) NINETEEN CUSTOMER OPTIONS COMPLAINTS WERE NOT RECORDED AS OPTIONS-RELATED. Current Status: Final Resolution: Consent Resolution Date: 03/06/1990 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $2,500.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE CHARGES, THE FIRM CONSENTED TO A PENALTY OF A CENSURE AND A $2,500.00 FINE. Summary: ****** REGULATORY ACTION (275 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 09/13/1989 Initiated By: IOWA Date initiated: 09/13/1989 Docket/ Case Number: C89-10-088 Allegations: NASD BrokerCheck October 12, 2005 Page 216 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Current Status: Final Resolution: Consent Resolution Date: 09/13/1989 Sanctions Ordered: Monetary/Fine Monetary Amount: $500.00 Resolution Details: Summary: 10/14/89-FORM U6 (8056-26989) DISCLOSES: SHEARSON CONSENTED TO AN ORDER IN WHICH THE SUPERINTENDENT OF SECURITIES REQUIRED THEM TO PAY A $500.00 FINE. THE SUPERINTENDENT ALLEGED THAT SHEARSONS' AGENT SOLD AN UNREGISTERED SECURITY TO AT LEAST 14 RESIDENTS. THE SUPERINTENDENT ALSO ALLEGED THAT SHEARSON HAD FAILED TO PROPERLY SUPERVISE ITS' AGENTS. SHEARSON CONSENTED TO THE ORDER WITHOUT ADMITTING OR DENYING THE ALLEGATIONS. DOCKET/CASE NO. C89-10-088, DATED SEPTEMBER 13, 1989. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: STATE OF IOWA Date initiated: 07/17/1989 Docket/ Case Number: C89-10-088 Allegations: IT WAS ALLEGED THAT SHEARSON LEHMAN HUTTON SOLD SHARES OF ADT PLC TO AT LEAST FOURTEEN IOWA RESIDENTS AT A TIME WHEN THE SECURITY WAS NOT QUALIFIED FOR SALE IN THE STATE. Current Status: Final Resolution: Consent Resolution Date: 07/17/1989 Sanctions Ordered: Monetary/Fine Monetary Amount: $500.00 Resolution Details: THE FIRM CONSENTED TO A FINE OF $500.00. Summary: ****** REGULATORY ACTION (276 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 06/28/1989 Initiated By: WISCONSIN Date initiated: 06/28/1989 Docket/ Case Number: 89029(L) Allegations: Current Status: Final Resolution: Consent Resolution Date: 06/28/1989 Sanctions Ordered: Censure Resolution Details: Summary: 9-16-89 FORM U6 (8193-24189) DISCLOSES: ON 6/28/89, SHEARSON NASD BrokerCheck October 12, 2005 Page 217 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) LEHMAN HUTTON INC. CONSENTED TO THE ISSUANCE OF AN ORDER OF CENSURE BY THE COMMISSIONER OF SECURITIES, STATE OF WISCONSIN FOR ITS FAILURE TO EXECUTE A SELL ORDER PLACED BY A SECURITIES CUSTOMER IN WISCONSIN WHICH CONSTITUTES A VIOLATION BY SHEARSON OF NASD RULES OF FAIR PRACTICE ARTICLE III, SECTION 1, AND THEREFORE A GROUND PURSUANT TO SECTION 4.06(q), WIS. ADM. CODE AND SEC. 551.34(1)(g), WIS. STATS., FOR THE CENSURE OF SHEARSON LEHMAN HUTTON INC. DOCKET/CASE NO. 89029(L), DATED 6/28/89. (COPY OF STIPULATION FOR ORDER OF CENSURE ATTACHED). *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: STATE OF WISCONSIN Date initiated: 06/26/1989 Docket/ Case Number: X-89029(L) Allegations: SHEARSON LEHMAN HUTTON ALLEGEDLY FAILED TO EXECUTE A SELL ORDER PLACED BY A CUSTOMER ON OCTOBER 21ST, 1987, WHICH ORDER WAS NOT EXECUTED UNTIL OCTOBER 26TH, 1987, THREE BUSINESS DAYS LATER. THE FAILURE TO EXECUTE THE SELL ORDER WAS DEEMED BY THE WISCONSIN SECURITIES COMMISSIONER TO BE A VIOLATION BY THE FIRM OF THE NASD RULES OF FAIR PRACTICE, AND THEREFORE A GROUND, PURSUANT TO WISCONSIN STATUTE, FOR THE CENSURE OF THE FIRM. Current Status: Final Resolution: Stipulation and Consent Resolution Date: 06/26/1989 Sanctions Ordered: Censure Resolution Details: THE FIRM WAS CENSURED BY THE STATE FOR THE ALLEGED VIOLATION. Summary: ****** REGULATORY ACTION (277 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 06/01/1990 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 07/28/1989 Docket/ Case Number: KC-455 Allegations: Current Status: Final Resolution: Consent Resolution Date: 06/01/1990 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $20,000.00 Resolution Details: Summary: COMPLAINT NO. KC-455 FILED JULY 28, 1989 BY DISTRICT NO. 4 AGAINST RESPONDENTS SHEARSON LEHMAN HUTTON INC., JOSEPH A. DEL DUCA, THOMAS E. HOMMEL AND T. CLARK OCTIGAN ALLEGING VIOLATIONS OF ARTICLE III, SECTIONS 1 AND 27 OF THE RULES OF FAIR PRACTICE IN THAT RESPONDENT OCTIGAN FAILED TO PROPERLY SUPERVISE AN ASSOCIATED PERSON; AND RESPONDENT MEMBER, ACTING THROUGH RESPONDENTS HOMMEL AND DEL DUCA FAILED TO RESPOND TO THE ASSOCIATION'S NUMEROUS REQUESTS FOR INFORMATION MADE PURSUANT TO ARTICLE IV, SECTION 5 OF THE RULES OF FAIR PRACTICE. DECISION RENDERED JUNE 1, 1990, WHEREIN THE OFFER OF NASD BrokerCheck October 12, 2005 Page 218 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) SETTLEMENT SUBMITTED BY RESPONDENTS SHEARSON LEHMAN HUTTON, INC., DEL DUCA, HOMMEL AND OCTIGAN WAS ACCEPTED; THEREFORE, RESPONDENT MEMBER AND RESPONDENT OCTIGAN ARE CENSURED AND FINED $10,000, JOINTLY AND SEVERALLY; RESPONDENT MEMBER IS FINED AN ADDITIONAL $10,000; RESPONDENT OCTIGAN IS REQUIRED TO WORK IN RESPONDENT MEMBER'S NEW YORK COMPLIANCE DEPARTMENT FOR A PERIOD OF TWO WEEKS AND WRITE A WRITTEN REPORT ON HIS ACTIVITIES AND SUBMIT TO THE COMMITTEE; AND RESPONDENT HOMMEL IS ISSUED A LETTER OF CAUTION. THE ALLEGATIONS OF HE SECOND CAUSE OF COMPLAINT WITH RESPECT TO RESPONDENT DEL DUCA WERE DISMISSE D IN THAT THE COMMITTEE DETERMINED THAT RESPONDENT DEL DUCA DELEGATED THE NASD 'S LETTER REQUESTING INFORMATION TO HIS MEMBER FIRM'S LEGAL DEPARTMENT, THEREF E ENDING ANY RESPONSIBILITY ON HIS PART TO RESPOND TO NASD REQUESTS FOR INFORM ATION. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD DBCC FOR DISTRICT NO. 4 Date initiated: 07/28/1989 Docket/ Case Number: KC-455 Allegations: 1) T. CLARKE OCTIGAN, THE MANAGER OF SHEARSON LEHMAN BROTHERS' CLAYTON, MISSOURI OFFICE, WAS CHARGED WITH FAILING TO PROPERLY SUPERVISE THE ACTIVITIES OF A BROKER IN HIM OFFICE DURING THE PERIOD 1982-1985. THE BROKER IS NOW DECEASED. SHEARSON WAS ALLEGED TO HAVE FAILED TO SUPERVISE OCTIGAN; 2) SHEARSON AND THOMAS E. HOMMEL WERE ALLEGED TO HAVE FAILED TO RESPOND TO NASD REQUESTS FOR INFORMATION IN A TIMELY AND COMPLETE MANNER. Current Status: Final Resolution: Consent Resolution Date: 06/01/1990 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $10,000.00 Resolution Details: FIRST CAUSE OF COMPLAINT: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS OF THE NASD'S COMPLAINT, RESPONDENTS SHEARSON, OCTIGAN AND HOMMEL CONSENTED TO THE IMPOSITION OF CERTAIN SANCTIONS. SPECIFICALLY, SHEARSON AND OCTIGAN CONSENTED TO A CENSURE AND A JOINT AND SEVERAL FINE OF $10,000.00. IN ADDITION, OCTIGAN AGREED TO WORK IN SHEARSON'S NEW YORK COMPLIANCE DEPARTMENT FOR A TWO WEEK PERIOD, DURING WHICH TIME HE WILL BE ASSIGNED TASKS RELATIVE TO THE MONITORING OF "ACTIVE" CUSTOMER ACCOUNTS. SECOND CAUSE OF COMPLAINT: SHEARSON CONSENTED TO A CENSURE AND FINE OF $10,000.00. HOMMEL CONSENTED TO THE ISSUANCE OF A LETTER OF CAUTION. Summary: ****** REGULATORY ACTION (278 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 01/10/1989 Initiated By: AMERICAN STOCK EXCHANGE Date initiated: 01/10/1989 Docket/ Case Number: Allegations: Current Status: Final Resolution: Settled Resolution Date: 01/10/1989 Sanctions NASD BrokerCheck October 12, 2005 Page 219 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Ordered: Monetary/Fine Monetary Amount: $2,000.00 Resolution Details: Summary: 6/23/89< AMERICAN STOCK EXCHANGE WEEKLY BULLETIN DATED JUNE 2, 1989 DISCLOSES: SHEARSON LEHMAN HUTTON, INC., A REGULAR MEMBER ORGANIZATION, WAS DISCIPLINED BY A DISCIPLINARY COMMITTEE FOR VIOLATING ARTICLE V, SECTION 4(k) OF THE EXCHANGE CONSTITUTION DURING THE PERIOD FROM JULY 23, 1987 THROUGH FEBRUARY 25, 1988 BY FAILING TO PRODUCE BOOKS AND RECORDS REQUESTED BY THE EXCHANGE IN CONNECTION WITH AN EXCHANGE INVESTIGATION. SHEARSON WAS FINED $2,000. THE FIRM SETTLED THE CHARGED WITHOUT ADMITTING OR DENYING THE EXCHANGE'S ALLEGATIONS.******** PER THE EXCHANGE, THIS SANCTION WAS IMPOSED JANUARY 10, 1989. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: AMERICAN STOCK EXCHANGE Date initiated: 01/10/1989 Docket/ Case Number: UNKNOWN Allegations: ALLEGED VIOLATION OF AMEX CONSTITUTION BY SHEARSON LEHMAN HUTTON FROM PERIOD JULY 23RD, 1987 THROUGH FEBRUARY 25TH, 1988 (ALLEGED FAILURE TO PRODUCE BOOKS AND RECORDS REQUESTED BY AMEX IN CONNECTION WITH AN EXCHANGE INVESTIGATION). Current Status: Final Resolution: Settled Resolution Date: 01/10/1989 Sanctions Ordered: Monetary/Fine Monetary Amount: $2,000.00 Other Sanctions: THE FIRM SETTLED WITH THE AMEX WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, AND PAID A FINE OF $2,000.00. Resolution Details: THE FIRM SETTLED WITH THE AMEX WITHOUT ADMITTING OR DENYING THE ALLEGATIONS. THE FIRM PAID A FINE OF $2,000.00. Summary: ****** REGULATORY ACTION (279 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 01/11/1989 Initiated By: CONNECTICUT Date initiated: 01/11/1989 Docket/ Case Number: Unknown Allegations: Current Status: Final Resolution: Consent Resolution Date: 01/11/1989 Sanctions Ordered: Monetary/Fine Monetary Amount: $10,500.00 Resolution Details: NASD BrokerCheck October 12, 2005 Page 220 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Summary: 3/22/89-FORM U6 (8103-04489) DISCLOSES: THE SECURITIES AND BUSINESS INVESTMENTS DIVISION, DEPARTMENT OF BANKING ALLEGED THAT SHEARSON LEHMAN HUTTON, INC. VIOLATED SECTION 36-474(b) OF THE CONNECTICUT UNIFORM SECURITIES ACT IN THAT DURING 1988, THE FIRM ALLEGED UNREGISTERED AGENTS TO EFFECT SECURITY TRANSACTIONS IN CONNECTICUT. ON JANUARY 11, 1989 SHEARSON ENTERED INTO A STIPULATION AGREEMENT WITH THE CONNECTICUT SECURITIES DIVISION IN WHICH SHEARSON STIPULATED TO THE FOLLOWING: [1]. SHEARSON WILL REQUIRE EACH UNREGISTERED AGENT (EUGENE F. FORD, GLENN. W. LEBOEUF AND LINDA L. ROMAN) AND THEIR RESPECTIVE MANAGERS TO COMPLETE ADDITIONAL TRAINING PURSUANT TO THIS STATE'S REGULATORY REQUIREMENTS. [2]. SHEARSON OFFERED TO RESCIND ALL SOLICITED PURCHASES, TOGETHER WITH 6% INTEREST, TO THOSE CONNECTICUT RESIDENTS REPRESENTED BY FORD, LEBOEUF AND ROMAN. [3]. SHEARSON AGREED TO PAY A FINE IN THE AMOUNT OF $10,500.00 [4]. SHEARSON SHALL REVISE IT'S SUPERVISORY PROCEDURES TO PREVENT AND DETECT FUTURE VIOLATIONS OF CONNECTICUT'S ACT AND REGULATIONS. DOCKET/CASE NUMBER NOT PROVIDED, DATED JANUARY 11, 1989. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: STATE OF CONNECTICUT Date initiated: 01/03/1989 Docket/ Case Number: UNKNOWN Allegations: IT WAS ALLEGED THAT SHEARSON LEHMAN HUTTON INC. VIOLATED THE CONNECTICUT ACT BY ALLOWING UNREGISTERED AGENTS TO EFFECT SECURITIES TRANSACTIONS IN THE STATE. Current Status: Final Resolution: Consent Resolution Date: 01/03/1989 Sanctions Ordered: Monetary/Fine, Disgorgement/Restitution Monetary Amount: $10,500.00 Other Sanctions: RETRAINING; UNDERTAKE TO IMPLEMENT POLICIES/PROCEDURES TO PREVENT REOCCURRENCE. Resolution Details: WITHOUT ADMITTING OR DENYING THAT IT HAD VIOLATED ANY LAWS, SHEARSON LEHMAN HUTTON CONSENTED TO THE IMPOSITION OF A $10,000.00 FINE, A RETRAINING OF CERTAIN EMPLOYEES REGARDING REGISTRATION REQUIREMENTS, TO OFFER RESCISSION PLUS INTEREST TO CT RESIDENT CUSTOMERS WHO PURCHASED OR SOLD SECURITIES THROUGH SUCH EMPLOYEES, AND TO UNDERTAKE TO IMPLEMENT POLICIES AND PROCEDURES TO PREVENT A REOCCURRENCE OF THE SITUATION. Summary: ****** REGULATORY ACTION (280 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 09/07/1989 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 12/09/1988 Docket/ Case Number: SF-1276 Allegations: Current Status: Final Resolution: Consent Resolution Date: 09/07/1989 Sanctions NASD BrokerCheck October 12, 2005 Page 221 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Ordered: Monetary/Fine, Censure Monetary Amount: $10,000.00 Resolution Details: Summary: COMPLAINT NUMBER SF-1276 (DISTRICT NO. 2N) FILED DECEMBER 9, 1988 AGAINST RESPONDENTS SHEARSON LEHMAN HUTTON INC., PETER JOHN RENALDO AND GINA ANDREA VASSELL ALLEGING VIOLATIONS OF ARTICLE III, SECTION 1 AND ARTICLE IV, SECTION 5 OF THE RULES OF FAIR PRACTICE IN THAT RESPONDENTS MEMBER, RENALDO AND VASSELL FAILED TO TIMELY RESPOND TO THE ASSOCIATION'S REQUESTS FOR INFORMATION MADE PURSUANT TO ARTICLE IV, SECTION 5 OF THE RULES OF FAIR PRACTICE; AND, IN THE RESPONSES TO REQUESTS FOR INFORMATION THAT THE ASSOCIATION DID RECEIVE, FAILED TO FULLY RESPOND TO THESE REQUESTS. DECISION RENDERED SEPTEMBER 7, 1989, WHEREIN THE OFFER OF SETTLEMENT SUBMITTED BY RESPONDENTS WAS ACCEPTED; THEREFORE, RESPONDENT MEMBER IS CENSURED AND FINED $10,000. THE COMPLAINT IS DISMISSED AS TO RESPONDENTS RENALDO AND VASSELL BASED ON THE PROBLEMS EXPERIENCED BY THE FIRM ARISING FROM THE 1987 MARKET BREAK AND THE MERGER WITH ANOTHER MEMBER AND THE FACT THAT RESPONDENT VASSELL IS NO LONGER IN THE SECURITIES INDUSTRY. *** $10,000 PAID ON 10/2/89 - INVOICE NO. 89-2N-626. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD - DBCC FOR DISTRICT NO. 2 Date initiated: 12/09/1988 Docket/ Case Number: SF-1276 Allegations: A COMPLAINT HAD ALLEGED THAT SHEARSON LEHMAN HUTTON HAD FAILED TO TIMELY RESPOND TO AN NASD REQUEST FOR INFORMATION. Current Status: Final Resolution: Consent Resolution Date: 09/07/1989 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $10,000.00 Resolution Details: THE DBCC ACCEPTED SHEARSON LEHMAN HUTTON'S OFFER OF SETTLEMENT. THE COMPLAINT WAS DISMISSED AS TO THE EMPLOYEES PREVIOUSLY CHARGED. THE FIRM, WITHOUT ADMITTING OR DENYING THE ALLEGATIONS IN THE COMPLAINT, CONSENTED TO THE ENTRY OF AN ORDER OF CENSURE AND AGREED TO PAY A FINE OF $10,000.00. Summary: ****** REGULATORY ACTION (281 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 01/31/1989 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 01/31/1989 Docket/ Case Number: NY-6089-AWC Allegations: Current Status: Final Resolution: Consent Resolution Date: 01/31/1989 Sanctions Ordered: Monetary/Fine, Censure NASD BrokerCheck October 12, 2005 Page 222 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Monetary Amount: $3,000.00 Resolution Details: Summary: ON JANUARY 31, 1989, THE LETTER OF ACCEPTANCE, WAIVER AND CONSENT NO. NY-6089-AWC (DISTRICT NO. 12) SUBMITTED BY RESPONDENT SHEARSON LEHMAN HUTTON, INC. WAS ACCEPTED; THEREFORE, SHEARSON LEHMAN IS CENSURED AND FINED $3,000.00 (MSRB RULES G-12(j), G-12(K) AND A-13(c) - FAILED TO COMPLY WITH MSRB RULE G-12(j), IN THAT AS LEAD MANAGER OF FOUR (4) NEW OFFERINGS FAILED TO SETTLE THREE (3) OF THE SYNDICATE ACCOUNTS WITHIN SIXTY (60) DAYS; FAILED TO PAY DESIGNATED CREDITS FOR THREE (3) OF THE OFFERINGS WITHIN THIRTY (30) DAYS; AND, FAILED TO PAY THE ASSESSMENT FEES FOR THREE (3) OF THE OFFERINGS WITHIN THIRTY (30) DAYS. $3,000 PAID 6/1/89 *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD - NBCC Date initiated: 01/31/1989 Docket/ Case Number: NY-6089 AWC Allegations: IT WAS ALLEGED THAT SHEARSON LEHMAN HUTTON HAD FAILED TO SETTLE ACCOUNTS, PAY DESIGNATED CREDITS AND ASSESSMENT FEES WITHIN THE TIME PERIODS REQUIRED. Current Status: Final Resolution: Consent Resolution Date: 01/31/1989 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $3,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, SLH CONSENTED TO FINDINGS THAT IT HAD FAILED TO COMPLY WITH MSRB RULES G-12(J), G-12(K) AND A-13(C); THE FIRM CONSENTED TO THE IMPOSITION OF A CENSURE AND A $3,000.00 FINE. Summary: ****** REGULATORY ACTION (282 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 09/02/1988 Initiated By: VIRGINIA Date initiated: 09/02/1988 Docket/ Case Number: SEC880067 Allegations: Current Status: Final Resolution: Consent Resolution Date: 09/02/1988 Sanctions Ordered: Monetary/Fine Monetary Amount: $2,000.00 Resolution Details: Summary: 9/19/88-FORM U6 (8059-25388) DISCLOSES SHEARSON LEHMAN HUTTON, INC. WITHOUT ADMITTING OR DENYING THE ALLEGATIONS OF THE NASD BrokerCheck October 12, 2005 Page 223 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) DIVISION OF SECURITIES THAT IT EMPLOYED AN UNREGISTERED AGENT, FAILED TO DILIGENTLY SUPERVISE THIS AGENT, HOWARD B. GOLDSTEIN, AND FAILED TO PRESERVE CERTAIN RECORDS PROPERLY, HAS AGREED TO SETTLE THESE MATTERS BY MAKING AN OFFER OF RESCISSION TO THE INVESTOR, BY PAYING A PENALTY OF $1,000 FOR FAILURE TO SUPERVISE, AND BY PAYING A PENALTY OF $1,000 FOR FAILURE TO PROPERLY KEEP RECORDS. DOCKET/CASE NO. SEC880067, DATED SEPTEMBER 2, 1988. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: COMMONWEALTH OF VIRGINIA Date initiated: 08/25/1988 Docket/ Case Number: SEC880067 Allegations: IT WAS ALLEGED THAT SHEARSON LEHMAN HUTTON EMPLOYED AN UNREGISTERED AGENT WHO OFFERED AND SOLD SECURITIES IN THE COMMONWEALTH, FAILED TO PRESERVE RECORDS FOR A PERIOD OF NOT LESS THAN THREE YEARS, AND FAILED TO DILIGENTLY SUPERVISE ITS AGENT. Current Status: Final Resolution: Settled Resolution Date: 08/25/1988 Sanctions Ordered: Monetary/Fine, Disgorgement/Restitution Monetary Amount: $2,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, THE FIRM AGREED TO THE IMPOSITION OF A FINE OF $2,000.00 AND AGREED TO OFFER RESCISSION TO THE VIRGINIA CUSTOMER FOR ALL PURCHASES EXECUTED PRIOR TO MARCH 20TH, 1987, THE DATE ON WHICH THE AGENT BECAME REGISTERED WITH THE COMMONWEALTH. Summary: ****** REGULATORY ACTION (283 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 11/30/1988 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 05/05/1988 Docket/ Case Number: CHI-1035 Allegations: Current Status: Final Resolution: Consent Resolution Date: 12/30/1988 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $5,000.00 Resolution Details: Summary: COMPLAINT NO. CHI-1035 FILED MAY 5, 1988 BY DISTRICT NO. 8 AGAINST RESPONDENTS SHEARSON LEHMAN HUTTON, INC., JOSEPH DEL DUCA AND JOSHUA JEDWAB ALLEGING VIOLATIONS OF ARTICLE III, SECTIONS 1 AND 27 OF THE RULES OF FAIR PRACTICE IN THAT RE SPONDENTS FAILED TO RESPOND TO THE ASSOCIATION'S REQUESTS FOR INFORMATION MADE PURSUANT TO ARTICLE IV, SECTION 5 OF THE RULES OF FAIR PRACTICE; AND, RESPONDENT MEMBER, ACTING THROUGH RESPONDENT DEL DUCA, FAILED TO PROPERLY SUPERVISE RESPONDENT NASD BrokerCheck October 12, 2005 Page 224 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) JEDWAB. DECISION RENDERED NOVEMBER 30, 1988, WHEREIN THE OFFER OF SETTLEMENT SUBMITTED BY RESPONDENTS WAS ACCEPTED; THEREFORE, RESPONDENT MEMBER IS CENSURED AND FINED $5,000.00 AND RESPONDENT JEDWAB IS CENSURED. THE COMMITTEE DETERMINED THAT RESPONDENT DEL DUCA DID NOT RECEIVE EITHER OF THE ASSOCIATION'S REQUESTS FOR INFORMATION AND THAT, CONTRARY TO THE FIRM'S PROCEDURES, THE LETTERS WERE ROUTED DIRECTLY TO RESPONDENT JEDWAB AND THEREFORE DISMISS THE ALLEGATIONS IN THE FIRST CAUSE AS TO RESPONDENT DEL DUCA AND DISMISS THE SECOND CAUSE IN ITS ENTIRETY; THEREFORE, THE COMPLAINT IS DISMISSED WITH REGARD TO RESPONDENT DEL DUCA. $5,000 PAID 12/30/88 - DEPOSIT #420 *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD - DBCC FOR DISTRICT NO. 8 Date initiated: 11/30/1988 Docket/ Case Number: CHI-1035 Allegations: IT WAS ALLEGED THAT SHEARSON LEHMAN HUTTON AND ONE OF ITS EMPLOYEES HAD FAILED TO RESPOND TO A NASD REQUEST FOR INFORMATION. Current Status: Final Resolution: Consent Resolution Date: 11/30/1988 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $5,000.00 Resolution Details: THE DISTRICT ACCEPTED OFFERS OF SETTLEMENT FROM THE FIRM AND ONE ITS EMPLOYEES WHEREIN, WITHOUT ADMITTING OR DENYING THE ALLEGATION OUTLINE ABOVE, THE FIRM CONSENTED TO CENSURE AND THE IMPOSITION OF A $5,000.00 FINE. Summary: ****** REGULATORY ACTION (284 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 10/05/1987 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 10/05/1987 Docket/ Case Number: MS-624-AWC Allegations: Current Status: Final Resolution: Consent Resolution Date: 01/26/1988 Sanctions Ordered: Monetary/Fine Monetary Amount: $500.00 Resolution Details: Summary: MARKET SURVEILLANCE COMMITTEE COMPLAINT #MS-624-AWC: THE LETTER OF ACCEPTANCE, WAIVER AND CONSENT (AWC) FILED OCTOBER 5, 1987 ALLEGES VIOLATIONS OF PART VI, SECTION 2(d) OF SCHEDULE D FOR ENTERING NASDAQ QUOTATIONS CONTAINING EXCESS SPREADS. THE AWC WAS ACCPETED BY THE MARKET SURVEILLANCE COMMITTEE ON 1/7/88 AND BY THE NATIONAL BUSINESS CONDUCT COMMITTEE ON 1/26/88. FINE $500. ******* $500 FINE PAID 11/5/87 NASD BrokerCheck October 12, 2005 Page 225 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD - MARKET SURVEILLANCE COMMITTEE Date initiated: 10/05/1987 Docket/ Case Number: MS-624-AWC Allegations: IT WAS ALLEGED THAT THE FIRM VIOLATED PART VI, SECTION 2(D) OF SCHEDULE D OF THE NASD BYLAWS IN THAT IT ENTERED NASDAQ QUOTATIONS CONTAINING EXCESSIVE SPREADS. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 01/26/1988 Sanctions Ordered: Monetary/Fine Monetary Amount: $500.00 Resolution Details: THE FIRM PAID A $500.00 FINE FOR THE ALLEGED VIOLATION. Summary: ****** REGULATORY ACTION (285 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 01/28/1989 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 11/10/1987 Docket/ Case Number: LA-4148 Allegations: Current Status: Final Resolution: Decision Resolution Date: 01/28/1989 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $30,000.00 Resolution Details: Summary: COMPLAINT NO. LA-4148 FILED NOVEMBER 10, 1987 BY DISTRICT NO. 2S AGAINST RESPONDENTS SHEARSON LEHMAN BROTHERS INC., WILLIAM SCOTT DOOLITTLE AND VAN DUYN RIDGEWAY ALLEGING VIOLATIONS OF ARTICLE III, SECTIONS 1 AND 27 OF THE RULES OF F AIR PRACTICE IN THAT RESPONDENT DOOLITLE ARRANGED FOR THE EXTENSION OR MAINTENANCE OF CREDIT TO A CUSTOMER UPON TERMS AND CONDITIONS OTHER THAN THOSE UPON WHICH RESPONDENT SHEARSON COULD ITSELF EXTEND OR MAINTAIN UNDER REGULATION T AND, RESPONDENTS SHEARSON AND RIDGWAY FAILED TO SUPERVISE PROPERLY AND ADEQUATELY THE ACTIVITIES OF RESPONDENT DOOLITTLE. DECISION RENDERED JULY 26, 1988, WHEREIN RESPONDENT DOOTLITTLE IS CENSURED, FINED $15,000.00 AND BARRED FROM ASSOCIATION WITH ANY MEMBER OF THE ASSOCIATION IN ANY CAPACITY, ASSESSED COSTS OF $483.78; RESPONDENT SHEARSON LEHMAN BROTHERS INC. IS CENSURED, FINED $30,000.00 AND ASSESSED $483.78 AND THE DECISION IS TO ACT AS A LETTER OF CAUTION TO RESPONDENT RIDGWAY. IF NO FURTHER ACTION, DECISION IS FINAL SEPTEMBER 9, 1988. AUGUST 10, 1988 - APPEALED TO THE BOARD OF GOVERNORS. BOARD OF GOVERNORS DECISION RENDERED DECEMBER 30, 1988, WHEREIN THE FINDINGS MADE ARE AFFIRMED AND THE SANCTIONS ARE MODIFIED. THE SANCTIONS ARE AFFIRMED AS TO RESPONDENTS MEMBER AND RIDGWAY; HOWEVER, RESPONDENT DOOLITTLE'S FINE IS REDUCED NASD BrokerCheck October 12, 2005 Page 226 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) TO $5,000.00, HE IS SUSPENDED FROM ASSOCIATION WITH ANY MEMBER OF THE ASSOCIATION IN ANY CAPACITY FOR ONE (1) YEAR AND IS ASSESSED COSTS OF $483.78. IF NO FURTHER ACTION, DECISION IS FINAL JANUARY 28, 1989. JANUARY 28, 1989 - DECISION IS FINAL. ***$30,483.78 FULLY PAID AS OF 12/11/89 INVOICE #89-2S-162.*** *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD - DBCC FOR DISTRICT NO. 2S Date initiated: 07/26/1988 Docket/ Case Number: LA-4148 Allegations: THE NASD FOUND THAT SHEARSON LEHMAN BROTHERS HAD FAILED TO SUPERVISE ONE OF ITS REGISTERED REPRESENTATIVES AND HAD ARRANGED FOR CREDIT FOR A CUSTOMER IN CONTRAVENTION OF REGULATION T OF THE BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM. Current Status: Final Resolution: Settled Resolution Date: 07/26/1988 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $30,000.00 Resolution Details: THE DBCC ISSUED A DECISION IN WHICH SHEARSON LEHMAN BROTHERS WAS CENSURED. THE FIRM ALSO PAID A FINE OF $30,000.00. Summary: ****** REGULATORY ACTION (286 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 07/07/1999 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 08/23/1961 Docket/ Case Number: NY-469 Allegations: NOT PROVIDED Current Status: Final Resolution: Decision Resolution Date: 05/21/1962 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $100.00 Other Sanctions: N/A Resolution Details: N/A Summary: COMPLAINT #NY-469 FILED 8/23/61 5/16/62 CENSURD, FINED $100.00 FINAL - 5/21/62 PAID *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD NASD BrokerCheck October 12, 2005 Page 227 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Date initiated: 08/23/1961 Docket/ Case Number: NY-469 Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Decision Resolution Date: 05/16/1962 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $100.00 Resolution Details: FIRM CENSURED AND FINED $100.00. Summary: ****** REGULATORY ACTION (287 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 06/15/1987 Initiated By: SECURITIES AND EXCHANGE COMMISSION Date initiated: 06/15/1987 Docket/ Case Number: Unknown Allegations: Current Status: Final Resolution: Consent Resolution Date: 06/15/1987 Sanctions Ordered: Censure Resolution Details: Summary: 6/29/87-SEC NEWS DIGEST ISSUE 87-117 DATED JUNE 23, 1987, ADMINISTRATIVE PROCEEDNGS DISCLOSES: 'PROCEEDINGS INSTITUTED AGAINST, AND OFFER OF SETTLEMENT ACCEPTED FROM, SHEARSON LEHMAN BROTHERS, INC.'; THE COMMISSION ORDERED PUBLIC ADMINISTRATIVE PROCEEDINGS UNDER THE SECURITIES EXCHANGE ACT OF 1934 AGAINST SHEARSON LEHMAN BROTHERS INC. (REGISTRANT), A REGISTERED BROKER-DEALER. THE COMMISSION SIMULTANEOUSLY ACCPETED REGISTRANT'S OFFER OF SETTLEMENT. BY ITS OFFER, REGISTRANT, WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, ALLOWED THE COMMISSION TO FIND THAT FROM ABOUT NOVEMBER 1, 1985 TO ABOUT NOVEMBER 8, 1985 WHILE IT TRANSACTED BUSINESS WITH ITS PUBLIC CUSTOMERS, REGISTRANT WILFULLY VIOLATED THE CUSTOMER PROTECTION RULE (RULE 15c3-3) IN THAT IT FAILED TO: (1) OBTAIN OR MAINTAIN THE PHYSICAL POSSESSION OR CONTROL OF CUSTOMERS' FULLY-PAID AND EXCESS MARGIN SECRITIES (CUSTOMERS' SECURITIES). THE LARGEST IMPROPER USE OF CUSTOMERS' SECURITIES OCCURRED ON NOVEMBER 1, 1985 WHEN REGISTRANT USED APPROXIMATELY $69 MILLION OF SUCH SECURITIES; AND (2) REDUCE TO ITS PHYSICAL POSSESSION AND CONTROL WITHIN THE PRESCRIBED TIME PERIOD, CUSTOMERS' SECURITIES WHICH ALLOCATED TO OPEN STOCK LOAN POSITIONS. REGISTRANT CONSENTED TO A CENSURE AND AGREED TO COMPLY WITH CERTAIN UNDERTAKINGS DESIGNED TO PREVENT THE RECURRENCE OF SIMILAR VIOLATIONS. REGISTRANT WILL ALSO RETAIN AN INDEPENDENT PUBLIC ACCOUNTANT TO REVIEW ITS PROCEDURES, AND THEREAFTER FILE FOUR REPORTS WITH THE COMMISSION'S NEW YORK REGIONAL OFFICE. (REL. 35-24595) (ORDER DATED 6-15-87) *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: SEC NASD BrokerCheck October 12, 2005 Page 228 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Date initiated: 06/15/1987 Docket/ Case Number: UNKNOWN Allegations: IT WAS FOUND BY THE SEC THAT SHEARSON HAD FAILED TO OBTAIN OR MAINTAIN THE PHYSICAL POSSESSION OR CONTROL OF ALL ITS CUSTOMERS' FULLY-PAID AND/OR EXCESS MARGIN SECURITIES IN VIOLATION OF SECTION 15(C)(3) OF THE EXCHANGE ACT AND RULE 15C3-3(B)(1). SHEARSON ALSO CONSENTED TO A FINDING THAT IT FAILED TO REDUCE TO ITS POSSESSION OR CONTROL WITHIN THE PRESCRIBED TIME PERIOD CUSTOMERS' SECURITIES WHICH HAD BEEN ALLOCATED TO OPEN STOCK LOAN POSITIONS IN VIOLATION OF RULE 15C3-3(D)(1). Current Status: Final Resolution: Consent Resolution Date: 06/15/1987 Sanctions Ordered: Censure Other Sanctions: FIRM REQUIRED TO IMPLEMENT CERTAIN SPECIFIC UNDERTAKINGS RELATING TO POSSESSION AND CONTROL OF SECURITIES AND TO ENGAGE AN INDEPENDENT CONSULTANT TO REVIEW CERTAIN CONDUIT ACTIVITY OVER A TWO-YEAR PERIOD. Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, SHEARSON CONSENTED TO THE FINDINGS; THE FIRM WAS CENSURED AND SANCTIONS AS OUTLINED ABOVE WERE AGREED TO. Summary: ****** REGULATORY ACTION (288 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 03/19/1987 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 03/19/1987 Docket/ Case Number: WA-506-AWC Allegations: Current Status: Final Resolution: Consent Resolution Date: 03/19/1987 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $500.00 Resolution Details: Summary: ON MARCH 19, 1987, THE LETTER OF ACCEPTANCE, WAIVER AND CONSENT NO. WA-506-AWC (DISTRICT NO. 10) SUBMITTED BY RESPONDENT SHEARSON LEHMAN BROTHERS, INC. WAS ACCEPTED; THEREFORE, THE FIRM IS CENSURED AND FINED $500.00 AND CONSENTS TO FILINGS OF ALL ADVERTISEMENTS INITIATED BY ITS BETHESDA, MARYLAND BRANCH OFFICE TO THE ASSOCIATION'S ADVERTISING DEPARTMENT AT LEAST 10 DAYS PRIOR TO USE FOR A PERIOD OF ONE (1) YEAR FROM THE DATE OF THIS LETTER OF ACCEPTANCE, WAIVER AND CONSENT (ARTICLE III, SECTIONS 1 AND 35 OF THE RULES OF FAIR PRACTICE - UTILIZED AN ADVERTISEMENT RELATING TO A PUBLIC REAL ESTATE LIMITED PARTNERSHIP WHICH WAS NOT IN CONFORMANCE WITH SEC RULE 134 IN ORDER TO BE A WRITTEN COMMUNICATION NOT DEEMED A PROSPECTUS; AND AN ADVERTISEMENT FOR GNMA CERTIFICATES CONTAINED MISLEADING STATEMENTS). ****** $500 PAID 8-17-87. *********************************** Reporting Source: Brokerage Firm (Form BD) NASD BrokerCheck October 12, 2005 Page 229 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Date Reported: Initiated By: NASD - DBCC FOR DISTRICT NO. 10 Date initiated: 03/19/1987 Docket/ Case Number: WA-506-AWC Allegations: ADVERTISING ISSUE--SHEARSON LEHMAN BROTHERS AGREED TO FILE ALL ADVERTISEMENTS INITIATED BY ITS BETHESDA, MD BRANCH OFFICE TO THE NASD'S ADVERTISING DEPARTMENT AT LEAST TEN DAYS PRIOR TO USE FOR A PERIOD OF ONE YEAR FROM THE DATE OF THE AWC LETTER. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 03/19/1987 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $500.00 Other Sanctions: SEE ABOVE. Resolution Details: THE FIRM WAS CENSURED AND FINED $500; FIRM AGREED TO SUBMIT ADVERTISEMENTS FOR NASD REVIEW AS OUTLINED ABOVE. Summary: ****** REGULATORY ACTION (289 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 12/08/1987 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 12/08/1986 Docket/ Case Number: MS-451-AWC Allegations: Current Status: Final Resolution: Consent Resolution Date: 04/03/1987 Sanctions Ordered: Monetary/Fine Monetary Amount: $250.00 Resolution Details: Summary: MARKET SURVEILLANCE COMMITTEE COMPLAINT #MS-451-AWC: LETTER OF ACCEPTANCE, WAIVER AND CONSENT (AWC) WAS FILED ON DECEMBER 8, 1986, ALLEGING VIOLATIONS OF PART I, SECTION C.3.(c) OF SCHEDULE D OF THE ASSOCIATION'S BY-LAWS IN THAT RESPONDENT (SHEARSON LEHMAN BROTHERS INC.) FAILED TO REPORT ITS NASDAQ VOLUME IN ONE SECURITY ON 10/8/86. THE AWC WAS ACCEPTED BY THE MARKET SURVEILLANCE COMITTEE ON MARCH 2, 1987 AND BY THE NATIONAL BUSINESS CONDUCT COMMITTEE ON APRIL 3, 1987. $250 FINE RECEIVED 12/31/86 $250 FINE PAID 3/24/87 *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD - NBCC Date initiated: 04/03/1987 Docket/ Case Number: MS-451-AWC NASD BrokerCheck October 12, 2005 Page 230 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Allegations: IT WAS ALLEGED SHEARSON LEHMAN BROTHERS VIOLATED PART 1, SECTION C3(C) OF SCHEDULE D OF THE ASSOCIATION'S BYLAWS RELATING TO FAILURE TO REPORT ITS NASDAQ VOLUME IN ONE SECURITY ON OCTOBER 8TH, 1986. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 04/03/1987 Sanctions Ordered: Monetary/Fine Monetary Amount: $250.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, THE FIRM CONSENTED TO THE IMPOSITION OF A $250.00 FINE. Summary: ****** REGULATORY ACTION (290 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 08/19/1986 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 08/19/1986 Docket/ Case Number: MS-399-AWC Allegations: Current Status: Final Resolution: Consent Resolution Date: 12/08/1996 Sanctions Ordered: Monetary/Fine Monetary Amount: $250.00 Resolution Details: Summary: MARKET SURVEILLANCE COMMITTEE COMPLAINT #MS-399-AWC: LETTER OF ACCEPTANCE, WAIVER AND CONSENT (AWC) WAS FILED ON AUGUST 19, 1986, ALLEGING VIOLATIONS OF PART I, SECTION C.3.(c) OF SCHEDULE D OF THE ASSOCIATION'S BY-LAWS IN THAT RESPONDENT (SHEARSON LEHMAN BROTHERS INC.) FAILED TO REPORTS ITS NASDAQ VOLUME IN TWO SECURITIES ON 4/25/86. THE AWC WAS ACCEPTED BY THE MARKET SURVEILLANCE COMMITTEE ON NOVEMBER 13, 1986 AND BY THE NATIONAL BUSINESS CONDUCT COMMITTEE ON DECEMBER 8,1 986. $250 FINE RECEIVED 10/21/86 *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD - NBCC Date initiated: 12/08/1986 Docket/ Case Number: MS-399-AWC Allegations: SHEARSON LEHMAN BROTHERS ALLEGEDLY FAILED TO REPORT ITS NASDAQ VOLUME IN TWO SECURITIES ON APRIL 24TH, 1986, IN VIOLATION OF PART I, SECTION C.3.(C) OF SCHEDULE D OF THE ASSOCIATION'S BYLAWS. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 12/08/1986 NASD BrokerCheck October 12, 2005 Page 231 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Sanctions Ordered: Monetary/Fine Monetary Amount: $250.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, THE FIRM CONSENTED TO THE IMPOSITION OF A $250.00 FINE. Summary: ****** REGULATORY ACTION (291 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 07/25/1986 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 07/25/1986 Docket/ Case Number: MS-362-AWC Allegations: Current Status: Final Resolution: Consent Resolution Date: 10/08/1986 Sanctions Ordered: Monetary/Fine Monetary Amount: $1,000.00 Resolution Details: Summary: 10/28/86: MARKET SURVEILLANCE COMMITTEE COMPLAINT #MS-362-AWC: LETTER OF ACCEPTANCE, WAIVER AND CONSENT (AWC) WAS FILED ON 7/25/86, ALLEGING VIOLATIONS OF PART I, SECTION C.3.(a) OF SCHEDULE D OF THE ASSOCATION'S BY-LAWS IN THAT ON 5/2/86 AND 5/12/86, THE RESPONDENT ENTERED QUOTATIONS INTO THE NASDAQ SYSTEM THAT WERE NOT REASONABLE RELATED TO THE PREVAILING MARKET. THE AWC WAS ACCEPTED BY THE MSC ON 9/8/86 AND BY THE NBCC ON 10/8/86. $1,000 FINE RECEIVED 8/18/86. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD - NBCC Date initiated: 10/08/1986 Docket/ Case Number: MS-362-AWC Allegations: IT WAS ALLEGED THAT SHEARSON LEHMAN BROTHERS VIOLATED PART 1, SECTION C.3(A) OF SCHEDULE D OF THE ASSOCIATION'S BYLAWS RELATING TO QUOTATIONS INTO THE NASDAQ SYSTEM THAT WERE NOT REASONABLE RELATED TO THE PREVAILING MARKET ON MAY 2ND, 1986 AND MAY 12TH, 1986. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 10/08/1986 Sanctions Ordered: Monetary/Fine Monetary Amount: $1,000.00 Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, THE FIRM CONSENTED TO THE IMPOSITION OF A $1,000.00 FINE. Summary: NASD BrokerCheck October 12, 2005 Page 232 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) ****** REGULATORY ACTION (292 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 07/11/1986 Initiated By: MASSACHUSETTS SECURITIES DIVISION Date initiated: 07/07/1986 Docket/ Case Number: E-86-10 Allegations: SHEARSON SOLD PARTNERSHIPS UNITS IN VIOLATION OF SECTION 301. Current Status: Final Resolution: Decision Resolution Date: 07/07/1986 Sanctions Ordered: Censure Resolution Details: THE DIVISION CENSURED SHEARSON AND REQUIRED IT TO PAY THE COMMONWEALTH $1,000.00. Summary: Not Provided *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: COMMONWEALTH OF MASSACHUSETTS Date initiated: 07/09/1986 Docket/ Case Number: E-86-10 Allegations: BLUE SKY VIOLATION (ALLEGED OFFER/SALE OF UNREGISTERED SECURITIES). Current Status: Final Resolution: Settled Resolution Date: 07/09/1986 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $1,000.00 Resolution Details: FIRM WAS CENSURED A MADE A VOLUNTARY PAYMENT OF $1,000.00. Summary: ****** REGULATORY ACTION (293 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 09/25/1986 Initiated By: SECURITIES AND EXCHANGE COMMISSION Date initiated: 10/08/1986 Docket/ Case Number: Unknown Allegations: Current Status: Final Resolution: Consent NASD BrokerCheck October 12, 2005 Page 233 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Resolution Date: 10/08/1986 Sanctions Ordered: Censure Resolution Details: Summary: 10/8/86: SEC NEWS DIGEST ISSUE-86-186: THE COMMISION INSTITUTED PUBLIC ADMINISTRATIVE PROCEEDINGS AGAINST SHEARSON LEHMAN BROTHERS, INC., A REGISTERED BROKER/DEALER, AND STEIN ROE & FARNHAM, A REGISTERED INVESTMENT ADVISER. THE ORDER ALLEGES THAT SHEARSON AND STEIN ROE FAILED TO REASONABLY SUPERVISE GEORGE AND JOHN INSERRA, NICHOLAS J. GENTILE, AND JOHN GIURA, RESPECTIVELY, WITH A REIVEW TO PREVENTING VIOLATIONS OF THE ANTIFRAUD PROVISIONS OF THE INVESTMENT ADVISERS ACT OF 1940 AND THE SECURITIES EXCHANGE ACT OF 1934. IN SEPARATE PROCEEDING, WHICH ARE BEING CONTESTED, THE COMMISSION ALLEGED THAT GIURA, THE INSERRAS AND GENTILE ENGAGED IN VARIOUS SCHEMES TO DEFRAUD CLIENTS OF SHEARSON AND STEIN ROE, INCLUDING UNION PENSION AND WELFARE FUNDS. THE ORDER HEREIN ALLEGES THAT SHEARSON'S PROCEDURES WERE NOT SUFFICIENT TO PREVENT THE VIOLATIONS BY GENTILE AND THE INSERRAS, AND THE STEIN ROE HAD NO PROCEDURES IN PLACE THAT WOULD HAVE REASONABLY PREVENTED GIURA'S VIOLATIONS. SIMULTANEOUS WITH THE INSTITUTION OF PROCEEDINGS, SHEARSON AND STEIN ROE, WITHOUT ADMITTING OR DENYING THE COMMISSION'S ALLEGATIONS, CONSENTED TO THE ORDER, A CENSURE, AND THE APPOINTMENT OF INDEPENDENT CONSULTANTS TO REVIEW AND REPORT UPON THEIR PROCEDURES. BOTH SHEARSON AND STEIN ROE CONSENTED TO IMPLEMENT ANY RECOMMENDATIONS RESULTING THEREFROM. (REL. 34-23640) *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: SEC Date initiated: 09/24/1986 Docket/ Case Number: UNKNOWN Allegations: IT WAS ALLEGED SHEARSON FAILED TO REASONABLY SUPERVISE G. INSERRA, J. INSERRA AND N. GENTILE WITH A VIEW TO PREVENTING VIOLATIONS OF SECTION 206 OF THE ADVISORS ACT AND SECTION 10(B) OF THE EXCHANGE ACT AND RULE 10B-5 THEREUNDER, THEREBY VIOLATING SECTION 15(B)(4)(E) OF THE EXCHANGE ACT. Current Status: Final Resolution: Consent Resolution Date: 09/24/1986 Sanctions Ordered: Censure Other Sanctions: FIRM REQUIRED TO ENGAGE A CONSULTANT TO REVIEW CERTAIN CORRECTION AND COMPLIANCE FOLLOW-UP PROCEDURES. Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, THE FIRM CONSENTED TO THE ABOVE FINDINGS; THE FIRM AGREED TO A CENSURE AND THE ENGAGEMENT OF A CONSULTANT AS DESCRIBED ABOVE. Summary: ****** REGULATORY ACTION (294 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 06/11/1986 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 06/11/1986 Docket/ Case Number: MS-347-AWC Allegations: NASD BrokerCheck October 12, 2005 Page 234 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Current Status: Final Resolution: Consent Resolution Date: 09/10/1986 Sanctions Ordered: Monetary/Fine Monetary Amount: $250.00 Resolution Details: Summary: 9/24/86: MARKET SURVEILLANCE COMMITTEE COMPLAINT #MS-347-AWC: LETTER OF ACCEPTNCE, WAIVER AND CONSENT (AWC) WAS FILED ON 6/11/86, ALLEGING VIOLATIONS OF PART I, SECTION C.3.(c) OF SCHEDULE D OF THE ASSOCIATION'S BY-LAWS IN THAT RESPONDENT (SHEARSON LEHMAN BROTHERS INC.) FAILED TO REPORT ITS NASDAQ VOLUME IN TWO SECURITIES ON 12/18/85, ONE SECURITY ON 3/25/86, AND IN FIVE SECURITIES ON 4/10/86. THE AWC WAS ACCEPTED BY THE MARKET SURVEILLANCE COMMITTEE ON 8/6/86 AND BY THE NBCC ON 9/10/86. 11/18/86: $250 FINE PAID 7/16/86 *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD - MARKET SURVEILLANCE COMMITTEE Date initiated: 06/11/1986 Docket/ Case Number: MS-347-AWC Allegations: IT WAS ALLEGED THAT THE FIRM VIOLATED PART I, SECTION C.3(C) OF SCHEDULE D OF THE NASD'S BYLAWS IN THAT IT FAILED TO REPORT ITS NASDAQ VOLUME IN TWO SECURITIES ON DECEMBER 18TH, 1985, ONE SECURITY ON MARCH 25TH, 1986 AND IN FIVE SECURITIES ON APRIL 10TH, 1986. Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 09/10/1986 Sanctions Ordered: Monetary/Fine Monetary Amount: $250.00 Resolution Details: THE FIRM WAS FINED $250.00 FOR THE ALLEGED VIOLATIONS. Summary: ****** REGULATORY ACTION (295 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 10/30/1975 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 08/19/1975 Docket/ Case Number: N-VS-158 Allegations: Current Status: Final Resolution: Decision Resolution Date: 10/30/1975 Sanctions Ordered: Monetary/Fine Monetary Amount: $25.00 NASD BrokerCheck October 12, 2005 Page 235 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Resolution Details: Summary: NASDAQ COMPLAINT #N-VS-158 FILED 8-19-75 FINAL: 8-25-75, PAID $25.00 DECISION FINAL: 10-30-75 *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD Date initiated: 08/19/1975 Docket/ Case Number: N-VS-158 Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Decision Resolution Date: 10/30/1975 Sanctions Ordered: Monetary/Fine Monetary Amount: $25.00 Resolution Details: FIRM PAID $25.00 FINE. Summary: ****** REGULATORY ACTION (296 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 11/20/1972 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 07/27/1972 Docket/ Case Number: N-V-221 Allegations: Current Status: Final Resolution: Decision Resolution Date: 11/20/1972 Sanctions Ordered: Monetary/Fine Monetary Amount: $25.00 Resolution Details: Summary: NASDAQ COMPLAINT N-V-221 FILED 7/27/72 10/27/72 - FINED $25.00 11/20/72 - PAID, FINAL *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD Date initiated: 07/27/1972 Docket/ Case Number: N-V-221 Allegations: UNKNOWN (CONVERSION). NASD BrokerCheck October 12, 2005 Page 236 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Current Status: Final Resolution: Decision Resolution Date: 11/20/1972 Sanctions Ordered: Monetary/Fine Monetary Amount: $25.00 Resolution Details: FIRM WAS FINED $25.00. Summary: ****** REGULATORY ACTION (297 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 01/06/1966 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 12/03/1965 Docket/ Case Number: SC-6 Allegations: Current Status: Final Resolution: Decision Resolution Date: 01/06/1966 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $100.00 Resolution Details: Summary: COMPLAINT #SC-6 FILED 12/3/65 12/7/65 - CENSURED, FINED $100.00 1/6/66 - TO BE FINAL FINAL - FINE PAID *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD Date initiated: 12/03/1965 Docket/ Case Number: SC-6 Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Decision Resolution Date: 01/06/1966 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $100.00 Resolution Details: FIRM CENSURED AND FINED $100.00. Summary: ****** REGULATORY ACTION (298 of 335) ****** NASD BrokerCheck October 12, 2005 Page 237 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Reporting Source: Regulator (Form U-6) Date Reported: 03/20/1964 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 01/27/1964 Docket/ Case Number: MV-5 Allegations: Current Status: Final Resolution: Decision Resolution Date: 02/19/1964 Sanctions Ordered: Monetary/Fine Monetary Amount: $50.00 Resolution Details: Summary: MV-5 FILED 1/27/64 2/19/64: FINED $50 3/20/64: FINAL FINE PAID *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD Date initiated: 01/27/1964 Docket/ Case Number: MV-5 Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Decision Resolution Date: 02/19/1964 Sanctions Ordered: Monetary/Fine Monetary Amount: $50.00 Resolution Details: FIRM FINED $50.00. Summary: ****** REGULATORY ACTION (299 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 04/28/1964 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 10/15/1963 Docket/ Case Number: A-241 Allegations: Current Status: Final Resolution: Decision Resolution Date: 05/16/1964 Sanctions Ordered: Monetary/Fine NASD BrokerCheck October 12, 2005 Page 238 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Monetary Amount: $300.00 Resolution Details: Summary: COMPLAINT #A-241 FILED 10/15/63 BEVERLY HILLS OFFICE 4/16/64: FINED $300, ASSESSED $42 5/16/64: FINAL 4/28/64: PAID *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD Date initiated: 10/15/1963 Docket/ Case Number: A-241 Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Decision Resolution Date: 05/16/1964 Sanctions Ordered: Monetary/Fine Monetary Amount: $300.00 Resolution Details: BEVERLY HILLS CA OFFICE. FINE $300.00; ASSESSED $42.00. Summary: ****** REGULATORY ACTION (300 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 08/28/1964 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 08/28/1963 Docket/ Case Number: A-236 Allegations: Current Status: Final Resolution: Decision Resolution Date: 08/28/1964 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $2,000.00 Resolution Details: Summary: COMPLAINT #A-236 FILED 8/28/63 BEVERLY HILLS OFFICE 2/28/64 - CENSURED 3/27/64 - B/G CALLED FOR REVIEW 8/10/64 - CENSURED, FINED $2,000 8/28/64 - FINAL, PAID *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD Date initiated: 08/28/1963 Docket/ Case Number: A-236 NASD BrokerCheck October 12, 2005 Page 239 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Decision Resolution Date: 08/28/1964 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $2,000.00 Resolution Details: BEVERLY HILLS, CALIFORNIA OFFICE. CENSURE AND FINE. Summary: ****** REGULATORY ACTION (301 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 04/01/1964 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 08/20/1963 Docket/ Case Number: B-186 Allegations: Current Status: Final Resolution: Decision Resolution Date: 04/17/1964 Sanctions Ordered: Monetary/Fine Monetary Amount: $200.00 Resolution Details: Summary: COMPLAINT #B-186 FILED 8/20/63 BOSTON OFFICE 4/17/64: FINED $200 ASSESSED $30.50 FINAL 4/1/64 - PAID *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD Date initiated: 08/20/1963 Docket/ Case Number: B-186 Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Decision Resolution Date: 04/17/1964 Sanctions Ordered: Monetary/Fine Monetary Amount: $200.00 Resolution Details: BOSTON, MASSACHUSETTS OFFICE. FINED $200.00; ASSESSED $30.50. Summary: ****** REGULATORY ACTION (302 of 335) ****** NASD BrokerCheck October 12, 2005 Page 240 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Reporting Source: Regulator (Form U-6) Date Reported: 11/16/1982 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 11/16/1982 Docket/ Case Number: ATL-666-AWC Allegations: Current Status: Final Resolution: Decision Resolution Date: 11/16/1982 Sanctions Ordered: Censure Resolution Details: Summary: COMPLAINT #ATL-666-AWC FILED 11/16/82 DIST. #7 DECISION CENSURED. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD Date initiated: 11/16/1982 Docket/ Case Number: ATL-666-AWC Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 11/16/1982 Sanctions Ordered: Censure Resolution Details: FIRM WAS CENSURED. DISTRICT NO. 7. Summary: ****** REGULATORY ACTION (303 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 12/11/1964 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 04/12/1963 Docket/ Case Number: NY-772 Allegations: Current Status: Final Resolution: Decision Resolution Date: 12/11/1964 Sanctions Ordered: Monetary/Fine, Censure Resolution NASD BrokerCheck October 12, 2005 Page 241 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Details: Summary: COMPLAINT #NY-772 FILED 4/12/63 8/21/63 - CENSURED 9/29/63 - TO BE FINAL 6/24/64 - B/G CALLED FOR REVIEW 12/11/64 - CENSURED AND FINED *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD Date initiated: 04/12/1963 Docket/ Case Number: NY-772 Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Decision Resolution Date: 12/11/1964 Sanctions Ordered: Censure Other Sanctions: FINE OF UNKNOWN AMOUNT (CONVERSION). Resolution Details: FIRM WAS CENSURED AND FINED. Summary: ****** REGULATORY ACTION (304 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 05/08/1973 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 05/08/1973 Docket/ Case Number: NY-1755 Allegations: Current Status: Pending Summary: COMPLAINT #NY-1755 FILED 5/8/73 *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 06/13/2001 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC Date initiated: 05/08/1973 Docket/ Case Number: NY-1755 Allegations: UNKNOWN (CONVERSION) Current Status: Final Resolution: Order Resolution Date: 05/08/1973 Sanctions Ordered: Resolution Details: UNKNOWN Summary: UNKNOWN (CONVERSION). NO INFORMATION OR DOCUMENTS AVAILABLE. NASD BrokerCheck October 12, 2005 Page 242 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) ****** REGULATORY ACTION (305 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 03/14/1973 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 10/03/1972 Docket/ Case Number: N-V-250 Allegations: Current Status: Final Resolution: Decision Resolution Date: 02/13/1973 Sanctions Ordered: Monetary/Fine Monetary Amount: $25.00 Resolution Details: Summary: NASDAQ COMPLAINT N-V-250 FILED 10/3/72 11/15/72 - FINED $25.00 2/13/73 - FINAL 3/14/73 - PAID *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD Date initiated: 10/03/1972 Docket/ Case Number: N-V-250 Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Decision Resolution Date: 02/13/1973 Sanctions Ordered: Monetary/Fine Monetary Amount: $25.00 Resolution Details: FIRM WAS FINED $25.00. Summary: ****** REGULATORY ACTION (306 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 01/28/1962 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 08/01/1961 Docket/ Case Number: NY-442 Allegations: Current Status: Final NASD BrokerCheck October 12, 2005 Page 243 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Resolution: Decision Resolution Date: 01/28/1962 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $100.00 Resolution Details: Summary: COMPLAINT #NY-442 FILED 8/1/61 DECISION RENDERED 12/29/61, CENSURED AND FINED $100 FINAL 1/28/62 CHECK IN THE AMOUNT OF $100.00 RECEIVED RE MEMO 1/8/62 *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD Date initiated: 08/01/1961 Docket/ Case Number: NY-442 Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Decision Resolution Date: 01/28/1962 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $100.00 Resolution Details: FIRM WAS CENSURED AND FINED. Summary: ****** REGULATORY ACTION (307 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 01/01/1978 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 04/07/1977 Docket/ Case Number: CA-613 Allegations: Current Status: Final Resolution: Decision Resolution Date: 07/29/1981 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $2,500.00 Resolution Details: Summary: COMPLAINT #CA-613 FILED 04/07/77 DIST. #2S DECISION 11/18/77: CENSURED: FINED $2,500: ASSESSED COSTS OF $410 01/01/78: TO BE FINAL FINES & COSTS 07/29/81 FC 7932 PD APPEAL ACTION 12/02/77: CALLED FOR REVIEW *********************************** Reporting Source: Brokerage Firm (Form BD) NASD BrokerCheck October 12, 2005 Page 244 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Date Reported: Initiated By: NASD Date initiated: 04/07/1977 Docket/ Case Number: CA-613 Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Decision Resolution Date: 07/29/1981 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $2,500.00 Resolution Details: FIRM CENSURED AND FINED; ASSESSED COSTS OF $410.00. Summary: ****** REGULATORY ACTION (308 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 04/28/1976 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 04/28/1976 Docket/ Case Number: N-VS-206 Allegations: Current Status: Pending Summary: NASDAQ COMPLAINT #N-VS-206 FILED 4-28-76 *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 06/13/2001 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS INC Date initiated: 04/28/1976 Docket/ Case Number: N-VS-206 Allegations: UNKNOWN Current Status: Final Resolution: Other Resolution Date: 04/28/1976 Sanctions Ordered: Resolution Details: Summary: NO INFORMATION OR DOCUMENTS AVAILABLE. UNKNOWN (CONVERSION) ****** REGULATORY ACTION (309 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 11/15/1973 NASD BrokerCheck October 12, 2005 Page 245 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 07/20/1973 Docket/ Case Number: N-V-321 Allegations: Current Status: Final Resolution: Decision Resolution Date: 11/15/1973 Sanctions Ordered: Monetary/Fine Monetary Amount: $25.00 Resolution Details: Summary: NASDAQ COMPLAINT N-V-321 FILED 7/20/73 10-1-73: FINED $25.00 11-15-73: FINAL *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD Date initiated: 07/20/1973 Docket/ Case Number: N-V-321 Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Decision Resolution Date: 11/15/1973 Sanctions Ordered: Monetary/Fine Monetary Amount: $25.00 Resolution Details: FIRM WAS FINED $25.00. Summary: ****** REGULATORY ACTION (310 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 07/20/1973 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 04/09/1973 Docket/ Case Number: N-V-275 Allegations: Current Status: Final Resolution: Decision Resolution Date: 07/20/1973 Sanctions Ordered: Monetary/Fine Monetary Amount: $25.00 Resolution NASD BrokerCheck October 12, 2005 Page 246 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Details: Summary: NASDAQ COMPLAINT #N-V-275 FILED 4-9-73 6-5-73: FINED $25.00 7-3-73: PAID 7-20-73: FINAL *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD Date initiated: 04/09/1973 Docket/ Case Number: N-V-275 Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Decision Resolution Date: 07/20/1973 Sanctions Ordered: Monetary/Fine Monetary Amount: $25.00 Resolution Details: FIRM WAS FINED $25.00. Summary: ****** REGULATORY ACTION (311 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 01/03/1969 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 11/30/1967 Docket/ Case Number: NY-1071 Allegations: Current Status: Final Resolution: Decision Resolution Date: 01/03/1969 Sanctions Ordered: Monetary/Fine Monetary Amount: $1,000.00 Resolution Details: Summary: COMPLAINT #NY-1071 FILED 11/30/67 DECISION 12/4/68 - FINED $1,000.00 AND ASSESSED $40.95 1/3/69 DEC. FINAL - FINES AND COSTS PAID. (TRANSFERRED FROM KUHN LOEB INCORPORATED) *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD Date initiated: 11/30/1967 Docket/ Case Number: NY-1071 Allegations: UNKNOWN (CONVERSION). NASD BrokerCheck October 12, 2005 Page 247 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Current Status: Final Resolution: Decision Resolution Date: 01/03/1969 Sanctions Ordered: Monetary/Fine Monetary Amount: $1,000.00 Resolution Details: FIRM FINED $1,000.00 AND ASSESSED $40.95. Summary: ****** REGULATORY ACTION (312 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 08/06/1962 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 01/18/1962 Docket/ Case Number: NY-515 Allegations: Current Status: Final Resolution: Decision Resolution Date: 08/09/1962 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $3,000.00 Resolution Details: Summary: COMPLAINT #NY-515 FILED 10/12/61 AMENDED - COMP. FILED 1/18/62 DEC. 7/9/62 - CENSURED AND FINED $3,000.00 TO BE FINAL 8/9/62 CHECK FOR $3,000.00 REC'D RE MEMO 7/30/62 FINE PAID RE MEMO 8/6/62 *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD Date initiated: 01/18/1962 Docket/ Case Number: NY-515 Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Decision Resolution Date: 08/09/1962 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $3,000.00 Resolution Details: FIRM CENSURED AND FINED $3,000.00. Summary: ****** REGULATORY ACTION (313 of 335) ****** NASD BrokerCheck October 12, 2005 Page 248 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Reporting Source: Regulator (Form U-6) Date Reported: 10/25/1979 Initiated By: CHICAGO BOARD OF OPTION EXCHANGE Date initiated: 10/25/1979 Docket/ Case Number: 79-0100 Allegations: Current Status: Final Resolution: Consent Resolution Date: 10/25/1979 Sanctions Ordered: Monetary/Fine Monetary Amount: $4,000.00 Resolution Details: Summary: CBOE (FILE NO. 79-0100) 10/25/79 CONSENTS TO BEING FINED $4,000 (TRANSFERRED FROM LEHMAN BROTHERS KUHN LOEB INC.) *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: CHICAGO BOARD OPTIONS EXCHANGE Date initiated: 10/25/1979 Docket/ Case Number: 70-0100 Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Consent Resolution Date: 10/25/1979 Sanctions Ordered: Monetary/Fine Monetary Amount: $4,000.00 Resolution Details: FIRM CONSENTED TO A $4,000.00 FINE. Summary: ****** REGULATORY ACTION (314 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 03/24/1981 Initiated By: CHICAGO BOARD OF OPTION EXCHANGE Date initiated: 12/24/1981 Docket/ Case Number: 81-0047 Allegations: Current Status: Final Resolution: Consent Resolution Date: 12/24/1981 Sanctions NASD BrokerCheck October 12, 2005 Page 249 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Ordered: Monetary/Fine Monetary Amount: $2,000.00 Resolution Details: Summary: CHICAGO BOARD OPTIONS EXCHANGE, INC. FILE NO. 81-0047, ISSUED DECEMBER 24, 1981. THE BUSINESS CONDUCT COMMITTEE OF THE CBOE AGREED TO ACCEPT THE OFFER OF SETTLEMENT SUBMITTED BY LEHMAN BROTHERS KUHN LOEB INC. IN WHICH THE FIRM NEITHER ADMITTED OR DENIED THE ALLEGATIONS BROUGHT BY THE EXCHANGE'S STAFF. THE EXCHANGE'S STAFF HAD ALLEGED THAT LEHMAN BROTHERS ENTERED INTO OPENING PURCHASE TRANSACTIONS IN THE GENERAL ELECTRIC COMPANY CLASS OF CALL OPTION CONTRACTS ON NOVEMBER 28, 1980, IN WHICH LEHMAN BROTHERS CAUSED TO HOLD, CONTROL OR BE OBLIGATED WITH RESPECT TO AN AGGREGATED LONG POSITION OF 2,112 GE CALL OPTION CONTRACTS. THE COMMITTEE DETERMINED THAT THE FIRM'S ACTION CONSTITUTED A VIOLATION OF EXCHANGE RULE 4.11 AND ACCEPTED THE FIRM'S OFFER OF SETTLEMENT IN WHICH LEHMAN BROTHERS CONSENTED TO A $2,000 FINE. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: CHICAGO BOARD OPTIONS EXCHANGE Date initiated: 12/24/1981 Docket/ Case Number: 81-0047 Allegations: IT WAS ALLEGED THAT LEHMAN BROTHERS HAD ENTERED INTO OPENING PURCHASE TRANSACTIONS IN THE GENERAL ELECTRIC COMPANY CLASS OF CALL OPTION CONTRACTS ON NOVEMBER 28TH, 1980 IN WHICH THE FIRM CAUSED TO HOLD, CONTROL OR BE OBLIGATED WITH RESPECT TO AN AGGREGATED LONG POSITION OF 2112 GENERAL ELECTRIC CALL OPTION CONTRACTS. Current Status: Final Resolution: Consent Resolution Date: 12/24/1981 Sanctions Ordered: Monetary/Fine Monetary Amount: $2,000.00 Resolution Details: THE CBOE DETERMINED THAT THE FIRM'S ACTION CONSTITUTED A VIOLATION OF EXCHANGE RULE 4.11; THE CBOE ACCEPTED THE FIRM'S OFFER OF SETTLEMENT IN WHICH LEHMAN, WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, CONSENTED TO A $2,000.00 FINE. Summary: ****** REGULATORY ACTION (315 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 07/07/1999 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 12/02/1976 Docket/ Case Number: N-VS-247 Allegations: N/A Current Status: Pending Summary: TRANSFERRED FROM LEHMAN BROTHERS INCORPORATED NASDAQ COMPLAINT N-VS-247 FILED 12/2/76 *********************************** Reporting Source: Brokerage Firm (Form BD) NASD BrokerCheck October 12, 2005 Page 250 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Date Reported: 09/25/2002 Initiated By: NATIONAL ASSOCAITION OF SECURITIES DEALERS, INC Date initiated: 12/02/1976 Docket/ Case Number: N-VS-247 Allegations: UNKNOW Current Status: Pending Summary: NO INFORMATION AVAILABLE DUE TO THE AGE OF THE THIS MATTER. ****** REGULATORY ACTION (316 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 01/31/1974 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 07/05/1973 Docket/ Case Number: N-BA-39 Allegations: Current Status: Final Resolution: Decision Resolution Date: 01/31/1974 Sanctions Ordered: Monetary/Fine Monetary Amount: $500.00 Resolution Details: Summary: TRANSFERRED FROM LEHMAN BROTHERS INCORPORATED NASDAQ COMPLAINT N-BA-38 FILED 5/31/73 NASDAQ COMPLAINT N-BA-39 FILED 7/5/73 JOINT DECISION 12/17/73: FINED $500 ASSESSED $58.50 1/31/74: FINAL *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD Date initiated: 07/05/1973 Docket/ Case Number: N-BA-39 Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Decision Resolution Date: 01/31/1974 Sanctions Ordered: Monetary/Fine Monetary Amount: $500.00 Other Sanctions: ASSESSED $58.50. Resolution Details: FIRM WAS FINED AND ASSESSED AS INDICATED ABOVE. COMBINED WITH N-BA-38; JOINT DECISION. Summary: NASD BrokerCheck October 12, 2005 Page 251 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) ****** REGULATORY ACTION (317 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 01/31/1974 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 05/31/1973 Docket/ Case Number: N-BA-38 Allegations: Current Status: Final Resolution: Decision Resolution Date: 01/31/1974 Sanctions Ordered: Monetary/Fine Monetary Amount: $500.00 Resolution Details: Summary: TRANSFERRED FROM LEHMAN BROTHERS INCORPORATED NASDAQ COMPLAINT N-BA-38 FILED 5/31/73 NASDAQ COMPLAINT N-BA-39 FILED 7/5/73 JOINT DECISION 12/17/73: FINED $500 ASSESSED $58.50 1/31/74: FINAL *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD Date initiated: 05/31/1973 Docket/ Case Number: N-BA-38 Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Decision Resolution Date: 01/31/1974 Sanctions Ordered: Monetary/Fine Monetary Amount: $500.00 Other Sanctions: ASSESSED $58.50. Resolution Details: FINED AND ASSESSED AS INDICATED ABOVE. COMBINED WITH N-BA-39; JOINT DECISION. Summary: ****** REGULATORY ACTION (318 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 07/19/1977 Initiated By: SECURITIES AND EXCHANGE COMMISSION Date initiated: 07/19/1977 Docket/ Case Number: Allegations: NASD BrokerCheck October 12, 2005 Page 252 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Current Status: Final Resolution: Consent Resolution Date: 07/19/1977 Sanctions Ordered: Resolution Details: Summary: TRANSFERRED FROM LEHMAN BROTHERS INCORPORATED ND 77-138 7/19/77 REL. 34-13770, 13769 PUBLIC ADMINISTRATIVE PROCEEDINGS ORDERED. FIRM CONSENTED WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, TO FINDINGS THAT IT VIOLATED THE BOOKS AND RECORDS PROVISIONS OF THE SECURITIES EXCHANGE ACT OF 1934 AND HAS BEEN ORDERED BY THE COMMISSION TO INSTITUTE CERTAIN RECORD-KEEPING PROCEDURE TO AVOID A REPETITION OF THIS TYPE OF SITUATION. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: SEC Date initiated: 07/19/1977 Docket/ Case Number: UNKNOWN Allegations: ALLEGED VIOLATIONS OF BOOKS AND RECORDS PROVISIONS OF THE SECURITIES EXCHANGE ACT OF 1934. Current Status: Final Resolution: Consent Resolution Date: 07/19/1977 Sanctions Ordered: Other Sanctions: ORDER BY SEC FOR FIRM TO INSTITUTE CERTAIN RECORDKEEPING PROCEDURES TO AVOID A REPETITION OF SITUATION. Resolution Details: SEE ABOVE. Summary: ****** REGULATORY ACTION (319 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 12/31/1981 Initiated By: SECURITIES AND EXCHANGE COMMISSION Date initiated: 12/31/1981 Docket/ Case Number: Unknown Allegations: Current Status: Final Resolution: Consent Resolution Date: 12/31/1981 Sanctions Ordered: Censure Resolution Details: Summary: SEC NEWS DIGEST: DECEMBER 31, 1981 ISSUE 81-250 THE COMMISSION HAS ACCEPTED THE OFFERS OF SETTLEMENT MADE BY SHEARSON/AMERICAN EXPRESS INC., ROBERT W. HOPE, AND K. JAMES NASD BrokerCheck October 12, 2005 Page 253 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) POND IN ITS ORDER FOR PUBLIC PROCEEDINGS ON DEC. 31, 1981. THE DEFENDANTS, WITHOUT ADMITTING OR DENYING THE ALLEGATIONS CONTAINED IN THE COMPLAINT, CONSENTED TO THE COMMISSION FINDINGS THAT HOPE AND POND, FORMER REGISTERED REPRESENTATIVES WITH SHEARSON/AMERICAN EXPRESS, VIOLATED SECTIONS 5 (a), 5 (c), 17(a)(3) OF THE SEC ACT OF 1933 AND SHEARSON FAILED TO SUPERVISE HOPE AND POND WITH A VIEW TO PREVENTING SUCH VIOLATIONS. THE COMPLAINT CENTERED ON THE ACCURACY OF CERTAIN REPRESENTATIONS MADE TO CUSTOMERS OF HOPE AND POND IN CONNECTION WITH THE SALE OF INTERESTS IN A LIMITED PARTNERSHIP CALLED COMMODITY ARBITRAGE. THE TWO AGENTS AND SHEARSON FAILED TO PROVIDE A REGISTRATION STATEMENT AS REQUIRED BY THE SEC ACT. THE COMMISSION HAS SUSPENDED HOPE AND POND FROM ASSOCIATION WITH ANY BROKER-DEALER, INVESTMENT ADVISER, INVESTMENT COMPANY, OR MUNICIPAL SECURITIES DEALER FOR A PERIOD OF TWO WEEKS. THE COMMISSION CENSURED SHEARSON AND ORDERED IT TO COMPLY WITH THE UNDERTAKINGS DESCRIBED IN ITS OFFER OF SETTLEMENT. (REL. 34-18354) *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: SEC Date initiated: 12/31/1981 Docket/ Case Number: 3-6083 (REL. 34-18354) Allegations: ALLEGED FAILURE BY SHEARSON/AMERICAN EXPRESS INC. TO REASONABLY SUPERVISE FORMER EMPLOYEES IN CONNECTION WITH A LLP CALLED COMMODITY ARBITRAGE. Current Status: Final Resolution: Consent Resolution Date: 12/31/1981 Sanctions Ordered: Censure Resolution Details: FIRM WAS CENSURED FOR ALLEGED FAILURE TO REASONABLY SUPERVISE AS DESCRIBED ABOVE. Summary: ****** REGULATORY ACTION (320 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 03/19/1981 Initiated By: COMMODITY FUTURES TRADE COMMISSION Date initiated: 12/22/1977 Docket/ Case Number: 78-11 Allegations: Current Status: Final Resolution: Consent Resolution Date: 03/19/1981 Sanctions Ordered: Monetary/Fine, Cease and Desist/Injunction Resolution Details: Summary: CFTC DOCKET NO. 78-11 MARCH 19, 1981 ADMINISTRATIVE PROCEEDING COMMENCED ON DEC. 22, 1977, BY THE FILING OF A COMPLAINT AND NOTICE OF HEARING PURSUANT TO SECTION 6(b), 6(c), AND 8a(3) OF THE COMMODITY EXCHANGE ACT, AS AMENDED 7 U.S.C. 19, 13b, AND 12a(3). PURSUANT TO SECTION 10.108 OF THE COMMISSION'S RULES OF PRACTICE, 17 CFR 10.108, THE FIRM HAS SUBMITTED AN OFFER OF SETTLEMENT IN WHICH THE FIRM SOLELY FOR THE PURPOSE OF THE NASD BrokerCheck October 12, 2005 Page 254 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) INSTANT PROCEEDING, EXCEPT THAT OFFICIAL NOTICE HERE OF MAY BE TAKEN IN ANY SUBSEQUENT REGULATORY PROCEEDING TO WHICH THE COMMISSION IS A PARTY, AND WITHOUT ADMITTING OR DENYING THE ALLEGATIONS CONTAINED IN THE COMPLAINT AND NOTICE OF HEARING HAS CONSENTED TO ENTRY OF AN OPINION AND ORDER MAKING FINDINGS OF VIOLATIONS AND IMPOSING SANCTIONS AS SPECIFIED IN THE FIRM'S OFFER OF SETTLEMENT.THE COMMISSION HAS DETERMINED TO ACCEPT THE FIRM'S OFFER OF SETTLEMENT. IT IS ORDERED ON MARCH 19, 1981 THE FIRM WILL CEASE AND DESIST FROM ANY AND ALL VIOLATIONS OF SECTIONS 4d(2),4g(1) AND 4i OF THE ACT, 7 U.S.C. 6d(2), 6g(1) and 6i AND REGULATIONS 1.20(a), 1.21, 1.22, 1.23, 1.32, 1.46(a) AND (b), 17.00(a) AND 18.00; AND WITHIN 30 DAYS FROM THE EFFECTIVE DATE OF THIS ORDER THE FIRM WILL PAY A CIVIL MONETARY PENALTY TO THE TREASURY OF THE UNITED STATES OF AMERICA. A VIOLATION OF ANY OF THE PROVISIONS OF THIS ORDER MAY RESULT IN FURTHER PROCEEDINGS UNDER SECTIONS 6(b), 6(c), and 8a(3) OF THE ACT, 7 U.S.C. 9, 13b AND 12a-3. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: COMMODITY FUTURES TRADING COMMISSION Date initiated: 12/22/1977 Docket/ Case Number: 78-11 Allegations: ALLEGED VIOLATION OF SECTIONS 4D(2), 4G(1) AND 4I OF THE COMMODITY EXCHANGE ACT AND REGULATIONS THEREUNDER. Current Status: Final Resolution: Consent Resolution Date: 03/19/1981 Sanctions Ordered: Cease and Desist/Injunction Other Sanctions: MONETARY FINE IN UNKNOWN AMOUNT (CONVERSION). Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, THE FIRM CONSENTED TO THE ENTRY OF AN OPINION AND ORDER MAKING FINDINGS OF VIOLATIONS AND IMPOSING SANCTIONS. FIRM TO CEASE AND DESIST FROM MAKING FUTURE VIOLATIONS; FIRM TO PAY MONETARY PENALTY. Summary: ****** REGULATORY ACTION (321 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 05/17/1977 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 03/11/1976 Docket/ Case Number: 562 Allegations: Current Status: Final Resolution: Decision Resolution Date: 05/17/1977 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $1,000.00 Resolution Details: Summary: COMPLAINT #562 FILED 03/11/76 DIST. #8 DECISION 05/17/77: CENSURED; FINED $1,000 ALL RIGHTS WAIVED. 05/17/77: FINAL NASD BrokerCheck October 12, 2005 Page 255 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) FINES & COSTS 06/20/77: FC# 6820 PD *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD Date initiated: 03/11/1976 Docket/ Case Number: 562 Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Decision Resolution Date: 05/17/1977 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $1,000.00 Resolution Details: FIRM WAS CENSURED AND FINED $1,000.00. Summary: ****** REGULATORY ACTION (322 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 05/19/1983 Initiated By: MISSOURI Date initiated: 05/19/1983 Docket/ Case Number: AO-83-33 Allegations: Current Status: Final Resolution: Consent Resolution Date: 05/19/1983 Sanctions Ordered: Resolution Details: Summary: CONSENT ORDER FILE NO. AO-83-33 ON MAY 19, 1983 THE COMMISSIONER OF SECURITIES ENTERED INTO A CONSENT ORDER WITH RESPONDENT WHEREBY RESPONDENT AGREED TO SUBMIT A SUM TO THE DIRECTOR OF REVENUE EQUAL TO THE AMOUNT OF SHEARSON'S SHARE OF THE COMMISSIONS EARNED ON THE NINE TRANSACTIONS THAT WERE EFFECTED BY EXPIRED AGENTS. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: STATE OF MISSOURI Date initiated: 05/19/1983 Docket/ Case Number: A0-83-33 Allegations: IT WAS FOUND THAT THE LICENSES OF FOUR SHEARSON/AMERICAN EXPRESS AGENTS WERE ALLOWED TO EXPIRE AND THAT NINE TRANSACTIONS WERE EFFECTED BY THESE AGENTS AFTER SHEARSON WAS NOTIFIED OF THE EXPIRATIONS. NASD BrokerCheck October 12, 2005 Page 256 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Current Status: Final Resolution: Consent Resolution Date: 05/19/1983 Sanctions Ordered: Disgorgement/Restitution Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, SHEARSON/AMERICAN EXPRESS CONSENTED TO THE FINDING; THE FIRM CONSENTED TO A FINDING THAT IT HAD FAILED TO REASONABLY SUPERVISE ITS AGENTS AND AGREED TO SUBMIT $2,286.79 TO THE DIRECTOR OF REVENUE (AN AMOUNT EQUAL TO THE AMOUNT OF THE FIRM'S SHARE OF THE COMMISSIONS EARNED ON THE NINE TRANSACTIONS). Summary: ****** REGULATORY ACTION (323 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 09/30/1980 Initiated By: SECURITIES AND EXCHANGE COMMISSION Date initiated: 09/30/1980 Docket/ Case Number: Unknown Allegations: Current Status: Final Resolution: Consent Resolution Date: 09/30/1980 Sanctions Ordered: Censure Resolution Details: Summary: ND - 80-196 - 10/8/80 - (REL 34-17180, 34-17181, 34-17182) 9/30/80 - COMMISSION INSTITUTED PUBLIC ADMINISTRATIVE PROCEEDINGS AND ACCEPTED OFFER OF SETTLEMENT. RESPONDENT CONSENTED TO OFFER OF SETTLEMENT WITHOUT ADMITTING OR DENYING THE ALLEGATIONS. RESPONDENT CENSURED. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: SEC Date initiated: 09/30/1980 Docket/ Case Number: UNKNOWN Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Consent Resolution Date: 09/30/1980 Sanctions Ordered: Censure Resolution Details: COMMISSION INSTITUTED PUBLIC ADMINISTRATIVE PROCEEDINGS AND ACCEPTED OFFER OF SETTLEMENT. RESPONDENT CONSENTED TO OFFER OF SETTLEMENT WITHOUT ADMITTING OR DENYING THE ALLEGATIONS; RESPONDENT CONSENTED TO THE PENALTY OF CENSURE Summary: NASD BrokerCheck October 12, 2005 Page 257 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) ****** REGULATORY ACTION (324 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 12/01/1980 Initiated By: AMERICAN STOCK EXCHANGE Date initiated: 12/01/1980 Docket/ Case Number: Unknown Allegations: Current Status: Final Resolution: Decision Resolution Date: 12/01/1980 Sanctions Ordered: Monetary/Fine Monetary Amount: $200.00 Resolution Details: Summary: 12/1/80: ASE FINED RESPONDENT MEMBER $200. 12/1/80: DECISION FINAL *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: AMERICAN STOCK EXCHANGE Date initiated: 12/01/1980 Docket/ Case Number: UNKNOWN Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Decision Resolution Date: 12/01/1980 Sanctions Ordered: Monetary/Fine Monetary Amount: $200.00 Resolution Details: FIRM WAS FINED $200.00. Summary: ****** REGULATORY ACTION (325 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 09/14/1982 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 08/05/1981 Docket/ Case Number: NY-2041 Allegations: Current Status: Final Resolution: Decision NASD BrokerCheck October 12, 2005 Page 258 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Resolution Date: 09/14/1982 Sanctions Ordered: Censure Resolution Details: Summary: COMPLAINT #NY-2041 FILED 8/5/81 DISTRICT 12 9/14/82: CENSURED *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD Date initiated: 08/05/1981 Docket/ Case Number: NY-2041 Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Decision Resolution Date: 09/14/1982 Sanctions Ordered: Censure Resolution Details: FIRM WAS CENSURED. Summary: ****** REGULATORY ACTION (326 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 04/18/1977 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 04/18/1977 Docket/ Case Number: AWC-224 Allegations: Current Status: Final Resolution: Consent Resolution Date: 04/18/1977 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $7,500.00 Resolution Details: Summary: COMPLAINT #AWC-224 FILED 04/18/77 DIST. #12 DECISION 04/18/77: CENSURED; FINED $7,500 04/18/77: FINAL FINES & COSTS 05/04/77: FC# 6804 PD *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD Date initiated: 04/18/1977 Docket/ NASD BrokerCheck October 12, 2005 Page 259 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Case Number: AWC-224 Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Acceptance, Waiver & Consent(AWC) Resolution Date: 04/18/1977 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $7,500.00 Resolution Details: FIRM WAS CENSURED AND FINE $7,500.00. Summary: ****** REGULATORY ACTION (327 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 01/20/1983 Initiated By: WISCONSIN Date initiated: 01/20/1983 Docket/ Case Number: X-1682 Allegations: Current Status: Final Resolution: Consent Resolution Date: 01/20/1983 Sanctions Ordered: Censure Resolution Details: Summary: CENSURED BY THE COMMISSIONER IN A CONSENT ORDER ISSUED ON JAN. 20, 1983. THE ORDER WAS BASED ON STAFF ALLEGATIONS THAT RESPONDENT WILFULLY OFFERED AND SOLD TO THREE PERSONS IN WISCONSIN, IN THE FORM OF SHARES OF COMMON STOCK, THAT WERE NOT REGISTERED; FAILED TO FILE THE APPROPRIATE FORM WITH THE COMMISSIONER TO REPORT THE SALES OF THE COMMON STOCK; EFFECTED AT LEAST 164 SECURITIES TRANSACTIONS IN THE ACCOUNTS OF AT LEAST TWO PERSONS IN WISCONSIN THROUGH 2 SECURITIES AGENTS EMPLOYED BY RESPONDENT WHO WERE NOT LICENSED AS SECURITIES AGENTS IN WISCONSIN; AND FAILED TO REASONABLY SUPERVISE ITS AGENTS. WISCONSIN SECURITIES BULLETIN VOL 11, NO. 2. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: STATE OF WISCONSIN Date initiated: 01/20/1983 Docket/ Case Number: X-1682 Allegations: IT WAS ALLEGED SHEARSON/AMERICAN EXPRESS SOLD UNREGISTERED SECURITIES BY UNREGISTERED AGENTS IN VIOLATION OF WISCONSIN STATUTES. Current Status: Final Resolution: Consent Resolution Date: 01/20/1983 Sanctions Ordered: Censure NASD BrokerCheck October 12, 2005 Page 260 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Resolution Details: WITHOUT ADMITTING OR DENYING THE ALLEGATIONS MADE BY THE STATE, SHEARSON/AMERICAN EXPRESS CONSENTED TO A FINDING THAT IT FAILED TO COMPLY WITH THE RELEVANT STATUTES; THE FIRM WAS CENSURED. Summary: ****** REGULATORY ACTION (328 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 03/18/1982 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 06/10/1980 Docket/ Case Number: ATL-625 Allegations: Current Status: Final Resolution: Decision Resolution Date: 03/18/1982 Sanctions Ordered: Monetary/Fine Resolution Details: Summary: COMPLAINT #ATL-625 FILED 6-10-80 DISTRICT #7 PAID FC# 8157 3/18/82 *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD Date initiated: 06/10/1980 Docket/ Case Number: ATL-625 Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Decision Resolution Date: 03/18/1982 Sanctions Ordered: Other Sanctions: FINE OF UNKNOWN AMOUNT (CONVERSION). Resolution Details: FIRM WAS FINED AN UNKNOWN AMOUNT (CONVERSION). Summary: ****** REGULATORY ACTION (329 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 06/12/1979 Initiated By: FLORIDA Date initiated: 06/12/1979 Docket/ Case Number: Unknown NASD BrokerCheck October 12, 2005 Page 261 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Allegations: Current Status: Final Resolution: Decision Resolution Date: 06/12/1979 Sanctions Ordered: Censure Resolution Details: Summary: FLORIDA CRIMINAL ACTION REPORT 6/12/79 PAGE 69 DEALER CENSURED LETTER. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: STATE OF FLORIDA Date initiated: 06/12/1979 Docket/ Case Number: UNKNOWN Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Decision Resolution Date: 06/12/1979 Sanctions Ordered: Censure Resolution Details: FLORIDA CRIMINAL ACTION REPORT JUNE 12TH, 1979. FIRM WAS CENSURED. Summary: ****** REGULATORY ACTION (330 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 04/16/1977 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 03/31/1976 Docket/ Case Number: 564 Allegations: Current Status: Final Resolution: Decision Resolution Date: 04/16/1977 Sanctions Ordered: Monetary/Fine, Censure Resolution Details: Summary: COMPLAINT #564 FILED 03/31/76 DIST. #8 DECISION 03/02/77: CENSURED: ASSESSED COSTS $830.25 04/16/77: TO BE FINAL 04/16/77: FINAL FINES & COSTS 05/02/77: FC# 6800 PAID. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: NASD BrokerCheck October 12, 2005 Page 262 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Initiated By: NASD Date initiated: 03/31/1976 Docket/ Case Number: 564 Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Decision Resolution Date: 04/16/1977 Sanctions Ordered: Censure Other Sanctions: ASSESSED COSTS OF $830.25; FINE OF UNKNOWN AMOUNT (CONVERSION). Resolution Details: FIRM WAS CENSURED AND FINED. Summary: ****** REGULATORY ACTION (331 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 04/23/1979 Initiated By: CHICAGO BOARD OF OPTION EXCHANGE Date initiated: 04/23/1979 Docket/ Case Number: 79-0010 Allegations: Current Status: Final Resolution: Consent Resolution Date: 04/23/1979 Sanctions Ordered: Monetary/Fine Monetary Amount: $1,000.00 Resolution Details: Summary: CBOE FILE NO. 79-0010 4/23/79 CONSENTS TO BEING FINED $1,000 *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: CHICAGO BOARD OPTIONS EXCHANGE Date initiated: 04/23/1979 Docket/ Case Number: 79-0010 Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Consent Resolution Date: 04/23/1979 Sanctions Ordered: Monetary/Fine Monetary Amount: $1,000.00 Resolution NASD BrokerCheck October 12, 2005 Page 263 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Details: FIRM WAS CENSURED AND FINED $1,000.00. Summary: ****** REGULATORY ACTION (332 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 04/23/1979 Initiated By: CHICAGO BOARD OPTIONS EXCHANGE Date initiated: 04/23/1979 Docket/ Case Number: 78-0154 Allegations: Current Status: Final Resolution: Consent Resolution Date: 04/23/1979 Sanctions Ordered: Monetary/Fine Monetary Amount: $500.00 Resolution Details: Summary: CBOE FILE NOS. 78-0118 AND 78-0154 4/23/79 CONSENTS TO BEING ADMONISHED AND FINED $500 *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: CHICAGO BOARD OPTIONS EXCHANGE Date initiated: 04/23/1979 Docket/ Case Number: 78-0154 Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Consent Resolution Date: 04/23/1979 Sanctions Ordered: Monetary/Fine Monetary Amount: $500.00 Resolution Details: FIRM CONSENTED TO BEING FINED $500.00 AND ADMONISHED. Summary: ****** REGULATORY ACTION (333 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 04/23/1979 Initiated By: CHICAGO BOARD OPTIONS EXCHANGE Date initiated: 04/23/1979 Docket/ Case Number: 78-0118 Allegations: NASD BrokerCheck October 12, 2005 Page 264 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Current Status: Final Resolution: Consent Resolution Date: 04/23/1979 Sanctions Ordered: Monetary/Fine Monetary Amount: $500.00 Resolution Details: Summary: CBOE FILE NOS. 78-0118 AND 78-0154 4/23/79 CONSENTS TO BEING ADMONISHED AND FINED $500 *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: CHICAGO BOARD OPTIONS EXCHANGE Date initiated: 04/23/1979 Docket/ Case Number: 78-0118 Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Consent Resolution Date: 04/23/1979 Sanctions Ordered: Monetary/Fine Monetary Amount: $500.00 Resolution Details: FIRM CONSENTED TO BEING ADMONISHED AND FINED $500.00. Summary: ****** REGULATORY ACTION (334 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 03/18/1977 Initiated By: NEW YORK STOCK EXCHANGE Date initiated: Docket/ Case Number: Allegations: Current Status: Final Resolution: Consent Resolution Date: Sanctions Ordered: Monetary/Fine Monetary Amount: $4,000.00 Resolution Details: Summary: NO DATE, NYSE: (03/18/77 BULLETIN) FINED $4,000 BY CONSENT. (DEC. 76-61) *********************************** Reporting Source: Brokerage Firm (Form BD) NASD BrokerCheck October 12, 2005 Page 265 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Date Reported: Initiated By: NEW YORK STOCK EXCHANGE Date initiated: 03/18/1977 Docket/ Case Number: UNKNOWN Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Consent Resolution Date: 03/18/1977 Sanctions Ordered: Monetary/Fine Monetary Amount: $4,000.00 Resolution Details: FIRM WAS FINED $4,000.00. Summary: ****** REGULATORY ACTION (335 of 335) ****** Reporting Source: Regulator (Form U-6) Date Reported: 03/06/1962 Initiated By: NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. Date initiated: 10/17/1960 Docket/ Case Number: NY-386 Allegations: Current Status: Final Resolution: Decision Resolution Date: 03/06/1962 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $500.00 Resolution Details: Summary: NY-386 FILED 10/17/60 03/06/62 CENSURED, FINED $500 03/15/62 PD. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: Initiated By: NASD Date initiated: 10/17/1960 Docket/ Case Number: NY-386 Allegations: UNKNOWN (CONVERSION). Current Status: Final Resolution: Decision Resolution Date: 03/06/1962 Sanctions Ordered: Monetary/Fine, Censure Monetary Amount: $500.00 NASD BrokerCheck October 12, 2005 Page 266 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 REGULATORY ACTIONS(cont.) Resolution Details: FIRM WAS CENSURED AND FINED $500.00. Summary: NASD BrokerCheck October 12, 2005 Page 267 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 ******************************************************************************** CIVIL JUDICIAL ACTIONS ******************************************************************************** DISCLOSURE INFORMATION This section contains information regarding civil judicial actions that were reported to CRD. These actions are disclosable through NASD BrokerCheck and include injunctions issued by a foreign or domestic court in connection with investment-related activity, a finding by a domestic or foreign court of a violation of any investment-related statute(s) or regulation(s), and actions dismissed by a domestic or foreign court pursuant to a settlement agreement. Some of the fields in this section of the report may be blank if the information was not provided to CRD. ** OCCURRENCE COUNTS ** 3 Record(s) ******************************************************************************** ** FIELD DEFINITIONS ** * Reporting Source: The form through which details of the civil judicial action was reported to CRD. * Date Reported: The date the civil judicial action was reported to CRD. * Initiated By: The party that initiated the civil judicial action (e.g., regulator, foreign financial regulatory authority, self-regulatory organization, commodities exchange, etc.). * Date Initiated: Date the civil judicial action was initiated or filed. * Court Details: Details regarding the court the action was brought in (e.g., name and location of court, docket/case number, etc.). * Employing Brokerage Firm: Brokerage Firm where individual broker was employed when activity occurred that led to the civil judicial action. * Allegations: Allegations made against the individual broker leading to the civil judicial action. * Current Status: The current status of the civil judicial action (i.e., pending, on appeal or final). * Resolution: The resolution of the civil judicial action (e.g., consent, dismissed, judgment rendered, settled, withdrawn, etc.). * Resolution Date: The date the civil judicial action was resolved. * Sanction Details: Additional details regarding any sanctions ordered. * Summary: Details of the circumstances related to the civil judicial action. ******************************************************************************** ****** CIVIL JUDICIAL ACTION (1 of 3) ****** Reporting Source: Brokerage Firm (Form BD) Date Reported: 08/14/2003 Initiated By: ATTORNEY GENERAL OF THE STATE OF WEST VIRGINIA Date Initiated: 06/23/2003 Court Details: CIRCUIT COURT OF MARSHALL COUNTY, WEST VIRGINIA; CIVIL ACTION NO.:03-C-133M Allegations: THE COMPLAINT CONTAINS ALLEGATIONS OF MULTIPLE VIOLATIONS OF THE WEST VIRGINIA CONSUMER CREDIT AND PROTECTION ACT ("CCPA") FROM JULY 1, 1999 THROUGH THE PRESENT Current Status: Pending Summary: ON JUNE 23, 2003, IN THE CIRCUIT COURT OF MARSHALL COUNTY, WEST VIRGINIA, THE ATTORNEY GENERAL OF WEST VIRGINIA FILED A CIVIL ACTION ON BEHALF OF THE STATE OF WEST VIRGINIA AGAINST LEHMAN BROTHERS INC. AND NINE OTHER INVESTMENT BANKS. THE COMPLAINT ALLEGES MULTIPLE VIOLATIONS OF THE WEST VIRGINIA CONSUMER CREDIT AND PROTECTION ACT (?CCPA?) FROM JULY 1, 1999 THROUGH NASD BrokerCheck October 12, 2005 Page 268 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 CIVIL JUDICIAL ACTIONS(cont.) THE PRESENT. THE COMPLAINT SEEKS $5,000 IN MONEY DAMAGES PER VIOLATION FOR EACH VIOLATION OF THE CCPA. THE SPECIFIC ALLEGATIONS AGAINST LEHMAN BROTHERS INC. ARE IDENTICAL TO THOSE IN A COMPLAINT FILED BY THE U.S. SECURITIES AND EXCHANGE COMMISSION IN THE UNITED STATES DISTRICT COURT FOR THE SOUTHERN DISTRICT OF NEW YORK, 03 CV 2940 (WHP), IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES, INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES. ****** CIVIL JUDICIAL ACTION (2 of 3) ****** Reporting Source: Regulator (Form U-6) Date Reported: 11/03/2003 Initiated By: UNITED STATES SECURITIES AND EXCHANGE COMMISSION Date Initiated: 04/28/2003 Court Details: SECURITIES AND EXCHANGE COMMISSION V. LEHMAN BROTHERS INC., 03 CV 2940 (WHP) (S.D.N.Y.) Allegations: SEC LITIGATION RELEASE NO. 18116, DATED APRIL 28, 2003 - THE SECURITIES AND EXCHANGE COMMISSION ANNOUNCED THAT IT HAS SETTLED CHARGES AGAINST LEHMAN BROTHERS INC., A NEW YORK-BASED BROKERAGE FIRM AND INVESTMENT BANK, ARISING FROM AN INVESTIGATION OF RESEARCH ANALYST CONFLICTS OF INTEREST. THIS SETTLEMENT, AND SETTLEMENTS WITH NINE OTHER BROKERAGE FIRMS, ARE PART OF THE GLOBAL SETTLEMENT THE FIRMS HAVE REACHED WITH THE COMMISSION, NASD, INC., THE NEW YORK STOCK EXCHANGE, INC. ("NYSE"), THE NEW YORK ATTORNEY GENERAL, AND OTHER STATE REGULATORS. IN CONNECTION WITH THIS MATTER, THE COMMISSION FILED A COMPLAINT AGAINST LEHMAN IN THE U.S. DISTRICT COURT FOR THE SOUTHERN DISTRICT OF NEW YORK, ALLEGING VIOLATIONS OF NASD AND NYSE RULES. ACCORDING TO THE COMMISSION'S COMPLAINT, FROM AT LEAST JULY 1999 THROUGH JUNE 2001, RESEARCH ANALYSTS AT LEHMAN WERE SUBJECT TO INAPPROPRIATE INFLUENCE BY INVESTMENT BANKING AT THE FIRM. THE COMPLAINT ALSO ALLEGES THAT LEHMAN PUBLISHED EXAGGERATED OR UNWARRANTED RESEARCH OR RESEARCH THAT LACKED A REASONABLE BASIS AND FAILED TO MAINTAIN APPROPRIATE SUPERVISION OVER ITS RESEARCH AND INVESTMENT BANKING OPERATIONS. Current Status: Final Resolution: Judgment Rendered Resolution Date: 10/31/2003 Sanctions Ordered: Monetary/Fine , Disgorgement/Restitution, Cease and Desist/Injunction Monetary Amount: $25,000,000.00 Other Sanctions: $25,000,000 - PROCUREMENT OF INDEPENDENT RESEARCH $5,000,000 - INVESTOR EDUCATION UNDERTAKINGS Resolution Details: SEC LITIGATION RELEASE NO. 18438, DATED OCTOBER 31, 2003 -THE SECURITIES AND EXCHANGE COMMISSION ANNOUNCED THAT THE UNITED STATES DISTRICT JUDGE FOR THE SOUTHERN DISTRICT OF NEW YORK, ISSUED AN ORDER ON OCTOBER 31, 2003 WHEREBY LEHMAN IS PERMANENTLY ENJOINED FROM VIOLATING NASD RULES 2110, 2210, 3010, NYSE RULES 342,401, 472, 476; WILL PAY $25,000,000 AS A PENALTY; $25,000,000 AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES; $25,000,000 FOR PROCUREMENT OF INDEPENDENT RESEARCH; $5,000,000 FOR INVESTOR EDUCATION; AND AGREED TO UNDERTAKINGS REGARDING SEPARATION OF RESEARCH AND INVESTMENT BANKING,DISCLOSURE/TRANSPARENCY AND OTHER ISSUES, AND INDEPENDENT, THIRD-PARTY RESEARCH. Summary: AS PART OF THE SETTLEMENT, LEHMAN HAS AGREED TO PAY $25 MILLION AS DISGORGEMENT AND AN ADDITIONAL $25 MILLION IN PENALTIES. ONE-HALF OF THE TOTAL OF THESE PAYMENTS -- $25 MILLION -- WILL BE PAID IN CONNECTION WITH THE SEC ACTION AND RELATED PROCEEDINGS BY THE NASD AND NYSE AND WILL BE PLACED INTO A DISTRIBUTION FUND FOR THE BENEFIT OF CUSTOMERS OF THE FIRM. THE REMAINDER WILL BE PAID TO RESOLVE RELATED PROCEEDINGS BY STATE REGULATORS. IN THE SEC ACTION, LEHMAN HAS AGREED TO A FEDERAL COURT ORDER THAT WILL ENJOIN THE FIRM FROM FUTURE VIOLATIONS OF NASD AND NYSE RULES AND REQUIRE THE FIRM TO MAKE CHANGES IN THE OPERATIONS OF ITS EQUITY RESEARCH AND NASD BrokerCheck October 12, 2005 Page 269 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 CIVIL JUDICIAL ACTIONS(cont.) INVESTMENT BANKING DEPARTMENTS. IN ADDITION, LEHMAN WILL PAY, OVER FIVE YEARS, $25 MILLION TO PROVIDE THE FIRM'S CLIENTS WITH INDEPENDENT RESEARCH, AND $5 MILLION TO BE USED FOR INVESTOR EDUCATION. *********************************** Reporting Source: Brokerage Firm (Form BD) Date Reported: 11/26/2003 Initiated By: SECURITIES AND EXCHANGE COMMISSION Date Initiated: 04/28/2003 Court Details: SOUTHERN DISTRICT OF NEW YORK; DOCKET NUMBER 03 CV 2940 (WHP) Allegations: IN CONNECTION WITH THE GLOBAL REGULATORY SETTLEMENT INVOLVING SEVERAL OF THE LEADING SECURITIES FIRMS IN THE UNITED STATES (?SECURITIES FIRMS?), INCLUDING LEHMAN BROTHERS INC., AND VARIOUS FEDERAL AND STATE REGULATORS AND SELF-REGULATORY ORGANIZATIONS RELATING TO INVESTMENT RESEARCH ACTIVITIES, THE U.S. SECURITIES AND EXCHANGE COMMISSION (?SEC?) ALLEGED THAT LEHMAN BROTHERS VIOLATED CERTAIN NATIONAL ASSOCIATION OF SECURITIES DEALERS, INC. (?NASD?) AND NEW YORK STOCK EXCHANGE, INC. (?NYSE?) RULES RESULTING FROM ALLEGED CONFLICTS OF INTEREST BETWEEN LEHMAN BROTHERS? RESEARCH AND INVESTMENT BANKING DEPARTMENTS. Current Status: Final Resolution: Consent Resolution Date: 10/31/2003 Sanctions Ordered: Monetary/Fine , Disgorgement/Restitution, Cease and Desist/Injunction Monetary Amount: $25,000,000.00 Other Sanctions: ALLOCATION OF FUNDS FOR PROCUREMENT OF INDEPENDENT RESEARCH AND INVESTOR EDUCATION. Resolution Details: WITHOUT ADMITTING OR DENYING ANY OF THE ALLEGATIONS OR FINDINGS, LEHMAN BROTHERS ENTERED INTO A CONSENT WITH THE SEC (THE ?CONSENT?) IN WHICH LEHMAN BROTHERS CONSENTED: (I) TO PAY $25 MILLION AS A PENALTY, (II) TO PAY $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, (III) TO CONTRIBUTE A TOTAL OF $25 MILLION OVER FIVE YEARS TO PROVIDE THIRD-PARTY INDEPENDENT RESEARCH TO CLIENTS, (IV) TO CONTRIBUTE A TOTAL OF $5 MILLION OVER FIVE YEARS TOWARDS INVESTOR EDUCATION, (V) TO ADOPT INTERNAL STRUCTURAL AND OPERATIONAL REFORMS THAT WILL FURTHER AUGMENT THE STEPS IT HAS ALREADY TAKEN TO PROMOTE RESEARCH ANALYST INDEPENDENCE AND (VI) TO BE ENJOINED FROM THE ALLEGED VIOLATIONS OF NASD AND NYSE RULES. Summary: WITHOUT ADMITTING OR DENYING ANY OF THE ALLEGATIONS OR FINDINGS, LEHMAN BROTHERS ENTERED INTO A CONSENT WITH THE SEC (THE ?CONSENT?) IN WHICH LEHMAN BROTHERS CONSENTED: (I) TO PAY $25 MILLION AS A PENALTY, (II) TO PAY $25 MILLION AS DISGORGEMENT OF COMMISSIONS AND OTHER MONIES, (III) TO CONTRIBUTE A TOTAL OF $25 MILLION OVER FIVE YEARS TO PROVIDE THIRD-PARTY INDEPENDENT RESEARCH TO CLIENTS, (IV) TO CONTRIBUTE A TOTAL OF $5 MILLION OVER FIVE YEARS TOWARDS INVESTOR EDUCATION, (V) TO ADOPT INTERNAL STRUCTURAL AND OPERATIONAL REFORMS THAT WILL FURTHER AUGMENT THE STEPS IT HAS ALREADY TAKEN TO PROMOTE RESEARCH ANALYST INDEPENDENCE AND (VI) TO BE ENJOINED FROM THE ALLEGED VIOLATIONS OF NASD AND NYSE RULES. TO EFFECTUATE THE FINAL GLOBAL SETTLEMENT, ON APRIL 28, 2003, THE SEC FILED INDIVIDUAL COMPLAINTS AND FINAL JUDGMENTS IN THE UNITED STATES DISTRICT COURT FOR THE SOUTHERN DISTRICT OF NEW YORK AGAINST THE SECURITIES FIRMS, INCLUDING LEHMAN BROTHERS. WITHOUT ADMITTING OR DENYING THE ALLEGATIONS OR FINDINGS IN THE COMPLAINT, LEHMAN BROTHERS ENTERED INTO THE CONSENT, WHICH INCLUDES LEHMAN BROTHERS? CONSENT TO THE ENTRY OF THE FINAL JUDGMENT. THE FINAL JUDGMENT WAS ENTERED BY THE COURT ON OCTOBER 31, 2003. ****** CIVIL JUDICIAL ACTION (3 of 3) ****** Reporting Source: Regulator (Form U-6) Date Reported: 12/24/1997 NASD BrokerCheck October 12, 2005 Page 270 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 CIVIL JUDICIAL ACTIONS(cont.) Initiated By: SECURITIES AND EXCHANGE COMMISSION Date Initiated: 03/14/1997 Court Details: Allegations: Current Status: Final Resolution: Judgment Rendered Resolution Date: 12/24/1997 Sanctions Ordered: Cease and Desist/Injunction Resolution Details: Summary: [TOP] 64 SEC DOCKET 0406, DATED 4/15/97, DISCLOSES: ON 3/14/97 THE COMMISSION FILED AN AMENDED COMPLAINT IN ITS CIVIL ACTION AGAINST EMANUEL PINEZ (PINEZ), ADDING LEHMAN BROTHERS, INC. (LEHMAN) AS A RELIEF DEFENDANT. THE AMENDED COMPLAINT ALLEGES THAT LEHMAN IS CURRENTLY HOLDING THE PROCEEDS OF PINEZ'S ILL-GOTTEN GAINS FROM HIS SALE AND PURCHASE OF PUT AND CALL OPTIONS CONTRACTS ON 2/7/97. IN PREVIOUS COURT FILINGS, LEHMAN HAD ASSERTED THAT IT IS ENTITLED TO THE PROCEEDS OF THE OPTIONS TRANSACTIONS BECAUSE IT ACQUIRED A LIEN IN PINEZ'S SECURITIES TRANSACTIONS. THE COMMISSION HAS ASSERTED THAT IT'S CLAIM SUPERSEDES LEHMAN'S BECAUSE LEHMAN HAD KNOWLEDGE OF SUSPICIOUS CIRCUMSTANCES. THE AMENDED COMPLAINT ALLEGES THAT PINEZ'S PROFIT FROM THE SALE OF CALL OPTION CONTRACTS IS APPROXIMATELY $447,500 PREMIUMS RECEIVED, AND THAT PINEZ TO DATE HAS GAINED APPROXIMATELY $4.2 MILLION FROM THE PURCHASE OF PUT OPTIONS. *** 06-30-97, SEC NEWS DIGEST ISSUE NO. 97-124, DATED 6/27/97, ENFORCEMENT PROCEEDINGS DISCLOSE: ON JUNE 26, THE COMMISSION MOVED THE US DISTRICT COURT FOR THE DISTRICT OF MASSACHUSETTS FOR LEAVE TO AMEND ITS COMPLAINT TO CHARGE PINEZ, WITH ADDITIONAL INSIDER TRADING AND ADDS AS RELIEF DEFENDANT A COMPANY KNOWN AS FELIX, INC. THE AMENDED COMPLAINT ALLEGES THAT ON FEBRUARY 6 AND 7 1997, FELIX SOLD 40,000 SHARES OF CENTENNIAL COMMON STOCK AT PINEZ'S DIRECTION THROUGH AN ACCOUNT AT LEHMAN. *** 12-31-97, SEC NEWS DIGEST ISSUE NO. 97-247, DATED 12/24/97, ENFORCEMENT PROCEEDINGS DISCLOSE: "COURT GRANTS SEC'S REQUEST AND DETERMINED THAT LEHMAN FAILED TO ACT IN "GOOD FAITH" IN PLACING ILLEGAL TRADES FOR PINEZ". THE U.S. DISTRICT COURT FOR THE DISTRICT OF MASSACHUSETTS GRANTED A PRELIMINARY INJUNCTION PROHIBITING LEHMAN FROM TAKING OVER $4.69 MILLION OF ILLICIT PROFITS FROM PINEZ'S ALLEGED INSIDER TRADING IN OPTIONS ON CENTENNIAL COMMON STOCK ON 2/7/97. [SEC V. EMANUEL PINEZ, CIVIL ACTION NO. 97-10353, PBS, D. MASSACHUSETTS] (LR-15605) NASD BrokerCheck October 12, 2005 Page 271 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 ******************************************************************************** BROKERAGE FIRM ARBITRATIONS ******************************************************************************** DISCLOSURE INFORMATION This section contains summary information regarding arbitration awards rendered in a forum administered by NASD that involve securities or commodities disputes between NASD member firms and public customers. Some of the fields in this section of the report may be blank if the information was not provided to CRD. Unlike the arbitration information required to be reported by individual brokers via Form U-4, brokerage firm arbitration information is not required to be reported on Form BD and is therefore disclosed through NASD BrokerCheck via a slightly different mechanism. Summary information regarding NASD arbitration awards involving securities and commodity disputes between public customers and NASD member firms is updated and disclosed on brokerage firm NASD BrokerCheck reports generally within 10-15 days after the arbitration award is signed and served to all parties. The full text of arbitration awards issued by arbitrators at NASD and at other forums is available online as a cooperative arrangement between NASD Dispute Resolution and the Securities Arbitration Commentator (SAC) at www.nasdadr.com. The awards are generally available within one month after the arbitration award is signed and served to all parties. To access the arbitration award information it is suggested that you first view the summary information available via NASD BrokerCheck, and then use the case number included in NASD BrokerCheck report to access the full text of the award at www.nasdadr.com. ** OCCURRENCE COUNTS ** 993 Record(s) ******************************************************************************** ** FIELD DEFINITIONS ** * Type of Event: Type of disclosure event (e.g., arbitration) that details pertain to. * Update: An indication (i.e., yes or no) as to whether the information is an update to earlier information reported about the arbitration proceeding. * Arbitration Forum: Forum that administered the arbitration proceeding. * Case Served Date: Date case was served on respondent(s). * Case Number: Case number assigned to the arbitration proceeding. * Allegations: Allegations made by the customer(s) which lead to the arbitration proceeding. * Type of Securities: Type of securities allegations relate to. * Relief Asked: Alleged dollar amount of compensatory damages sought by the customer(s). * Disposition: Disposition of the arbitration proceeding. * Disposition Date: Date of disposition. * Relief Awarded: Details related to the relief awarded to the parties involved in the arbitration proceeding. ******************************************************************************** ** BROKERAGE FIRM ARBITRATION (1 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 03/10/2000 Case Number: 00-00734 Allegations: Account Related-Breach of Contract; Account Related-Other Type of Securities: Unknown type of securities;Unknown type of securities;Unknown type of securities;Unknown type of securities Relief Asked: Specific Performance, ASKED AMOUNT SEVERALLY ; Other costs, ASKED AMOUNT $0.00 SEVERALLY ; Attorney's Fees, ASKED AMOUNT $0.00 SEVERALLY ; Other Monetary Relief, ASKED AMOUNT $0.00 SEVERALLY ; Attorney's Fees, ASKED NASD BrokerCheck October 12, 2005 Page 272 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) AMOUNT $100,000.00 SEVERALLY Disposition: AWARD AGAINST PARTY Disposition Date: 10/03/2005 Relief Awarded: Specific Performance, Relief has been awarded (partial or full, Award Amount ; Other costs, Relief Request has been denied in full; Attorney's Fees, Relief Request has been denied in full; Other Monetary Relief, Relief has been awarded (partial or full, Award Amount $48,000.00; Attorney's Fees, Relief Request has been denied in full ** BROKERAGE FIRM ARBITRATION (2 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 11/07/2003 Case Number: 03-07606 Allegations: Account Related-Breach of Contract; Account Related-Negligence; Fraudulent Activity-Churning; Fraudulent Activity-Unauthorized Trading Type of Securities: Common Stock;Corporate Bonds;Options Relief Asked: Actual/Compensatory Damages, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Actual/Compensatory Damages, ASKED AMOUNT $8,400,000.00 JOINTLY AND SEVERALLY; Actual/Compensatory Damages, ASKED AMOUNT $20,000,000.00 JOINTLY AND SEVERALLY; Actual/Compensatory Damages, ASKED AMOUNT $2,500,000.00 JOINTLY AND SEVERALLY Disposition: AWARD AGAINST PARTY Disposition Date: 09/21/2005 Relief Awarded: Actual/Compensatory Damages, Relief has been awarded (partial or full, Award Amount $2,761,217.00; Actual/Compensatory Damages, Relief has been awarded (partial or full, Award Amount $2,657,053.00; Actual/Compensatory Damages, Relief has been awarded (partial or full, Award Amount $4,688,918.00; Actual/Compensatory Damages, Relief has been awarded (partial or full, Award Amount $312,594.00 7c. Relief Asked: Interest, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Interest, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Interest, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Interest, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY 8a. Current Status: AWARD AGAINST PARTY 8b. Status Date: 09/21/2005 8c. Relief Awarded: Interest, Relief has been awarded (partial or full, Award Amount $0.01; Interest, Relief has been awarded (partial or full, Award Amount $0.01; Interest, Relief has been awarded (partial or full, Award Amount $0.01; Interest, Relief has been awarded (partial or full, Award Amount $0.01 ** BROKERAGE FIRM ARBITRATION (3 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 11/07/2003 Case Number: 03-07930 Allegations: Fraudulent Activity-Unauthorized Trading; Fraudulent Activity-Brch of Fiduciary Dt; Fraudulent Activity-Suitability; Fraudulent Activity-Churning Type of Securities: Common Stock Relief Asked: Actual/Compensatory Damages, ASKED AMOUNT $25,000,000.00 NASD BrokerCheck October 12, 2005 Page 273 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) JOINTLY AND SEVERALLY; Punitive/Exemplary Damages, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Actual/Compensatory Damages, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Attorney's Fees, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Other costs, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Actual/Compensatory Damages, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Actual/Compensatory Damages, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Punitive/Exemplary Damages, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Actual/Compensatory Damages, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Attorney's Fees, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Other costs, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Actual/Compensatory Damages, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Actual/Compensatory Damages, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Punitive/Exemplary Damages, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Actual/Compensatory Damages, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Attorney's Fees, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Other costs, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Actual/Compensatory Damages, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Actual/Compensatory Damages, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Punitive/Exemplary Damages, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Actual/Compensatory Damages, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Attorney's Fees, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Other costs, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Actual/Compensatory Damages, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Actual/Compensatory Damages, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Punitive/Exemplary Damages, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Actual/Compensatory Damages, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Attorney's Fees, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Other costs, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Actual/Compensatory Damages, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Actual/Compensatory Damages, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Punitive/Exemplary Damages, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Actual/Compensatory Damages, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Attorney's Fees, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Other costs, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Actual/Compensatory Damages, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Actual/Compensatory Damages, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Punitive/Exemplary Damages, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Actual/Compensatory Damages, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Attorney's Fees, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Other costs, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Actual/Compensatory Damages, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Actual/Compensatory Damages, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Punitive/Exemplary Damages, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Actual/Compensatory Damages, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Attorney's Fees, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Other costs, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Actual/Compensatory Damages, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Actual/Compensatory Damages, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Punitive/Exemplary Damages, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Actual/Compensatory Damages, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Attorney's Fees, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Other costs, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; Actual/Compensatory Damages, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: NO AWARD AGAINST PARTY Disposition Date: 05/18/2005 Relief Awarded: Actual/Compensatory Damages, Relief Request has been denied in full; Punitive/Exemplary Damages, Relief Request has been denied in full; Actual/Compensatory Damages, Relief Request has been denied in full; Attorney's Fees, Relief Request has been denied in full; Other costs, Relief Request has been denied in full; Actual/Compensatory Damages, Relief Request has been denied in full; Actual/Compensatory Damages, Relief Request has been denied in full; Punitive/Exemplary Damages, Relief Request has been denied in full; Actual/Compensatory Damages, Relief Request has been denied in full; Attorney's Fees, Relief Request has been denied in full; Other costs, Relief Request has been denied in full; NASD BrokerCheck October 12, 2005 Page 274 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Actual/Compensatory Damages, Relief Request has been denied in full; Actual/Compensatory Damages, Relief Request has been denied in full; Punitive/Exemplary Damages, Relief Request has been denied in full; Actual/Compensatory Damages, Relief Request has been denied in full; Attorney's Fees, Relief Request has been denied in full; Other costs, Relief Request has been denied in full; Actual/Compensatory Damages, Relief Request has been denied in full; Actual/Compensatory Damages, Relief Request has been denied in full; Punitive/Exemplary Damages, Relief Request has been denied in full; Actual/Compensatory Damages, Relief Request has been denied in full; Attorney's Fees, Relief Request has been denied in full; Other costs, Relief Request has been denied in full; Actual/Compensatory Damages, Relief Request has been denied in full; Actual/Compensatory Damages, Relief Request has been denied in full; Punitive/Exemplary Damages, Relief Request has been denied in full; Actual/Compensatory Damages, Relief Request has been denied in full; Attorney's Fees, Relief Request has been denied in full; Other costs, Relief Request has been denied in full; Actual/Compensatory Damages, Relief Request has been denied in full; Actual/Compensatory Damages, Relief Request has been denied in full; Punitive/Exemplary Damages, Relief Request has been denied in full; Actual/Compensatory Damages, Relief Request has been denied in full; Attorney's Fees, Relief Request has been denied in full; Other costs, Relief Request has been denied in full; Actual/Compensatory Damages, Relief Request has been denied in full; Actual/Compensatory Damages, Relief Request has been denied in full; Punitive/Exemplary Damages, Relief Request has been denied in full; Actual/Compensatory Damages, Relief Request has been denied in full; Attorney's Fees, Relief Request has been denied in full; Other costs, Relief Request has been denied in full; Actual/Compensatory Damages, Relief Request has been denied in full; Actual/Compensatory Damages, Relief Request has been denied in full; Punitive/Exemplary Damages, Relief Request has been denied in full; Actual/Compensatory Damages, Relief Request has been denied in full; Attorney's Fees, Relief Request has been denied in full; Other costs, Relief Request has been denied in full; Actual/Compensatory Damages, Relief Request has been denied in full; Actual/Compensatory Damages, Relief Request has been denied in full; Punitive/Exemplary Damages, Relief Request has been denied in full; Actual/Compensatory Damages, Relief Request has been denied in full; Attorney's Fees, Relief Request has been denied in full; Other costs, Relief Request has been denied in full; Actual/Compensatory Damages, Relief Request has been denied in full ** BROKERAGE FIRM ARBITRATION (4 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 09/29/2003 Case Number: 03-06581 Allegations: ACCOUNT RELATED - FAILURE TO SUPERVISE; ACCOUNT RELATED-NEGLIGENCE; FRAUDULENT ACTIVITY-BRCH OF FIDUCIARY DT; FRAUDULENT ACTIVITY - OMISSION OF FACTS Type of Securities: COMMON STOCK;MUTUAL FUNDS;GOVERNMENT SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $541,542.21 SEVERALLY ; TREBLE DAMAGES, ASKED AMOUNT $1,083,084.42 SEVERALLY ; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 SEVERALLY ; ATTORNEY'S FEES, ASKED AMOUNT $0.00 SEVERALLY ; INTEREST, ASKED AMOUNT $0.00 SEVERALLY Disposition: NO AWARD AGAINST PARTY Disposition Date: 11/29/2004 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; TREBLE DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF NASD BrokerCheck October 12, 2005 Page 275 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (5 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/21/2002 Case Number: 02-00896 Allegations: EXECUTIONS-FAILURE TO EXECUTE; ACCOUNT RELATED-NEGLIGENCE; FRAUDULENT ACTIVITY-BRCH OF FIDUCIARY DT Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $22,000,000.00 SEVERALLY ; INTEREST, ASKED AMOUNT $0.00 SEVERALLY ; ATTORNEY'S FEES, ASKED AMOUNT $0.00 SEVERALLY Disposition: AWARD AGAINST PARTY Disposition Date: 09/09/2004 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL, AWARD AMOUNT $2,810,000.00; INTEREST, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL, AWARD AMOUNT $0.01; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (6 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/06/2003 Case Number: 02-07848 Allegations: FRAUDULENT ACTIVITY - OMISSION OF FACTS; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: NO AWARD AGAINST PARTY Disposition Date: 05/06/2004 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (7 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 11/09/2001 NASD BrokerCheck October 12, 2005 Page 276 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Case Number: 01-05789 Allegations: ACCOUNT RELATED-BREACH OF CONTRACT; FRAUDULENT ACTIVITY-MISREPRESENTATION; ACCOUNT RELATED-NEGLIGENCE; FRAUDULENT ACTIVITY-BRCH OF FIDUCIARY DT Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $486,563.00 SEVERALLY ; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 SEVERALLY ; INTEREST, ASKED AMOUNT $0.00 SEVERALLY ; OTHER COSTS, ASKED AMOUNT $0.00 SEVERALLY ; ATTORNEY'S FEES, ASKED AMOUNT $0.00 SEVERALLY ; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 SEVERALLY Disposition: AWARD AGAINST PARTY Disposition Date: 03/16/2004 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL, AWARD AMOUNT $249,829.00; PUNITIVE/EXEMPLARY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL, AWARD AMOUNT $50,000.00; INTEREST, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL, AWARD AMOUNT $0.01; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL, AWARD AMOUNT $300.00; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (8 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 06/17/2003 Case Number: 03-04323 Allegations: ACCOUNT RELATED - FAILURE TO SUPERVISE; FRAUDULENT ACTIVITY-BRCH OF FIDUCIARY DT; EXECUTIONS-FAILURE TO EXECUTE; ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $2,640,485.00 SEVERALLY ; INTEREST, ASKED AMOUNT $0.00 SEVERALLY ; OTHER COSTS, ASKED AMOUNT $0.00 SEVERALLY ; ATTORNEY'S FEES, ASKED AMOUNT $0.00 SEVERALLY ; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 SEVERALLY Disposition: NO AWARD AGAINST PARTY Disposition Date: 03/15/2004 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (9 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/09/2002 Case Number: 01-06972 Allegations: FRAUDULENT ACTIVITY-MISREPRESENTATION; FRAUDULENT ACTIVITY - OMISSION OF FACTS; FRAUDULENT ACTIVITY-BRCH OF FIDUCIARY DT; FRAUDULENT ACTIVITY-SUITABILITY Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT NASD BrokerCheck October 12, 2005 Page 277 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: AWARD AGAINST PARTY Disposition Date: 07/15/2003 Relief Awarded: OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL 7C. RELIEF ASKED: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 SEVERALLY 8A. CURRENT STATUS: AWARD AGAINST PARTY 8B. STATUS DATE: 07/15/2003 8C. RELIEF AWARDED: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL, AWARD AMOUNT $80,000.00 ** BROKERAGE FIRM ARBITRATION (10 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 11/02/2001 Case Number: 01-05752 Allegations: FRAUDULENT ACTIVITY-BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED-BREACH OF CONTRACT; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $320,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: NO AWARD AGAINST PARTY Disposition Date: 11/15/2002 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (11 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 07/09/2001 Case Number: 01-02555 Allegations: ACCOUNT RELATED-BREACH OF CONTRACT; EXECUTIONS-FAILURE TO EXECUTE Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $600,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $900,000.00 JOINTLY AND SEVERALLY Disposition: NO AWARD AGAINST PARTY Disposition Date: 10/25/2002 NASD BrokerCheck October 12, 2005 Page 278 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (12 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 09/05/2001 Case Number: 01-04378 Allegations: ACCOUNT RELATED-BREACH OF CONTRACT; ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED - FAILURE TO SUPERVISE; FRAUDULENT ACTIVITY-UNAUTHORIZED TRADING Type of Securities: Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $6,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $4,000.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: NO AWARD AGAINST PARTY Disposition Date: 08/20/2002 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (13 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 04/19/2001 Case Number: 01-01493 Allegations: ACCOUNT RELATED-NEGLIGENCE; FRAUDULENT ACTIVITY-BRCH OF FIDUCIARY DT; ACCOUNT RELATED - FAILURE TO SUPERVISE; FRAUDULENT ACTIVITY-UNAUTHORIZED TRADING Type of Securities: REAL ESTATE INVESTMENT TRUST;OTHER TYPES OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $50,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: NO AWARD AGAINST PARTY Disposition Date: 07/15/2002 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (14 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 03/01/2000 Case Number: 00-00304 NASD BrokerCheck October 12, 2005 Page 279 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Allegations: FRAUDULENT ACTIVITY-MISREPRESENTATION; FRAUDULENT ACTIVITY - OMISSION OF FACTS; FRAUDULENT ACTIVITY-BRCH OF FIDUCIARY DT; ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: COMMON STOCK;MUTUAL FUNDS;OTHER TYPES OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,000,000.01 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: NO AWARD AGAINST PARTY Disposition Date: 03/19/2001 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (15 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 02/08/1999 Case Number: 98-04740 Allegations: ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED-OTHER Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $110,594.00 SEVERALLY ; INTEREST, ASKED AMOUNT $0.00 SEVERALLY Disposition: NO AWARD AGAINST PARTY Disposition Date: 03/08/2001 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (16 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 11/09/1999 Case Number: 99-04665 Allegations: ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED-OTHER Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,000,000.00 SEVERALLY ; INTEREST, ASKED AMOUNT $0.00 SEVERALLY ; ATTORNEY'S FEES, ASKED AMOUNT $0.00 SEVERALLY ; OTHER COSTS, ASKED AMOUNT $0.00 SEVERALLY Disposition: AWARD AGAINST PARTY Disposition Date: 01/29/2001 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL, AWARD AMOUNT $90,000.00; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER NASD BrokerCheck October 12, 2005 Page 280 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (17 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 07/16/1999 Case Number: 99-02996 Allegations: ACCOUNT RELATED-OTHER Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $890,000.01 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $500,000.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: NO AWARD AGAINST PARTY Disposition Date: 11/16/2000 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (18 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 07/27/1999 Case Number: 99-03294 Allegations: FRAUDULENT ACTIVITY-CHURNING; FRAUDULENT ACTIVITY-UNAUTHORIZED TRADING; FRAUDULENT ACTIVITY-SUITABILITY; ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $51,000.00 SEVERALLY ; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: AWARD AGAINST PARTY Disposition Date: 07/05/2000 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL, AWARD AMOUNT $12,500.00; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (19 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 03/31/1999 NASD BrokerCheck October 12, 2005 Page 281 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Case Number: 99-01130 Allegations: FRAUDULENT ACTIVITY-MISREPRESENTATION; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $7,100.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,160.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: NO AWARD AGAINST PARTY Disposition Date: 05/22/2000 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (21 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/02/1997 Case Number: 97-05431 Allegations: ACCOUNT RELATED-BREACH OF CONTRACT; BRCH OF FIDUCIARY DT; MISREPRESENTATION; MANIPULATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED NASD BrokerCheck October 12, 2005 Page 282 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) AMOUNT $0.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 11/04/1998 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $6,374.00; PUNITIVE/EXEMPLARY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $100,000.00; OTHER MONETARY RELIEF, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,851.00 ** BROKERAGE FIRM ARBITRATION (22 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/08/1997 Case Number: 97-04644 Allegations: BRCH OF FIDUCIARY DT; MISREPRESENTATION; SUITABILITY; OMISSION OF FACTS Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $88,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 09/24/1998 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (23 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/15/1997 Case Number: 97-01679 Allegations: ACCOUNT RELATED-NEGLIGENCE; SUITABILITY; ACCOUNT RELATED - FAILURE TO SUPERVISE; ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $145,435.95 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 02/18/1998 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (24 of 993) ** NASD BrokerCheck October 12, 2005 Page 283 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/03/1997 Case Number: 97-00720 Allegations: UNAUTHORIZED TRADING Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $75,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 02/25/1998 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (25 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/26/1997 Case Number: 97-00385 Allegations: CHURNING; OTHER; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $150,000.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00; INTEREST, ASKED AMOUNT $0.00; INTEREST, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: Not Provided Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $30,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $15,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (26 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/20/1997 NASD BrokerCheck October 12, 2005 Page 284 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Case Number: 96-05596 Allegations: SUITABILITY; MISREPRESENTATION; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $143,149.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $124,523.00 Disposition: AWARD AGAINST PARTY Disposition Date: Not Provided Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $54,884.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $54,884.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (27 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/24/1996 Case Number: 96-03069 Allegations: OMISSION OF FACTS; ACCOUNT RELATED-OTHER Type of Securities: CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $53,133.10; INTEREST, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/14/1997 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $35,000.00 JOINTLY AND SEVERALLY; INTEREST, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL) ** BROKERAGE FIRM ARBITRATION (28 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/02/1996 Case Number: 96-02782 Allegations: ACCOUNT RELATED-TRANSFER; EXECUTIONS-OTHER; TRADING DISPUTES-TRANSFERS Type of Securities: COMMON STOCK Relief Asked: OTHER COSTS, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $15,000.00; OTHER COSTS, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $15,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: Not Provided Relief Awarded: OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, NASD BrokerCheck October 12, 2005 Page 285 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $7,551.20 ** BROKERAGE FIRM ARBITRATION (29 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 06/18/1996 Case Number: 96-02503 Allegations: BRCH OF FIDUCIARY DT; UNAUTHORIZED TRADING; CHURNING; SUITABILITY Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $661,284.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 01/14/1998 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (30 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/02/1996 Case Number: 96-01256 Allegations: CHURNING; SUITABILITY; UNAUTHORIZED TRADING; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: OPTIONS; COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $536,071.00 JOINTLY AND SEVERALLY; TREBLE DAMAGES, ASKED AMOUNT $1,608,213.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 06/19/1997 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; TREBLE DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (31 of 993) ** NASD BrokerCheck October 12, 2005 Page 286 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/10/1995 Case Number: 95-05280 Allegations: ACCOUNT RELATED - FAILURE TO SUPERVISE; BRCH OF FIDUCIARY DT; UNAUTHORIZED TRADING; MISREPRESENTATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $250,000.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $250,000.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00; INTEREST, ASKED AMOUNT $0.00; INTEREST, ASKED AMOUNT $0.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 02/21/1997 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $25,000.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (32 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/08/1995 Case Number: 95-04924 Allegations: MISREPRESENTATION; OMISSION OF FACTS; ACCOUNT RELATED-BREACH OF CONTRACT; ACCOUNT RELATED-NEGLIGENCE Type of Securities: COMMON STOCK; CORPORATE BONDS; OTHER TYPES OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $500,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; TREBLE DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 12/04/1996 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; TREBLE DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL NASD BrokerCheck October 12, 2005 Page 287 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (33 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/03/1995 Case Number: 95-03692 Allegations: SUITABILITY; ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED-BREACH OF CONTRACT; BRCH OF FIDUCIARY DT Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $94,052.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $3,964.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 05/16/1996 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (34 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 07/17/1995 Case Number: 95-03042 Allegations: CHURNING; SUITABILITY Type of Securities: COMMON STOCK; OPTIONS; WARRANTS/RIGHTS; MUNICIPAL BOND FUNDS Relief Asked: ATTORNEY'S FEES, ASKED AMOUNT $0.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $116,500.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/14/1996 Relief Awarded: ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL); OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $4,285.49; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $16,500.00 OR FULL), AWARD AMOUNT $16,500.00 ** BROKERAGE FIRM ARBITRATION (35 of 993) ** NASD BrokerCheck October 12, 2005 Page 288 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/06/1995 Case Number: 95-02606 Allegations: UNAUTHORIZED TRADING; SUITABILITY; ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: WARRANTS/RIGHTS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $11,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $6,930.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $300.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $20,000.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $250.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 04/04/1996 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (36 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/12/1995 Case Number: 95-01573 Allegations: SUITABILITY; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE; OTHER Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,000,000.00; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/15/1996 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $53,704.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (37 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/07/1995 Case Number: 95-00993 NASD BrokerCheck October 12, 2005 Page 289 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Allegations: EXECUTIONS-FAILURE TO EXECUTE; UNAUTHORIZED TRADING Type of Securities: COMMODITIES FUTURES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $14,100.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/30/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (38 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/12/1995 Case Number: 95-00059 Allegations: CHURNING; BRCH OF FIDUCIARY DT; SUITABILITY; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: COMMON STOCK; MUNICIPAL BOND FUNDS; MUNICIPAL BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,000,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/18/1996 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (39 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/29/1995 Case Number: 94-05559 Allegations: MISREPRESENTATION; CHURNING; SUITABILITY Type of Securities: COMMON STOCK; OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $41,088.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/14/1996 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,108.00 ** BROKERAGE FIRM ARBITRATION (40 of 993) ** Type of Event: ARBITRATION Update: YES NASD BrokerCheck October 12, 2005 Page 290 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Arbitration Forum: NASD Case Served Date: 12/22/1994 Case Number: 94-04369 Allegations: ACCOUNT RELATED-ERRORS-CHARGES; ACCOUNT RELATED-OTHER Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,153.63; INTEREST, ASKED AMOUNT $358.00; OTHER COSTS, ASKED AMOUNT $30.00 Disposition: AWARD AGAINST PARTY Disposition Date: 01/31/1996 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $695.67 JOINTLY AND SEVERALLY; INTEREST, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL); OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $30.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (41 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/21/1994 Case Number: 94-03107 Allegations: SUITABILITY; MISREPRESENTATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $27,048.00; INTEREST, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 11/30/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $8,287.50 JOINTLY AND SEVERALLY; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (42 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/17/1994 Case Number: 94-02859 Allegations: SUITABILITY; ACCOUNT RELATED - FAILURE TO SUPERVISE; MISREPRESENTATION; OMISSION OF FACTS Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $19,426.33 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: Not Provided Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL NASD BrokerCheck October 12, 2005 Page 291 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (43 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 09/14/1994 Case Number: 94-02347 Allegations: CHURNING; SUITABILITY; UNAUTHORIZED TRADING; MISREPRESENTATION Type of Securities: COMMON STOCK; MUNICIPAL BOND FUNDS; GOVERNMENT SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00; INTEREST, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 07/21/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $75,000.00 JOINTLY AND SEVERALLY; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (44 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/06/1994 Case Number: 94-02043 Allegations: ACCOUNT RELATED-BREACH OF CONTRACT; UNAUTHORIZED TRADING Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $6,004.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 02/24/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (45 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 09/01/1994 Case Number: 94-01955 Allegations: ACCOUNT RELATED-NEGLIGENCE Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,768.99 Disposition: AWARD AGAINST PARTY NASD BrokerCheck October 12, 2005 Page 292 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Disposition Date: Not Provided Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $946.21 ** BROKERAGE FIRM ARBITRATION (46 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/22/1994 Case Number: 94-01802 Allegations: OTHER Type of Securities: MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $974.76 Disposition: AWARD AGAINST PARTY Disposition Date: Not Provided Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $521.38 ** BROKERAGE FIRM ARBITRATION (47 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/15/1994 Case Number: 94-01799 Allegations: UNAUTHORIZED TRADING; SUITABILITY; MISREPRESENTATION; OMISSION OF FACTS Type of Securities: COMMON STOCK; OPTIONS; WARRANTS/RIGHTS; LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $100,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $200,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 08/29/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (48 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/28/1994 Case Number: 94-01789 Allegations: EXECUTIONS-OTHER; ACCOUNT RELATED-NEGLIGENCE Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $276,614.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $15,000.00 Disposition: CASE IS CLOSED, BY HEARING NASD BrokerCheck October 12, 2005 Page 293 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Disposition Date: 06/13/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (49 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 07/08/1994 Case Number: 94-01778 Allegations: MISREPRESENTATION; OMISSION OF FACTS; SUITABILITY; BRCH OF FIDUCIARY DT Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,000.00; INTEREST, ASKED AMOUNT $500.00; OTHER COSTS, ASKED AMOUNT $550.00 Disposition: AWARD AGAINST PARTY Disposition Date: 10/31/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,000.00 JOINTLY AND SEVERALLY; INTEREST, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL); OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $30.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (50 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/18/1994 Case Number: 94-01729 Allegations: OTHER Type of Securities: MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $9,109.04 Disposition: AWARD AGAINST PARTY Disposition Date: Not Provided Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $4,872.12 ** BROKERAGE FIRM ARBITRATION (51 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/12/1994 Case Number: 94-01693 Allegations: ACCOUNT RELATED-OTHER Type of Securities: OTHER TYPES OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $3,634.59 NASD BrokerCheck October 12, 2005 Page 294 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Disposition: AWARD AGAINST PARTY Disposition Date: 12/28/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,943.73 ** BROKERAGE FIRM ARBITRATION (52 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/18/1994 Case Number: 94-01692 Allegations: MISREPRESENTATION; SUITABILITY Type of Securities: MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $3,110.46 Disposition: AWARD AGAINST PARTY Disposition Date: Not Provided Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,670.44 ** BROKERAGE FIRM ARBITRATION (53 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 06/15/1994 Case Number: 94-01664 Allegations: SUITABILITY; MISREPRESENTATION Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $28,000.00; INTEREST, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 11/27/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $22,680.00; INTEREST, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL) ** BROKERAGE FIRM ARBITRATION (54 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/09/1994 Case Number: 94-01650 Allegations: BRCH OF FIDUCIARY DT; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $153,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $1,500,000.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY NASD BrokerCheck October 12, 2005 Page 295 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Disposition: CASE IS CLOSED, BY HEARING Disposition Date: Not Provided Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (55 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/20/1994 Case Number: 94-01646 Allegations: SUITABILITY Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $5,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 07/25/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $5,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (56 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/09/1994 Case Number: 94-01500 Allegations: ACCOUNT RELATED-NEGLIGENCE Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,125.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $3,824.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $7,648.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/31/1996 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (57 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/29/1994 Case Number: 94-01352 Allegations: EXECUTIONS-FAILURE TO EXECUTE; ACCOUNT RELATED-NEGLIGENCE NASD BrokerCheck October 12, 2005 Page 296 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Securities: MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $5,554.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 09/28/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (58 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/26/1994 Case Number: 94-01347 Allegations: CHURNING; UNAUTHORIZED TRADING; SUITABILITY; MISREPRESENTATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $51,876.16 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $155,637.48 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 06/14/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (59 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/21/1994 Case Number: 94-01234 Allegations: CHURNING; SUITABILITY; BRCH OF FIDUCIARY DT; MISREPRESENTATION Type of Securities: COMMON STOCK; CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $100,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 06/24/1996 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL NASD BrokerCheck October 12, 2005 Page 297 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (60 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/28/1994 Case Number: 94-01213 Allegations: MISREPRESENTATION; OMISSION OF FACTS; SUITABILITY Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $30,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 02/13/1996 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (61 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/09/1994 Case Number: 94-01024 Allegations: MISREPRESENTATION; UNAUTHORIZED TRADING Type of Securities: OPTIONS; COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $15,000.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $46,000.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00; INTEREST, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: Not Provided Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (62 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/19/1994 Case Number: 94-00786 Allegations: BRCH OF FIDUCIARY DT; MISREPRESENTATION Type of Securities: COMMON STOCK NASD BrokerCheck October 12, 2005 Page 298 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,001.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/24/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $4,250.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (63 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/25/1994 Case Number: 94-00650 Allegations: SUITABILITY; MISREPRESENTATION; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: COMMON STOCK; OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $234,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 12/20/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (64 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/15/1994 Case Number: 94-00648 Allegations: SUITABILITY; MISREPRESENTATION; ACCOUNT RELATED-BREACH OF CONTRACT; BRCH OF FIDUCIARY DT Type of Securities: COMMON STOCK; PREFERRED STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $55,812.95; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; TREBLE DAMAGES, ASKED AMOUNT $111,625.90 Disposition: AWARD AGAINST PARTY Disposition Date: 08/28/1996 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $12,602.47 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; TREBLE DAMAGES, RELIEF NASD BrokerCheck October 12, 2005 Page 299 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (65 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/02/1994 Case Number: 94-00503 Allegations: UNAUTHORIZED TRADING; ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $332,139.00; INTEREST, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 04/17/1997 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (66 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/09/1994 Case Number: 94-00474 Allegations: ACCOUNT RELATED-OTHER Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,450.82; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $2,381.46 Disposition: AWARD AGAINST PARTY Disposition Date: 10/31/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,450.82; ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $159.64 ** BROKERAGE FIRM ARBITRATION (67 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/01/1994 Case Number: 94-00443 Allegations: SUITABILITY; OMISSION OF FACTS Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $35,314.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $79,465.00; OTHER COSTS, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED NASD BrokerCheck October 12, 2005 Page 300 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 03/21/1997 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $12,750.00; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $375.00; ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $3,775.00 ** BROKERAGE FIRM ARBITRATION (68 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/01/1994 Case Number: 94-00441 Allegations: UNAUTHORIZED TRADING; CHURNING Type of Securities: LIMITED PARTNERSHIPS; COMMON STOCK; CORPORATE BONDS; REAL ESTATE INVESTMENT TRUST Relief Asked: PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00; TREBLE DAMAGES, ASKED AMOUNT $0.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/11/1996 Relief Awarded: PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; TREBLE DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $358,810.49 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (69 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/28/1994 Case Number: 94-00437 Allegations: SUITABILITY; MANIPULATION Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $80,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 02/27/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (70 of 993) ** Type of Event: ARBITRATION Update: NO NASD BrokerCheck October 12, 2005 Page 301 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Arbitration Forum: NASD Case Served Date: 04/06/1994 Case Number: 94-00401 Allegations: SUITABILITY; ACCOUNT RELATED - FAILURE TO SUPERVISE; BRCH OF FIDUCIARY DT Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $424,761.00; INTEREST, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $42,579.59; ATTORNEY'S FEES, ASKED AMOUNT $212,381.00 Disposition: AWARD AGAINST PARTY Disposition Date: 07/21/1998 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $259,500.00 JOINTLY AND SEVERALLY; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (71 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/15/1994 Case Number: 94-00304 Allegations: MISREPRESENTATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $5,535.69 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 02/27/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (72 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/21/1994 Case Number: 94-00188 Allegations: CHURNING Type of Securities: MUNICIPAL BONDS; MUNICIPAL BOND FUNDS; MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $20,173.00; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 12/27/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $14,202.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (73 of 993) ** NASD BrokerCheck October 12, 2005 Page 302 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/14/1994 Case Number: 94-00128 Allegations: MISREPRESENTATION; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $9,662.06 Disposition: AWARD AGAINST PARTY Disposition Date: 11/01/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $6,662.06 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (74 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/12/1994 Case Number: 94-00035 Allegations: BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE; OMISSION OF FACTS Type of Securities: CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $9,000.72 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 12/27/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (75 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/14/1994 Case Number: 94-00005 Allegations: OMISSION OF FACTS; CHURNING; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,792,519.00 JOINTLY AND SEVERALLY; TREBLE DAMAGES, ASKED AMOUNT $5,377,557.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; NASD BrokerCheck October 12, 2005 Page 303 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 07/15/1997 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; TREBLE DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (76 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/23/1994 Case Number: 93-05417 Allegations: SUITABILITY; CHURNING; UNAUTHORIZED TRADING; BRCH OF FIDUCIARY DT Type of Securities: COMMON STOCK; OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,779,000.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $330,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $2,000,000.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $209,000.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $409,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $2,000,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $4,000,000.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $858,000.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $425,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $1,500.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 04/26/1996 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (77 of 993) ** Type of Event: ARBITRATION NASD BrokerCheck October 12, 2005 Page 304 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Update: NO Arbitration Forum: NASD Case Served Date: 02/28/1994 Case Number: 93-05285 Allegations: BRCH OF FIDUCIARY DT; SUITABILITY; ACCOUNT RELATED - FAILURE TO SUPERVISE; OTHER Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $480,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 07/26/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (78 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/14/1994 Case Number: 93-05245 Allegations: OTHER Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $16,117.84; OTHER COSTS, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 12/19/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (79 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/27/1994 Case Number: 93-05150 Allegations: MISREPRESENTATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $5,420.20 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $150.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 10/21/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN NASD BrokerCheck October 12, 2005 Page 305 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (80 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/09/1994 Case Number: 93-05147 Allegations: UNAUTHORIZED TRADING; OTHER Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $7,656.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $2,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 03/09/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,690.00; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (81 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/07/1994 Case Number: 93-05118 Allegations: MISREPRESENTATION; SUITABILITY Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $31,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 07/26/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (82 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/23/1994 Case Number: 93-05077 Allegations: UNAUTHORIZED TRADING Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $3,800.00; OTHER COSTS, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 10/24/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN NASD BrokerCheck October 12, 2005 Page 306 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) DENIED IN FULL; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $62.50 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (83 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/10/1994 Case Number: 93-05015 Allegations: SUITABILITY; CHURNING; MISREPRESENTATION; OMISSION OF FACTS Type of Securities: OPTIONS; COMMODITIES FUTURES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $150,000.00; INTEREST, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 03/09/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $49,915.00 JOINTLY AND SEVERALLY; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (84 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/06/1994 Case Number: 93-04947 Allegations: BRCH OF FIDUCIARY DT Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $43,882.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 12/11/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (85 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 03/16/1994 Case Number: 93-04940 Allegations: SUITABILITY; OMISSION OF FACTS; EXECUTIONS-OTHER Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $2,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $1,200.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, NASD BrokerCheck October 12, 2005 Page 307 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ASKED AMOUNT $800.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 09/08/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (86 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/02/1994 Case Number: 93-04922 Allegations: EXECUTIONS-OTHER; ACCOUNT RELATED-OTHER Type of Securities: OTHER TYPES OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $9,999.96; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 06/21/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (87 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/06/1994 Case Number: 93-04851 Allegations: SUITABILITY Type of Securities: GOVERNMENT SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $16,500.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 12/19/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (88 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/04/1994 Case Number: 93-04784 Allegations: BRCH OF FIDUCIARY DT; MISREPRESENTATION; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: COMMON STOCK; OPTIONS; CORPORATE BONDS; LIMITED PARTNERSHIPS NASD BrokerCheck October 12, 2005 Page 308 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $100,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: Not Provided Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (89 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/06/1994 Case Number: 93-04742 Allegations: MISREPRESENTATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $54,446.05 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $20,000.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $272,230.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 12/05/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (90 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/02/1994 Case Number: 93-04740 Allegations: UNAUTHORIZED TRADING Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $61,901.19; OTHER COSTS, ASKED AMOUNT $850.00; ATTORNEY'S FEES, ASKED AMOUNT $8,440.00 Disposition: AWARD AGAINST PARTY Disposition Date: 02/21/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $14,000.00 JOINTLY AND SEVERALLY; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL NASD BrokerCheck October 12, 2005 Page 309 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (91 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/10/1993 Case Number: 93-04714 Allegations: SUITABILITY; ACCOUNT RELATED-NEGLIGENCE; BRCH OF FIDUCIARY DT; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $427,503.00; INTEREST, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: Not Provided Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (92 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/07/1994 Case Number: 93-04684 Allegations: SUITABILITY Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $329,651.69; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00; TREBLE DAMAGES, ASKED AMOUNT $659,303.38; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/27/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $112,547.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; TREBLE DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (93 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/29/1993 Case Number: 93-04621 Allegations: SUITABILITY; MISREPRESENTATION; OMISSION OF FACTS; ACCOUNT RELATED-OTHER Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $8,750.00 NASD BrokerCheck October 12, 2005 Page 310 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/28/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (94 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/04/1994 Case Number: 93-04616 Allegations: MISREPRESENTATION; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: OPTIONS; LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $145,000.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; INTEREST, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 02/22/1996 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $29,849.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (95 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/13/1993 Case Number: 93-04590 Allegations: CHURNING; ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED-BREACH OF CONTRACT; BRCH OF FIDUCIARY DT Type of Securities: OPTIONS; COMMON STOCK; CORPORATE BONDS; ANNUITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $529,295.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $36,248.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $100,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 02/16/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL NASD BrokerCheck October 12, 2005 Page 311 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (96 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 12/22/1993 Case Number: 93-04335 Allegations: ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED - FAILURE TO SUPERVISE; CHURNING; BRCH OF FIDUCIARY DT Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,527,000.00; INTEREST, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $750,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 12/16/1996 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $90,000.00 JOINTLY AND SEVERALLY; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (97 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/29/1993 Case Number: 93-04289 Allegations: EXECUTIONS-FAILURE TO EXECUTE Type of Securities: MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $4,979.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; INTEREST, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 11/29/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,681.73 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL); OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $125.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (98 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/02/1993 Case Number: 93-04209 Allegations: SUITABILITY Type of Securities: COMMON STOCK NASD BrokerCheck October 12, 2005 Page 312 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $23,380.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $7,747.15 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $1,000.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 08/11/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (99 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/08/1993 Case Number: 93-04188 Allegations: MISREPRESENTATION; SUITABILITY; BRCH OF FIDUCIARY DT; CHURNING Type of Securities: COMMON STOCK; MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $250,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $250,000.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $200,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $250,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 07/16/1996 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (100 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 11/16/1993 Case Number: 93-04179 Allegations: MISREPRESENTATION; SUITABILITY; UNAUTHORIZED TRADING; CHURNING Type of Securities: LIMITED PARTNERSHIPS Relief Asked: Not Provided Disposition: CASE IS CLOSED, BY HEARING Disposition Date: Not Provided Relief Awarded: Not Provided ** BROKERAGE FIRM ARBITRATION (101 of 993) ** NASD BrokerCheck October 12, 2005 Page 313 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/14/1994 Case Number: 93-04164 Allegations: EXECUTIONS-FAILURE TO EXECUTE; UNAUTHORIZED TRADING Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $50,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 04/03/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (102 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/22/1993 Case Number: 93-04157 Allegations: MISREPRESENTATION; SUITABILITY; ACCOUNT RELATED - FAILURE TO SUPERVISE; OMISSION OF FACTS Type of Securities: LIMITED PARTNERSHIPS; OTHER TYPES OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $72,000.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $12,600.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,333.00; INTEREST, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 01/05/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $18,500.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (103 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/15/1993 Case Number: 93-04061 Allegations: UNAUTHORIZED TRADING; CHURNING; SUITABILITY; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: UNKNOWN TYPE OF SECURITIES NASD BrokerCheck October 12, 2005 Page 314 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $400,000.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00; INTEREST, ASKED AMOUNT $0.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $400,000.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00; INTEREST, ASKED AMOUNT $0.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: Not Provided Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $300,000.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $10,000.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (104 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/04/1993 Case Number: 93-04050 Allegations: SUITABILITY; MISREPRESENTATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $23,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 02/22/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $500.00 ** BROKERAGE FIRM ARBITRATION (105 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/14/1993 Case Number: 93-04019 Allegations: ACCOUNT RELATED-NEGLIGENCE; OMISSION OF FACTS; MISREPRESENTATION Type of Securities: LIMITED PARTNERSHIPS NASD BrokerCheck October 12, 2005 Page 315 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $20,000.00; INTEREST, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 07/17/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $3,550.00 JOINTLY AND SEVERALLY; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (106 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/21/1993 Case Number: 93-03843 Allegations: SUITABILITY; CHURNING; BRCH OF FIDUCIARY DT; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: COMMON STOCK; OPTIONS; CORPORATE BONDS; WARRANTS/RIGHTS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $130,000.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/28/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $121,309.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (107 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/11/1993 Case Number: 93-03840 Allegations: MISREPRESENTATION; SUITABILITY Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $8,000.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $1,800.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 05/24/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (108 of 993) ** Type of Event: ARBITRATION NASD BrokerCheck October 12, 2005 Page 316 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Update: NO Arbitration Forum: NASD Case Served Date: 09/27/1993 Case Number: 93-03829 Allegations: MISREPRESENTATION; ACCOUNT RELATED-ERRORS-CHARGES; SUITABILITY Type of Securities: MUNICIPAL BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $4,555.00 Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 04/27/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (109 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/21/1993 Case Number: 93-03612 Allegations: BRCH OF FIDUCIARY DT; ACCOUNT RELATED - FAILURE TO SUPERVISE; ACCOUNT RELATED-NEGLIGENCE; SUITABILITY Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $17,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $13,000.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 03/06/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (110 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 09/23/1993 Case Number: 93-03574 Allegations: SUITABILITY; OMISSION OF FACTS; MISREPRESENTATION; EXECUTIONS-FAILURE TO EXECUTE Type of Securities: COMMON STOCK; OTHER TYPES OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $40,832.70 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $10,000,000.00 JOINTLY AND SEVERALLY; TREBLE DAMAGES, ASKED AMOUNT $81,665.40 JOINTLY AND NASD BrokerCheck October 12, 2005 Page 317 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $5,000,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/25/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; TREBLE DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (111 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/11/1993 Case Number: 93-03507 Allegations: ACCOUNT RELATED-NEGLIGENCE Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,814.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 08/01/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (112 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/14/1993 Case Number: 93-03459 Allegations: ACCOUNT RELATED-NEGLIGENCE; MISREPRESENTATION; CHURNING; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $100,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $100,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: Not Provided Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL NASD BrokerCheck October 12, 2005 Page 318 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (113 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 09/01/1993 Case Number: 93-03411 Allegations: SUITABILITY; MISREPRESENTATION; BRCH OF FIDUCIARY DT; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: FANNY MAE Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $990,970.08; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $287,000.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $1,277,970.08; OTHER COSTS, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 12/05/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,293,000.00; ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL); PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL); ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $94,000.00 ** BROKERAGE FIRM ARBITRATION (114 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/30/1993 Case Number: 93-03289 Allegations: SUITABILITY; MISREPRESENTATION; BRCH OF FIDUCIARY DT; OTHER Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $100,000.01 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/28/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (115 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 09/01/1993 Case Number: 93-03285 Allegations: MISREPRESENTATION; OMISSION OF FACTS; SUITABILITY; BRCH OF FIDUCIARY DT NASD BrokerCheck October 12, 2005 Page 319 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Securities: GOVERNMENT SECURITIES; LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $27,900.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 04/18/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (116 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/27/1993 Case Number: 93-03240 Allegations: SUITABILITY; MISREPRESENTATION; BRCH OF FIDUCIARY DT Type of Securities: REAL ESTATE INVESTMENT TRUST; COMMON STOCK; LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $27,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/09/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,100.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (117 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/30/1993 Case Number: 93-03161 Allegations: MISREPRESENTATION; ACCOUNT RELATED-NEGLIGENCE; BRCH OF FIDUCIARY DT Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $50,587.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $16,187.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 12/27/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY NASD BrokerCheck October 12, 2005 Page 320 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (118 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/31/1993 Case Number: 93-03025 Allegations: ACCOUNT RELATED-MARGIN CALLS; ACCOUNT RELATED-OTHER Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 01/24/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (119 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/03/1993 Case Number: 93-02904 Allegations: MISREPRESENTATION; OMISSION OF FACTS; SUITABILITY; OTHER Type of Securities: CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 03/16/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (120 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/02/1993 Case Number: 93-02851 Allegations: SUITABILITY; CHURNING; UNAUTHORIZED TRADING; ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: COMMON STOCK; OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $73,687.00; INTEREST, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/12/1994 NASD BrokerCheck October 12, 2005 Page 321 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $40,916.04 JOINTLY AND SEVERALLY; INTEREST, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $9,203.20 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (121 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/22/1993 Case Number: 93-02844 Allegations: MISREPRESENTATION; SUITABILITY; ACCOUNT RELATED-BREACH OF CONTRACT; ACCOUNT RELATED-NEGLIGENCE Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $2,633.19 JOINTLY AND SEVERALLY; SPECIFIC PERFORMANCE, ASKED AMOUNT JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 01/24/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; SPECIFIC PERFORMANCE, RELIEF REQUEST HAS BEEN DENIED IN FULL, AWARD AMOUNT JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (122 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/06/1993 Case Number: 93-02786 Allegations: SUITABILITY; MISREPRESENTATION; ACCOUNT RELATED - FAILURE TO SUPERVISE; BRCH OF FIDUCIARY DT Type of Securities: MUTUAL FUNDS; OTHER TYPES OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $26,000.00 JOINTLY AND SEVERALLY; TREBLE DAMAGES, ASKED AMOUNT $75,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/21/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; TREBLE DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (123 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 07/15/1993 NASD BrokerCheck October 12, 2005 Page 322 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Case Number: 93-02739 Allegations: ACCOUNT RELATED-NEGLIGENCE; BRCH OF FIDUCIARY DT; ACCOUNT RELATED - FAILURE TO SUPERVISE; MISREPRESENTATION Type of Securities: COMMON STOCK; OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $500,000.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 12/07/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (124 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/20/1993 Case Number: 93-02734 Allegations: ACCOUNT RELATED-NEGLIGENCE; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-BREACH OF CONTRACT; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 06/13/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (125 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/27/1993 Case Number: 93-02717 Allegations: SUITABILITY Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $8,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 01/25/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL NASD BrokerCheck October 12, 2005 Page 323 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (126 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/19/1993 Case Number: 93-02638 Allegations: MISREPRESENTATION; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $25,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/14/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,000.00 ** BROKERAGE FIRM ARBITRATION (127 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/04/1993 Case Number: 93-02600 Allegations: OMISSION OF FACTS; UNAUTHORIZED TRADING; SUITABILITY; MISREPRESENTATION Type of Securities: OPTIONS; COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $4,658,472.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; RACKETEERING INTERSTATE CORRUPTION ORG, ASKED AMOUNT $13,975,506.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $16,000.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $14,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 09/28/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; RACKETEERING INTERSTATE CORRUPTION ORG, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (128 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/26/1993 Case Number: 93-02572 NASD BrokerCheck October 12, 2005 Page 324 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Allegations: EXECUTIONS-FAILURE TO EXECUTE Type of Securities: COMMODITIES FUTURES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $30,000.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 06/15/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (129 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/02/1993 Case Number: 93-02526 Allegations: CHURNING; SUITABILITY; EXECUTIONS-FAILURE TO EXECUTE; MISREPRESENTATION Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $75,000.00; INTEREST, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/21/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $16,824.49 JOINTLY AND SEVERALLY; INTEREST, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $16,825.49 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (130 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/09/1993 Case Number: 93-02383 Allegations: SUITABILITY; CHURNING Type of Securities: COMMON STOCK; LIMITED PARTNERSHIPS; MUNICIPAL BOND FUNDS; REAL ESTATE INVESTMENT TRUST Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $69,393.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/24/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (131 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/26/1993 Case Number: 93-02379 NASD BrokerCheck October 12, 2005 Page 325 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Allegations: MISREPRESENTATION; OTHER Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $89,543.67; TREBLE DAMAGES, ASKED AMOUNT $268,631.01 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 07/26/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; TREBLE DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (132 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/18/1993 Case Number: 93-02372 Allegations: MISREPRESENTATION; ACCOUNT RELATED - FAILURE TO SUPERVISE; ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: ANNUITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $34,773.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 06/29/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (133 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/22/1993 Case Number: 93-02300 Allegations: ACCOUNT RELATED-ERRORS-CHARGES Type of Securities: MUNICIPAL BOND FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $2,105.30 Disposition: AWARD AGAINST PARTY Disposition Date: 12/08/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,000.00 ** BROKERAGE FIRM ARBITRATION (134 of 993) ** Type of Event: ARBITRATION Update: NO NASD BrokerCheck October 12, 2005 Page 326 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Arbitration Forum: NASD Case Served Date: 07/29/1993 Case Number: 93-02227 Allegations: SUITABILITY; CHURNING; MISREPRESENTATION Type of Securities: FANNY MAE; MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $6,636.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/24/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,545.00 ** BROKERAGE FIRM ARBITRATION (135 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/29/1993 Case Number: 93-02157 Allegations: SUITABILITY; MISREPRESENTATION; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $430,000.00; INTEREST, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 02/21/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $50,000.00; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (136 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 09/30/1993 Case Number: 93-02150 Allegations: ACCOUNT RELATED-NEGLIGENCE; BRCH OF FIDUCIARY DT; OTHER; ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $50,000.00 JOINTLY AND SEVERALLY; TREBLE DAMAGES, ASKED AMOUNT $150,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 08/18/1994 NASD BrokerCheck October 12, 2005 Page 327 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; TREBLE DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (137 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/01/1993 Case Number: 93-02148 Allegations: CHURNING; MISREPRESENTATION; OMISSION OF FACTS; BRCH OF FIDUCIARY DT Type of Securities: COMMON STOCK; PREFERRED STOCK; MUNICIPAL BOND FUNDS; CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $150,000.01 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $1,000,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; TREBLE DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 04/12/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; TREBLE DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (138 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/12/1993 Case Number: 93-02073 Allegations: BRCH OF FIDUCIARY DT; SUITABILITY Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $200,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 04/25/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (139 of 993) ** Type of Event: ARBITRATION NASD BrokerCheck October 12, 2005 Page 328 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Update: NO Arbitration Forum: NASD Case Served Date: 07/02/1993 Case Number: 93-01951 Allegations: MISREPRESENTATION; OMISSION OF FACTS; BRCH OF FIDUCIARY DT; SUITABILITY Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $995,053.43 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $2,985,160.20 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; RACKETEERING INTERSTATE CORRUPTION ORG, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 12/14/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; RACKETEERING INTERSTATE CORRUPTION ORG, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (140 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/11/1993 Case Number: 93-01921 Allegations: BRCH OF FIDUCIARY DT; MISREPRESENTATION; OMISSION OF FACTS; ACCOUNT RELATED-NEGLIGENCE Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $237,231.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/18/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (141 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/06/1993 Case Number: 93-01871 Allegations: ACCOUNT RELATED-ERRORS-CHARGES Type of Securities: Not Provided NASD BrokerCheck October 12, 2005 Page 329 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $50.00; OTHER COSTS, ASKED AMOUNT $0.00; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $100.00 Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 12/02/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (142 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/17/1993 Case Number: 93-01867 Allegations: SUITABILITY; MISREPRESENTATION Type of Securities: CORPORATE BONDS Relief Asked: OTHER COSTS, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: Not Provided Relief Awarded: OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $520.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (143 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/20/1993 Case Number: 93-01866 Allegations: BRCH OF FIDUCIARY DT; OMISSION OF FACTS; SUITABILITY; ACCOUNT RELATED-NEGLIGENCE Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $34,309.41; OTHER COSTS, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/24/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $16,670.00 JOINTLY AND SEVERALLY; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $650.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (144 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/15/1993 Case Number: 93-01842 NASD BrokerCheck October 12, 2005 Page 330 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Allegations: SUITABILITY Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $4,728.64; OTHER COSTS, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: Not Provided Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,364.32; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $62.50 ** BROKERAGE FIRM ARBITRATION (145 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/22/1993 Case Number: 93-01827 Allegations: MISREPRESENTATION; SUITABILITY; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $46,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 03/20/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (146 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/12/1993 Case Number: 93-01721 Allegations: MISREPRESENTATION Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 07/25/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (147 of 993) ** Type of Event: ARBITRATION NASD BrokerCheck October 12, 2005 Page 331 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Update: NO Arbitration Forum: NASD Case Served Date: 05/14/1993 Case Number: 93-01713 Allegations: MISREPRESENTATION; BRCH OF FIDUCIARY DT; ACCOUNT RELATED - FAILURE TO SUPERVISE; OMISSION OF FACTS Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $100,000.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $65,627.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; TREBLE DAMAGES, ASKED AMOUNT $196,881.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 02/11/1994 Relief Awarded: PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; TREBLE DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (148 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/05/1993 Case Number: 93-01709 Allegations: MISREPRESENTATION; CHURNING; SUITABILITY Type of Securities: LIMITED PARTNERSHIPS; COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $45,000.00; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00; TREBLE DAMAGES, ASKED AMOUNT $135,000.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/13/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; TREBLE DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (149 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/11/1993 Case Number: 93-01661 Allegations: SUITABILITY; OMISSION OF FACTS Type of Securities: LIMITED PARTNERSHIPS NASD BrokerCheck October 12, 2005 Page 332 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/13/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,500.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (150 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/27/1993 Case Number: 93-01647 Allegations: MISREPRESENTATION; SUITABILITY Type of Securities: MUTUAL FUNDS; COMMON STOCK; PREFERRED STOCK; OTHER TYPES OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $27,190.88 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/18/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (151 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/26/1993 Case Number: 93-01595 Allegations: EXECUTIONS-FAILURE TO EXECUTE Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $35,826.00; OTHER COSTS, ASKED AMOUNT $0.00; INTEREST, ASKED AMOUNT $0.00; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 08/12/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (152 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/11/1993 Case Number: 93-01547 Allegations: MISREPRESENTATION; OMISSION OF FACTS; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-BREACH OF CONTRACT NASD BrokerCheck October 12, 2005 Page 333 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $200,000.00; INTEREST, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: Not Provided Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $89,623.62; INTEREST, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $26,441.57 ** BROKERAGE FIRM ARBITRATION (153 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/20/1993 Case Number: 93-01523 Allegations: EXECUTIONS-FAILURE TO EXECUTE; UNAUTHORIZED TRADING; ACCOUNT RELATED - FAILURE TO SUPERVISE; MISREPRESENTATION Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $14,633.60 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 05/31/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (154 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/06/1993 Case Number: 93-01482 Allegations: SUITABILITY; MISREPRESENTATION; BRCH OF FIDUCIARY DT Type of Securities: COMMON STOCK; MUNICIPAL BOND FUNDS; CORPORATE BONDS; LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $300,000.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 09/27/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL NASD BrokerCheck October 12, 2005 Page 334 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (155 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/23/1993 Case Number: 93-01465 Allegations: MISREPRESENTATION; OMISSION OF FACTS Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $15,300.00 Disposition: AWARD AGAINST PARTY Disposition Date: 02/10/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $15,300.00 ** BROKERAGE FIRM ARBITRATION (156 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/22/1993 Case Number: 93-01418 Allegations: CHURNING; UNAUTHORIZED TRADING; SUITABILITY; ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $30,000.00; INTEREST, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/21/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $30,000.00; INTEREST, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $7,000.00 ** BROKERAGE FIRM ARBITRATION (157 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/14/1993 Case Number: 93-01399 Allegations: MISREPRESENTATION; OTHER Type of Securities: MUNICIPAL BOND FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,934.22 Disposition: AWARD AGAINST PARTY Disposition Date: Not Provided Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $895.40 JOINTLY AND SEVERALLY NASD BrokerCheck October 12, 2005 Page 335 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (158 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/24/1993 Case Number: 93-01365 Allegations: MISREPRESENTATION Type of Securities: WARRANTS/RIGHTS; COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $7,377.20; OTHER COSTS, ASKED AMOUNT $150.00 Disposition: AWARD AGAINST PARTY Disposition Date: Not Provided Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,250.00 JOINTLY AND SEVERALLY; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $75.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (159 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 04/05/1993 Case Number: 93-01343 Allegations: SUITABILITY; ACCOUNT RELATED-NEGLIGENCE; OMISSION OF FACTS; ACCOUNT RELATED-OTHER Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,000.00; OTHER COSTS, ASKED AMOUNT $150.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/31/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $4,954.00 JOINTLY AND SEVERALLY; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $75.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (160 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/27/1993 Case Number: 93-01283 Allegations: SUITABILITY; CHURNING; ACCOUNT RELATED-NEGLIGENCE; BRCH OF FIDUCIARY DT Type of Securities: COMMON STOCK; OPTIONS; CORPORATE BONDS; LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $500,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/03/1994 NASD BrokerCheck October 12, 2005 Page 336 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $32,809.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (161 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/17/1993 Case Number: 93-01240 Allegations: MISREPRESENTATION; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE; OTHER Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $175,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: Not Provided Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $151,056.32 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (162 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/16/1993 Case Number: 93-01218 Allegations: SUITABILITY; MISREPRESENTATION; ACCOUNT RELATED-NEGLIGENCE; OTHER Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $2,444,390.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/10/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $220,900.00 ** BROKERAGE FIRM ARBITRATION (163 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/11/1993 Case Number: 93-01157 Allegations: SUITABILITY; MISREPRESENTATION; OTHER; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: LIMITED PARTNERSHIPS; MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $90,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 08/10/1994 NASD BrokerCheck October 12, 2005 Page 337 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (164 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/24/1993 Case Number: 93-01100 Allegations: MISREPRESENTATION; OMISSION OF FACTS; SUITABILITY; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $85,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 12/22/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (165 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 04/06/1993 Case Number: 93-01043 Allegations: SUITABILITY; MISREPRESENTATION; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE Type of Securities: CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $2,000.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $2,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/23/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,000.00; PUNITIVE/EXEMPLARY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,000.00 ** BROKERAGE FIRM ARBITRATION (166 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/30/1993 Case Number: 93-01027 Allegations: SUITABILITY; ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED - FAILURE TO SUPERVISE; BRCH OF FIDUCIARY DT Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $58,975.00; NASD BrokerCheck October 12, 2005 Page 338 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/27/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $47,613.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $12,500.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (167 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/29/1993 Case Number: 93-00971 Allegations: CHURNING; SUITABILITY; BRCH OF FIDUCIARY DT; MISREPRESENTATION Type of Securities: COMMON STOCK; MUNICIPAL BOND FUNDS; ANNUITIES; CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $100,000.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 12/20/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $98,159.63 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (168 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/25/1993 Case Number: 93-00899 Allegations: SUITABILITY; MISREPRESENTATION; BRCH OF FIDUCIARY DT; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $80,000.00; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00; INTEREST, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $500,000.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 03/28/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL NASD BrokerCheck October 12, 2005 Page 339 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (169 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/11/1993 Case Number: 93-00866 Allegations: SUITABILITY; ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED-BREACH OF CONTRACT; MISREPRESENTATION Type of Securities: OPTIONS; COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/20/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $20,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (170 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/23/1993 Case Number: 93-00796 Allegations: SUITABILITY; CHURNING Type of Securities: LIMITED PARTNERSHIPS; OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $500,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/18/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $75,950.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (171 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/16/1993 Case Number: 93-00702 Allegations: SUITABILITY; MISREPRESENTATION; BRCH OF FIDUCIARY DT Type of Securities: MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $137,442.93; INTEREST, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 03/24/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $52,548.00; INTEREST, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $12,768.00 NASD BrokerCheck October 12, 2005 Page 340 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (172 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/13/1993 Case Number: 93-00681 Allegations: MISREPRESENTATION; SUITABILITY Type of Securities: MUNICIPAL BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $2,116.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 12/08/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (173 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/24/1993 Case Number: 93-00672 Allegations: SUITABILITY; MISREPRESENTATION; CHURNING Type of Securities: COMMON STOCK; PREFERRED STOCK; GINNIE MAES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 11/01/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (174 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/01/1993 Case Number: 93-00604 Allegations: SUITABILITY; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $7,468.94 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 10/25/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN NASD BrokerCheck October 12, 2005 Page 341 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (175 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 03/19/1993 Case Number: 93-00585 Allegations: SUITABILITY; MISREPRESENTATION; OMISSION OF FACTS Type of Securities: OTHER TYPES OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $4,854.87 Disposition: AWARD AGAINST PARTY Disposition Date: 08/19/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $3,364.20 ** BROKERAGE FIRM ARBITRATION (176 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/08/1993 Case Number: 93-00457 Allegations: SUITABILITY Type of Securities: COMMON STOCK; PREFERRED STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $500,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 02/02/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (177 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/24/1993 Case Number: 93-00391 Allegations: ACCOUNT RELATED-BREACH OF CONTRACT; ACCOUNT RELATED - FAILURE TO SUPERVISE; CHURNING; SUITABILITY Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $78,398.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 12/16/1993 NASD BrokerCheck October 12, 2005 Page 342 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (178 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/09/1993 Case Number: 93-00333 Allegations: MISREPRESENTATION; OMISSION OF FACTS Type of Securities: COMMON STOCK Relief Asked: OTHER COSTS, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/23/1994 Relief Awarded: OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (179 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/01/1993 Case Number: 93-00299 Allegations: SUITABILITY; BRCH OF FIDUCIARY DT Type of Securities: COMMON STOCK; PREFERRED STOCK; LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 08/03/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (180 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/18/1993 Case Number: 93-00272 Allegations: CHURNING; ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED-BREACH OF CONTRACT; SUITABILITY NASD BrokerCheck October 12, 2005 Page 343 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Securities: MUNICIPAL BONDS; MUNICIPAL BOND FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $255,127.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $765,381.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 01/25/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (181 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/02/1993 Case Number: 93-00252 Allegations: ACCOUNT RELATED - FAILURE TO SUPERVISE; ACCOUNT RELATED-NEGLIGENCE Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $9,595.00; OTHER COSTS, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: Not Provided Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $5,717.00; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,500.00 ** BROKERAGE FIRM ARBITRATION (182 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/02/1993 Case Number: 93-00224 Allegations: SUITABILITY; ACCOUNT RELATED-BREACH OF CONTRACT; MISREPRESENTATION; BRCH OF FIDUCIARY DT Type of Securities: COMMON STOCK; OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $80,794.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $30,212.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 09/21/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL NASD BrokerCheck October 12, 2005 Page 344 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (183 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/07/1993 Case Number: 93-00165 Allegations: MISREPRESENTATION; ACCOUNT RELATED-NEGLIGENCE; BRCH OF FIDUCIARY DT Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $20,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $14,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $4,000.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $300.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 06/14/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (184 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/18/1993 Case Number: 93-00159 Allegations: UNAUTHORIZED TRADING; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $16,166.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; RACKETEERING INTERSTATE CORRUPTION ORG, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 02/15/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; RACKETEERING INTERSTATE CORRUPTION ORG, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (185 of 993) ** Type of Event: ARBITRATION Update: NO NASD BrokerCheck October 12, 2005 Page 345 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Arbitration Forum: NASD Case Served Date: 01/29/1993 Case Number: 93-00127 Allegations: ACCOUNT RELATED-OTHER Type of Securities: PREFERRED STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $103.85; OTHER COSTS, ASKED AMOUNT $30.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/23/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $103.85 JOINTLY AND SEVERALLY; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $30.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (186 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/26/1993 Case Number: 93-00080 Allegations: MISREPRESENTATION; SUITABILITY; OTHER Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $20,952.77 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 08/20/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (187 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/04/1993 Case Number: 93-00061 Allegations: ACCOUNT RELATED-BREACH OF CONTRACT; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE Type of Securities: OTHER TYPES OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $95,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 01/21/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (188 of 993) ** NASD BrokerCheck October 12, 2005 Page 346 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/05/1993 Case Number: 92-04361 Allegations: SUITABILITY; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-BREACH OF CONTRACT; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: MUNICIPAL BOND FUNDS; COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 03/22/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (189 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/07/1993 Case Number: 92-04360 Allegations: SUITABILITY; MISREPRESENTATION Type of Securities: COMMON STOCK; OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $115,674.92 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/05/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (190 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/07/1993 Case Number: 92-04342 Allegations: SUITABILITY Type of Securities: STOCK INDEX FUTURES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $49,427.93 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 12/22/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (191 of 993) ** NASD BrokerCheck October 12, 2005 Page 347 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/07/1993 Case Number: 92-04311 Allegations: MISREPRESENTATION; SUITABILITY Type of Securities: CORPORATE BONDS; LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $50,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 12/09/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $16,586.69 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (192 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/30/1992 Case Number: 92-04276 Allegations: UNAUTHORIZED TRADING Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $16,519.55 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/24/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (193 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/14/1993 Case Number: 92-04235 Allegations: ACCOUNT RELATED-ERRORS-CHARGES Type of Securities: CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,000.00; OTHER COSTS, ASKED AMOUNT $150.00 Disposition: AWARD AGAINST PARTY Disposition Date: Not Provided Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $8,800.00; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $150.00 ** BROKERAGE FIRM ARBITRATION (194 of 993) ** Type of Event: ARBITRATION NASD BrokerCheck October 12, 2005 Page 348 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Update: NO Arbitration Forum: NASD Case Served Date: 12/30/1992 Case Number: 92-04214 Allegations: MISREPRESENTATION; ACCOUNT RELATED-BREACH OF CONTRACT; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE Type of Securities: COMMON STOCK; PREFERRED STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $300,000.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 02/10/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $129,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $10,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (195 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/12/1993 Case Number: 92-04198 Allegations: UNAUTHORIZED TRADING; MISREPRESENTATION; ACCOUNT RELATED-NEGLIGENCE; BRCH OF FIDUCIARY DT Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $89,012.12 Disposition: AWARD AGAINST PARTY Disposition Date: Not Provided Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $13,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (196 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/30/1992 Case Number: 92-04190 Allegations: CHURNING; SUITABILITY Type of Securities: COMMON STOCK; OPTIONS; LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $200,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $250,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 08/30/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL NASD BrokerCheck October 12, 2005 Page 349 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (197 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/14/1992 Case Number: 92-04131 Allegations: OTHER Type of Securities: CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $3,600.00; OTHER COSTS, ASKED AMOUNT $125.00 Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 06/02/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (198 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/15/1993 Case Number: 92-04111 Allegations: ACCOUNT RELATED - FAILURE TO SUPERVISE; MISREPRESENTATION; BRCH OF FIDUCIARY DT; SUITABILITY Type of Securities: LIMITED PARTNERSHIPS; COMMON STOCK; WARRANTS/RIGHTS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $126,590.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $94,747.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $110,668.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 09/20/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (199 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/27/1993 Case Number: 92-03974 Allegations: UNAUTHORIZED TRADING; OMISSION OF FACTS; MISREPRESENTATION; BRCH OF FIDUCIARY DT Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $34,267.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING NASD BrokerCheck October 12, 2005 Page 350 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Disposition Date: 02/23/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (200 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/08/1993 Case Number: 92-03965 Allegations: SUITABILITY; OTHER Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,000,000.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/28/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $160,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $160,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $100,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (201 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/01/1992 Case Number: 92-03956 Allegations: MISREPRESENTATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $14,250.00 Disposition: AWARD AGAINST PARTY Disposition Date: 10/18/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $14,250.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (202 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/01/1993 Case Number: 92-03911 Allegations: UNAUTHORIZED TRADING; ACCOUNT RELATED-NEGLIGENCE Type of Securities: COMMON STOCK NASD BrokerCheck October 12, 2005 Page 351 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $20,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 03/08/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (203 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/18/1992 Case Number: 92-03881 Allegations: ACCOUNT RELATED-BREACH OF CONTRACT; UNAUTHORIZED TRADING; BRCH OF FIDUCIARY DT; MISREPRESENTATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $70,648.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $400,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 08/18/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (204 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/30/1992 Case Number: 92-03860 Allegations: UNAUTHORIZED TRADING; ACCOUNT RELATED-NEGLIGENCE Type of Securities: COMMON STOCK; OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $23,090.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00; INTEREST, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/01/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (205 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD NASD BrokerCheck October 12, 2005 Page 352 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Case Served Date: 12/04/1992 Case Number: 92-03859 Allegations: MISREPRESENTATION; SUITABILITY Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/18/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,437.00 ** BROKERAGE FIRM ARBITRATION (206 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/17/1992 Case Number: 92-03849 Allegations: SUITABILITY; ACCOUNT RELATED - FAILURE TO SUPERVISE; MISREPRESENTATION; BRCH OF FIDUCIARY DT Type of Securities: COMMON STOCK; CORPORATE BONDS; GOVERNMENT SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,200,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $1,000,000.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 08/20/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (207 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/18/1992 Case Number: 92-03821 Allegations: SUITABILITY Type of Securities: OTHER TYPES OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $6,888.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 08/18/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (208 of 993) ** Type of Event: ARBITRATION Update: NO NASD BrokerCheck October 12, 2005 Page 353 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Arbitration Forum: NASD Case Served Date: 11/25/1992 Case Number: 92-03781 Allegations: CHURNING; SUITABILITY; ACCOUNT RELATED-NEGLIGENCE; BRCH OF FIDUCIARY DT Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $64,423.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $40,000.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $5,747.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $1,000,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 04/22/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (209 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/11/1992 Case Number: 92-03681 Allegations: BRCH OF FIDUCIARY DT; MISREPRESENTATION; CHURNING; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: GINNIE MAES; FANNY MAE Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $731,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/24/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $73,200.00 ** BROKERAGE FIRM ARBITRATION (210 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/15/1993 Case Number: 92-03500 Allegations: SUITABILITY; ACCOUNT RELATED-NEGLIGENCE Type of Securities: COMMON STOCK; LIMITED PARTNERSHIPS; MUNICIPAL BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $248,019.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING NASD BrokerCheck October 12, 2005 Page 354 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Disposition Date: 11/24/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (211 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/28/1992 Case Number: 92-03497 Allegations: MISREPRESENTATION; SUITABILITY; ACCOUNT RELATED-NEGLIGENCE; BRCH OF FIDUCIARY DT Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $14,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $25,000.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $5,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 09/24/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (212 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/15/1992 Case Number: 92-03448 Allegations: MISREPRESENTATION; SUITABILITY Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $13,223.27 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 07/26/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (213 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/21/1992 Case Number: 92-03432 Allegations: SUITABILITY; OMISSION OF FACTS Type of Securities: UNKNOWN TYPE OF SECURITIES NASD BrokerCheck October 12, 2005 Page 355 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $16,698.00 Disposition: AWARD AGAINST PARTY Disposition Date: 07/14/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $6,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (214 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/29/1992 Case Number: 92-03261 Allegations: ACCOUNT RELATED - FAILURE TO SUPERVISE; ACCOUNT RELATED-NEGLIGENCE; BRCH OF FIDUCIARY DT; CHURNING Type of Securities: COMMON STOCK; WARRANTS/RIGHTS; OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $100,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: Not Provided Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (215 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/09/1992 Case Number: 92-03241 Allegations: CHURNING; UNAUTHORIZED TRADING; SUITABILITY Type of Securities: COMMODITIES FUTURES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $145,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 12/27/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $15,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (216 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/28/1993 NASD BrokerCheck October 12, 2005 Page 356 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Case Number: 92-03199 Allegations: SUITABILITY; UNAUTHORIZED TRADING; EXECUTIONS-FAILURE TO EXECUTE Type of Securities: COMMON STOCK; PREFERRED STOCK; ANNUITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $30,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: Not Provided Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $8,887.97 ** BROKERAGE FIRM ARBITRATION (217 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/19/1992 Case Number: 92-03194 Allegations: MISREPRESENTATION; SUITABILITY Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $14,400.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/13/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $5,700.00 ** BROKERAGE FIRM ARBITRATION (218 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/06/1992 Case Number: 92-03186 Allegations: ACCOUNT RELATED-OTHER Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,000.00 Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 04/15/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (219 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/19/1992 Case Number: 92-03166 Allegations: SUITABILITY; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: LIMITED PARTNERSHIPS; REAL ESTATE INVESTMENT TRUST NASD BrokerCheck October 12, 2005 Page 357 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $18,948.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $2,552.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 07/14/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (220 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 09/22/1992 Case Number: 92-03161 Allegations: MISREPRESENTATION; OMISSION OF FACTS; UNAUTHORIZED TRADING; CHURNING Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $24,981.60 Disposition: AWARD AGAINST PARTY Disposition Date: Not Provided Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $10,500.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (221 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/02/1992 Case Number: 92-03141 Allegations: ACCOUNT RELATED-NEGLIGENCE; UNAUTHORIZED TRADING Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $2,212.50; OTHER COSTS, ASKED AMOUNT $50.00 Disposition: AWARD AGAINST PARTY Disposition Date: 07/16/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,843.89; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $50.00 ** BROKERAGE FIRM ARBITRATION (222 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/13/1993 Case Number: 92-03061 NASD BrokerCheck October 12, 2005 Page 358 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Allegations: MISREPRESENTATION; SUITABILITY; CHURNING; BRCH OF FIDUCIARY DT Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $50,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; RACKETEERING INTERSTATE CORRUPTION ORG, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER NON-MONETARY RELIEF, ASKED AMOUNT JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 05/11/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; RACKETEERING INTERSTATE CORRUPTION ORG, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER NON-MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL, AWARD AMOUNT JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (223 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 09/21/1992 Case Number: 92-02965 Allegations: MISREPRESENTATION; OMISSION OF FACTS; UNAUTHORIZED TRADING; OTHER Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $11,896.04 Disposition: AWARD AGAINST PARTY Disposition Date: 07/22/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $7,800.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (224 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/20/1992 Case Number: 92-02958 Allegations: SUITABILITY; MISREPRESENTATION Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $6,500.00 Disposition: AWARD AGAINST PARTY Disposition Date: 02/02/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $6,064.60 JOINTLY AND NASD BrokerCheck October 12, 2005 Page 359 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) SEVERALLY ** BROKERAGE FIRM ARBITRATION (225 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 09/29/1992 Case Number: 92-02948 Allegations: SUITABILITY; MISREPRESENTATION Type of Securities: MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 04/21/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (226 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/28/1992 Case Number: 92-02828 Allegations: UNAUTHORIZED TRADING; BRCH OF FIDUCIARY DT; MISREPRESENTATION; OMISSION OF FACTS Type of Securities: OPTIONS; COMMODITIES FUTURES; OTHER TYPES OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $66,330.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 09/14/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (227 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/24/1992 Case Number: 92-02814 Allegations: MISREPRESENTATION NASD BrokerCheck October 12, 2005 Page 360 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Securities: COMMON STOCK Relief Asked: OTHER COSTS, ASKED AMOUNT $30.00 Disposition: AWARD AGAINST PARTY Disposition Date: 01/04/1993 Relief Awarded: OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $30.00 ** BROKERAGE FIRM ARBITRATION (228 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 09/09/1992 Case Number: 92-02792 Allegations: SUITABILITY; BRCH OF FIDUCIARY DT Type of Securities: COMMON STOCK; CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 03/12/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $5,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (229 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/25/1992 Case Number: 92-02660 Allegations: SUITABILITY; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: COMMON STOCK; PREFERRED STOCK; OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $261,460.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/28/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $37,429.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $108,533.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (230 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 09/02/1992 Case Number: 92-02644 Allegations: UNAUTHORIZED TRADING; MISREPRESENTATION; OMISSION OF NASD BrokerCheck October 12, 2005 Page 361 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) FACTS Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $68,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 07/28/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (231 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/05/1993 Case Number: 92-02498 Allegations: UNAUTHORIZED TRADING; OMISSION OF FACTS; MISREPRESENTATION; CHURNING Type of Securities: COMMON STOCK; OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,136,036.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $486,312.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 12/17/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (232 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/11/1992 Case Number: 92-02464 Allegations: SUITABILITY; MISREPRESENTATION; OMISSION OF FACTS Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $150,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 03/04/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF NASD BrokerCheck October 12, 2005 Page 362 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (233 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 09/23/1992 Case Number: 92-02452 Allegations: SUITABILITY; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00; INTEREST, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/13/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $959,806.24; INTEREST, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $711,952.24 ** BROKERAGE FIRM ARBITRATION (234 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/25/1992 Case Number: 92-02441 Allegations: EXECUTIONS-FAILURE TO EXECUTE; MISREPRESENTATION; ACCOUNT RELATED-MARGIN CALLS Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $439,958.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 07/09/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (235 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/21/1992 Case Number: 92-02411 Allegations: CHURNING; BRCH OF FIDUCIARY DT; ACCOUNT RELATED - FAILURE TO SUPERVISE; OMISSION OF FACTS Type of Securities: MUNICIPAL BOND FUNDS; MUNICIPAL BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $12,423.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $14,208.00 Disposition: AWARD AGAINST PARTY NASD BrokerCheck October 12, 2005 Page 363 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Disposition Date: 03/26/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,935.64 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $5,486.69 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (236 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/24/1992 Case Number: 92-02381 Allegations: SUITABILITY; MISREPRESENTATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,640.35 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 03/12/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (237 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/13/1992 Case Number: 92-02300 Allegations: MISREPRESENTATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $7,500.00 Disposition: AWARD AGAINST PARTY Disposition Date: 03/08/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $250.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (238 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/13/1992 Case Number: 92-02257 Allegations: CHURNING; SUITABILITY; MISREPRESENTATION; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: CORPORATE BONDS NASD BrokerCheck October 12, 2005 Page 364 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $52,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 03/31/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $35,750.00 ** BROKERAGE FIRM ARBITRATION (239 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/27/1992 Case Number: 92-02247 Allegations: UNAUTHORIZED TRADING Type of Securities: OTHER TYPES OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $39,577.28 Disposition: AWARD AGAINST PARTY Disposition Date: 04/16/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $23,050.68 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (240 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/09/1992 Case Number: 92-02238 Allegations: MISREPRESENTATION; ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $28,500.00; INTEREST, ASKED AMOUNT $20,579.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 05/04/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (241 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/08/1992 Case Number: 92-02232 Allegations: EXECUTIONS-FAILURE TO EXECUTE; ACCOUNT RELATED - FAILURE TO SUPERVISE NASD BrokerCheck October 12, 2005 Page 365 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $9,013.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 11/04/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (242 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/28/1992 Case Number: 92-02177 Allegations: UNAUTHORIZED TRADING Type of Securities: FANNY MAE Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $13,368.02 JOINTLY AND SEVERALLY; TREBLE DAMAGES, ASKED AMOUNT $40,104.06 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 09/10/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; TREBLE DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (243 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/06/1992 Case Number: 92-02163 Allegations: SUITABILITY; MISREPRESENTATION; ACCOUNT RELATED-NEGLIGENCE; BRCH OF FIDUCIARY DT Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $224,550.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/19/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $100,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (244 of 993) ** NASD BrokerCheck October 12, 2005 Page 366 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/09/1992 Case Number: 92-02048 Allegations: BRCH OF FIDUCIARY DT; MISREPRESENTATION; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $87,828.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/16/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $61,805.92 ** BROKERAGE FIRM ARBITRATION (245 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/17/1992 Case Number: 92-02042 Allegations: ACCOUNT RELATED-BREACH OF CONTRACT; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE; OTHER Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $240,363.71; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: Not Provided Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $41,387.38 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $13,657.83 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (246 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/17/1992 Case Number: 92-02040 Allegations: SUITABILITY; ACCOUNT RELATED-NEGLIGENCE; CHURNING; BRCH OF FIDUCIARY DT Type of Securities: MUTUAL FUNDS; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $63,188.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 07/19/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $37,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $10,000.00 JOINTLY AND SEVERALLY NASD BrokerCheck October 12, 2005 Page 367 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (247 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/06/1992 Case Number: 92-02027 Allegations: SUITABILITY; MISREPRESENTATION Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $3,466.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 09/23/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (248 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/16/1992 Case Number: 92-01995 Allegations: UNAUTHORIZED TRADING Type of Securities: CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $172,824.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 07/12/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (249 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/31/1992 Case Number: 92-01976 Allegations: BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE; SUITABILITY; MISREPRESENTATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $500,000.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00; TREBLE DAMAGES, ASKED AMOUNT $1,500,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/13/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $55,642.00 JOINTLY AND NASD BrokerCheck October 12, 2005 Page 368 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; TREBLE DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (250 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/04/1992 Case Number: 92-01962 Allegations: SUITABILITY; CHURNING; MISREPRESENTATION; OMISSION OF FACTS Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $500,000.00; TREBLE DAMAGES, ASKED AMOUNT $1,500,000.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 07/25/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $29,581.50 JOINTLY AND SEVERALLY; TREBLE DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (251 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 09/15/1992 Case Number: 92-01937 Allegations: ACCOUNT RELATED-BREACH OF CONTRACT; SUITABILITY; ACCOUNT RELATED-NEGLIGENCE; OMISSION OF FACTS Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $35,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/04/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (252 of 993) ** Type of Event: ARBITRATION NASD BrokerCheck October 12, 2005 Page 369 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Update: NO Arbitration Forum: NASD Case Served Date: 09/16/1992 Case Number: 92-01934 Allegations: MISREPRESENTATION Type of Securities: CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $27,208.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 09/22/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (253 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/05/1992 Case Number: 92-01852 Allegations: UNAUTHORIZED TRADING Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $95,904.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 06/02/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (254 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/03/1992 Case Number: 92-01842 Allegations: SUITABILITY; OMISSION OF FACTS; MISREPRESENTATION; BRCH OF FIDUCIARY DT Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $47,200.00; OTHER COSTS, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 03/09/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $15,887.00 JOINTLY AND SEVERALLY; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $650.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (255 of 993) ** NASD BrokerCheck October 12, 2005 Page 370 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 07/08/1992 Case Number: 92-01804 Allegations: MISREPRESENTATION; OMISSION OF FACTS; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE Type of Securities: MUNICIPAL BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $2,850,000.00; TREBLE DAMAGES, ASKED AMOUNT $8,550,000.00; INTEREST, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/14/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,660,781.10; TREBLE DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (256 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/29/1992 Case Number: 92-01795 Allegations: ACCOUNT RELATED-NEGLIGENCE; SUITABILITY; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: LIMITED PARTNERSHIPS; COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $43,053.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 07/16/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (257 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/22/1992 Case Number: 92-01738 Allegations: ACCOUNT RELATED-ERRORS-CHARGES Type of Securities: COMMON STOCK NASD BrokerCheck October 12, 2005 Page 371 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $2,875.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 11/19/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (258 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/22/1992 Case Number: 92-01715 Allegations: ACCOUNT RELATED - FAILURE TO SUPERVISE; BRCH OF FIDUCIARY DT; MISREPRESENTATION Type of Securities: CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $9,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 12/16/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (259 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/03/1992 Case Number: 92-01691 Allegations: BRCH OF FIDUCIARY DT; OMISSION OF FACTS; MISREPRESENTATION Type of Securities: MUNICIPAL BOND FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $57,649.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 06/17/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL NASD BrokerCheck October 12, 2005 Page 372 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (260 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/21/1992 Case Number: 92-01689 Allegations: SUITABILITY; MISREPRESENTATION; OTHER Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $67,990.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 07/27/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (261 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/19/1992 Case Number: 92-01656 Allegations: SUITABILITY; UNAUTHORIZED TRADING; MISREPRESENTATION; OMISSION OF FACTS Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $37,841.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/14/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $3,068.75 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (262 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/08/1992 Case Number: 92-01654 Allegations: MISREPRESENTATION; ACCOUNT RELATED-NEGLIGENCE; BRCH OF FIDUCIARY DT; SUITABILITY Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $8,220.00 Disposition: AWARD AGAINST PARTY Disposition Date: 07/19/1993 NASD BrokerCheck October 12, 2005 Page 373 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,443.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (263 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/20/1992 Case Number: 92-01611 Allegations: ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $26,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 01/20/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $16,000.00 ** BROKERAGE FIRM ARBITRATION (264 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/23/1992 Case Number: 92-01595 Allegations: UNAUTHORIZED TRADING; MISREPRESENTATION; ACCOUNT RELATED - FAILURE TO SUPERVISE; BRCH OF FIDUCIARY DT Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $60,746.00 JOINTLY AND SEVERALLY; RACKETEERING INTERSTATE CORRUPTION ORG, ASKED AMOUNT $182,238.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $25,361.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $30,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 08/16/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; RACKETEERING INTERSTATE CORRUPTION ORG, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (265 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/15/1992 Case Number: 92-01565 Allegations: MISREPRESENTATION; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE; CHURNING Type of Securities: MUTUAL FUNDS; MUNICIPAL BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00; NASD BrokerCheck October 12, 2005 Page 374 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/16/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $70,000.00; ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $30,130.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (266 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 05/05/1992 Case Number: 92-01543 Allegations: SUITABILITY; MISREPRESENTATION; OMISSION OF FACTS; BRCH OF FIDUCIARY DT Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $73,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/02/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $73,185.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (267 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/21/1992 Case Number: 92-01511 Allegations: UNAUTHORIZED TRADING; EXECUTIONS-FAILURE TO EXECUTE; MISREPRESENTATION Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $2,921.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 01/04/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (268 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/29/1992 NASD BrokerCheck October 12, 2005 Page 375 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Case Number: 92-01457 Allegations: MISREPRESENTATION; SUITABILITY; OMISSION OF FACTS; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: COMMON STOCK; GOVERNMENT SECURITIES; MUNICIPAL BOND FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $500,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 12/10/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (269 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/14/1992 Case Number: 92-01451 Allegations: OMISSION OF FACTS; MANIPULATION; ACCOUNT RELATED-NEGLIGENCE Type of Securities: CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $258,603.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 03/02/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $205,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $25,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (270 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/19/1992 Case Number: 92-01433 Allegations: SUITABILITY; MISREPRESENTATION; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $30,000.00; INTEREST, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 01/31/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $16,700.00 JOINTLY AND SEVERALLY; INTEREST, RELIEF HAS BEEN AWARDED (PARTIAL NASD BrokerCheck October 12, 2005 Page 376 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) OR FULL), AWARD AMOUNT $7,500.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (271 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/27/1992 Case Number: 92-01402 Allegations: UNAUTHORIZED TRADING; CHURNING; SUITABILITY; ACCOUNT RELATED-NEGLIGENCE Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $57,224.00 Disposition: AWARD AGAINST PARTY Disposition Date: 07/09/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $15,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (272 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/24/1992 Case Number: 92-01386 Allegations: SUITABILITY; OMISSION OF FACTS; MISREPRESENTATION; BRCH OF FIDUCIARY DT Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $8,715.28 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 10/13/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (273 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/04/1992 Case Number: 92-01383 Allegations: OMISSION OF FACTS; SUITABILITY; MISREPRESENTATION; ACCOUNT RELATED-NEGLIGENCE Type of Securities: MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $28,698.78 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, NASD BrokerCheck October 12, 2005 Page 377 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 08/10/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (274 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/13/1992 Case Number: 92-01379 Allegations: MISREPRESENTATION Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $20,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 04/29/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (275 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/09/1992 Case Number: 92-01289 Allegations: SUITABILITY; OMISSION OF FACTS; MISREPRESENTATION; OTHER Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $99,038.33 JOINTLY AND SEVERALLY; TREBLE DAMAGES, ASKED AMOUNT $198,076.66 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $100,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 02/08/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; TREBLE DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (276 of 993) ** Type of Event: ARBITRATION Update: NO NASD BrokerCheck October 12, 2005 Page 378 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Arbitration Forum: NASD Case Served Date: 06/04/1992 Case Number: 92-01233 Allegations: SUITABILITY Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $2,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 01/11/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,000.00 ** BROKERAGE FIRM ARBITRATION (277 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/23/1992 Case Number: 92-01186 Allegations: BRCH OF FIDUCIARY DT; ACCOUNT RELATED - FAILURE TO SUPERVISE; MANIPULATION; SUITABILITY Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $31,251.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $30,217.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: Not Provided Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (278 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/08/1992 Case Number: 92-01183 Allegations: MISREPRESENTATION; OMISSION OF FACTS; SUITABILITY; UNAUTHORIZED TRADING Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $68,190.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/24/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED NASD BrokerCheck October 12, 2005 Page 379 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) (PARTIAL OR FULL), AWARD AMOUNT $46,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (279 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/15/1992 Case Number: 92-01177 Allegations: MISREPRESENTATION; SUITABILITY; OMISSION OF FACTS; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: COMMON STOCK; WARRANTS/RIGHTS; OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $9,372.00; OTHER COSTS, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/24/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,900.00; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $150.00 ** BROKERAGE FIRM ARBITRATION (280 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/09/1992 Case Number: 92-01165 Allegations: UNAUTHORIZED TRADING; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-BREACH OF CONTRACT; MISREPRESENTATION Type of Securities: LIMITED PARTNERSHIPS; COMMON STOCK; OTHER TYPES OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $50,000.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $33,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $250,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/10/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (281 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/23/1992 Case Number: 92-01151 Allegations: MISREPRESENTATION Type of Securities: GOVERNMENT SECURITIES NASD BrokerCheck October 12, 2005 Page 380 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $64,609.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 07/07/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (282 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/21/1992 Case Number: 92-01138 Allegations: MISREPRESENTATION; SUITABILITY Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,000.00 Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 09/18/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (283 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/06/1992 Case Number: 92-01102 Allegations: SUITABILITY; OMISSION OF FACTS Type of Securities: MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $4,324.00 Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 10/06/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (284 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/26/1992 Case Number: 92-01059 Allegations: ACCOUNT RELATED-OTHER Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $3,027.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS NASD BrokerCheck October 12, 2005 Page 381 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Disposition Date: 08/24/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (285 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/09/1992 Case Number: 92-01044 Allegations: MISREPRESENTATION; OMISSION OF FACTS; ACCOUNT RELATED-NEGLIGENCE Type of Securities: CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $8,744.66; INTEREST, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 02/04/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (286 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 04/08/1992 Case Number: 92-01011 Allegations: BRCH OF FIDUCIARY DT; CHURNING; MISREPRESENTATION; ACCOUNT RELATED-NEGLIGENCE Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $107,919.00 Disposition: AWARD AGAINST PARTY Disposition Date: 07/06/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $25,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (287 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/14/1992 Case Number: 92-00977 Allegations: CHURNING Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $21,122.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $25,000.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $7,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $4,000.00 JOINTLY AND NASD BrokerCheck October 12, 2005 Page 382 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) SEVERALLY; OTHER COSTS, ASKED AMOUNT $500.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 04/26/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (288 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/15/1992 Case Number: 92-00948 Allegations: ACCOUNT RELATED-NEGLIGENCE Type of Securities: MUNICIPAL BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $5,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/28/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $5,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (289 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/04/1992 Case Number: 92-00873 Allegations: MISREPRESENTATION; EXECUTIONS-FAILURE TO EXECUTE Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $6,554.74 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 06/04/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (290 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/25/1992 Case Number: 92-00862 Allegations: SUITABILITY; MANIPULATION; OMISSION OF FACTS; ACCOUNT RELATED-BREACH OF CONTRACT NASD BrokerCheck October 12, 2005 Page 383 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $40,000.00; OTHER COSTS, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/08/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $24,324.00 JOINTLY AND SEVERALLY; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $520.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (291 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/06/1992 Case Number: 92-00848 Allegations: MISREPRESENTATION; SUITABILITY Type of Securities: LIMITED PARTNERSHIPS; GOVERNMENT SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $268,973.95 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 06/25/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (292 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/01/1992 Case Number: 92-00834 Allegations: MISREPRESENTATION; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE; EXECUTIONS-LIMIT V. MARKET ORDER Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $8,190.00 Disposition: AWARD AGAINST PARTY Disposition Date: 10/05/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $7,050.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (293 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD NASD BrokerCheck October 12, 2005 Page 384 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Case Served Date: 03/10/1992 Case Number: 92-00797 Allegations: ACCOUNT RELATED-EXCHANGES; ACCOUNT RELATED-OTHER Type of Securities: CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,862.50; OTHER MONETARY RELIEF, ASKED AMOUNT $4,400.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/10/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,571.75; OTHER MONETARY RELIEF, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $400.00 ** BROKERAGE FIRM ARBITRATION (294 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/30/1992 Case Number: 92-00793 Allegations: MANIPULATION; ACCOUNT RELATED-TRANSFER Type of Securities: COMMODITIES FUTURES; OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 12/02/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,073.00 ** BROKERAGE FIRM ARBITRATION (295 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 04/06/1992 Case Number: 92-00761 Allegations: SUITABILITY; CHURNING; UNAUTHORIZED TRADING; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: OPTIONS; COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 07/19/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $44,000.00 ** BROKERAGE FIRM ARBITRATION (296 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/03/1992 NASD BrokerCheck October 12, 2005 Page 385 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Case Number: 92-00737 Allegations: ACCOUNT RELATED - FAILURE TO SUPERVISE; SUITABILITY; MISREPRESENTATION; BRCH OF FIDUCIARY DT Type of Securities: MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $17,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 05/12/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (297 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/26/1992 Case Number: 92-00675 Allegations: ACCOUNT RELATED-NEGLIGENCE; UNAUTHORIZED TRADING; OMISSION OF FACTS Type of Securities: FANNY MAE Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $4,925.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $2,696.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 09/24/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (298 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 03/04/1992 Case Number: 92-00670 Allegations: SUITABILITY; UNAUTHORIZED TRADING; CHURNING; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: LIMITED PARTNERSHIPS; COMMON STOCK; WARRANTS/RIGHTS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $30,000.00; INTEREST, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 03/14/1995 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $90,000.00 JOINTLY AND SEVERALLY; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN NASD BrokerCheck October 12, 2005 Page 386 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) FULL (PARTIAL OR FULL); OTHER MONETARY RELIEF, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL); OTHER MONETARY RELIEF, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL); OTHER MONETARY RELIEF, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL); OTHER MONETARY RELIEF, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL); INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (299 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/25/1992 Case Number: 92-00607 Allegations: SUITABILITY; OMISSION OF FACTS; MISREPRESENTATION Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $75,000.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $25,000.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 12/08/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (300 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/26/1992 Case Number: 92-00577 Allegations: BRCH OF FIDUCIARY DT; SUITABILITY; ACCOUNT RELATED-BREACH OF CONTRACT; UNAUTHORIZED TRADING Type of Securities: COMMON STOCK; GINNIE MAES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $123,688.00 Disposition: AWARD AGAINST PARTY Disposition Date: 11/19/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $4,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (301 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/09/1992 Case Number: 92-00573 Allegations: MISREPRESENTATION; SUITABILITY Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $35,000.00 NASD BrokerCheck October 12, 2005 Page 387 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Disposition: AWARD AGAINST PARTY Disposition Date: 11/02/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $10,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (302 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/29/1992 Case Number: 92-00567 Allegations: UNAUTHORIZED TRADING; MISREPRESENTATION; MANIPULATION; BRCH OF FIDUCIARY DT Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $25,000.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 04/26/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (303 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 02/21/1992 Case Number: 92-00545 Allegations: OMISSION OF FACTS; MISREPRESENTATION; OTHER; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $80,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/02/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $25,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (304 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/18/1992 Case Number: 92-00544 Allegations: MISREPRESENTATION; OMISSION OF FACTS; SUITABILITY; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $75,000.00 Disposition: AWARD AGAINST PARTY NASD BrokerCheck October 12, 2005 Page 388 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Disposition Date: 12/22/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $20,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (305 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/21/1992 Case Number: 92-00517 Allegations: BRCH OF FIDUCIARY DT; OMISSION OF FACTS; MISREPRESENTATION; ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: COMMON STOCK; PREFERRED STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $195,887.00 Disposition: AWARD AGAINST PARTY Disposition Date: 07/14/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $224,680.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (306 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/03/1992 Case Number: 92-00492 Allegations: SUITABILITY; BRCH OF FIDUCIARY DT; ACCOUNT RELATED - FAILURE TO SUPERVISE; MISREPRESENTATION Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $125,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/11/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $3,400.00 ** BROKERAGE FIRM ARBITRATION (307 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/13/1992 Case Number: 92-00458 Allegations: CHURNING; SUITABILITY; BRCH OF FIDUCIARY DT; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: MUTUAL FUNDS; CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $122,331.00 Disposition: AWARD AGAINST PARTY NASD BrokerCheck October 12, 2005 Page 389 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Disposition Date: 11/23/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $40,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (308 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/07/1992 Case Number: 92-00431 Allegations: MISREPRESENTATION; BRCH OF FIDUCIARY DT; OMISSION OF FACTS Type of Securities: CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $21,000.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 09/30/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (309 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/14/1992 Case Number: 92-00427 Allegations: SUITABILITY; MISREPRESENTATION Type of Securities: CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $25,412.20 Disposition: AWARD AGAINST PARTY Disposition Date: 02/22/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $18,612.20 ** BROKERAGE FIRM ARBITRATION (310 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/06/1992 Case Number: 92-00390 Allegations: BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $4,500.00; OTHER COSTS, ASKED AMOUNT $150.00; INTEREST, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 09/10/1992 NASD BrokerCheck October 12, 2005 Page 390 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (311 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/04/1992 Case Number: 92-00377 Allegations: OTHER-OTHER Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $81,647.50; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; INTEREST, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 03/23/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (312 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/10/1992 Case Number: 92-00362 Allegations: CHURNING; SUITABILITY; UNAUTHORIZED TRADING Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $842,486.00; INTEREST, ASKED AMOUNT $358,056.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 08/11/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (313 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD NASD BrokerCheck October 12, 2005 Page 391 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Case Served Date: 02/13/1992 Case Number: 92-00336 Allegations: SUITABILITY; ACCOUNT RELATED-BREACH OF CONTRACT; BRCH OF FIDUCIARY DT Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $111,384.00 Disposition: AWARD AGAINST PARTY Disposition Date: 01/13/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $3,129.29 ** BROKERAGE FIRM ARBITRATION (314 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/03/1992 Case Number: 92-00282 Allegations: SUITABILITY; MISREPRESENTATION; UNAUTHORIZED TRADING; CHURNING Type of Securities: MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00; INTEREST, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 12/21/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $49,526.00; ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $45,000.00; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $4,299.00; INTEREST, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $20,312.00 ** BROKERAGE FIRM ARBITRATION (315 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/06/1992 Case Number: 92-00257 Allegations: SUITABILITY; ACCOUNT RELATED - FAILURE TO SUPERVISE; OMISSION OF FACTS Type of Securities: LIMITED PARTNERSHIPS; ANNUITIES; MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $250,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 04/30/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (316 of 993) ** NASD BrokerCheck October 12, 2005 Page 392 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/27/1992 Case Number: 92-00243 Allegations: EXECUTIONS-FAILURE TO EXECUTE; ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED-ERRORS-CHARGES Type of Securities: COMMON STOCK Relief Asked: OTHER COSTS, ASKED AMOUNT $125.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/04/1992 Relief Awarded: OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $125.00 ** BROKERAGE FIRM ARBITRATION (317 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/22/1992 Case Number: 92-00197 Allegations: MISREPRESENTATION; SUITABILITY; OMISSION OF FACTS Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $25,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/20/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $17,757.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (318 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/24/1992 Case Number: 92-00183 Allegations: MISREPRESENTATION; OMISSION OF FACTS Type of Securities: MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $8,047.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 08/11/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (319 of 993) ** Type of Event: ARBITRATION NASD BrokerCheck October 12, 2005 Page 393 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Update: NO Arbitration Forum: NASD Case Served Date: 01/20/1992 Case Number: 92-00181 Allegations: BRCH OF FIDUCIARY DT; OTHER; ACCOUNT RELATED-OTHER Type of Securities: WARRANTS/RIGHTS; COMMODITIES FUTURES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $5,410.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $2,563.00; INTEREST, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 07/22/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (320 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/24/1992 Case Number: 92-00168 Allegations: EXECUTIONS-FAILURE TO EXECUTE Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $30,875.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 12/08/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (321 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/14/1992 Case Number: 92-00166 Allegations: MISREPRESENTATION; SUITABILITY; ACCOUNT RELATED - FAILURE TO SUPERVISE; BRCH OF FIDUCIARY DT Type of Securities: LIMITED PARTNERSHIPS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $55,050.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $165,000.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 06/14/1993 NASD BrokerCheck October 12, 2005 Page 394 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (322 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/25/1992 Case Number: 92-00162 Allegations: ACCOUNT RELATED - FAILURE TO SUPERVISE; MISREPRESENTATION; OMISSION OF FACTS Type of Securities: COMMON STOCK; WARRANTS/RIGHTS; LIMITED PARTNERSHIPS; MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $100,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/29/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (323 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/17/1992 Case Number: 92-00147 Allegations: BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE; CHURNING; SUITABILITY Type of Securities: UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $375,802.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/31/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $112,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (324 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/15/1992 Case Number: 92-00131 NASD BrokerCheck October 12, 2005 Page 395 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Allegations: MISREPRESENTATION; SUITABILITY; OTHER Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $5,865.00; INTEREST, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 06/18/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (325 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/12/1992 Case Number: 92-00099 Allegations: SUITABILITY; ACCOUNT RELATED-NEGLIGENCE; BRCH OF FIDUCIARY DT Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $285,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/21/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (326 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/16/1992 Case Number: 92-00035 Allegations: BRCH OF FIDUCIARY DT; CHURNING; SUITABILITY; ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: COMMON STOCK; OPTIONS; MUTUAL FUNDS; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $402,000.00 JOINTLY AND SEVERALLY; TREBLE DAMAGES, ASKED AMOUNT $1,206,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 06/18/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN NASD BrokerCheck October 12, 2005 Page 396 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) DENIED IN FULL; TREBLE DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (327 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/13/1992 Case Number: 92-00029 Allegations: UNAUTHORIZED TRADING; SUITABILITY; CHURNING; BRCH OF FIDUCIARY DT Type of Securities: CORPORATE BONDS; OPTIONS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $300,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: Not Provided Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $25,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (328 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/14/1992 Case Number: 92-00025 Allegations: UNAUTHORIZED TRADING; CHURNING; SUITABILITY; TRADING DISPUTES-OTHER Type of Securities: COMMON STOCK; OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 07/14/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (329 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/31/1992 Case Number: 92-00020 Allegations: SUITABILITY; MISREPRESENTATION; ACCOUNT RELATED-BREACH OF CONTRACT; ACCOUNT RELATED - FAILURE TO SUPERVISE NASD BrokerCheck October 12, 2005 Page 397 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,100,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $10,000,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $840,000.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 06/15/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (330 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/29/1992 Case Number: 91-04104 Allegations: MISREPRESENTATION; SUITABILITY Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,969.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/24/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,926.75 ** BROKERAGE FIRM ARBITRATION (331 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/13/1992 Case Number: 91-04101 Allegations: BRCH OF FIDUCIARY DT; ACCOUNT RELATED - FAILURE TO SUPERVISE; ACCOUNT RELATED-NEGLIGENCE; SUITABILITY Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $100,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/12/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL NASD BrokerCheck October 12, 2005 Page 398 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (332 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/09/1992 Case Number: 91-04099 Allegations: SUITABILITY; CHURNING; MISREPRESENTATION; OMISSION OF FACTS Type of Securities: COMMON STOCK; PREFERRED STOCK; CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $286,051.00 Disposition: AWARD AGAINST PARTY Disposition Date: 12/07/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $456,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (333 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/24/1992 Case Number: 91-04084 Allegations: MISREPRESENTATION; UNKNOWN TYPE OF CONTROVERSY; UNKNOWN TYPE OF CONTROVERSY; UNKNOWN TYPE OF CONTROVERSY Type of Securities: GINNIE MAES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $7,344.11 Disposition: AWARD AGAINST PARTY Disposition Date: 10/29/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $7,344.11 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (334 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/27/1991 Case Number: 91-04080 Allegations: UNAUTHORIZED TRADING; SUITABILITY; ACCOUNT RELATED-NEGLIGENCE; BRCH OF FIDUCIARY DT Type of Securities: LIMITED PARTNERSHIPS; COMMON STOCK; GOVERNMENT SECURITIES; MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $100,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/21/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $27,000.00 NASD BrokerCheck October 12, 2005 Page 399 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (335 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/07/1992 Case Number: 91-04059 Allegations: UNAUTHORIZED TRADING; SUITABILITY; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE Type of Securities: COMMON STOCK; LIMITED PARTNERSHIPS; CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $223,851.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $86,326.00 Disposition: AWARD AGAINST PARTY Disposition Date: 01/19/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $33,000.00; ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $22,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (336 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/08/1992 Case Number: 91-04052 Allegations: UNAUTHORIZED TRADING; MISREPRESENTATION; OMISSION OF FACTS; SUITABILITY Type of Securities: GOVERNMENT SECURITIES; MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $56,086.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/18/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $45,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (337 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/14/1992 Case Number: 91-04043 Allegations: UNAUTHORIZED TRADING; SUITABILITY; BRCH OF FIDUCIARY DT; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: COMMON STOCK; OPTIONS; WARRANTS/RIGHTS; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $210,000.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY NASD BrokerCheck October 12, 2005 Page 400 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Disposition Date: 05/10/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $10,000.00; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (338 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/27/1992 Case Number: 91-04034 Allegations: SUITABILITY; UNAUTHORIZED TRADING; ACCOUNT RELATED-ERRORS-CHARGES Type of Securities: OTHER TYPES OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $19,519.00 Disposition: AWARD AGAINST PARTY Disposition Date: 10/20/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $19,519.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (339 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/22/1992 Case Number: 91-04007 Allegations: UNAUTHORIZED TRADING; ACCOUNT RELATED-NEGLIGENCE; BRCH OF FIDUCIARY DT Type of Securities: COMMON STOCK; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $6,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 02/10/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (340 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/24/1991 Case Number: 91-03998 Allegations: ACCOUNT RELATED-NEGLIGENCE NASD BrokerCheck October 12, 2005 Page 401 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $450,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 11/18/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (341 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/06/1992 Case Number: 91-03992 Allegations: MISREPRESENTATION; BRCH OF FIDUCIARY DT; SUITABILITY Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $60,000.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/05/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $72,381.00; ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $24,127.00 ** BROKERAGE FIRM ARBITRATION (342 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/27/1992 Case Number: 91-03925 Allegations: MISREPRESENTATION; SUITABILITY; ACCOUNT RELATED-NEGLIGENCE; BRCH OF FIDUCIARY DT Type of Securities: CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $75,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/30/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $37,700.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (343 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/24/1991 Case Number: 91-03904 Allegations: SUITABILITY; CHURNING; ACCOUNT RELATED - FAILURE TO SUPERVISE; UNAUTHORIZED TRADING NASD BrokerCheck October 12, 2005 Page 402 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Securities: COMMON STOCK; OPTIONS; LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $81,990.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 05/05/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (344 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 12/11/1991 Case Number: 91-03851 Allegations: SUITABILITY; CHURNING; MISREPRESENTATION; BRCH OF FIDUCIARY DT Type of Securities: LIMITED PARTNERSHIPS; OPTIONS; GINNIE MAES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $68,344.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/24/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $70,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (345 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/10/1991 Case Number: 91-03807 Allegations: SUITABILITY; CHURNING; OTHER Type of Securities: COMMON STOCK; OPTIONS; CORPORATE BONDS; LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $46,732.00 Disposition: AWARD AGAINST PARTY Disposition Date: 02/22/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $12,500.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (346 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD NASD BrokerCheck October 12, 2005 Page 403 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Case Served Date: 03/03/1992 Case Number: 91-03775 Allegations: MISREPRESENTATION; ACCOUNT RELATED - FAILURE TO SUPERVISE; UNKNOWN TYPE OF CONTROVERSY; UNKNOWN TYPE OF CONTROVERSY Type of Securities: COMMON STOCK; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $248,999.97; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00; INTEREST, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 12/28/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (347 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/16/1991 Case Number: 91-03758 Allegations: CHURNING; SUITABILITY; UNAUTHORIZED TRADING; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: MUTUAL FUNDS; OPTIONS; LIMITED PARTNERSHIPS Relief Asked: OTHER COSTS, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/26/1993 Relief Awarded: OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (348 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/20/1992 Case Number: 91-03712 Allegations: ACCOUNT RELATED-NEGLIGENCE Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $230,926.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/02/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL NASD BrokerCheck October 12, 2005 Page 404 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (349 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/22/1991 Case Number: 91-03677 Allegations: BRCH OF FIDUCIARY DT; CHURNING; SUITABILITY; MISREPRESENTATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $57,281.00 Disposition: AWARD AGAINST PARTY Disposition Date: 12/15/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $16,761.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (350 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/21/1992 Case Number: 91-03635 Allegations: ACCOUNT RELATED-BREACH OF CONTRACT; SUITABILITY; MISREPRESENTATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $2,097.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/23/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (351 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/22/1991 Case Number: 91-03627 Allegations: SUITABILITY; CHURNING; MISREPRESENTATION; BRCH OF FIDUCIARY DT Type of Securities: LIMITED PARTNERSHIPS; GOVERNMENT SECURITIES; COMMON STOCK; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $19,744.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,000.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $35,862.00; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/22/1992 NASD BrokerCheck October 12, 2005 Page 405 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (352 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/19/1991 Case Number: 91-03581 Allegations: ACCOUNT RELATED - FAILURE TO SUPERVISE; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-BREACH OF CONTRACT; SUITABILITY Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $199,993.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/09/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $84,166.50 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (353 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/14/1991 Case Number: 91-03566 Allegations: SUITABILITY; CHURNING; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: COMMON STOCK; OPTIONS; GOVERNMENT SECURITIES; MUNICIPAL BOND FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $150,000.00; INTEREST, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/20/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (354 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/21/1991 NASD BrokerCheck October 12, 2005 Page 406 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Case Number: 91-03553 Allegations: CHURNING; MISREPRESENTATION; SUITABILITY; OTHER Type of Securities: GOVERNMENT SECURITIES; LIMITED PARTNERSHIPS; MUTUAL FUNDS; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $160,000.00; OTHER COSTS, ASKED AMOUNT $0.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $1,500,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 03/09/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $149,200.00 JOINTLY AND SEVERALLY; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,250.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $150,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (355 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/12/1991 Case Number: 91-03523 Allegations: MISREPRESENTATION; UNAUTHORIZED TRADING Type of Securities: OPTIONS; COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $60,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/12/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $15,937.50 ** BROKERAGE FIRM ARBITRATION (356 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/11/1991 Case Number: 91-03411 Allegations: MISREPRESENTATION; OMISSION OF FACTS Type of Securities: UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $6,542.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $2,958.00 Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 07/13/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (357 of 993) ** Type of Event: ARBITRATION Update: NO NASD BrokerCheck October 12, 2005 Page 407 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Arbitration Forum: NASD Case Served Date: 12/03/1991 Case Number: 91-03398 Allegations: ACCOUNT RELATED - FAILURE TO SUPERVISE; OMISSION OF FACTS; ACCOUNT RELATED-NEGLIGENCE Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $22,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/30/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $5,500.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (358 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/10/1991 Case Number: 91-03360 Allegations: BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE; OTHER Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $88,252.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/05/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (359 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/20/1991 Case Number: 91-03320 Allegations: MISREPRESENTATION; OMISSION OF FACTS; BRCH OF FIDUCIARY DT; SUITABILITY Type of Securities: CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $300,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/25/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF NASD BrokerCheck October 12, 2005 Page 408 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (360 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/13/1991 Case Number: 91-03299 Allegations: SUITABILITY; MISREPRESENTATION; ACCOUNT RELATED - FAILURE TO SUPERVISE; BRCH OF FIDUCIARY DT Type of Securities: CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $30,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 01/19/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $7,500.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (361 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/25/1992 Case Number: 91-03296 Allegations: SUITABILITY; UNAUTHORIZED TRADING; CHURNING Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $9,500.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 09/24/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (362 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/31/1991 Case Number: 91-03276 Allegations: MISREPRESENTATION; SUITABILITY; BRCH OF FIDUCIARY DT Type of Securities: COMMON STOCK; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $8,513.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $1,487.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS NASD BrokerCheck October 12, 2005 Page 409 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Disposition Date: 04/23/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (363 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/08/1991 Case Number: 91-03273 Allegations: MISREPRESENTATION; SUITABILITY; ACCOUNT RELATED - FAILURE TO SUPERVISE; EXECUTIONS-FAILURE TO EXECUTE Type of Securities: MUTUAL FUNDS; GOVERNMENT SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $77,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/13/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $5,827.00 ** BROKERAGE FIRM ARBITRATION (364 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/07/1991 Case Number: 91-03265 Allegations: MISREPRESENTATION; ACCOUNT RELATED-NEGLIGENCE; OTHER Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $40,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 06/30/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (365 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/17/1991 Case Number: 91-03252 Allegations: BRCH OF FIDUCIARY DT; SUITABILITY; ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED - FAILURE TO SUPERVISE NASD BrokerCheck October 12, 2005 Page 410 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $600,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $1,800,000.00 JOINTLY AND SEVERALLY; TREBLE DAMAGES, ASKED AMOUNT $1,200,000.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $600,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 03/18/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; TREBLE DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (366 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/04/1991 Case Number: 91-03206 Allegations: SUITABILITY; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: MUNICIPAL BOND FUNDS; CORPORATE BONDS; LIMITED PARTNERSHIPS; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $48,794.00 Disposition: AWARD AGAINST PARTY Disposition Date: 11/12/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $14,124.00 ** BROKERAGE FIRM ARBITRATION (367 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/23/1991 Case Number: 91-03180 Allegations: SUITABILITY Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $6,760.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 06/24/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (368 of 993) ** NASD BrokerCheck October 12, 2005 Page 411 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/11/1991 Case Number: 91-03178 Allegations: SUITABILITY; MISREPRESENTATION; BRCH OF FIDUCIARY DT; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: MUTUAL FUNDS; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $20,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 09/11/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (369 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/14/1991 Case Number: 91-03158 Allegations: SUITABILITY; ACCOUNT RELATED - FAILURE TO SUPERVISE; BRCH OF FIDUCIARY DT; OTHER Type of Securities: COMMON STOCK; OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $65,895.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 06/10/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (370 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/14/1991 Case Number: 91-03151 Allegations: MISREPRESENTATION; OMISSION OF FACTS; BRCH OF FIDUCIARY DT; SUITABILITY NASD BrokerCheck October 12, 2005 Page 412 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Securities: GOVERNMENT SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $5,446.00 Disposition: AWARD AGAINST PARTY Disposition Date: 07/22/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,624.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (371 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/07/1991 Case Number: 91-03150 Allegations: SUITABILITY; ACCOUNT RELATED-NEGLIGENCE; BRCH OF FIDUCIARY DT; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: LIMITED PARTNERSHIPS; COMMON STOCK; MUNICIPAL BOND FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $42,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $24,000.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $10,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 03/03/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (372 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/23/1991 Case Number: 91-03141 Allegations: SUITABILITY; MISREPRESENTATION; BRCH OF FIDUCIARY DT Type of Securities: MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $100,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/29/1993 NASD BrokerCheck October 12, 2005 Page 413 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (373 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/25/1991 Case Number: 91-03106 Allegations: SUITABILITY; ACCOUNT RELATED-NEGLIGENCE; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-TRANSFER Type of Securities: COMMON STOCK; CORPORATE BONDS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $15,138.75 Disposition: AWARD AGAINST PARTY Disposition Date: 09/03/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $3,570.62 ** BROKERAGE FIRM ARBITRATION (374 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/01/1991 Case Number: 91-03073 Allegations: UNAUTHORIZED TRADING; SUITABILITY; MISREPRESENTATION; CHURNING Type of Securities: OPTIONS; COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $190,653.00 Disposition: AWARD AGAINST PARTY Disposition Date: 12/01/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,250.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (375 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/20/1991 Case Number: 91-03072 Allegations: CHURNING; UNAUTHORIZED TRADING; BRCH OF FIDUCIARY DT; SUITABILITY Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $25,162.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 NASD BrokerCheck October 12, 2005 Page 414 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/16/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (376 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/08/1991 Case Number: 91-03060 Allegations: CHURNING; SUITABILITY; ACCOUNT RELATED-NEGLIGENCE; OTHER Type of Securities: MUTUAL FUNDS; GINNIE MAES; OTHER TYPES OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $482,920.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/08/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $8,156.25 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (377 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/07/1991 Case Number: 91-03048 Allegations: MISREPRESENTATION; BRCH OF FIDUCIARY DT; OMISSION OF FACTS Type of Securities: PREFERRED STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $25,200.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/28/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $28,553.85 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (378 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/06/1991 Case Number: 91-03037 Allegations: SUITABILITY; MISREPRESENTATION Type of Securities: LIMITED PARTNERSHIPS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $3,264.00 Disposition: CASE IS CLOSED, BY PAPERS NASD BrokerCheck October 12, 2005 Page 415 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Disposition Date: 06/22/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (379 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/13/1992 Case Number: 91-03029 Allegations: MISREPRESENTATION; CHURNING; BRCH OF FIDUCIARY DT Type of Securities: COMMON STOCK; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $7,969.32 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/27/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (380 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/24/1992 Case Number: 91-03022 Allegations: SUITABILITY; MISREPRESENTATION; OMISSION OF FACTS; BRCH OF FIDUCIARY DT Type of Securities: MUTUAL FUNDS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $8,000.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 11/17/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $3,526.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,500.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (381 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/03/1991 Case Number: 91-03011 Allegations: MISREPRESENTATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $8,500.00 NASD BrokerCheck October 12, 2005 Page 416 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 05/12/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (382 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/10/1991 Case Number: 91-03006 Allegations: UNAUTHORIZED TRADING; SUITABILITY; OMISSION OF FACTS; SUITABILITY Type of Securities: CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $100,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/10/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $6,480.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (383 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/17/1991 Case Number: 91-02991 Allegations: BRCH OF FIDUCIARY DT; MISREPRESENTATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $49,582.00; INTEREST, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/14/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (384 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/11/1991 Case Number: 91-02987 Allegations: ACCOUNT RELATED-ERRORS-CHARGES; ACCOUNT RELATED-NEGLIGENCE; TRADING DISPUTES-OTHER Type of Securities: COMMON STOCK; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES NASD BrokerCheck October 12, 2005 Page 417 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $6,687.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 04/22/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (385 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/04/1991 Case Number: 91-02966 Allegations: BRCH OF FIDUCIARY DT; UNAUTHORIZED TRADING; CHURNING; ACCOUNT RELATED-NEGLIGENCE Type of Securities: COMMON STOCK; OPTIONS; LIMITED PARTNERSHIPS; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $58,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/27/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $10,389.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (386 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/09/1991 Case Number: 91-02947 Allegations: UNAUTHORIZED TRADING; OTHER Type of Securities: COMMON STOCK; CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $7,742.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/23/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $3,375.00 ** BROKERAGE FIRM ARBITRATION (387 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/24/1992 Case Number: 91-02938 Allegations: SUITABILITY; MISREPRESENTATION; UNAUTHORIZED TRADING; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: LIMITED PARTNERSHIPS; PREFERRED STOCK; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES NASD BrokerCheck October 12, 2005 Page 418 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $4,593.03; OTHER COSTS, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/24/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $3,037.00 JOINTLY AND SEVERALLY; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $50.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (388 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 09/26/1991 Case Number: 91-02920 Allegations: SUITABILITY; ACCOUNT RELATED - FAILURE TO SUPERVISE; ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $422,885.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 07/28/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (389 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/01/1991 Case Number: 91-02853 Allegations: SUITABILITY; MISREPRESENTATION; BRCH OF FIDUCIARY DT; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: COMMON STOCK; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $33,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 03/22/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL NASD BrokerCheck October 12, 2005 Page 419 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (390 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/15/1991 Case Number: 91-02834 Allegations: CHURNING; BRCH OF FIDUCIARY DT; MISREPRESENTATION Type of Securities: OPTIONS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $55,976.70 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $19,875.60 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 08/19/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (391 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 09/24/1991 Case Number: 91-02833 Allegations: ACCOUNT RELATED-ERRORS-CHARGES; ACCOUNT RELATED-NEGLIGENCE Type of Securities: WARRANTS/RIGHTS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $3,494.59 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $22.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 07/14/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (392 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/05/1991 Case Number: 91-02804 Allegations: SUITABILITY; MISREPRESENTATION Type of Securities: CORPORATE BONDS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $9,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/11/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED NASD BrokerCheck October 12, 2005 Page 420 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) (PARTIAL OR FULL), AWARD AMOUNT $4,460.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (394 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 09/12/1991 Case Number: 91-02782 Allegations: SUITABILITY; MISREPRESENTATION; UNAUTHORIZED TRADING Type of Securities: COMMON STOCK; OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $20,892.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 06/04/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (395 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/06/1991 Case Number: 91-02766 Allegations: UNAUTHORIZED TRADING; CHURNING; EXECUTIONS-FAILURE TO EXECUTE Type of Securities: COMMON STOCK; WARRANTS/RIGHTS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $9,888.00 Disposition: AWARD AGAINST PARTY Disposition Date: 11/24/1992 NASD BrokerCheck October 12, 2005 Page 421 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,881.00 ** BROKERAGE FIRM ARBITRATION (396 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/24/1992 Case Number: 91-02731 Allegations: SUITABILITY; MISREPRESENTATION; BRCH OF FIDUCIARY DT Type of Securities: LIMITED PARTNERSHIPS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $20,000.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 12/17/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (397 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 09/10/1991 Case Number: 91-02710 Allegations: SUITABILITY; MISREPRESENTATION Type of Securities: LIMITED PARTNERSHIPS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $124,971.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $20,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $100,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/01/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (398 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/08/1991 Case Number: 91-02674 Allegations: ACCOUNT RELATED-ERRORS-CHARGES; BRCH OF FIDUCIARY DT Type of Securities: WARRANTS/RIGHTS; UNKNOWN TYPE OF SECURITIES; UNKNOWN NASD BrokerCheck October 12, 2005 Page 422 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $26,100.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/31/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $26,100.00 ** BROKERAGE FIRM ARBITRATION (399 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 09/09/1991 Case Number: 91-02656 Allegations: ACCOUNT RELATED-ERRORS-CHARGES; UNAUTHORIZED TRADING Type of Securities: OPTIONS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/30/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,500.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (400 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 09/06/1991 Case Number: 91-02648 Allegations: SUITABILITY; MISREPRESENTATION; UNAUTHORIZED TRADING; BRCH OF FIDUCIARY DT Type of Securities: MUTUAL FUNDS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $300,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/30/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (401 of 993) ** Type of Event: ARBITRATION NASD BrokerCheck October 12, 2005 Page 423 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Update: NO Arbitration Forum: NASD Case Served Date: 10/08/1991 Case Number: 91-02639 Allegations: SUITABILITY; MISREPRESENTATION; UNAUTHORIZED TRADING Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $82,538.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 04/22/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (402 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 09/04/1991 Case Number: 91-02535 Allegations: MISREPRESENTATION; SUITABILITY Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $4,612.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/22/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,537.33 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (403 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/31/1991 Case Number: 91-02532 Allegations: ACCOUNT RELATED - FAILURE TO SUPERVISE; MISREPRESENTATION; SUITABILITY Type of Securities: LIMITED PARTNERSHIPS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $24,138.25 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $28,995.74 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $10,000.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/28/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER NASD BrokerCheck October 12, 2005 Page 424 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (404 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 09/27/1991 Case Number: 91-02476 Allegations: MISREPRESENTATION; ACCOUNT RELATED-BREACH OF CONTRACT; SUITABILITY; BRCH OF FIDUCIARY DT Type of Securities: COMMON STOCK; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $50,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 07/22/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (405 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 09/13/1991 Case Number: 91-02457 Allegations: MISREPRESENTATION; SUITABILITY; UNKNOWN TYPE OF CONTROVERSY; UNKNOWN TYPE OF CONTROVERSY Type of Securities: CORPORATE BONDS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $74,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 07/29/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (406 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 09/04/1991 Case Number: 91-02437 NASD BrokerCheck October 12, 2005 Page 425 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Allegations: SUITABILITY; MISREPRESENTATION; CHURNING; BRCH OF FIDUCIARY DT Type of Securities: LIMITED PARTNERSHIPS; CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $55,000.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/16/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $37,500.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $10,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (407 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/09/1991 Case Number: 91-02435 Allegations: MISREPRESENTATION; BRCH OF FIDUCIARY DT; SUITABILITY; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $40,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/12/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $19,388.71 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (408 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/30/1991 Case Number: 91-02392 Allegations: MISREPRESENTATION; EXECUTIONS-FAILURE TO EXECUTE; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: COMMON STOCK; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $44,250.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 07/27/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (409 of 993) ** Type of Event: ARBITRATION Update: NO NASD BrokerCheck October 12, 2005 Page 426 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Arbitration Forum: NASD Case Served Date: 09/10/1991 Case Number: 91-02389 Allegations: CHURNING; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-BREACH OF CONTRACT; ACCOUNT RELATED-NEGLIGENCE Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $210,000.00 JOINTLY AND SEVERALLY; TREBLE DAMAGES, ASKED AMOUNT $630,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 05/04/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; TREBLE DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (410 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/08/1991 Case Number: 91-02365 Allegations: OMISSION OF FACTS; BRCH OF FIDUCIARY DT; MISREPRESENTATION; SUITABILITY Type of Securities: COMMON STOCK; CORPORATE BONDS; LIMITED PARTNERSHIPS; MUNICIPAL BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $500,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 02/08/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (411 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/01/1991 Case Number: 91-02351 Allegations: ACCOUNT RELATED-ERRORS-CHARGES; UNAUTHORIZED TRADING; OTHER Type of Securities: Not Provided NASD BrokerCheck October 12, 2005 Page 427 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $15,000.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 07/02/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (412 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/02/1991 Case Number: 91-02343 Allegations: SUITABILITY; UNKNOWN TYPE OF CONTROVERSY; UNKNOWN TYPE OF CONTROVERSY; UNKNOWN TYPE OF CONTROVERSY Type of Securities: COMMON STOCK; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $24,892.55 Disposition: AWARD AGAINST PARTY Disposition Date: 08/03/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $331,364.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (413 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/02/1991 Case Number: 91-02322 Allegations: ACCOUNT RELATED - FAILURE TO SUPERVISE; SUITABILITY; MISREPRESENTATION; BRCH OF FIDUCIARY DT Type of Securities: CORPORATE BONDS; MUTUAL FUNDS; LIMITED PARTNERSHIPS; GINNIE MAES Relief Asked: ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/20/1992 Relief Awarded: ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $8,500.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (414 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/30/1991 Case Number: 91-02317 Allegations: SUITABILITY Type of Securities: LIMITED PARTNERSHIPS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES NASD BrokerCheck October 12, 2005 Page 428 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,000.00; INTEREST, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 07/09/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (415 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/12/1991 Case Number: 91-02314 Allegations: UNAUTHORIZED TRADING; SUITABILITY; CHURNING; MISREPRESENTATION Type of Securities: COMMON STOCK; OPTIONS; WARRANTS/RIGHTS; PREFERRED STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $288,288.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/19/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $28,875.05 ** BROKERAGE FIRM ARBITRATION (416 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/20/1991 Case Number: 91-02306 Allegations: SUITABILITY; MISREPRESENTATION; BRCH OF FIDUCIARY DT; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $250,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 03/25/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $28,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (417 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/12/1991 Case Number: 91-02212 Allegations: UNAUTHORIZED TRADING; MISREPRESENTATION; ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: OTHER TYPES OF SECURITIES NASD BrokerCheck October 12, 2005 Page 429 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $33,759.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 06/02/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (418 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/22/1991 Case Number: 91-02179 Allegations: BRCH OF FIDUCIARY DT; MANIPULATION; ACCOUNT RELATED-BREACH OF CONTRACT; UNAUTHORIZED TRADING Type of Securities: CORPORATE BONDS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $135,569.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $1,000,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 12/09/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (419 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 09/04/1991 Case Number: 91-02169 Allegations: ACCOUNT RELATED-NEGLIGENCE; BRCH OF FIDUCIARY DT; SUITABILITY; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: COMMON STOCK; OPTIONS; CORPORATE BONDS; MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $250,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $250,000.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/30/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL NASD BrokerCheck October 12, 2005 Page 430 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (420 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/30/1991 Case Number: 91-02141 Allegations: SUITABILITY; CHURNING; BRCH OF FIDUCIARY DT; MISREPRESENTATION Type of Securities: OPTIONS; GOVERNMENT SECURITIES; GINNIE MAES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $43,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $9,030.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $20,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 06/01/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (421 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/29/1991 Case Number: 91-02089 Allegations: SUITABILITY; MISREPRESENTATION Type of Securities: OPTIONS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 01/29/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (422 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/14/1991 Case Number: 91-02079 Allegations: OMISSION OF FACTS; SUITABILITY; CHURNING; MISREPRESENTATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $404,400.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT NASD BrokerCheck October 12, 2005 Page 431 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 07/02/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (423 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/22/1991 Case Number: 91-02043 Allegations: MISREPRESENTATION; ACCOUNT RELATED-NEGLIGENCE; SUITABILITY; BRCH OF FIDUCIARY DT Type of Securities: MUNICIPAL BOND FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $250,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 04/28/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (424 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/13/1991 Case Number: 91-02021 Allegations: SUITABILITY; MISREPRESENTATION; OMISSION OF FACTS Type of Securities: COMMON STOCK; OPTIONS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $594,984.18 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; RACKETEERING INTERSTATE CORRUPTION ORG, ASKED AMOUNT $1,189,968.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 03/10/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; RACKETEERING INTERSTATE CORRUPTION ORG, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (425 of 993) ** Type of Event: ARBITRATION NASD BrokerCheck October 12, 2005 Page 432 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Update: NO Arbitration Forum: NASD Case Served Date: 07/02/1991 Case Number: 91-02016 Allegations: ACCOUNT RELATED-ERRORS-CHARGES Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $249.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 12/09/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (426 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/02/1991 Case Number: 91-02009 Allegations: BRCH OF FIDUCIARY DT; SUITABILITY; ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $97,935.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $250,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/25/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $38,502.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $25,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (427 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/09/1991 Case Number: 91-02007 Allegations: BRCH OF FIDUCIARY DT; MISREPRESENTATION; SUITABILITY; UNKNOWN TYPE OF CONTROVERSY Type of Securities: UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $103,515.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/12/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $61,680.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (428 of 993) ** NASD BrokerCheck October 12, 2005 Page 433 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/02/1991 Case Number: 91-01991 Allegations: MISREPRESENTATION; SUITABILITY; UNKNOWN TYPE OF CONTROVERSY; UNKNOWN TYPE OF CONTROVERSY Type of Securities: COMMON STOCK; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $71,768.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 03/30/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (429 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/27/1991 Case Number: 91-01987 Allegations: MISREPRESENTATION; BRCH OF FIDUCIARY DT; SUITABILITY; OTHER Type of Securities: COMMON STOCK; WARRANTS/RIGHTS; LIMITED PARTNERSHIPS; CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $145,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $250,000.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 06/22/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (430 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/16/1991 Case Number: 91-01974 Allegations: MISREPRESENTATION; SUITABILITY; BRCH OF FIDUCIARY DT Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $100,000.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 NASD BrokerCheck October 12, 2005 Page 434 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Disposition: AWARD AGAINST PARTY Disposition Date: 05/26/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $225,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $75,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (431 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/31/1991 Case Number: 91-01949 Allegations: MISREPRESENTATION; OTHER; UNKNOWN TYPE OF CONTROVERSY; UNKNOWN TYPE OF CONTROVERSY Type of Securities: COMMON STOCK; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $650,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/09/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $116,659.08 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (432 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/28/1991 Case Number: 91-01916 Allegations: ACCOUNT RELATED-NEGLIGENCE; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-BREACH OF CONTRACT; MISREPRESENTATION Type of Securities: COMMON STOCK; OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $72,032.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; INTEREST, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 03/10/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $11,198.00; ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $3,000.00; INTEREST, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $3,144.00 ** BROKERAGE FIRM ARBITRATION (433 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/11/1991 Case Number: 91-01903 NASD BrokerCheck October 12, 2005 Page 435 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Allegations: SUITABILITY; BRCH OF FIDUCIARY DT; MISREPRESENTATION; ACCOUNT RELATED-OTHER Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $265,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 10/12/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $33,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (434 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 09/20/1991 Case Number: 91-01887 Allegations: ACCOUNT RELATED-ERRORS-CHARGES; ACCOUNT RELATED-BREACH OF CONTRACT; EXECUTIONS-OTHER; TRADING DISPUTES-SELL OUTS Type of Securities: COMMON STOCK; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $2,430.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/27/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,625.00 ** BROKERAGE FIRM ARBITRATION (435 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/28/1991 Case Number: 91-01868 Allegations: SUITABILITY Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $562.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/27/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $562.10 ** BROKERAGE FIRM ARBITRATION (436 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/20/1991 Case Number: 91-01859 Allegations: SUITABILITY; MISREPRESENTATION; BRCH OF FIDUCIARY DT; NASD BrokerCheck October 12, 2005 Page 436 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) OTHER Type of Securities: COMMODITIES FUTURES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $132,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 03/09/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (437 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/09/1991 Case Number: 91-01855 Allegations: SUITABILITY; MISREPRESENTATION; ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED-OTHER Type of Securities: COMMON STOCK; PREFERRED STOCK; OPTIONS; LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $379,718.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $759,426.00; TREBLE DAMAGES, ASKED AMOUNT $1,139,155.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/04/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL); PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; TREBLE DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL) ** BROKERAGE FIRM ARBITRATION (438 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/13/1991 Case Number: 91-01803 Allegations: MISREPRESENTATION; ACCOUNT RELATED-NEGLIGENCE; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-OTHER Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $95,696.00; INTEREST, ASKED AMOUNT $526.00; TREBLE DAMAGES, ASKED AMOUNT $288,665.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $100,856.00; INTEREST, ASKED AMOUNT $2,194.00; TREBLE DAMAGES, ASKED AMOUNT $309,151.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $70,789.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $550.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $3,675.00; TREBLE DAMAGES, ASKED AMOUNT $225,042.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/31/1994 NASD BrokerCheck October 12, 2005 Page 437 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; TREBLE DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; TREBLE DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; TREBLE DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (439 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 06/10/1991 Case Number: 91-01740 Allegations: ACCOUNT RELATED-ERRORS-CHARGES; ACCOUNT RELATED-COLLECTION Type of Securities: GOVERNMENT SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $25,443.00 Disposition: AWARD AGAINST PARTY Disposition Date: 11/25/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $7,500.00 ** BROKERAGE FIRM ARBITRATION (440 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/14/1991 Case Number: 91-01708 Allegations: SUITABILITY; BRCH OF FIDUCIARY DT; CHURNING; ACCOUNT RELATED-NEGLIGENCE Type of Securities: OTHER TYPES OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $75,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 02/26/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (441 of 993) ** Type of Event: ARBITRATION NASD BrokerCheck October 12, 2005 Page 438 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Update: NO Arbitration Forum: NASD Case Served Date: 06/06/1991 Case Number: 91-01706 Allegations: ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED-TRANSFER Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $4,556.00; SPECIFIC PERFORMANCE, ASKED AMOUNT Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 11/13/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; SPECIFIC PERFORMANCE, RELIEF REQUEST HAS BEEN DENIED IN FULL, AWARD AMOUNT ** BROKERAGE FIRM ARBITRATION (442 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/15/1991 Case Number: 91-01644 Allegations: SUITABILITY; MISREPRESENTATION; BRCH OF FIDUCIARY DT; OMISSION OF FACTS Type of Securities: COMMON STOCK; LIMITED PARTNERSHIPS; MUNICIPAL BONDS; MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $3,500,000.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $10,000,000.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $500,000.00; TREBLE DAMAGES, ASKED AMOUNT $10,500,000.00; OTHER COSTS, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/30/1996 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $556,500.00; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; TREBLE DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,800.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (443 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/07/1991 Case Number: 91-01624 Allegations: CHURNING; SUITABILITY; MISREPRESENTATION; BRCH OF FIDUCIARY DT Type of Securities: CORPORATE BONDS; MUTUAL FUNDS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $367,500.00 Disposition: AWARD AGAINST PARTY NASD BrokerCheck October 12, 2005 Page 439 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Disposition Date: 03/18/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $70,027.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (444 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/30/1991 Case Number: 91-01595 Allegations: SUITABILITY; ACCOUNT RELATED-BREACH OF CONTRACT; BRCH OF FIDUCIARY DT; OTHER Type of Securities: OPTIONS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $132,223.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/06/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $150,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $30,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (445 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/03/1991 Case Number: 91-01566 Allegations: MISREPRESENTATION; UNAUTHORIZED TRADING Type of Securities: COMMODITIES FUTURES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $4,180,171.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 09/01/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (446 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/06/1991 Case Number: 91-01552 Allegations: SUITABILITY; MISREPRESENTATION; BRCH OF FIDUCIARY DT Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $195,234.00 NASD BrokerCheck October 12, 2005 Page 440 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Disposition: AWARD AGAINST PARTY Disposition Date: 04/12/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $43,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (447 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/20/1991 Case Number: 91-01529 Allegations: SUITABILITY; MISREPRESENTATION; OMISSION OF FACTS; CHURNING Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $29,650.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 03/04/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (448 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 06/03/1991 Case Number: 91-01526 Allegations: UNAUTHORIZED TRADING; SUITABILITY; OTHER; ACCOUNT RELATED-MARGIN CALLS Type of Securities: COMMON STOCK; LIMITED PARTNERSHIPS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $40,909.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/23/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $20,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (449 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/28/1991 Case Number: 91-01521 Allegations: SUITABILITY; MISREPRESENTATION; BRCH OF FIDUCIARY DT; CHURNING NASD BrokerCheck October 12, 2005 Page 441 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Securities: LIMITED PARTNERSHIPS; COMMON STOCK; OTHER TYPES OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $70,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/20/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $6,770.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (450 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/29/1991 Case Number: 91-01505 Allegations: BRCH OF FIDUCIARY DT; MISREPRESENTATION; OTHER; ACCOUNT RELATED-OTHER Type of Securities: MUTUAL FUNDS; OTHER TYPES OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $100,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $10,000.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $200,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $15,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 07/28/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (451 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 09/27/1991 Case Number: 91-01484 Allegations: CHURNING; BRCH OF FIDUCIARY DT; SUITABILITY; MISREPRESENTATION Type of Securities: OPTIONS; COMMON STOCK; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,900,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 01/31/1994 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $236,159.00 ** BROKERAGE FIRM ARBITRATION (452 of 993) ** NASD BrokerCheck October 12, 2005 Page 442 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/30/1991 Case Number: 91-01478 Allegations: BRCH OF FIDUCIARY DT; CHURNING; MISREPRESENTATION; SUITABILITY Type of Securities: COMMON STOCK; OPTIONS; WARRANTS/RIGHTS; PREFERRED STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $396,500.00; TREBLE DAMAGES, ASKED AMOUNT $1,189,500.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $3,500,000.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 07/27/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; TREBLE DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (454 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/10/1991 Case Number: 91-01402 Allegations: SUITABILITY; CHURNING; ACCOUNT RELATED-NEGLIGENCE Type of Securities: COMMON STOCK; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $74,725.60 Disposition: AWARD AGAINST PARTY Disposition Date: Not Provided Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $52,050.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (455 of 993) ** NASD BrokerCheck October 12, 2005 Page 443 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/10/1991 Case Number: 91-01397 Allegations: SUITABILITY; MISREPRESENTATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $47,679.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/22/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $15,247.70 ** BROKERAGE FIRM ARBITRATION (456 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/03/1991 Case Number: 91-01387 Allegations: UNAUTHORIZED TRADING; BRCH OF FIDUCIARY DT; SUITABILITY; UNKNOWN TYPE OF CONTROVERSY Type of Securities: COMMODITIES FUTURES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,800,000.00; INTEREST, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 03/05/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $745,036.00; INTEREST, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $159,213.17 ** BROKERAGE FIRM ARBITRATION (457 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/14/1991 Case Number: 91-01386 Allegations: BRCH OF FIDUCIARY DT; MISREPRESENTATION; CHURNING; SUITABILITY Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $230,000.00; INTEREST, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $750,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/04/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $12,250.00 JOINTLY AND SEVERALLY; INTEREST, RELIEF HAS BEEN AWARDED (PARTIAL NASD BrokerCheck October 12, 2005 Page 444 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) OR FULL), AWARD AMOUNT $2,584.33 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $43,000.00 JOINTLY AND SEVERALLY; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $7,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $24,500.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (458 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/02/1991 Case Number: 91-01358 Allegations: SUITABILITY; MISREPRESENTATION; BRCH OF FIDUCIARY DT; UNKNOWN TYPE OF CONTROVERSY Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $222,309.87 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 04/15/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (459 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 05/08/1991 Case Number: 91-01342 Allegations: SUITABILITY; BRCH OF FIDUCIARY DT; OTHER Type of Securities: COMMON STOCK; COMMODITIES FUTURES; LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $32,425.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $200,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 01/16/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $21,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (460 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD NASD BrokerCheck October 12, 2005 Page 445 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Case Served Date: 05/01/1991 Case Number: 91-01340 Allegations: SUITABILITY; MISREPRESENTATION; OTHER Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $208,805.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $123,315.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 05/13/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (461 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/21/1991 Case Number: 91-01335 Allegations: SUITABILITY; BRCH OF FIDUCIARY DT; OTHER Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $20,431.00 Disposition: AWARD AGAINST PARTY Disposition Date: 03/12/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $21,995.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (462 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/10/1991 Case Number: 91-01314 Allegations: BRCH OF FIDUCIARY DT; SUITABILITY; OTHER Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $7,392.00 Disposition: AWARD AGAINST PARTY Disposition Date: 03/03/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,050.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (463 of 993) ** NASD BrokerCheck October 12, 2005 Page 446 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/03/1991 Case Number: 91-01304 Allegations: UNAUTHORIZED TRADING; ACCOUNT RELATED-NEGLIGENCE Type of Securities: UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $50,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/03/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $48,060.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (464 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/25/1991 Case Number: 91-01295 Allegations: MISREPRESENTATION Type of Securities: MUNICIPAL BOND FUNDS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $5,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 01/02/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (465 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/19/1991 Case Number: 91-01206 Allegations: MISREPRESENTATION; UNKNOWN TYPE OF CONTROVERSY; UNKNOWN TYPE OF CONTROVERSY; UNKNOWN TYPE OF CONTROVERSY Type of Securities: COMMON STOCK; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $17,600.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 07/20/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL NASD BrokerCheck October 12, 2005 Page 447 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (466 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/08/1991 Case Number: 91-01186 Allegations: ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED-OTHER; OTHER Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $55,260.85 Disposition: AWARD AGAINST PARTY Disposition Date: 03/31/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $32,422.71 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (467 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/18/1991 Case Number: 91-01165 Allegations: SUITABILITY; MISREPRESENTATION; BRCH OF FIDUCIARY DT; OMISSION OF FACTS Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $588,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 04/13/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (468 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/21/1991 Case Number: 91-01156 Allegations: BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED-BREACH OF CONTRACT; SUITABILITY Type of Securities: COMMON STOCK; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $29,800.17; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/29/1992 NASD BrokerCheck October 12, 2005 Page 448 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $15,218.00; ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $7,549.00 ** BROKERAGE FIRM ARBITRATION (469 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/03/1991 Case Number: 91-01099 Allegations: SUITABILITY; CHURNING; BRCH OF FIDUCIARY DT Type of Securities: OPTIONS; LIMITED PARTNERSHIPS; MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $178,755.00 Disposition: AWARD AGAINST PARTY Disposition Date: 03/26/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $12,600.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (470 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/22/1991 Case Number: 91-01098 Allegations: UNAUTHORIZED TRADING; OTHER Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $126,952.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/25/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $45,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (471 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/17/1991 Case Number: 91-01097 Allegations: ACCOUNT RELATED-ERRORS-CHARGES; ACCOUNT RELATED-OTHER; OTHER Type of Securities: MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $3,963.00 Disposition: AWARD AGAINST PARTY Disposition Date: 10/07/1991 NASD BrokerCheck October 12, 2005 Page 449 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $3,125.54 ** BROKERAGE FIRM ARBITRATION (472 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/01/1991 Case Number: 91-01057 Allegations: SUITABILITY; CHURNING Type of Securities: COMMON STOCK; OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $43,532.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 06/02/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (473 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/01/1991 Case Number: 91-01049 Allegations: SUITABILITY; UNAUTHORIZED TRADING; BRCH OF FIDUCIARY DT Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $20,206.00 Disposition: AWARD AGAINST PARTY Disposition Date: 10/15/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $8,135.00 ** BROKERAGE FIRM ARBITRATION (474 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/16/1991 Case Number: 91-01033 Allegations: MISREPRESENTATION Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $29,906.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 01/03/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $100.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,000.00 NASD BrokerCheck October 12, 2005 Page 450 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (475 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/22/1991 Case Number: 91-01007 Allegations: CHURNING; SUITABILITY; MISREPRESENTATION; BRCH OF FIDUCIARY DT Type of Securities: LIMITED PARTNERSHIPS; OPTIONS; REAL ESTATE INVESTMENT TRUST; CORPORATE BONDS Relief Asked: OTHER COSTS, ASKED AMOUNT $37,764.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 01/31/1992 Relief Awarded: OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $11,190.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (476 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/04/1991 Case Number: 91-00973 Allegations: BRCH OF FIDUCIARY DT; OTHER Type of Securities: WARRANTS/RIGHTS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $7,082.00 Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 10/09/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (477 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/25/1991 Case Number: 91-00937 Allegations: ACCOUNT RELATED-NEGLIGENCE; MISREPRESENTATION; SUITABILITY; UNKNOWN TYPE OF CONTROVERSY Type of Securities: CORPORATE BONDS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $305,000.00; INTEREST, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING NASD BrokerCheck October 12, 2005 Page 451 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Disposition Date: 03/26/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (478 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/18/1991 Case Number: 91-00927 Allegations: SUITABILITY; BRCH OF FIDUCIARY DT; UNAUTHORIZED TRADING Type of Securities: LIMITED PARTNERSHIPS; COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $170,000.00 JOINTLY AND SEVERALLY; SPECIFIC PERFORMANCE, ASKED AMOUNT JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 02/12/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; SPECIFIC PERFORMANCE, RELIEF REQUEST HAS BEEN DENIED IN FULL, AWARD AMOUNT JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (479 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/18/1991 Case Number: 91-00913 Allegations: SUITABILITY; UNAUTHORIZED TRADING Type of Securities: COMMON STOCK; CORPORATE BONDS; LIMITED PARTNERSHIPS; MUNICIPAL BOND FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $650,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/29/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $52,500.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (480 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD NASD BrokerCheck October 12, 2005 Page 452 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Case Served Date: 03/20/1991 Case Number: 91-00858 Allegations: SUITABILITY; BRCH OF FIDUCIARY DT; MISREPRESENTATION Type of Securities: CORPORATE BONDS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $81,413.63 Disposition: AWARD AGAINST PARTY Disposition Date: 10/04/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $75,404.37 ** BROKERAGE FIRM ARBITRATION (481 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/20/1991 Case Number: 91-00844 Allegations: UNAUTHORIZED TRADING; MISREPRESENTATION; SUITABILITY Type of Securities: COMMON STOCK; MUNICIPAL BOND FUNDS; LIMITED PARTNERSHIPS; GOVERNMENT SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,000.00; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 09/30/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (482 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/01/1991 Case Number: 91-00824 Allegations: ACCOUNT RELATED-NEGLIGENCE; BRCH OF FIDUCIARY DT; MISREPRESENTATION; OTHER Type of Securities: LIMITED PARTNERSHIPS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $72,534.00; INTEREST, ASKED AMOUNT $10,102.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/14/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $72,534.00; INTEREST, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $16,302.98 ** BROKERAGE FIRM ARBITRATION (483 of 993) ** Type of Event: ARBITRATION Update: NO NASD BrokerCheck October 12, 2005 Page 453 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Arbitration Forum: NASD Case Served Date: 05/15/1991 Case Number: 91-00818 Allegations: ACCOUNT RELATED-MARGIN CALLS; UNKNOWN TYPE OF CONTROVERSY; UNKNOWN TYPE OF CONTROVERSY; UNKNOWN TYPE OF CONTROVERSY Type of Securities: UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $150,000.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/20/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $17,260.96 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $17,260.96 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (484 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/15/1991 Case Number: 91-00769 Allegations: ACCOUNT RELATED-NEGLIGENCE; BRCH OF FIDUCIARY DT; MISREPRESENTATION; UNKNOWN TYPE OF CONTROVERSY Type of Securities: COMMON STOCK; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $100,000.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/13/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $61,763.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $12,500.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (485 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/17/1991 Case Number: 91-00745 Allegations: SUITABILITY; CHURNING; BRCH OF FIDUCIARY DT; MANIPULATION Type of Securities: COMMON STOCK; OPTIONS; LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $260,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 07/13/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $9,800.00 JOINTLY AND SEVERALLY NASD BrokerCheck October 12, 2005 Page 454 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (486 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/19/1991 Case Number: 91-00737 Allegations: SUITABILITY; MISREPRESENTATION; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; TREBLE DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 06/30/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; TREBLE DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (487 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/13/1991 Case Number: 91-00732 Allegations: UNAUTHORIZED TRADING; OTHER; UNKNOWN TYPE OF CONTROVERSY; UNKNOWN TYPE OF CONTROVERSY Type of Securities: COMMON STOCK; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $7,933.15 Disposition: AWARD AGAINST PARTY Disposition Date: 02/05/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $7,933.15 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (488 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/16/1991 Case Number: 91-00725 Allegations: CHURNING; SUITABILITY; MISREPRESENTATION; UNAUTHORIZED TRADING Type of Securities: OPTIONS; COMMON STOCK; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES NASD BrokerCheck October 12, 2005 Page 455 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $25,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/26/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $12,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (489 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/17/1991 Case Number: 91-00706 Allegations: SUITABILITY; BRCH OF FIDUCIARY DT Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,000,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/25/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $335,360.00 ** BROKERAGE FIRM ARBITRATION (490 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/14/1991 Case Number: 91-00705 Allegations: BRCH OF FIDUCIARY DT; SUITABILITY; UNAUTHORIZED TRADING; CHURNING Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $480,248.00 Disposition: AWARD AGAINST PARTY Disposition Date: 12/30/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $150,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (491 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/01/1991 Case Number: 91-00668 Allegations: SUITABILITY; CHURNING; OTHER; UNAUTHORIZED TRADING Type of Securities: LIMITED PARTNERSHIPS; CORPORATE BONDS; MUNICIPAL BOND FUNDS; OTHER TYPES OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $66,789.00 NASD BrokerCheck October 12, 2005 Page 456 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/13/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (492 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/28/1991 Case Number: 91-00665 Allegations: EXECUTIONS-FAILURE TO EXECUTE; UNKNOWN TYPE OF CONTROVERSY; UNKNOWN TYPE OF CONTROVERSY; UNKNOWN TYPE OF CONTROVERSY Type of Securities: COMMON STOCK; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $15,075.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/24/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $5,400.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (493 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/08/1991 Case Number: 91-00632 Allegations: BRCH OF FIDUCIARY DT; MISREPRESENTATION; ACCOUNT RELATED-TRANSFER; UNKNOWN TYPE OF CONTROVERSY Type of Securities: COMMON STOCK; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $220,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 01/28/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL NASD BrokerCheck October 12, 2005 Page 457 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (494 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/17/1991 Case Number: 91-00593 Allegations: SUITABILITY; MISREPRESENTATION; CHURNING; UNAUTHORIZED TRADING Type of Securities: COMMON STOCK; OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $99,900.00 Disposition: AWARD AGAINST PARTY Disposition Date: 02/08/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $96,036.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (495 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/13/1991 Case Number: 91-00588 Allegations: BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE; UNAUTHORIZED TRADING; CHURNING Type of Securities: COMMON STOCK; OPTIONS; GINNIE MAES; WARRANTS/RIGHTS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $187,848.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/09/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $47,738.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (496 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/29/1991 Case Number: 91-00560 Allegations: ACCOUNT RELATED-NEGLIGENCE Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $2,753.97; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00; INTEREST, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 12/02/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF NASD BrokerCheck October 12, 2005 Page 458 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (497 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 03/04/1991 Case Number: 91-00508 Allegations: BRCH OF FIDUCIARY DT; MISREPRESENTATION; ACCOUNT RELATED-NEGLIGENCE; SUITABILITY Type of Securities: OPTIONS; LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $142,780.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $2,000,000.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 03/26/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $10,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $15,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $58,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (498 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/25/1991 Case Number: 91-00481 Allegations: BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED-BREACH OF CONTRACT; MISREPRESENTATION Type of Securities: COMMON STOCK; MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $28,000.00; INTEREST, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 11/18/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,652.48 JOINTLY AND SEVERALLY; INTEREST, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,024.54 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (499 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/12/1991 Case Number: 91-00438 Allegations: SUITABILITY; UNAUTHORIZED TRADING; CHURNING Type of Securities: CORPORATE BONDS NASD BrokerCheck October 12, 2005 Page 459 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $42,238.00 Disposition: AWARD AGAINST PARTY Disposition Date: 10/23/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $21,000.00 ** BROKERAGE FIRM ARBITRATION (500 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/23/1991 Case Number: 91-00432 Allegations: EXECUTIONS-FAILURE TO EXECUTE; SUITABILITY; UNAUTHORIZED TRADING; BRCH OF FIDUCIARY DT Type of Securities: COMMON STOCK; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $154,998.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 03/27/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (501 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/13/1991 Case Number: 91-00375 Allegations: ACCOUNT RELATED-ERRORS-CHARGES Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $9,990.00 JOINTLY AND SEVERALLY; SPECIFIC PERFORMANCE, ASKED AMOUNT JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 08/30/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; SPECIFIC PERFORMANCE, RELIEF REQUEST HAS BEEN DENIED IN FULL, AWARD AMOUNT JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (502 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD NASD BrokerCheck October 12, 2005 Page 460 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Case Served Date: 03/27/1991 Case Number: 91-00317 Allegations: SUITABILITY; UNKNOWN TYPE OF CONTROVERSY; UNKNOWN TYPE OF CONTROVERSY; UNKNOWN TYPE OF CONTROVERSY Type of Securities: LIMITED PARTNERSHIPS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $33,250.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $6,919.00 Disposition: AWARD AGAINST PARTY Disposition Date: 11/26/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $13,836.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $6,919.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (503 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/31/1991 Case Number: 91-00301 Allegations: SUITABILITY; MISREPRESENTATION; ACCOUNT RELATED-NEGLIGENCE; TRADING DISPUTES-OTHER Type of Securities: COMMON STOCK; MUNICIPAL BOND FUNDS; CORPORATE BONDS; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $87,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 12/13/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $24,156.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (504 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/06/1991 Case Number: 91-00277 Allegations: BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE; OTHER Type of Securities: COMMON STOCK; OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $96,000.00; INTEREST, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 03/26/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $54,000.00 JOINTLY AND SEVERALLY; INTEREST, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $17,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (505 of 993) ** NASD BrokerCheck October 12, 2005 Page 461 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/18/1991 Case Number: 91-00274 Allegations: MISREPRESENTATION; BRCH OF FIDUCIARY DT; SUITABILITY Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $150,000.00; INTEREST, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 03/13/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (506 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 05/23/1991 Case Number: 91-00273 Allegations: SUITABILITY; ACCOUNT RELATED-NEGLIGENCE Type of Securities: OPTIONS; LIMITED PARTNERSHIPS; COMMODITIES FUTURES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $50,669.09 Disposition: AWARD AGAINST PARTY Disposition Date: 09/10/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $34,500.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (507 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/06/1991 Case Number: 91-00268 Allegations: SUITABILITY; UNAUTHORIZED TRADING; UNKNOWN TYPE OF CONTROVERSY; UNKNOWN TYPE OF CONTROVERSY Type of Securities: COMMON STOCK; PREFERRED STOCK; OPTIONS; COMMODITIES FUTURES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $81,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 01/31/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $81,253.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (508 of 993) ** NASD BrokerCheck October 12, 2005 Page 462 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 05/17/1991 Case Number: 91-00267 Allegations: MISREPRESENTATION; ACCOUNT RELATED-NEGLIGENCE; CHURNING; SUITABILITY Type of Securities: COMMON STOCK; MUNICIPAL BONDS; MUTUAL FUNDS; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $166,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 02/13/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $30,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (509 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/21/1991 Case Number: 91-00238 Allegations: MISREPRESENTATION; SUITABILITY; BRCH OF FIDUCIARY DT Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $33,000.00; OTHER COSTS, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 07/19/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL); OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (510 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/25/1991 Case Number: 91-00231 Allegations: MISREPRESENTATION; ACCOUNT RELATED-NEGLIGENCE; BRCH OF FIDUCIARY DT; OTHER Type of Securities: MUTUAL FUNDS Relief Asked: OTHER MONETARY RELIEF, ASKED AMOUNT $150,000.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 12/09/1991 Relief Awarded: OTHER MONETARY RELIEF, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $157,000.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $33,000.00 JOINTLY AND SEVERALLY NASD BrokerCheck October 12, 2005 Page 463 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (511 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/01/1991 Case Number: 91-00202 Allegations: MISREPRESENTATION; SUITABILITY; UNAUTHORIZED TRADING; CHURNING Type of Securities: COMMON STOCK; OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $63,159.00; OTHER COSTS, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 02/21/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $27,131.00 JOINTLY AND SEVERALLY; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $100.00 ** BROKERAGE FIRM ARBITRATION (512 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 05/17/1991 Case Number: 91-00199 Allegations: SUITABILITY; MISREPRESENTATION; ACCOUNT RELATED-OTHER Type of Securities: LIMITED PARTNERSHIPS; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $12,398.00 Disposition: AWARD AGAINST PARTY Disposition Date: 03/16/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $3,600.00 ** BROKERAGE FIRM ARBITRATION (513 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/14/1991 Case Number: 91-00157 Allegations: SUITABILITY; CHURNING; ACCOUNT RELATED-OTHER; UNAUTHORIZED TRADING Type of Securities: COMMON STOCK; GOVERNMENT SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $50,000.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 06/10/1992 NASD BrokerCheck October 12, 2005 Page 464 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (514 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/23/1991 Case Number: 91-00152 Allegations: MISREPRESENTATION; SUITABILITY; BRCH OF FIDUCIARY DT Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $4,999.00; OTHER COSTS, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/20/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,250.00 JOINTLY AND SEVERALLY; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $125.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (515 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/17/1991 Case Number: 91-00135 Allegations: SUITABILITY; MISREPRESENTATION; UNAUTHORIZED TRADING; OTHER Type of Securities: COMMON STOCK; PREFERRED STOCK; OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $77,042.01; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 11/25/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $85,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $50,000.00 JOINTLY AND SEVERALLY; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $4,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $15,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (516 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/17/1991 Case Number: 91-00120 NASD BrokerCheck October 12, 2005 Page 465 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Allegations: UNAUTHORIZED TRADING; CHURNING; MISREPRESENTATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $36,487.00; INTEREST, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 11/22/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $16,343.00 JOINTLY AND SEVERALLY; INTEREST, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,634.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (517 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/25/1991 Case Number: 91-00114 Allegations: SUITABILITY; MISREPRESENTATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $7,835.00 Disposition: AWARD AGAINST PARTY Disposition Date: 07/30/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $500.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (518 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/18/1991 Case Number: 91-00101 Allegations: SUITABILITY; MISREPRESENTATION; BRCH OF FIDUCIARY DT; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: MUTUAL FUNDS; OTHER TYPES OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $20,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 04/06/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (519 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/08/1991 Case Number: 91-00084 NASD BrokerCheck October 12, 2005 Page 466 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Allegations: UNAUTHORIZED TRADING; CHURNING Type of Securities: MUTUAL FUNDS; CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $46,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 02/06/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL) ** BROKERAGE FIRM ARBITRATION (520 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/11/1991 Case Number: 91-00068 Allegations: ACCOUNT RELATED-ERRORS-CHARGES; ACCOUNT RELATED-OTHER; EXECUTIONS-EXECUTION PRICE; EXECUTIONS-OTHER Type of Securities: COMMODITIES FUTURES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $3,124.00 Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 07/28/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (521 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 02/22/1991 Case Number: 91-00049 Allegations: SUITABILITY; MISREPRESENTATION Type of Securities: CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $8,559.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/30/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (522 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/25/1991 Case Number: 91-00030 Allegations: EXECUTIONS-FAILURE TO EXECUTE NASD BrokerCheck October 12, 2005 Page 467 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $60,470.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 03/06/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (523 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/24/1991 Case Number: 91-00003 Allegations: CHURNING; SUITABILITY; BRCH OF FIDUCIARY DT Type of Securities: COMMON STOCK; PREFERRED STOCK; OPTIONS; LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $200,000.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 11/18/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $345,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $25,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (524 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/14/1991 Case Number: 90-03667 Allegations: SUITABILITY; CHURNING; MISREPRESENTATION; ACCOUNT RELATED-NEGLIGENCE Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $60,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 10/31/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $45,613.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (525 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD NASD BrokerCheck October 12, 2005 Page 468 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Case Served Date: 12/31/1990 Case Number: 90-03594 Allegations: SUITABILITY; MISREPRESENTATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $16,946.00 Disposition: AWARD AGAINST PARTY Disposition Date: 10/01/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $13,442.72 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (526 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/18/1991 Case Number: 90-03590 Allegations: ACCOUNT RELATED-NEGLIGENCE; BRCH OF FIDUCIARY DT; OTHER Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $24,050.00 Disposition: AWARD AGAINST PARTY Disposition Date: 12/24/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $12,125.00 ** BROKERAGE FIRM ARBITRATION (527 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/24/1991 Case Number: 90-03553 Allegations: EXECUTIONS-FAILURE TO EXECUTE; ACCOUNT RELATED-NEGLIGENCE; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-OTHER Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $91,652.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $6,923.78 Disposition: AWARD AGAINST PARTY Disposition Date: 06/11/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $48,125.00; ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $6,923.78 ** BROKERAGE FIRM ARBITRATION (528 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD NASD BrokerCheck October 12, 2005 Page 469 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Case Served Date: 02/12/1991 Case Number: 90-03549 Allegations: CHURNING; UNAUTHORIZED TRADING Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $200,000.00 JOINTLY AND SEVERALLY; SPECIFIC PERFORMANCE, ASKED AMOUNT Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 09/17/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; SPECIFIC PERFORMANCE, RELIEF REQUEST HAS BEEN DENIED IN FULL, AWARD AMOUNT ** BROKERAGE FIRM ARBITRATION (529 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/14/1991 Case Number: 90-03490 Allegations: MISREPRESENTATION; CHURNING; MANIPULATION; SUITABILITY Type of Securities: COMMON STOCK; PREFERRED STOCK; GOVERNMENT SECURITIES; LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $276,900.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 03/16/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (530 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/07/1991 Case Number: 90-03484 Allegations: SUITABILITY; MISREPRESENTATION Type of Securities: LIMITED PARTNERSHIPS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $18,500.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 12/11/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL NASD BrokerCheck October 12, 2005 Page 470 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (531 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/14/1991 Case Number: 90-03473 Allegations: SUITABILITY; MISREPRESENTATION; BRCH OF FIDUCIARY DT Type of Securities: LIMITED PARTNERSHIPS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,000.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 02/11/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (532 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/12/1991 Case Number: 90-03441 Allegations: UNAUTHORIZED TRADING; MISREPRESENTATION; SUITABILITY Type of Securities: LIMITED PARTNERSHIPS; COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $83,000.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $249,000.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $50,000.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $50,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/16/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $115,218.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $50,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $67,873.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $50,000.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $50,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (533 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 12/07/1990 Case Number: 90-03426 Allegations: UNAUTHORIZED TRADING Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,462.80 Disposition: AWARD AGAINST PARTY NASD BrokerCheck October 12, 2005 Page 471 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Disposition Date: 05/06/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,462.80 ** BROKERAGE FIRM ARBITRATION (534 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 12/14/1990 Case Number: 90-03375 Allegations: ACCOUNT RELATED-COLLECTION Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $375,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 11/01/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $238,500.00 ** BROKERAGE FIRM ARBITRATION (535 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/12/1991 Case Number: 90-03368 Allegations: CHURNING; SUITABILITY; UNAUTHORIZED TRADING; OTHER Type of Securities: MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $7,719.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 09/18/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (536 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/27/1990 Case Number: 90-03317 Allegations: SUITABILITY; CHURNING; UNAUTHORIZED TRADING; MISREPRESENTATION Type of Securities: COMMON STOCK; OTHER TYPES OF SECURITIES NASD BrokerCheck October 12, 2005 Page 472 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $176,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $69,000.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $64,000.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $8,000.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $30,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $1,000,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 08/19/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (537 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 12/03/1990 Case Number: 90-03310 Allegations: MISREPRESENTATION Type of Securities: OTHER TYPES OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/23/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $10,000.00 ** BROKERAGE FIRM ARBITRATION (538 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 11/27/1990 Case Number: 90-03305 Allegations: CHURNING; SUITABILITY; UNAUTHORIZED TRADING Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $7,820.00; INTEREST, ASKED AMOUNT $774.00 Disposition: AWARD AGAINST PARTY Disposition Date: 07/22/1991 NASD BrokerCheck October 12, 2005 Page 473 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $4,900.00 JOINTLY AND SEVERALLY; INTEREST, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $150.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (539 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 03/25/1991 Case Number: 90-03303 Allegations: SUITABILITY; BRCH OF FIDUCIARY DT; MISREPRESENTATION; ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: PREFERRED STOCK; COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $24,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 01/10/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $13,350.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (540 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/22/1991 Case Number: 90-03285 Allegations: SUITABILITY; MISREPRESENTATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $50,582.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $100,000.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/11/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (541 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/19/1990 Case Number: 90-03265 Allegations: SUITABILITY; MISREPRESENTATION; CHURNING Type of Securities: COMMON STOCK NASD BrokerCheck October 12, 2005 Page 474 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $250,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $250,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $36,700.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 07/28/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (542 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/07/1991 Case Number: 90-03245 Allegations: MISREPRESENTATION; ACCOUNT RELATED-NEGLIGENCE; OTHER; BRCH OF FIDUCIARY DT Type of Securities: COMMON STOCK; OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $43,804.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $131,412.00; INTEREST, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/06/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $43,804.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $15,000.00 JOINTLY AND SEVERALLY; INTEREST, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $12,265.12 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (543 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/19/1990 Case Number: 90-03220 Allegations: ACCOUNT RELATED-NEGLIGENCE; CHURNING; MISREPRESENTATION; BRCH OF FIDUCIARY DT Type of Securities: MUNICIPAL BONDS; OPTIONS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,301,547.00 Disposition: AWARD AGAINST PARTY Disposition Date: 01/14/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $328,900.00 JOINTLY AND NASD BrokerCheck October 12, 2005 Page 475 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) SEVERALLY ** BROKERAGE FIRM ARBITRATION (544 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/02/1991 Case Number: 90-03151 Allegations: UNAUTHORIZED TRADING; MISREPRESENTATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $18,967.00 Disposition: AWARD AGAINST PARTY Disposition Date: 10/09/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $15,550.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (545 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/26/1990 Case Number: 90-03107 Allegations: BRCH OF FIDUCIARY DT Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $655,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/11/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $20,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (546 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 04/30/1991 Case Number: 90-03103 Allegations: ACCOUNT RELATED-OTHER; CHURNING; SUITABILITY; OTHER Type of Securities: COMMON STOCK; MUNICIPAL BOND FUNDS; MUTUAL FUNDS; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $100,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/12/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $20,000.00 JOINTLY AND SEVERALLY NASD BrokerCheck October 12, 2005 Page 476 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (547 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/08/1991 Case Number: 90-03091 Allegations: EXECUTIONS-FAILURE TO EXECUTE; EXECUTIONS-OTHER; ACCOUNT RELATED-OTHER Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $250,200.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/15/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $38,720.00 ** BROKERAGE FIRM ARBITRATION (548 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/06/1990 Case Number: 90-03064 Allegations: ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED-OTHER; OTHER; SUITABILITY Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $118,912.00 Disposition: AWARD AGAINST PARTY Disposition Date: 12/11/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $24,104.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (549 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/18/1991 Case Number: 90-03052 Allegations: ACCOUNT RELATED-NEGLIGENCE; MISREPRESENTATION; OTHER Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/17/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $10,000.00 JOINTLY AND SEVERALLY NASD BrokerCheck October 12, 2005 Page 477 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (550 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/12/1990 Case Number: 90-02974 Allegations: BRCH OF FIDUCIARY DT; SUITABILITY; MISREPRESENTATION; UNKNOWN TYPE OF CONTROVERSY Type of Securities: COMMON STOCK; OPTIONS; COMMODITIES FUTURES; MUNICIPAL BOND FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $250,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $250,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/18/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (551 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/26/1990 Case Number: 90-02966 Allegations: SUITABILITY; ACCOUNT RELATED-NEGLIGENCE; MISREPRESENTATION; OTHER Type of Securities: OPTIONS; UNKNOWN TYPE OF SECURITIES; CORPORATE BONDS; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $371,477.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 01/17/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (552 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 12/05/1990 NASD BrokerCheck October 12, 2005 Page 478 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Case Number: 90-02937 Allegations: BRCH OF FIDUCIARY DT; SUITABILITY; MISREPRESENTATION; ACCOUNT RELATED-NEGLIGENCE Type of Securities: LIMITED PARTNERSHIPS; MUNICIPAL BONDS; MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $462,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/03/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $339,249.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (553 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/01/1990 Case Number: 90-02915 Allegations: ACCOUNT RELATED-NEGLIGENCE; UNAUTHORIZED TRADING; OTHER; ACCOUNT RELATED-OTHER Type of Securities: MUTUAL FUNDS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $6,000.00; INTEREST, ASKED AMOUNT $0.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $2,000.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 04/18/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (554 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/10/1991 Case Number: 90-02902 Allegations: EXECUTIONS-FAILURE TO EXECUTE; MISREPRESENTATION; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,545.68 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 05/29/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL NASD BrokerCheck October 12, 2005 Page 479 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (555 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/11/1990 Case Number: 90-02892 Allegations: MISREPRESENTATION Type of Securities: COMMON STOCK; MUNICIPAL BOND FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $60,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 08/13/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (556 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/12/1990 Case Number: 90-02885 Allegations: SUITABILITY; OTHER; MISREPRESENTATION Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $27,694.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $13,619.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $48,334.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $62,250.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; INTEREST, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 08/30/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (557 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/19/1990 Case Number: 90-02878 Allegations: SUITABILITY; MISREPRESENTATION; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: COMMON STOCK NASD BrokerCheck October 12, 2005 Page 480 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $318,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 03/06/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (558 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/29/1990 Case Number: 90-02854 Allegations: SUITABILITY; MISREPRESENTATION; CHURNING Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $82,750.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $165,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 12/06/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (559 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/29/1990 Case Number: 90-02842 Allegations: MISREPRESENTATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $165,050.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 08/05/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL NASD BrokerCheck October 12, 2005 Page 481 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (560 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/12/1990 Case Number: 90-02712 Allegations: CHURNING; MISREPRESENTATION Type of Securities: COMMON STOCK; OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $50,933.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $200,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 01/15/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $50,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $50,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (561 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/15/1991 Case Number: 90-02695 Allegations: BRCH OF FIDUCIARY DT; MISREPRESENTATION; ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: OPTIONS; COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $31,776.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $27,033.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 02/01/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (562 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/16/1990 Case Number: 90-02694 Allegations: SUITABILITY; MISREPRESENTATION; OTHER; ACCOUNT RELATED-OTHER Type of Securities: MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $215,647.00 NASD BrokerCheck October 12, 2005 Page 482 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 08/28/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (563 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/30/1990 Case Number: 90-02684 Allegations: SUITABILITY; MISREPRESENTATION Type of Securities: MUTUAL FUNDS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,500.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 07/26/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (564 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/14/1990 Case Number: 90-02614 Allegations: SUITABILITY; CHURNING; UNAUTHORIZED TRADING; OTHER Type of Securities: OPTIONS Relief Asked: PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $300,000.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $100,000.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/03/1991 Relief Awarded: PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL, AWARD AMOUNT $45,000.00; NASD BrokerCheck October 12, 2005 Page 483 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL); ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL); OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL); ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL); OTHER MONETARY RELIEF, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL) ** BROKERAGE FIRM ARBITRATION (565 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/31/1990 Case Number: 90-02607 Allegations: UNAUTHORIZED TRADING; EXECUTIONS-FAILURE TO EXECUTE; MISREPRESENTATION Type of Securities: COMMODITIES FUTURES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $117,113.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $600,000.00; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 08/15/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (566 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/15/1991 Case Number: 90-02573 Allegations: EXECUTIONS-FAILURE TO EXECUTE; ACCOUNT RELATED-NEGLIGENCE; MISREPRESENTATION; ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $148,800.00 Disposition: AWARD AGAINST PARTY Disposition Date: 03/02/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $78,425.30 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (567 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/20/1991 Case Number: 90-02547 NASD BrokerCheck October 12, 2005 Page 484 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Allegations: MISREPRESENTATION; SUITABILITY; CHURNING; ACCOUNT RELATED-NEGLIGENCE Type of Securities: MUTUAL FUNDS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $14,308.00 Disposition: AWARD AGAINST PARTY Disposition Date: 03/11/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (568 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/29/1990 Case Number: 90-02532 Allegations: MISREPRESENTATION; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-BREACH OF CONTRACT; ACCOUNT RELATED-NEGLIGENCE Type of Securities: OPTIONS; COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $500,000.00; OTHER COSTS, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 07/31/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $20,000.00 JOINTLY AND SEVERALLY; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $750.00 ** BROKERAGE FIRM ARBITRATION (569 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/01/1990 Case Number: 90-02493 Allegations: ACCOUNT RELATED-OTHER; CHURNING; SUITABILITY; UNAUTHORIZED TRADING Type of Securities: COMMON STOCK; GOVERNMENT SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $30,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/18/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $15,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (570 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD NASD BrokerCheck October 12, 2005 Page 485 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Case Served Date: 12/28/1990 Case Number: 90-02486 Allegations: ACCOUNT RELATED-NEGLIGENCE Type of Securities: MUNICIPAL BONDS; OTHER TYPES OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $70,714.00; TREBLE DAMAGES, ASKED AMOUNT $212,142.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00; INTEREST, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/11/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; TREBLE DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (571 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 11/19/1990 Case Number: 90-02477 Allegations: SUITABILITY; CHURNING; UNAUTHORIZED TRADING; BRCH OF FIDUCIARY DT Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $275,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/02/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $70,521.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (572 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/29/1990 Case Number: 90-02467 Allegations: MISREPRESENTATION; SUITABILITY; ACCOUNT RELATED-NEGLIGENCE; BRCH OF FIDUCIARY DT Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $41,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 07/01/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $15,867.33 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (573 of 993) ** NASD BrokerCheck October 12, 2005 Page 486 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 11/01/1990 Case Number: 90-02445 Allegations: EXECUTIONS-FAILURE TO EXECUTE Type of Securities: COMMON STOCK; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,250.00 Disposition: AWARD AGAINST PARTY Disposition Date: 11/26/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $250.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (574 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/22/1990 Case Number: 90-02442 Allegations: MISREPRESENTATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $9,796.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 04/01/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (575 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/15/1991 Case Number: 90-02404 Allegations: SUITABILITY; ACCOUNT RELATED-NEGLIGENCE; UNAUTHORIZED TRADING Type of Securities: COMMON STOCK; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $43,243.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 12/26/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL NASD BrokerCheck October 12, 2005 Page 487 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (576 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 11/12/1990 Case Number: 90-02393 Allegations: OTHER; MISREPRESENTATION; SUITABILITY Type of Securities: LIMITED PARTNERSHIPS; MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $9,426.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/21/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $9,426.00; PUNITIVE/EXEMPLARY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $3,874.00 ** BROKERAGE FIRM ARBITRATION (577 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/01/1990 Case Number: 90-02389 Allegations: SUITABILITY; OTHER Type of Securities: COMMON STOCK; OPTIONS; LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $45,701.80; ATTORNEY'S FEES, ASKED AMOUNT $2,500.00 Disposition: AWARD AGAINST PARTY Disposition Date: 11/22/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $13,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,500.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (578 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 10/05/1990 Case Number: 90-02334 Allegations: SUITABILITY; MISREPRESENTATION; OTHER Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $25,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/30/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $13,620.00 NASD BrokerCheck October 12, 2005 Page 488 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (579 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/15/1991 Case Number: 90-02324 Allegations: ACCOUNT RELATED-COLLECTION; ACCOUNT RELATED-MARGIN CALLS Type of Securities: COMMODITIES FUTURES; OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $50,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 03/31/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (580 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 10/13/1990 Case Number: 90-02308 Allegations: ACCOUNT RELATED-OTHER Type of Securities: FANNY MAE; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: INTEREST, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 02/26/1991 Relief Awarded: INTEREST, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,187.50 ** BROKERAGE FIRM ARBITRATION (581 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 10/08/1990 Case Number: 90-02305 Allegations: ACCOUNT RELATED-NEGLIGENCE; SUITABILITY Type of Securities: OPTIONS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $20,000.00; INTEREST, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/01/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $16,786.66; INTEREST, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $9,393.35; ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,500.00 NASD BrokerCheck October 12, 2005 Page 489 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (582 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 09/13/1990 Case Number: 90-02223 Allegations: UNAUTHORIZED TRADING Type of Securities: COMMON STOCK; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,181.26 Disposition: AWARD AGAINST PARTY Disposition Date: 03/19/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,181.26 ** BROKERAGE FIRM ARBITRATION (583 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/15/1991 Case Number: 90-02197 Allegations: SUITABILITY; MISREPRESENTATION Type of Securities: GOVERNMENT SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $15,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $10,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 09/09/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (584 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/01/1990 Case Number: 90-02180 Allegations: ACCOUNT RELATED-NEGLIGENCE Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $20,000.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING NASD BrokerCheck October 12, 2005 Page 490 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Disposition Date: 05/30/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (585 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/13/1990 Case Number: 90-02173 Allegations: ACCOUNT RELATED-NEGLIGENCE Type of Securities: LIMITED PARTNERSHIPS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,633.00 Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 02/26/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (586 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 10/15/1990 Case Number: 90-02168 Allegations: CHURNING; SUITABILITY Type of Securities: OPTIONS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $100,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/09/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $5,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (587 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/29/1990 Case Number: 90-02147 Allegations: MISREPRESENTATION Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $93,450.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT NASD BrokerCheck October 12, 2005 Page 491 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 08/22/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (588 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/12/1990 Case Number: 90-02138 Allegations: SUITABILITY; MISREPRESENTATION; UNKNOWN TYPE OF CONTROVERSY; UNKNOWN TYPE OF CONTROVERSY Type of Securities: LIMITED PARTNERSHIPS; MUTUAL FUNDS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $226,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 05/20/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (589 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/05/1990 Case Number: 90-02094 Allegations: SUITABILITY; MISREPRESENTATION; OTHER Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $14,157.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $15,843.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 05/22/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (590 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 08/17/1990 NASD BrokerCheck October 12, 2005 Page 492 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Case Number: 90-02091 Allegations: ACCOUNT RELATED-NEGLIGENCE; SUITABILITY; CHURNING Type of Securities: OTHER TYPES OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $416,528.75 Disposition: AWARD AGAINST PARTY Disposition Date: 07/02/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $66,736.00 ** BROKERAGE FIRM ARBITRATION (591 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/13/1990 Case Number: 90-02075 Allegations: OTHER; MISREPRESENTATION; CHURNING; OTHER Type of Securities: GINNIE MAES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $90,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/23/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $40,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (592 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/15/1990 Case Number: 90-02073 Allegations: MISREPRESENTATION; UNAUTHORIZED TRADING; OTHER; ACCOUNT RELATED-OTHER Type of Securities: OPTIONS; GOVERNMENT SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $95,460.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/22/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $11,505.00 ** BROKERAGE FIRM ARBITRATION (593 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/08/1990 Case Number: 90-02036 Allegations: ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED-OTHER NASD BrokerCheck October 12, 2005 Page 493 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $22,210.00 JOINTLY AND SEVERALLY; TREBLE DAMAGES, ASKED AMOUNT $66,630.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/09/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; TREBLE DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (594 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/03/1991 Case Number: 90-02015 Allegations: CHURNING; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-BREACH OF CONTRACT; OTHER Type of Securities: COMMON STOCK; MUTUAL FUNDS; WARRANTS/RIGHTS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00; INTEREST, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 06/04/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (595 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/01/1990 Case Number: 90-02000 Allegations: UNAUTHORIZED TRADING Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $12,663.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 07/24/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (596 of 993) ** Type of Event: ARBITRATION NASD BrokerCheck October 12, 2005 Page 494 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Update: NO Arbitration Forum: NASD Case Served Date: 09/12/1990 Case Number: 90-01987 Allegations: SUITABILITY; MISREPRESENTATION Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $45,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 12/17/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $45,000.00 ** BROKERAGE FIRM ARBITRATION (597 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 11/26/1990 Case Number: 90-01958 Allegations: ACCOUNT RELATED-EXCHANGES; ACCOUNT RELATED-ERRORS-CHARGES; MISREPRESENTATION; BRCH OF FIDUCIARY DT Type of Securities: COMMON STOCK; OPTIONS; WARRANTS/RIGHTS Relief Asked: TREBLE DAMAGES, ASKED AMOUNT $8,748.00; OTHER COSTS, ASKED AMOUNT $300.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/30/1991 Relief Awarded: TREBLE DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,900.00; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $150.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (598 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/23/1990 Case Number: 90-01945 Allegations: MISREPRESENTATION Type of Securities: Not Provided Relief Asked: ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/24/1992 Relief Awarded: ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,000.00 ** BROKERAGE FIRM ARBITRATION (599 of 993) ** Type of Event: ARBITRATION Update: NO NASD BrokerCheck October 12, 2005 Page 495 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Arbitration Forum: NASD Case Served Date: 07/20/1990 Case Number: 90-01944 Allegations: SUITABILITY; BRCH OF FIDUCIARY DT Type of Securities: LIMITED PARTNERSHIPS; COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $37,646.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 03/14/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (600 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 09/20/1990 Case Number: 90-01920 Allegations: SUITABILITY; MISREPRESENTATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 04/19/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (601 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 09/11/1990 Case Number: 90-01848 Allegations: MISREPRESENTATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $30,154.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $5,400.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $5,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/30/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (602 of 993) ** Type of Event: ARBITRATION NASD BrokerCheck October 12, 2005 Page 496 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Update: NO Arbitration Forum: NASD Case Served Date: 07/06/1990 Case Number: 90-01839 Allegations: ACCOUNT RELATED-OTHER; OTHER Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $15,754.00; INTEREST, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 04/12/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (603 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 09/10/1990 Case Number: 90-01828 Allegations: ACCOUNT RELATED-NEGLIGENCE; EXECUTIONS-FAILURE TO EXECUTE; ACCOUNT RELATED-ERRORS-CHARGES; UNAUTHORIZED TRADING Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,791.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/30/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,564.15 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (604 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 07/19/1990 Case Number: 90-01816 Allegations: ACCOUNT RELATED-OTHER; CHURNING; SUITABILITY; MISREPRESENTATION Type of Securities: COMMON STOCK; MUTUAL FUNDS; LIMITED PARTNERSHIPS; OTHER TYPES OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $200,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 02/11/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $13,000.00 JOINTLY AND SEVERALLY NASD BrokerCheck October 12, 2005 Page 497 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (605 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 09/13/1990 Case Number: 90-01813 Allegations: SUITABILITY; MISREPRESENTATION; UNAUTHORIZED TRADING; OTHER Type of Securities: WARRANTS/RIGHTS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $67,394.16 Disposition: AWARD AGAINST PARTY Disposition Date: 02/25/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $67,200.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (606 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/05/1990 Case Number: 90-01754 Allegations: EXECUTIONS-FAILURE TO EXECUTE; CHURNING; UNAUTHORIZED TRADING Type of Securities: OPTIONS; COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $50,471.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $10,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $39,529.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 07/10/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (607 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/09/1990 Case Number: 90-01749 Allegations: SUITABILITY; MISREPRESENTATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $13,234.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 05/14/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL NASD BrokerCheck October 12, 2005 Page 498 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (608 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/06/1990 Case Number: 90-01740 Allegations: ACCOUNT RELATED-NEGLIGENCE; UNAUTHORIZED TRADING Type of Securities: CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $114,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $750,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 08/30/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (609 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/30/1990 Case Number: 90-01719 Allegations: SUITABILITY; MISREPRESENTATION Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $257,988.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/08/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (610 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 09/10/1990 Case Number: 90-01709 Allegations: UNAUTHORIZED TRADING Type of Securities: WARRANTS/RIGHTS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $6,339.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/26/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $6,339.00 NASD BrokerCheck October 12, 2005 Page 499 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (611 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/28/1990 Case Number: 90-01696 Allegations: ACCOUNT RELATED-ERRORS-CHARGES; MANIPULATION; SUITABILITY; MISREPRESENTATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,229.34; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/17/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (612 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/12/1990 Case Number: 90-01693 Allegations: SUITABILITY; UNAUTHORIZED TRADING Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $600,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 09/15/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (613 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/11/1990 Case Number: 90-01666 Allegations: ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED-OTHER; OTHER; MISREPRESENTATION Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $300,000.00 JOINTLY AND SEVERALLY; RACKETEERING INTERSTATE CORRUPTION ORG, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 06/24/1991 NASD BrokerCheck October 12, 2005 Page 500 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; RACKETEERING INTERSTATE CORRUPTION ORG, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (614 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/18/1990 Case Number: 90-01664 Allegations: SUITABILITY; UNAUTHORIZED TRADING Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $35,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 03/25/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $11,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (615 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/03/1990 Case Number: 90-01642 Allegations: SUITABILITY Type of Securities: MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $25,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/21/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (616 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/19/1990 Case Number: 90-01641 Allegations: SUITABILITY; MISREPRESENTATION; UNAUTHORIZED TRADING Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $200,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 07/25/1991 NASD BrokerCheck October 12, 2005 Page 501 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $86,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (617 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 03/08/1991 Case Number: 90-01599 Allegations: EXECUTIONS-FAILURE TO EXECUTE Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $18,418.00 Disposition: AWARD AGAINST PARTY Disposition Date: 11/07/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $11,960.52 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (618 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/13/1990 Case Number: 90-01597 Allegations: OTHER Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $5,188.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 09/24/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (619 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/09/1990 Case Number: 90-01593 Allegations: OTHER; ACCOUNT RELATED-NEGLIGENCE; OTHER-OTHER Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $277,738.00; OTHER COSTS, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; INTEREST, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 07/15/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED NASD BrokerCheck October 12, 2005 Page 502 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) (PARTIAL OR FULL), AWARD AMOUNT $120,000.00; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $10,750.00; ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $75,312.00; INTEREST, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $68,281.00 ** BROKERAGE FIRM ARBITRATION (620 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/08/1990 Case Number: 90-01590 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $34,621.00 Disposition: AWARD AGAINST PARTY Disposition Date: 02/15/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $14,320.79 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (621 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/08/1990 Case Number: 90-01589 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $390,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/07/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $300,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (622 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 07/12/1990 Case Number: 90-01555 Allegations: EXECUTIONS-FAILURE TO EXECUTE Type of Securities: ANNUITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 11/29/1990 NASD BrokerCheck October 12, 2005 Page 503 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $8,750.00 ** BROKERAGE FIRM ARBITRATION (623 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/18/1990 Case Number: 90-01551 Allegations: UNAUTHORIZED TRADING Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $13,593.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/27/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $13,313.88 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (624 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/13/1990 Case Number: 90-01492 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $5,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 10/22/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (625 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/04/1990 Case Number: 90-01486 Allegations: Not Provided Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/06/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $58,615.00 JOINTLY AND SEVERALLY NASD BrokerCheck October 12, 2005 Page 504 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (626 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/04/1990 Case Number: 90-01485 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $6,000,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 07/16/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $371,400.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (627 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 05/30/1990 Case Number: 90-01459 Allegations: CHURNING; SUITABILITY Type of Securities: COMMON STOCK; WARRANTS/RIGHTS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $11,250.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $162,368.05 Disposition: AWARD AGAINST PARTY Disposition Date: 10/30/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $11,250.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $162,368.05 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (628 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/29/1990 Case Number: 90-01423 Allegations: SUITABILITY; CHURNING Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $17,040.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 02/01/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL NASD BrokerCheck October 12, 2005 Page 505 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (629 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/14/1990 Case Number: 90-01418 Allegations: SUITABILITY Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $115,241.32 Disposition: AWARD AGAINST PARTY Disposition Date: 07/12/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $30,000.00 ** BROKERAGE FIRM ARBITRATION (630 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 05/29/1990 Case Number: 90-01412 Allegations: CHURNING; SUITABILITY Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $60,263.00 Disposition: AWARD AGAINST PARTY Disposition Date: 02/22/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,784.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (631 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/30/1990 Case Number: 90-01401 Allegations: Not Provided Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $26,555.80 Disposition: AWARD AGAINST PARTY Disposition Date: Not Provided Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $21,245.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (632 of 993) ** NASD BrokerCheck October 12, 2005 Page 506 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/18/1990 Case Number: 90-01395 Allegations: ACCOUNT RELATED-BREACH OF CONTRACT; ACCOUNT RELATED-NEGLIGENCE Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $75,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/30/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $16,000.00 ** BROKERAGE FIRM ARBITRATION (633 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/25/1990 Case Number: 90-01387 Allegations: ACCOUNT RELATED-NEGLIGENCE; SUITABILITY; MISREPRESENTATION; UNAUTHORIZED TRADING Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $104,698.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 07/29/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (634 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/29/1990 Case Number: 90-01379 Allegations: MISREPRESENTATION; SUITABILITY; OTHER; ACCOUNT RELATED-NEGLIGENCE Type of Securities: CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $2,270,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 11/25/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $592,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (635 of 993) ** NASD BrokerCheck October 12, 2005 Page 507 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/25/1990 Case Number: 90-01374 Allegations: ACCOUNT RELATED-NEGLIGENCE; SUITABILITY; MISREPRESENTATION; ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $500,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 06/10/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (636 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/18/1990 Case Number: 90-01350 Allegations: ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED-OTHER; SUITABILITY; MISREPRESENTATION Type of Securities: COMMON STOCK; MUNICIPAL BONDS; OPTIONS; STOCK INDEX FUTURES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $137,806.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/05/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $66,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (637 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/16/1990 Case Number: 90-01341 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $30,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/12/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $23,756.12 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (638 of 993) ** NASD BrokerCheck October 12, 2005 Page 508 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/16/1990 Case Number: 90-01331 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $35,204.01 Disposition: AWARD AGAINST PARTY Disposition Date: 03/04/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $34,000.00 ** BROKERAGE FIRM ARBITRATION (639 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/11/1990 Case Number: 90-01297 Allegations: SUITABILITY; CHURNING Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $32,235.69 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $60,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 12/31/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (640 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/24/1990 Case Number: 90-01294 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $4,875.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 02/14/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL NASD BrokerCheck October 12, 2005 Page 509 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (641 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 05/10/1990 Case Number: 90-01279 Allegations: MISREPRESENTATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $96,562.50 Disposition: AWARD AGAINST PARTY Disposition Date: 07/18/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $72,421.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (642 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/19/1990 Case Number: 90-01248 Allegations: ACCOUNT RELATED-OTHER; SUITABILITY; UNAUTHORIZED TRADING; BRCH OF FIDUCIARY DT Type of Securities: MUTUAL FUNDS; LIMITED PARTNERSHIPS; UNKNOWN TYPE OF SECURITIES; UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $100,000.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/12/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (643 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 05/04/1990 Case Number: 90-01241 Allegations: MISREPRESENTATION Type of Securities: GOVERNMENT SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $12,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 01/16/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $20,000.00 NASD BrokerCheck October 12, 2005 Page 510 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (644 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/07/1990 Case Number: 90-01229 Allegations: ACCOUNT RELATED-TRANSFER; UNAUTHORIZED TRADING Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $400,000.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00; INTEREST, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 08/11/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (645 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 06/14/1990 Case Number: 90-01222 Allegations: UNAUTHORIZED TRADING Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $25,766.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/10/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $3,361.51 ** BROKERAGE FIRM ARBITRATION (646 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 05/03/1990 Case Number: 90-01218 Allegations: Not Provided Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $100,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/10/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $45,000.00 JOINTLY AND SEVERALLY NASD BrokerCheck October 12, 2005 Page 511 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (647 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/07/1990 Case Number: 90-01208 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $781.00 Disposition: AWARD AGAINST PARTY Disposition Date: 12/26/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $55.39 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (648 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/22/1990 Case Number: 90-01186 Allegations: MISREPRESENTATION; ACCOUNT RELATED-NEGLIGENCE Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $265,727.00; ATTORNEY'S FEES, ASKED AMOUNT $106,290.00; OTHER COSTS, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 10/30/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $124,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $20,000.00; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $3,661.26 ** BROKERAGE FIRM ARBITRATION (649 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/01/1990 Case Number: 90-01185 Allegations: SUITABILITY; MISREPRESENTATION; OTHER Type of Securities: GOVERNMENT SECURITIES; MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $23,800.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/30/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $20,741.00 JOINTLY AND SEVERALLY NASD BrokerCheck October 12, 2005 Page 512 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (650 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 05/23/1990 Case Number: 90-01167 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $4,500.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/29/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $3,000.00 ** BROKERAGE FIRM ARBITRATION (651 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/24/1990 Case Number: 90-01132 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: INTEREST, ASKED AMOUNT $5,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 12/31/1990 Relief Awarded: INTEREST, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $5,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (652 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/20/1990 Case Number: 90-01066 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $125,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/05/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $25,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (653 of 993) ** NASD BrokerCheck October 12, 2005 Page 513 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/20/1990 Case Number: 90-01059 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $882.00 Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 08/28/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (654 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/14/1990 Case Number: 90-00920 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $13,576.20 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/20/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (655 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/11/1990 Case Number: 90-00907 Allegations: Not Provided Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $350,772.00 Disposition: AWARD AGAINST PARTY Disposition Date: 01/24/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $63,480.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (656 of 993) ** Type of Event: ARBITRATION Update: NO NASD BrokerCheck October 12, 2005 Page 514 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Arbitration Forum: NASD Case Served Date: 04/03/1990 Case Number: 90-00879 Allegations: Not Provided Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $70,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/15/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $237,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (657 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/29/1990 Case Number: 90-00847 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $250,000.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 03/13/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (658 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/09/1990 Case Number: 90-00761 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $134,817.00 Disposition: AWARD AGAINST PARTY Disposition Date: 07/17/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $6,800.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (659 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/22/1990 NASD BrokerCheck October 12, 2005 Page 515 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Case Number: 90-00751 Allegations: MISREPRESENTATION Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $639,147.90 Disposition: AWARD AGAINST PARTY Disposition Date: 02/20/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $245,517.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (660 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/16/1990 Case Number: 90-00746 Allegations: SUITABILITY; MISREPRESENTATION Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $200,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 05/24/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (661 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 03/29/1990 Case Number: 90-00724 Allegations: ACCOUNT RELATED-OTHER Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $75,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/05/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $9,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (662 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD NASD BrokerCheck October 12, 2005 Page 516 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Case Served Date: 03/09/1990 Case Number: 90-00659 Allegations: SUITABILITY; ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $100,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 03/08/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (663 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 04/05/1990 Case Number: 90-00654 Allegations: CHURNING; SUITABILITY Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $3,127,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/20/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $443,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (664 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1990 Case Number: 90-00648 Allegations: SUITABILITY; BRCH OF FIDUCIARY DT Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $7,500.00 Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 06/05/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (665 of 993) ** Type of Event: ARBITRATION Update: NO NASD BrokerCheck October 12, 2005 Page 517 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Arbitration Forum: NASD Case Served Date: 03/09/1990 Case Number: 90-00647 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $81,542.00 Disposition: AWARD AGAINST PARTY Disposition Date: 02/20/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $20,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (666 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/28/1990 Case Number: 90-00619 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $350,563.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/16/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $93,050.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (667 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/26/1990 Case Number: 90-00598 Allegations: Not Provided Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $820,724.00 Disposition: AWARD AGAINST PARTY Disposition Date: 11/25/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $707,435.12 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (668 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD NASD BrokerCheck October 12, 2005 Page 518 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Case Served Date: 03/06/1990 Case Number: 90-00591 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,120.00 Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 01/11/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (669 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/09/1990 Case Number: 90-00587 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/01/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL) ** BROKERAGE FIRM ARBITRATION (670 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/09/1990 Case Number: 90-00584 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $18,443.03 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/20/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (671 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/09/1990 Case Number: 90-00566 NASD BrokerCheck October 12, 2005 Page 519 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $170,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/27/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (672 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/09/1990 Case Number: 90-00542 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $6,982.54 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $20,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/22/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (673 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/02/1990 Case Number: 90-00510 Allegations: SUITABILITY Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $175,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 10/01/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $76,107.99 ** BROKERAGE FIRM ARBITRATION (674 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1990 NASD BrokerCheck October 12, 2005 Page 520 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Case Number: 90-00480 Allegations: OTHER; EXECUTIONS-FAILURE TO EXECUTE; ACCOUNT RELATED-NEGLIGENCE Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $5,001.00; OTHER COSTS, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/28/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $5,001.00; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $100.00 ** BROKERAGE FIRM ARBITRATION (675 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/09/1990 Case Number: 90-00477 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $3,000.00 Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 08/30/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (676 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/26/1990 Case Number: 90-00470 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $167,268.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $167,268.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/21/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (677 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD NASD BrokerCheck October 12, 2005 Page 521 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Case Served Date: 03/28/1990 Case Number: 90-00469 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $60,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/15/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $25,479.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (678 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/26/1990 Case Number: 90-00468 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $50,750.36 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 09/03/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (679 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/16/1990 Case Number: 90-00435 Allegations: Not Provided Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $158,784.00 Disposition: AWARD AGAINST PARTY Disposition Date: 10/17/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $10,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (680 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/20/1990 Case Number: 90-00408 NASD BrokerCheck October 12, 2005 Page 522 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,837.26 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/07/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (681 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/20/1990 Case Number: 90-00396 Allegations: Not Provided Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $77,468.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 12/18/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (682 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 02/20/1990 Case Number: 90-00389 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $21,842.00 Disposition: AWARD AGAINST PARTY Disposition Date: 12/13/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,180.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (683 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/15/1990 Case Number: 90-00376 Allegations: Not Provided NASD BrokerCheck October 12, 2005 Page 523 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $3,000,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/04/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $668,475.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (684 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 03/06/1990 Case Number: 90-00325 Allegations: CHURNING; UNAUTHORIZED TRADING Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $48,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/29/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $19,727.49 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (685 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/09/1990 Case Number: 90-00324 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $5,800.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,446.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $1,000,000.00 JOINTLY AND SEVERALLY; OTHER NON-MONETARY RELIEF, ASKED AMOUNT JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 02/13/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER NON-MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL, AWARD AMOUNT JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (686 of 993) ** NASD BrokerCheck October 12, 2005 Page 524 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 04/17/1990 Case Number: 90-00296 Allegations: ACCOUNT RELATED-NEGLIGENCE; SUITABILITY; MISREPRESENTATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $62,675.50 Disposition: AWARD AGAINST PARTY Disposition Date: 04/05/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $27,669.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (687 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/09/1990 Case Number: 90-00280 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $247,986.11 Disposition: AWARD AGAINST PARTY Disposition Date: 07/08/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $128,000.00 ** BROKERAGE FIRM ARBITRATION (688 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/08/1990 Case Number: 90-00279 Allegations: Not Provided Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $130,000.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $200,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $500,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/20/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL NASD BrokerCheck October 12, 2005 Page 525 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (689 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 03/30/1990 Case Number: 90-00188 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $800.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/15/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $800.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (690 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1990 Case Number: 90-00132 Allegations: ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $2,315.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/23/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,315.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (691 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/18/1990 Case Number: 90-00129 Allegations: MISREPRESENTATION; SUITABILITY Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $30,629.00 Disposition: AWARD AGAINST PARTY Disposition Date: 01/25/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $30,629.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (692 of 993) ** NASD BrokerCheck October 12, 2005 Page 526 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1990 Case Number: 90-00092 Allegations: ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $3,640.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/12/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,580.00 ** BROKERAGE FIRM ARBITRATION (693 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/11/1990 Case Number: 90-00080 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $30,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 11/19/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $34,633.62 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (694 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/26/1990 Case Number: 90-00058 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $6,262.53; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 01/31/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (695 of 993) ** Type of Event: ARBITRATION NASD BrokerCheck October 12, 2005 Page 527 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Update: NO Arbitration Forum: NASD Case Served Date: 01/26/1990 Case Number: 90-00047 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $18,343.00 Disposition: AWARD AGAINST PARTY Disposition Date: 02/15/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,991.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (696 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/26/1990 Case Number: 90-00040 Allegations: Not Provided Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $59,059.12 Disposition: AWARD AGAINST PARTY Disposition Date: 11/06/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $20,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (697 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/08/1990 Case Number: 90-00037 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $335,795.00 Disposition: AWARD AGAINST PARTY Disposition Date: 10/26/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $10,541.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (698 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD NASD BrokerCheck October 12, 2005 Page 528 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Case Served Date: 01/26/1990 Case Number: 90-00024 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/15/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $8,366.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (699 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/08/1990 Case Number: 89-99908 Allegations: Not Provided Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $5,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/29/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $4,963.00 ** BROKERAGE FIRM ARBITRATION (701 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1989 NASD BrokerCheck October 12, 2005 Page 529 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Case Number: 89-99901 Allegations: MISREPRESENTATION Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $29,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 02/06/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (702 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/04/1990 Case Number: 89-03601 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: OTHER COSTS, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/15/1990 Relief Awarded: OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $200.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (703 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/18/1990 Case Number: 89-03596 Allegations: CHURNING; SUITABILITY; MISREPRESENTATION; ACCOUNT RELATED-NEGLIGENCE Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,206,502.09; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $83,125.90; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $10,255,267.77; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $3,619,506.27; RACKETEERING INTERSTATE CORRUPTION ORG, ASKED AMOUNT $3,619,506.27 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/31/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; RACKETEERING INTERSTATE CORRUPTION ORG, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (704 of 993) ** Type of Event: ARBITRATION NASD BrokerCheck October 12, 2005 Page 530 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Update: NO Arbitration Forum: NASD Case Served Date: 12/29/1989 Case Number: 89-03595 Allegations: Not Provided Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $180,160.41 Disposition: AWARD AGAINST PARTY Disposition Date: 12/18/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $38,216.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (705 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/29/1989 Case Number: 89-03561 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $11,989.13 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 08/14/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (706 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/28/1989 Case Number: 89-03546 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $40,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/17/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $15,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (707 of 993) ** Type of Event: ARBITRATION Update: NO NASD BrokerCheck October 12, 2005 Page 531 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Arbitration Forum: NASD Case Served Date: 08/02/1990 Case Number: 89-03529 Allegations: ACCOUNT RELATED-OTHER; UNAUTHORIZED TRADING Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $19,179.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/13/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $15,000.00 ** BROKERAGE FIRM ARBITRATION (708 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/27/1989 Case Number: 89-03485 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $103,397.00 Disposition: AWARD AGAINST PARTY Disposition Date: 10/17/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $6,879.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (709 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/23/1990 Case Number: 89-03478 Allegations: Not Provided Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $350,000.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 12/10/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $96,320.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $48,160.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (710 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD NASD BrokerCheck October 12, 2005 Page 532 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Case Served Date: 12/27/1989 Case Number: 89-03473 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $6,400.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: Not Provided Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (711 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/18/1989 Case Number: 89-03469 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $182,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/19/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $140,000.00 ** BROKERAGE FIRM ARBITRATION (712 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/27/1989 Case Number: 89-03468 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: OTHER COSTS, ASKED AMOUNT $500.00 Disposition: AWARD AGAINST PARTY Disposition Date: 11/05/1990 Relief Awarded: OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $500.00 ** BROKERAGE FIRM ARBITRATION (713 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/18/1989 Case Number: 89-03459 NASD BrokerCheck October 12, 2005 Page 533 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,298.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/30/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $6,000.00 ** BROKERAGE FIRM ARBITRATION (714 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 12/27/1989 Case Number: 89-03429 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $70,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 12/19/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $39,600.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (715 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/18/1989 Case Number: 89-03413 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: OTHER NON-MONETARY RELIEF, ASKED AMOUNT JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $257,795.83 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/09/1990 Relief Awarded: OTHER NON-MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL, AWARD AMOUNT JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (716 of 993) ** NASD BrokerCheck October 12, 2005 Page 534 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/13/1989 Case Number: 89-03390 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $100,000.00; INTEREST, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/19/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (717 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/22/1989 Case Number: 89-03389 Allegations: Not Provided Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $122,583.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 10/17/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $24,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $10,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (718 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/15/1989 Case Number: 89-03347 Allegations: Not Provided Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $273,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $200,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 01/09/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL NASD BrokerCheck October 12, 2005 Page 535 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (719 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/26/1989 Case Number: 89-03326 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $34,283.00 Disposition: AWARD AGAINST PARTY Disposition Date: 12/05/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $11,428.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (720 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/21/1989 Case Number: 89-03320 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $32,182.52 Disposition: AWARD AGAINST PARTY Disposition Date: 01/18/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $15,000.00 ** BROKERAGE FIRM ARBITRATION (721 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 12/13/1989 Case Number: 89-03291 Allegations: Not Provided Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $50,000.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $50,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/16/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $40,666.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $40,666.00 JOINTLY AND SEVERALLY NASD BrokerCheck October 12, 2005 Page 536 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (722 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 11/22/1989 Case Number: 89-03220 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $218,046.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $218,046.00 Disposition: AWARD AGAINST PARTY Disposition Date: 01/17/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $35,100.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $35,100.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (723 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-03213 Allegations: MISREPRESENTATION; SUITABILITY Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,411.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/23/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,411.00 ** BROKERAGE FIRM ARBITRATION (724 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/06/1989 Case Number: 89-03194 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $31,225.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/29/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $10,000.00 JOINTLY AND SEVERALLY NASD BrokerCheck October 12, 2005 Page 537 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (725 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-03178 Allegations: SUITABILITY; OMISSION OF FACTS Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $9,081.00 Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 03/27/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (726 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-03164 Allegations: SUITABILITY; CHURNING Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $6,637.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 05/23/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (727 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-03148 Allegations: MANIPULATION; ACCOUNT RELATED-TRANSFER Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $5,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $2,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 04/06/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (728 of 993) ** NASD BrokerCheck October 12, 2005 Page 538 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/22/1989 Case Number: 89-03139 Allegations: Not Provided Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $60,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 08/29/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (729 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/21/1989 Case Number: 89-03104 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $27,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 02/26/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $17,190.00 ** BROKERAGE FIRM ARBITRATION (730 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/21/1989 Case Number: 89-03074 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $18,431.68 Disposition: AWARD AGAINST PARTY Disposition Date: 09/15/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $5,082.82 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (731 of 993) ** NASD BrokerCheck October 12, 2005 Page 539 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/21/1989 Case Number: 89-03071 Allegations: SUITABILITY; OTHER Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $500,000.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 08/20/1993 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (732 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/06/1989 Case Number: 89-03055 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $129,662.00 Disposition: AWARD AGAINST PARTY Disposition Date: 10/31/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $92,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (733 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/22/1989 Case Number: 89-03029 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $34,608.00 Disposition: AWARD AGAINST PARTY Disposition Date: 10/22/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $34,608.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (734 of 993) ** Type of Event: ARBITRATION Update: YES NASD BrokerCheck October 12, 2005 Page 540 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Arbitration Forum: NASD Case Served Date: 12/13/1989 Case Number: 89-02987 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $201,445.61; RACKETEERING INTERSTATE CORRUPTION ORG, ASKED AMOUNT $604,336.00 Disposition: AWARD AGAINST PARTY Disposition Date: 07/31/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $87,189.86 JOINTLY AND SEVERALLY; RACKETEERING INTERSTATE CORRUPTION ORG, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (735 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/21/1989 Case Number: 89-02945 Allegations: Not Provided Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $82,720.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $2,000,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 10/20/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $159,327.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $400,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (736 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/31/1989 Case Number: 89-02934 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $50,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/30/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL NASD BrokerCheck October 12, 2005 Page 541 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (737 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/10/1989 Case Number: 89-02929 Allegations: ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $750,000.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/03/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $75,651.00; ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $33,082.00 ** BROKERAGE FIRM ARBITRATION (738 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/05/1990 Case Number: 89-02917 Allegations: Not Provided Type of Securities: COMMODITIES FUTURES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $442,397.68 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 05/23/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (739 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/04/1990 Case Number: 89-02916 Allegations: Not Provided Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $150,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 01/10/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED NASD BrokerCheck October 12, 2005 Page 542 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) (PARTIAL OR FULL), AWARD AMOUNT $36,786.00 ** BROKERAGE FIRM ARBITRATION (740 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/28/1989 Case Number: 89-02885 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $75,343.91 Disposition: AWARD AGAINST PARTY Disposition Date: 09/18/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $38,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (741 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/27/1989 Case Number: 89-02880 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $179,095.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 06/30/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (742 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/21/1989 Case Number: 89-02875 Allegations: ACCOUNT RELATED-NEGLIGENCE; TRADING DISPUTES-OTHER Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $580,394.00; INTEREST, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 12/04/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $802,481.00 JOINTLY AND SEVERALLY; INTEREST, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $229,712.00 JOINTLY AND SEVERALLY NASD BrokerCheck October 12, 2005 Page 543 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (743 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-02868 Allegations: UNAUTHORIZED TRADING; SUITABILITY; MISREPRESENTATION Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $13,280.89 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 07/20/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (744 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/06/1989 Case Number: 89-02785 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $3,872.21 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/30/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (745 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/03/1989 Case Number: 89-02780 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: INTEREST, ASKED AMOUNT $75,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 02/12/1993 Relief Awarded: INTEREST, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $15,000.00 JOINTLY AND SEVERALLY NASD BrokerCheck October 12, 2005 Page 544 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (746 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 11/14/1989 Case Number: 89-02778 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,821,563.65 Disposition: AWARD AGAINST PARTY Disposition Date: 02/25/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $300,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (747 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/06/1989 Case Number: 89-02730 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $131,920.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 12/19/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (748 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/31/1989 Case Number: 89-02680 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $101,455.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 08/29/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL NASD BrokerCheck October 12, 2005 Page 545 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (749 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 12/29/1989 Case Number: 89-02679 Allegations: Not Provided Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $30,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 01/25/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $7,969.17 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (750 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-02598 Allegations: SUITABILITY; CHURNING; BRCH OF FIDUCIARY DT; UNAUTHORIZED TRADING Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $500,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/27/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $125,000.00 ** BROKERAGE FIRM ARBITRATION (751 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/01/1989 Case Number: 89-02584 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $500,000.00 JOINTLY AND SEVERALLY; TREBLE DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 09/30/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; TREBLE DAMAGES, RELIEF REQUEST HAS BEEN NASD BrokerCheck October 12, 2005 Page 546 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (752 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 11/01/1989 Case Number: 89-02583 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $500,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/25/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $28,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (753 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 11/01/1989 Case Number: 89-02582 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $500,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/30/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $27,000.00 ** BROKERAGE FIRM ARBITRATION (754 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 11/01/1989 Case Number: 89-02581 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $500,000.00; TREBLE DAMAGES, ASKED AMOUNT $0.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; INTEREST, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/25/1991 NASD BrokerCheck October 12, 2005 Page 547 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $245,000.00; TREBLE DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (755 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 11/08/1989 Case Number: 89-02580 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $524,500.00 Disposition: AWARD AGAINST PARTY Disposition Date: 02/07/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $285,846.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (756 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/25/1989 Case Number: 89-02566 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $212,892.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/15/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $28,640.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (757 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-02540 Allegations: EXECUTIONS-FAILURE TO EXECUTE Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,218.00 Disposition: AWARD AGAINST PARTY NASD BrokerCheck October 12, 2005 Page 548 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Disposition Date: 03/27/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,218.00 ** BROKERAGE FIRM ARBITRATION (758 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 10/30/1989 Case Number: 89-02529 Allegations: Not Provided Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $230,127.22; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 11/06/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $140,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $10,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (759 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/13/1989 Case Number: 89-02526 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $5,500.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/19/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (760 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-02513 Allegations: EXECUTIONS-FAILURE TO EXECUTE Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $18,000.00; INTEREST, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 07/19/1990 NASD BrokerCheck October 12, 2005 Page 549 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $18,000.00 JOINTLY AND SEVERALLY; INTEREST, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $3,970.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (761 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-02472 Allegations: UNAUTHORIZED TRADING; ACCOUNT RELATED-OTHER; ACCOUNT RELATED-ERRORS-CHARGES; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 05/04/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (762 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-02464 Allegations: SUITABILITY; ACCOUNT RELATED - FAILURE TO SUPERVISE; BRCH OF FIDUCIARY DT; OTHER Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $85,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/31/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $10,000.00 ** BROKERAGE FIRM ARBITRATION (763 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/26/1990 Case Number: 89-02383 Allegations: SUITABILITY; MISREPRESENTATION; OTHER Type of Securities: MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $30,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 11/23/1990 NASD BrokerCheck October 12, 2005 Page 550 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $6,875.00 ** BROKERAGE FIRM ARBITRATION (764 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-02367 Allegations: MISREPRESENTATION; SUITABILITY; BRCH OF FIDUCIARY DT; OMISSION OF FACTS Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $74,750.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/28/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $32,500.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (765 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/17/1989 Case Number: 89-02323 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $20,206.00 Disposition: AWARD AGAINST PARTY Disposition Date: Not Provided Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $5,000.00 ** BROKERAGE FIRM ARBITRATION (766 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/27/1989 Case Number: 89-02313 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $824,875.65; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 01/02/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $9,251.41 JOINTLY AND NASD BrokerCheck October 12, 2005 Page 551 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $6,500.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (767 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 09/29/1989 Case Number: 89-02308 Allegations: OTHER; SUITABILITY Type of Securities: MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,042,500.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 01/24/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (768 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 10/03/1989 Case Number: 89-02307 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $175,614.00 Disposition: AWARD AGAINST PARTY Disposition Date: 03/05/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $31,727.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (769 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/30/1989 Case Number: 89-02298 Allegations: Not Provided Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $125,000.00 Disposition: AWARD AGAINST PARTY NASD BrokerCheck October 12, 2005 Page 552 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Disposition Date: 09/10/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $8,995.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (770 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 09/27/1989 Case Number: 89-02296 Allegations: CHURNING; SUITABILITY Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $100,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 12/05/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (771 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 09/01/1989 Case Number: 89-02236 Allegations: Not Provided Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $100,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 09/10/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (772 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/21/1989 Case Number: 89-02230 Allegations: Not Provided Type of Securities: OPTIONS NASD BrokerCheck October 12, 2005 Page 553 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $250,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 12/19/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (773 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/19/1989 Case Number: 89-02215 Allegations: ACCOUNT RELATED-NEGLIGENCE; MISREPRESENTATION Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $122,000.00; INTEREST, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 12/12/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $9,688.18 JOINTLY AND SEVERALLY; INTEREST, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,785.20 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (774 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-02206 Allegations: ACCOUNT RELATED-ERRORS-CHARGES Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $2,770.11 Disposition: AWARD AGAINST PARTY Disposition Date: 02/14/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,770.11 ** BROKERAGE FIRM ARBITRATION (775 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-02200 Allegations: UNAUTHORIZED TRADING; SUITABILITY Type of Securities: COMMON STOCK NASD BrokerCheck October 12, 2005 Page 554 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $8,000.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $8,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/29/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $3,078.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $3,078.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (776 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-02180 Allegations: BRCH OF FIDUCIARY DT; ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $3,133.00; OTHER COSTS, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; INTEREST, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 12/11/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (777 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/16/1989 Case Number: 89-02118 Allegations: ACCOUNT RELATED-NEGLIGENCE; SUITABILITY; MISREPRESENTATION Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $98,473.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER NON-MONETARY RELIEF, ASKED AMOUNT JOINTLY AND SEVERALLY; TREBLE DAMAGES, ASKED AMOUNT $295,419.00 JOINTLY AND SEVERALLY; RACKETEERING INTERSTATE CORRUPTION ORG, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 06/07/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER NON-MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL, AWARD AMOUNT JOINTLY AND SEVERALLY; TREBLE DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; RACKETEERING NASD BrokerCheck October 12, 2005 Page 555 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) INTERSTATE CORRUPTION ORG, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (778 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-02093 Allegations: UNAUTHORIZED TRADING; BRCH OF FIDUCIARY DT Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $6,252.00 Disposition: AWARD AGAINST PARTY Disposition Date: 01/18/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $4,000.00 ** BROKERAGE FIRM ARBITRATION (779 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/30/1989 Case Number: 89-02052 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 01/09/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (780 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/17/1989 Case Number: 89-02039 Allegations: Not Provided Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $108,420.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING NASD BrokerCheck October 12, 2005 Page 556 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Disposition Date: 02/21/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (781 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-01843 Allegations: OTHER; ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $103,870.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/20/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $35,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (782 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-01821 Allegations: EXECUTIONS-FAILURE TO EXECUTE Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $925.00 Disposition: AWARD AGAINST PARTY Disposition Date: 11/10/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $300.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (783 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-01798 Allegations: MISREPRESENTATION Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $9,031.00 Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 11/14/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL NASD BrokerCheck October 12, 2005 Page 557 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (784 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-01783 Allegations: SUITABILITY; MISREPRESENTATION; EXECUTIONS-FAILURE TO EXECUTE Type of Securities: GOVERNMENT SECURITIES; MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $8,000.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 03/29/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (785 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 07/28/1989 Case Number: 89-01770 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $55,500.00 Disposition: AWARD AGAINST PARTY Disposition Date: 12/12/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $55,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (786 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-01763 Allegations: MISREPRESENTATION Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS NASD BrokerCheck October 12, 2005 Page 558 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Disposition Date: 01/18/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (787 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-01696 Allegations: UNAUTHORIZED TRADING; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,200.00 Disposition: AWARD AGAINST PARTY Disposition Date: 11/10/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,200.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (788 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-01662 Allegations: SUITABILITY; CHURNING Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $56,575.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/05/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $15,510.00 ** BROKERAGE FIRM ARBITRATION (789 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/15/1989 Case Number: 89-01589 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $60,000.00; OTHER COSTS, ASKED AMOUNT $500.00 Disposition: AWARD AGAINST PARTY Disposition Date: 10/16/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED NASD BrokerCheck October 12, 2005 Page 559 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) (PARTIAL OR FULL), AWARD AMOUNT $15,476.64 JOINTLY AND SEVERALLY; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $500.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (790 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: PRECRAFTIS Case Number: 89-01534 Allegations: UNKNOWN TYPE OF CONTROVERSY Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/15/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL) ** BROKERAGE FIRM ARBITRATION (791 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/07/1989 Case Number: 89-01493 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $241,717.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/06/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (792 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-01480 Allegations: BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $20,120.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/21/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED NASD BrokerCheck October 12, 2005 Page 560 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) (PARTIAL OR FULL), AWARD AMOUNT $5,046.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (793 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/05/1989 Case Number: 89-01470 Allegations: MISREPRESENTATION; OTHER Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $52,792.36 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/09/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (794 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/05/1989 Case Number: 89-01465 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,060,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/09/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (795 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/05/1989 Case Number: 89-01455 Allegations: ACCOUNT RELATED-NEGLIGENCE; MISREPRESENTATION Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $20,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $30,000.00 JOINTLY AND SEVERALLY; NASD BrokerCheck October 12, 2005 Page 561 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 05/24/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (796 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/14/1989 Case Number: 89-01430 Allegations: SUITABILITY; MISREPRESENTATION; ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $70,350.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; TREBLE DAMAGES, ASKED AMOUNT $211,050.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $7,500.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $750.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 07/26/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; TREBLE DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (797 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-01409 Allegations: SUITABILITY; MISREPRESENTATION Type of Securities: MUTUAL FUNDS; GOVERNMENT SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $17,000.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 02/21/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS NASD BrokerCheck October 12, 2005 Page 562 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (798 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/21/1989 Case Number: 89-01383 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/05/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $113,524.00 ** BROKERAGE FIRM ARBITRATION (799 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-01358 Allegations: SUITABILITY; CHURNING; ACCOUNT RELATED - FAILURE TO SUPERVISE; MISREPRESENTATION Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $25,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 01/18/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $21,669.00 ** BROKERAGE FIRM ARBITRATION (800 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-01316 Allegations: UNAUTHORIZED TRADING Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $2,500.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/26/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $500.00 ** BROKERAGE FIRM ARBITRATION (801 of 993) ** NASD BrokerCheck October 12, 2005 Page 563 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-01297 Allegations: BRCH OF FIDUCIARY DT; MISREPRESENTATION; OMISSION OF FACTS; SUITABILITY Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $33,107.09 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $300,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 04/30/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (802 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/25/1989 Case Number: 89-01266 Allegations: Not Provided Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $90,968.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $250,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $30,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/07/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (803 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 05/30/1989 Case Number: 89-01264 Allegations: MISREPRESENTATION Type of Securities: CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $31,421.00 Disposition: AWARD AGAINST PARTY Disposition Date: 03/06/1991 NASD BrokerCheck October 12, 2005 Page 564 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $6,024.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (804 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-01215 Allegations: UNAUTHORIZED TRADING; SUITABILITY; CHURNING; EXECUTIONS-FAILURE TO EXECUTE Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $103,304.00 Disposition: AWARD AGAINST PARTY Disposition Date: 03/30/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $40,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (805 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/09/1989 Case Number: 89-01177 Allegations: Not Provided Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $136,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: Not Provided Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $60,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (806 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/09/1989 Case Number: 89-01171 Allegations: Not Provided Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $130,671.70 Disposition: AWARD AGAINST PARTY Disposition Date: Not Provided Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $16,596.00 JOINTLY AND NASD BrokerCheck October 12, 2005 Page 565 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) SEVERALLY ** BROKERAGE FIRM ARBITRATION (807 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-01165 Allegations: UNAUTHORIZED TRADING Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $8,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/18/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $4,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (808 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-01160 Allegations: ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED - FAILURE TO SUPERVISE; MISREPRESENTATION; SUITABILITY Type of Securities: MUTUAL FUNDS; GOVERNMENT SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $30,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; TREBLE DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 05/01/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; TREBLE DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (809 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-01149 Allegations: MISREPRESENTATION; OMISSION OF FACTS; SUITABILITY; CHURNING NASD BrokerCheck October 12, 2005 Page 566 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Securities: OPTIONS; COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $75,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/05/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $5,968.00 ** BROKERAGE FIRM ARBITRATION (810 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/21/1989 Case Number: 89-01136 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $133,680.00; INTEREST, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/05/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (811 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-01135 Allegations: MISREPRESENTATION; OMISSION OF FACTS; OTHER; UNAUTHORIZED TRADING Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,321,173.80 Disposition: AWARD AGAINST PARTY Disposition Date: 05/16/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $298,200.00 ** BROKERAGE FIRM ARBITRATION (812 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-01122 NASD BrokerCheck October 12, 2005 Page 567 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Allegations: SUITABILITY; UNAUTHORIZED TRADING; CHURNING; OMISSION OF FACTS Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $150,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $500,000.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 07/09/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (813 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 04/24/1989 Case Number: 89-01115 Allegations: SUITABILITY; ACCOUNT RELATED-OTHER Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $500,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 10/17/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $221,321.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (814 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 04/24/1989 Case Number: 89-01114 Allegations: ACCOUNT RELATED-OTHER; SUITABILITY Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $500,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 10/17/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $91,833.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (815 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD NASD BrokerCheck October 12, 2005 Page 568 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Case Served Date: 04/24/1989 Case Number: 89-01113 Allegations: SUITABILITY; ACCOUNT RELATED-OTHER Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $500,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 10/17/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $10,230.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (816 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/24/1989 Case Number: 89-01112 Allegations: SUITABILITY; ACCOUNT RELATED-OTHER Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $500,000.00; OTHER COSTS, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 10/17/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $68,774.00 JOINTLY AND SEVERALLY; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $17,522.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $74,600.89 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (817 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/20/1989 Case Number: 89-01092 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $104,787.00; INTEREST, ASKED AMOUNT $0.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/30/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $30,760.75 JOINTLY AND SEVERALLY; INTEREST, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $11,403.88 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $13,565.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $24,000.00 NASD BrokerCheck October 12, 2005 Page 569 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (818 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-01073 Allegations: OMISSION OF FACTS; BRCH OF FIDUCIARY DT Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $12,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 03/23/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $12,705.83 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (819 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-00965 Allegations: SUITABILITY; UNAUTHORIZED TRADING Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $33,113.83 Disposition: AWARD AGAINST PARTY Disposition Date: 05/17/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $5,870.00 ** BROKERAGE FIRM ARBITRATION (820 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-00920 Allegations: BRCH OF FIDUCIARY DT; CHURNING; SUITABILITY; MISREPRESENTATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $30,937.00; OTHER COSTS, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 06/08/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN NASD BrokerCheck October 12, 2005 Page 570 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (821 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-00904 Allegations: MISREPRESENTATION; OMISSION OF FACTS Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $6,935.00 Disposition: AWARD AGAINST PARTY Disposition Date: 10/26/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $6,935.00 ** BROKERAGE FIRM ARBITRATION (822 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/19/1989 Case Number: 89-00902 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $100,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 02/04/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (823 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-00877 Allegations: UNAUTHORIZED TRADING; ACCOUNT RELATED-OTHER Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $4,675.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 09/19/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL NASD BrokerCheck October 12, 2005 Page 571 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (824 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-00863 Allegations: MISREPRESENTATION; ACCOUNT RELATED-OTHER Type of Securities: MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $7,787.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 05/31/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (825 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-00845 Allegations: CHURNING; SUITABILITY; BRCH OF FIDUCIARY DT; OTHER Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $150,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $300,000.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 06/29/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (826 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/24/1989 Case Number: 89-00777 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $27,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 03/06/1991 NASD BrokerCheck October 12, 2005 Page 572 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $15,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (827 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-00730 Allegations: MISREPRESENTATION; UNAUTHORIZED TRADING Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $5,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/28/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $187.50 ** BROKERAGE FIRM ARBITRATION (828 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-00727 Allegations: MISREPRESENTATION; OMISSION OF FACTS; SUITABILITY; BRCH OF FIDUCIARY DT Type of Securities: OPTIONS; OTHER TYPES OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $82,000.00; OTHER COSTS, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/25/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $39,293.68 JOINTLY AND SEVERALLY; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $18,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (829 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-00670 Allegations: SUITABILITY; UNAUTHORIZED TRADING; CHURNING Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $2,600,000.00; OTHER COSTS, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY NASD BrokerCheck October 12, 2005 Page 573 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Disposition Date: 06/07/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $228,635.52 JOINTLY AND SEVERALLY; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,500.00 JOINTLY AND SEVERALLY; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,500.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (830 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-00668 Allegations: EXECUTIONS-FAILURE TO EXECUTE Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $266,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $66,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 05/23/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL, AWARD AMOUNT $66,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (831 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-00642 Allegations: MISREPRESENTATION; OMISSION OF FACTS; SUITABILITY Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $30,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 03/23/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $7,959.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (832 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-00607 Allegations: SUITABILITY; ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: COMMODITIES FUTURES NASD BrokerCheck October 12, 2005 Page 574 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $4,901.36 Disposition: AWARD AGAINST PARTY Disposition Date: 03/22/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,050.03 ** BROKERAGE FIRM ARBITRATION (833 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/07/1989 Case Number: 89-00599 Allegations: Not Provided Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $46,121.50; SPECIFIC PERFORMANCE, ASKED AMOUNT Disposition: AWARD AGAINST PARTY Disposition Date: Not Provided Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL); SPECIFIC PERFORMANCE, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT ** BROKERAGE FIRM ARBITRATION (834 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 04/21/1989 Case Number: 89-00430 Allegations: Not Provided Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $30,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 12/26/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (835 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-00416 Allegations: SUITABILITY; BRCH OF FIDUCIARY DT; MISREPRESENTATION Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $50,000.00 NASD BrokerCheck October 12, 2005 Page 575 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Disposition: AWARD AGAINST PARTY Disposition Date: 04/18/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $29,312.50 ** BROKERAGE FIRM ARBITRATION (836 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-00406 Allegations: MISREPRESENTATION; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $2,159.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 09/18/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (837 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-00404 Allegations: UNAUTHORIZED TRADING; BRCH OF FIDUCIARY DT; BRCH OF FIDUCIARY DT Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $4,329.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 08/10/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (838 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 03/16/1989 Case Number: 89-00397 Allegations: Not Provided Type of Securities: OPTIONS NASD BrokerCheck October 12, 2005 Page 576 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $59,941.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 12/30/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (839 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-00390 Allegations: EXECUTIONS-FAILURE TO EXECUTE; ACCOUNT RELATED-OTHER Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $6,650.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 02/13/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (840 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-00326 Allegations: SUITABILITY Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $75,461.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/30/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $16,931.00 ** BROKERAGE FIRM ARBITRATION (841 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-00255 Allegations: ACCOUNT RELATED-NEGLIGENCE Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $9,999.00 NASD BrokerCheck October 12, 2005 Page 577 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Disposition: AWARD AGAINST PARTY Disposition Date: 09/26/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $8,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (842 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-00095 Allegations: SUITABILITY; MANIPULATION; CHURNING; BRCH OF FIDUCIARY DT Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $50,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 07/16/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $17,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (843 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-00078 Allegations: EXECUTIONS-FAILURE TO EXECUTE; ACCOUNT RELATED-OTHER Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $25,762.48; OTHER COSTS, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 07/11/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (844 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1989 Case Number: 89-00039 Allegations: MISREPRESENTATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $25,000.00 Disposition: AWARD AGAINST PARTY NASD BrokerCheck October 12, 2005 Page 578 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Disposition Date: 05/17/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $5,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (845 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/17/1989 Case Number: 89-00002 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 11/29/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $95,000.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $750.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (846 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: PRECRAFTIS Case Number: 88-03955 Allegations: CHURNING; SUITABILITY; OMISSION OF FACTS Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $75,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 12/13/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $7,500.00 ** BROKERAGE FIRM ARBITRATION (847 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-03933 Allegations: UNAUTHORIZED TRADING Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; SPECIFIC PERFORMANCE, ASKED AMOUNT JOINTLY AND SEVERALLY; SPECIFIC PERFORMANCE, ASKED AMOUNT NASD BrokerCheck October 12, 2005 Page 579 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 04/02/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; SPECIFIC PERFORMANCE, RELIEF REQUEST HAS BEEN DENIED IN FULL, AWARD AMOUNT JOINTLY AND SEVERALLY; SPECIFIC PERFORMANCE, RELIEF REQUEST HAS BEEN DENIED IN FULL, AWARD AMOUNT JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (848 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/06/1989 Case Number: 88-03865 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $253,025.53 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/20/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (849 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-03854 Allegations: MISREPRESENTATION Type of Securities: GOVERNMENT SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $2,370.00 Disposition: AWARD AGAINST PARTY Disposition Date: 07/25/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,030.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (850 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-03831 NASD BrokerCheck October 12, 2005 Page 580 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Allegations: MISREPRESENTATION Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $990.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 09/26/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (851 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/05/1989 Case Number: 88-03830 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $7,218.00 Disposition: AWARD AGAINST PARTY Disposition Date: Not Provided Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $7,218.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (852 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-03822 Allegations: ACCOUNT RELATED-NEGLIGENCE; BRCH OF FIDUCIARY DT Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $16,338.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $3,839.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $10,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $3,867.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 05/31/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (853 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD NASD BrokerCheck October 12, 2005 Page 581 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Case Served Date: 01/01/1988 Case Number: 88-03821 Allegations: MISREPRESENTATION; SUITABILITY Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $6,002.00; INTEREST, ASKED AMOUNT $3,375.00 Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 08/21/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (854 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-03798 Allegations: ACCOUNT RELATED-NEGLIGENCE; UNAUTHORIZED TRADING; MISREPRESENTATION; OMISSION OF FACTS Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $43,725.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $43,725.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/17/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $50,398.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $3,853.00; ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $9,967.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (855 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-03792 Allegations: CHURNING; UNAUTHORIZED TRADING; SUITABILITY Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $2,500.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $5,000.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 03/20/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (856 of 993) ** Type of Event: ARBITRATION NASD BrokerCheck October 12, 2005 Page 582 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-03758 Allegations: SUITABILITY; OMISSION OF FACTS Type of Securities: CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $3,850.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/18/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $3,850.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (857 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-03718 Allegations: SUITABILITY; MISREPRESENTATION; OMISSION OF FACTS Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $110,550.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/18/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $137,190.00 ** BROKERAGE FIRM ARBITRATION (858 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-03683 Allegations: MISREPRESENTATION; OMISSION OF FACTS Type of Securities: GOVERNMENT SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $8,516.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 07/25/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (859 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD NASD BrokerCheck October 12, 2005 Page 583 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Case Served Date: 01/01/1988 Case Number: 88-03675 Allegations: ACCOUNT RELATED-NEGLIGENCE; MISREPRESENTATION; SUITABILITY Type of Securities: GOVERNMENT SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $13,629.49 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/29/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (860 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-03648 Allegations: BRCH OF FIDUCIARY DT; SUITABILITY; EXECUTIONS-FAILURE TO EXECUTE; CHURNING Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $4,600.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 03/13/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (861 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-03637 Allegations: SUITABILITY; UNAUTHORIZED TRADING; CHURNING Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $50,000.00; OTHER COSTS, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/14/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (862 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD NASD BrokerCheck October 12, 2005 Page 584 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Case Served Date: 01/01/1988 Case Number: 88-03624 Allegations: SUITABILITY; EXECUTIONS-OTHER; ACCOUNT RELATED-MARGIN CALLS Type of Securities: STOCK INDEX FUTURES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $100,000.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 04/23/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (863 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-03610 Allegations: SUITABILITY; CHURNING; ACCOUNT RELATED-BREACH OF CONTRACT; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $188,521.81 Disposition: AWARD AGAINST PARTY Disposition Date: 11/30/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $30,371.93 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (864 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-03589 Allegations: SUITABILITY; MISREPRESENTATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $2,875.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/10/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL NASD BrokerCheck October 12, 2005 Page 585 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (865 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-03574 Allegations: MISREPRESENTATION Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $136,939.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/11/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $66,439.00 ** BROKERAGE FIRM ARBITRATION (866 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-03551 Allegations: SUITABILITY; MISREPRESENTATION Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $40,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 11/14/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $46,576.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (867 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-03532 Allegations: ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED - FAILURE TO SUPERVISE; BRCH OF FIDUCIARY DT Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $11,881.96 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 01/10/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN NASD BrokerCheck October 12, 2005 Page 586 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (868 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-03523 Allegations: UNAUTHORIZED TRADING Type of Securities: COMMON STOCK; OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $50,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 01/30/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $3,800.00 ** BROKERAGE FIRM ARBITRATION (869 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-03517 Allegations: SUITABILITY; CHURNING; ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $87,926.00 Disposition: AWARD AGAINST PARTY Disposition Date: 10/18/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $74,802.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (870 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-03509 Allegations: UNAUTHORIZED TRADING; MISREPRESENTATION Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $73,636.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/08/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $31,106.00 JOINTLY AND SEVERALLY NASD BrokerCheck October 12, 2005 Page 587 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (871 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-03462 Allegations: SUITABILITY; MISREPRESENTATION; OMISSION OF FACTS Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $61,488.48 Disposition: AWARD AGAINST PARTY Disposition Date: 12/06/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $42,475.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (872 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-03449 Allegations: SUITABILITY; BRCH OF FIDUCIARY DT; MISREPRESENTATION; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $80,062.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $1,000,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 01/25/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (873 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-03448 Allegations: EXECUTIONS-FAILURE TO EXECUTE; BRCH OF FIDUCIARY DT Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $56,805.88 Disposition: AWARD AGAINST PARTY Disposition Date: 09/19/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $21,533.06 NASD BrokerCheck October 12, 2005 Page 588 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (874 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-03440 Allegations: ACCOUNT RELATED-NEGLIGENCE; MISREPRESENTATION; OMISSION OF FACTS; BRCH OF FIDUCIARY DT Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $5,790.00 Disposition: AWARD AGAINST PARTY Disposition Date: 07/28/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $5,790.00 ** BROKERAGE FIRM ARBITRATION (875 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-03423 Allegations: OMISSION OF FACTS; SUITABILITY; UNAUTHORIZED TRADING; BRCH OF FIDUCIARY DT Type of Securities: OTHER TYPES OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $75,165.00; INTEREST, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 05/18/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (876 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-03331 Allegations: EXECUTIONS-FAILURE TO EXECUTE Type of Securities: OTHER TYPES OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $18,914.50 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 05/30/1990 NASD BrokerCheck October 12, 2005 Page 589 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (877 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-03306 Allegations: EXECUTIONS-FAILURE TO EXECUTE; ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: OPTIONS; MUNICIPAL BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $66,486.85 Disposition: AWARD AGAINST PARTY Disposition Date: 10/25/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $42,200.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (878 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-03295 Allegations: MISREPRESENTATION; SUITABILITY; ACCOUNT RELATED-NEGLIGENCE Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $30,279.44 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; TREBLE DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 12/06/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; TREBLE DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (879 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD NASD BrokerCheck October 12, 2005 Page 590 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Case Served Date: 01/01/1988 Case Number: 88-03276 Allegations: MISREPRESENTATION; ACCOUNT RELATED-OTHER Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $3,813.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 09/29/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (880 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-03275 Allegations: UNAUTHORIZED TRADING; BRCH OF FIDUCIARY DT; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $4,999.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/18/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,500.00 ** BROKERAGE FIRM ARBITRATION (881 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-03269 Allegations: MISREPRESENTATION; SUITABILITY Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $4,585.56 Disposition: AWARD AGAINST PARTY Disposition Date: 11/30/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,960.56 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (882 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-03253 NASD BrokerCheck October 12, 2005 Page 591 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Allegations: MISREPRESENTATION Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,481.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 07/06/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (883 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 11/22/1988 Case Number: 88-03229 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $150,000.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $25,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/16/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (884 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-03224 Allegations: SUITABILITY; MISREPRESENTATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $3,500.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 05/10/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (885 of 993) ** NASD BrokerCheck October 12, 2005 Page 592 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-03133 Allegations: MISREPRESENTATION; OMISSION OF FACTS; SUITABILITY; BRCH OF FIDUCIARY DT Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $75,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 03/10/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $58,691.00 ** BROKERAGE FIRM ARBITRATION (886 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-03129 Allegations: ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED-BREACH OF CONTRACT; BRCH OF FIDUCIARY DT Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,000,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/25/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $100,000.00 ** BROKERAGE FIRM ARBITRATION (887 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: PRECRAFTIS Case Number: 88-03026 Allegations: UNKNOWN TYPE OF CONTROVERSY Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/09/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL) ** BROKERAGE FIRM ARBITRATION (888 of 993) ** Type of Event: ARBITRATION NASD BrokerCheck October 12, 2005 Page 593 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-03006 Allegations: SUITABILITY; EXECUTIONS-FAILURE TO EXECUTE; MISREPRESENTATION Type of Securities: CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $5,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/31/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $5,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (889 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-03003 Allegations: MISREPRESENTATION; ACCOUNT RELATED-NEGLIGENCE; BRCH OF FIDUCIARY DT Type of Securities: OTHER TYPES OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $20,620.00 Disposition: AWARD AGAINST PARTY Disposition Date: 07/28/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $10,907.00 ** BROKERAGE FIRM ARBITRATION (890 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-02989 Allegations: EXECUTIONS-FAILURE TO EXECUTE; TRADING DISPUTES-SELL OUTS Type of Securities: MUNICIPAL BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $131,655.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 07/19/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (891 of 993) ** Type of Event: ARBITRATION NASD BrokerCheck October 12, 2005 Page 594 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-02958 Allegations: UNAUTHORIZED TRADING; SUITABILITY; EXECUTIONS-FAILURE TO EXECUTE; EXECUTIONS-OTHER Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $32,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 07/20/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $15,930.14 ** BROKERAGE FIRM ARBITRATION (892 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-02925 Allegations: CHURNING; MISREPRESENTATION; UNAUTHORIZED TRADING Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $33,349.01 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 02/15/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (893 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-02870 Allegations: MISREPRESENTATION; ACCOUNT RELATED-NEGLIGENCE Type of Securities: MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $15,224.60 Disposition: AWARD AGAINST PARTY Disposition Date: 07/19/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $11,375.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (894 of 993) ** NASD BrokerCheck October 12, 2005 Page 595 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 09/15/1988 Case Number: 88-02866 Allegations: Not Provided Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $21,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/20/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $3,400.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (895 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-02832 Allegations: EXECUTIONS-FAILURE TO EXECUTE Type of Securities: WARRANTS/RIGHTS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $24,750.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 09/21/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (896 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-02829 Allegations: SUITABILITY; BRCH OF FIDUCIARY DT; MISREPRESENTATION; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: COMMON STOCK; LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/16/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $8,321.00 ** BROKERAGE FIRM ARBITRATION (897 of 993) ** NASD BrokerCheck October 12, 2005 Page 596 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-02799 Allegations: MISREPRESENTATION; SUITABILITY; EXECUTIONS-FAILURE TO EXECUTE Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $33,244.35 Disposition: AWARD AGAINST PARTY Disposition Date: 10/13/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $5,250.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (898 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-02775 Allegations: UNAUTHORIZED TRADING; SUITABILITY; CHURNING Type of Securities: GOVERNMENT SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $34,385.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/26/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (899 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-02765 Allegations: ACCOUNT RELATED-NEGLIGENCE; UNAUTHORIZED TRADING Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $5,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/03/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,500.00 ** BROKERAGE FIRM ARBITRATION (900 of 993) ** Type of Event: ARBITRATION Update: NO NASD BrokerCheck October 12, 2005 Page 597 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-02759 Allegations: SUITABILITY; CHURNING; ACCOUNT RELATED-BREACH OF CONTRACT; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $3,139,947.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 08/30/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (901 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-02667 Allegations: EXECUTIONS-FAILURE TO EXECUTE; MANIPULATION Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: OTHER COSTS, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 11/16/1989 Relief Awarded: OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $400.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (902 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-02665 Allegations: UNAUTHORIZED TRADING Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $5,000.01 Disposition: AWARD AGAINST PARTY Disposition Date: 08/01/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $4,191.85 ** BROKERAGE FIRM ARBITRATION (903 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 NASD BrokerCheck October 12, 2005 Page 598 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Case Number: 88-02654 Allegations: UNAUTHORIZED TRADING; EXECUTIONS-FAILURE TO EXECUTE Type of Securities: MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $2,250.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/25/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,500.00 ** BROKERAGE FIRM ARBITRATION (904 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-02640 Allegations: SUITABILITY; CHURNING; BRCH OF FIDUCIARY DT Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $101,641.00 Disposition: AWARD AGAINST PARTY Disposition Date: 03/16/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $90,684.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (905 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-02630 Allegations: BRCH OF FIDUCIARY DT; ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $70,464.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/16/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (906 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD NASD BrokerCheck October 12, 2005 Page 599 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Case Served Date: 01/01/1988 Case Number: 88-02551 Allegations: SUITABILITY; CHURNING Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/10/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (907 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-02542 Allegations: UNAUTHORIZED TRADING Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $20,750.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $6,173.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $6,173.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/16/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (908 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-02526 Allegations: MISREPRESENTATION Type of Securities: MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $6,046.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 05/15/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (909 of 993) ** NASD BrokerCheck October 12, 2005 Page 600 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/18/1988 Case Number: 88-02483 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $1,300,000.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $300,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 07/25/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL); ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (910 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-02461 Allegations: SUITABILITY; CHURNING; ACCOUNT RELATED - FAILURE TO SUPERVISE; OTHER Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $304,312.48; TREBLE DAMAGES, ASKED AMOUNT $0.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $304,312.48; TREBLE DAMAGES, ASKED AMOUNT $0.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 02/20/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $203,691.65 JOINTLY AND SEVERALLY; TREBLE DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $611,074.95 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $203,691.65 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $180,000.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $10,173.73 JOINTLY AND SEVERALLY; TREBLE DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $30,521.19 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $10,173.73 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (911 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-02413 Allegations: MISREPRESENTATION; SUITABILITY NASD BrokerCheck October 12, 2005 Page 601 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Securities: MUNICIPAL BOND FUNDS; MUTUAL FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $27,266.06 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 07/12/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (912 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/12/1988 Case Number: 88-02393 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $24,935.33 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $250,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: Not Provided Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (913 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 08/29/1988 Case Number: 88-02391 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $371,884.70 Disposition: AWARD AGAINST PARTY Disposition Date: 08/31/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $125,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (914 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-02375 NASD BrokerCheck October 12, 2005 Page 602 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Allegations: CHURNING; SUITABILITY Type of Securities: GINNIE MAES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $25,500.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/18/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $18,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (915 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-02357 Allegations: SUITABILITY; CHURNING; UNAUTHORIZED TRADING Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $357.20 Disposition: AWARD AGAINST PARTY Disposition Date: 01/03/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $510.81 ** BROKERAGE FIRM ARBITRATION (916 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 07/25/1988 Case Number: 88-02311 Allegations: Not Provided Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $407,384.67 Disposition: AWARD AGAINST PARTY Disposition Date: 01/30/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $63,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (917 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-02307 Allegations: SUITABILITY; CHURNING; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE Type of Securities: UNKNOWN TYPE OF SECURITIES NASD BrokerCheck October 12, 2005 Page 603 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $300,000.00; OTHER COSTS, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 01/23/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $50,000.00; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $5,000.00 ** BROKERAGE FIRM ARBITRATION (918 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-02306 Allegations: CHURNING; BRCH OF FIDUCIARY DT; SUITABILITY; ACCOUNT RELATED-NEGLIGENCE Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $30,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 01/23/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $30,000.00 ** BROKERAGE FIRM ARBITRATION (919 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-02293 Allegations: CHURNING; ACCOUNT RELATED-NEGLIGENCE; BRCH OF FIDUCIARY DT; UNAUTHORIZED TRADING Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $129,670.83 Disposition: AWARD AGAINST PARTY Disposition Date: 08/29/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $10,682.00 ** BROKERAGE FIRM ARBITRATION (920 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 12/19/1988 Case Number: 88-02290 Allegations: Not Provided Type of Securities: COMMON STOCK NASD BrokerCheck October 12, 2005 Page 604 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $37,736.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/20/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $23,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (921 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-02284 Allegations: ACCOUNT RELATED-MARGIN CALLS; TRADING DISPUTES-SELL OUTS Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $16,000.00; OTHER COSTS, ASKED AMOUNT $500.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 05/15/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (922 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-02250 Allegations: MISREPRESENTATION; SUITABILITY; CHURNING Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $83,900.33 Disposition: AWARD AGAINST PARTY Disposition Date: 08/23/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $53,000.00 ** BROKERAGE FIRM ARBITRATION (923 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-02210 Allegations: OMISSION OF FACTS; CHURNING; SUITABILITY Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $110,900.00 Disposition: AWARD AGAINST PARTY NASD BrokerCheck October 12, 2005 Page 605 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Disposition Date: 07/30/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $8,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (924 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-02197 Allegations: CHURNING Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $74,848.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/09/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $52,445.95 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (925 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-02184 Allegations: ACCOUNT RELATED-MARGIN CALLS; OMISSION OF FACTS; MISREPRESENTATION Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $100,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 08/28/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (926 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-02179 Allegations: OMISSION OF FACTS; SUITABILITY Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $5,765.09 NASD BrokerCheck October 12, 2005 Page 606 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Disposition: AWARD AGAINST PARTY Disposition Date: 07/06/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $5,765.09 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (927 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-02160 Allegations: MISREPRESENTATION; SUITABILITY; OMISSION OF FACTS; EXECUTIONS-FAILURE TO EXECUTE Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $32,633.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 03/28/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (928 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-02119 Allegations: SUITABILITY; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE; UNAUTHORIZED TRADING Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $18,123.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 06/22/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (929 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-02108 Allegations: UNAUTHORIZED TRADING; BRCH OF FIDUCIARY DT; ACCOUNT NASD BrokerCheck October 12, 2005 Page 607 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) RELATED-NEGLIGENCE Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/11/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $63,860.00 ** BROKERAGE FIRM ARBITRATION (930 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 07/07/1988 Case Number: 88-02096 Allegations: Not Provided Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $125,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 11/01/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $32,500.00 ** BROKERAGE FIRM ARBITRATION (931 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-02081 Allegations: CHURNING; BRCH OF FIDUCIARY DT; MISREPRESENTATION Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $280,829.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/29/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $21,380.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (932 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-02075 Allegations: EXECUTIONS-FAILURE TO EXECUTE Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $7,446.74; NASD BrokerCheck October 12, 2005 Page 608 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) INTEREST, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/31/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $3,633.33 JOINTLY AND SEVERALLY; INTEREST, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $602.33 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (933 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-02074 Allegations: MISREPRESENTATION; SUITABILITY Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $80,187.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/14/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $4,600.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (934 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-02038 Allegations: EXECUTIONS-FAILURE TO EXECUTE; ACCOUNT RELATED-NEGLIGENCE Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $232,293.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 05/10/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (935 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/30/1988 Case Number: 88-02025 NASD BrokerCheck October 12, 2005 Page 609 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $47,980.64 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,000.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $5,000.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/27/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (936 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-01924 Allegations: ACCOUNT RELATED-NEGLIGENCE Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $5,000.00; INTEREST, ASKED AMOUNT $0.00; OTHER COSTS, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 05/23/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (937 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-01895 Allegations: MISREPRESENTATION; BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $38,000.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 12/11/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF NASD BrokerCheck October 12, 2005 Page 610 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (938 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-01888 Allegations: OMISSION OF FACTS; SUITABILITY; MISREPRESENTATION; ACCOUNT RELATED-NEGLIGENCE Type of Securities: WARRANTS/RIGHTS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $25,656.25 Disposition: AWARD AGAINST PARTY Disposition Date: 02/01/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $25,656.25 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (939 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-01869 Allegations: BRCH OF FIDUCIARY DT; MISREPRESENTATION; ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $100,000.00; OTHER COSTS, ASKED AMOUNT $4,000.00; OTHER COSTS, ASKED AMOUNT $4,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 12/06/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $37,593.50 JOINTLY AND SEVERALLY; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $3,000.00 JOINTLY AND SEVERALLY; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $3,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (940 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-01866 Allegations: ACCOUNT RELATED-MARGIN CALLS; ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED-TRANSFER Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $2,600.00; OTHER COSTS, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED NASD BrokerCheck October 12, 2005 Page 611 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) AMOUNT $0.00 Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 05/22/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (941 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-01829 Allegations: BRCH OF FIDUCIARY DT; CHURNING; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $300,000.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $300,000.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 08/16/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (942 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-01823 Allegations: MISREPRESENTATION Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $37,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 03/30/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $24,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (943 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD NASD BrokerCheck October 12, 2005 Page 612 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Case Served Date: 01/01/1988 Case Number: 88-01773 Allegations: UNAUTHORIZED TRADING; ACCOUNT RELATED-BREACH OF CONTRACT; BRCH OF FIDUCIARY DT; SUITABILITY Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $60,750.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/27/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (944 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-01743 Allegations: SUITABILITY; MISREPRESENTATION; ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: OTHER TYPES OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $43,596.62 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $11,500.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $10,000.00 JOINTLY AND SEVERALLY; OTHER MONETARY RELIEF, ASKED AMOUNT $10,000.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/23/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER MONETARY RELIEF, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (945 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-01727 Allegations: SUITABILITY; UNAUTHORIZED TRADING Type of Securities: MUTUAL FUNDS; COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $2,491.09 Disposition: AWARD AGAINST PARTY Disposition Date: 05/22/1989 NASD BrokerCheck October 12, 2005 Page 613 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,241.09 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (946 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-01720 Allegations: UNAUTHORIZED TRADING Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $10,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 07/25/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (947 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: PRECRAFTIS Case Number: 88-01684 Allegations: UNKNOWN TYPE OF CONTROVERSY Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 07/14/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL) ** BROKERAGE FIRM ARBITRATION (948 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-01667 Allegations: ACCOUNT RELATED-NEGLIGENCE; MISREPRESENTATION; BRCH OF FIDUCIARY DT; OMISSION OF FACTS Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $117,177.50 Disposition: AWARD AGAINST PARTY Disposition Date: 08/01/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $11,200.00 NASD BrokerCheck October 12, 2005 Page 614 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (949 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-01605 Allegations: EXECUTIONS-FAILURE TO EXECUTE Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $631,156.00; INTEREST, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/01/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $111,750.00; INTEREST, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $21,232.50 ** BROKERAGE FIRM ARBITRATION (950 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-01571 Allegations: BRCH OF FIDUCIARY DT; ACCOUNT RELATED-BREACH OF CONTRACT; SUITABILITY; MISREPRESENTATION Type of Securities: CORPORATE BONDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $29,620.77 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $250,000.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/17/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (951 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-01569 Allegations: EXECUTIONS-FAILURE TO EXECUTE; BRCH OF FIDUCIARY DT; SUITABILITY Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $852,773.42 Disposition: AWARD AGAINST PARTY NASD BrokerCheck October 12, 2005 Page 615 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Disposition Date: 04/03/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $307,440.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (952 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-01553 Allegations: SUITABILITY; CHURNING Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $545,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/25/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $23,422.52 ** BROKERAGE FIRM ARBITRATION (953 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/09/1988 Case Number: 88-01489 Allegations: ACCOUNT RELATED-MARGIN CALLS Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $561,632.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/26/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $408,719.18 ** BROKERAGE FIRM ARBITRATION (954 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-01481 Allegations: MISREPRESENTATION; OMISSION OF FACTS; ACCOUNT RELATED-NEGLIGENCE Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $29,000.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $22,500.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $50,065.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $124,875.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $149,850.00 NASD BrokerCheck October 12, 2005 Page 616 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $124,875.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $14,400.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $33,174.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $1,000,000.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 04/30/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (955 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-01400 Allegations: MISREPRESENTATION; SUITABILITY; OTHER; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $16,209.58; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $14,924.60; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $882.05; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $4,454.54; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $43,322.21; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $26,070.88; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $4,575.63; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $35,157.85; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $2,681.37; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $68,693.70; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $2,793.82 Disposition: AWARD AGAINST PARTY Disposition Date: 08/28/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $6,648.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $6,648.00; ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $348.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $4,461.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $17,184.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $8,891.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,878.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $14,224.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,353.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $25,433.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $1,366.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (956 of 993) ** NASD BrokerCheck October 12, 2005 Page 617 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-01359 Allegations: BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $200,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 02/27/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $181,125.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (957 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: PRECRAFTIS Case Number: 88-01356 Allegations: UNKNOWN TYPE OF CONTROVERSY Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/26/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL) ** BROKERAGE FIRM ARBITRATION (958 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-01308 Allegations: OMISSION OF FACTS; SUITABILITY; UNAUTHORIZED TRADING; CHURNING Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $25,287.02; OTHER COSTS, ASKED AMOUNT $14,050.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/04/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $25,287.00 JOINTLY AND SEVERALLY; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $14,050.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (959 of 993) ** NASD BrokerCheck October 12, 2005 Page 618 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-01128 Allegations: MISREPRESENTATION; OMISSION OF FACTS Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $51,500.00 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; TREBLE DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 08/09/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; TREBLE DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (960 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-01115 Allegations: SUITABILITY; UNAUTHORIZED TRADING Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $191,176.95 Disposition: AWARD AGAINST PARTY Disposition Date: 05/17/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $138,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (961 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: PRECRAFTIS Case Number: 88-01103 Allegations: UNKNOWN TYPE OF CONTROVERSY Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 12/04/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL) NASD BrokerCheck October 12, 2005 Page 619 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (962 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-01062 Allegations: BRCH OF FIDUCIARY DT; ACCOUNT RELATED-NEGLIGENCE Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $126,802.67 JOINTLY AND SEVERALLY; INTEREST, ASKED AMOUNT $31,700.67 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 03/07/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (963 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-01010 Allegations: ACCOUNT RELATED-NEGLIGENCE; EXECUTIONS-OTHER Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $2,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/18/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (964 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-00997 Allegations: SUITABILITY; ACCOUNT RELATED-MARGIN CALLS Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $42,800.00 Disposition: AWARD AGAINST PARTY Disposition Date: 08/17/1989 NASD BrokerCheck October 12, 2005 Page 620 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $3,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (965 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-00895 Allegations: SUITABILITY; MISREPRESENTATION; ACCOUNT RELATED-NEGLIGENCE Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $8,429.57 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 08/24/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (966 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-00861 Allegations: MISREPRESENTATION; EXECUTIONS-FAILURE TO EXECUTE; UNAUTHORIZED TRADING Type of Securities: MUNICIPAL BOND FUNDS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $20,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 03/16/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $7,600.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (967 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-00814 Allegations: SUITABILITY; BRCH OF FIDUCIARY DT; UNAUTHORIZED TRADING Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $500,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/05/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $200,000.00 NASD BrokerCheck October 12, 2005 Page 621 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ** BROKERAGE FIRM ARBITRATION (968 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-00579 Allegations: ACCOUNT RELATED-NEGLIGENCE Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $3,500.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 05/10/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (969 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-00559 Allegations: SUITABILITY; BRCH OF FIDUCIARY DT; MISREPRESENTATION; OMISSION OF FACTS Type of Securities: CORPORATE BONDS; COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $100,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/23/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $17,526.93 ** BROKERAGE FIRM ARBITRATION (970 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-00533 Allegations: SUITABILITY; BRCH OF FIDUCIARY DT; CHURNING; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: OPTIONS; LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $220,661.58; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $220,661.58; OTHER COSTS, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/12/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED NASD BrokerCheck October 12, 2005 Page 622 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) (PARTIAL OR FULL), AWARD AMOUNT $42,502.00 JOINTLY AND SEVERALLY; ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $21,251.00 JOINTLY AND SEVERALLY; OTHER COSTS, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $3,750.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (971 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 05/31/1988 Case Number: 88-00448 Allegations: Not Provided Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $840,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 03/05/1991 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $170,798.91 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (972 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-00288 Allegations: SUITABILITY; MISREPRESENTATION; UNAUTHORIZED TRADING; EXECUTIONS-FAILURE TO EXECUTE Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $35,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 12/27/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (973 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-00214 Allegations: MISREPRESENTATION; OMISSION OF FACTS; BRCH OF FIDUCIARY DT NASD BrokerCheck October 12, 2005 Page 623 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $100,000.00; INTEREST, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 04/19/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $90,625.00 JOINTLY AND SEVERALLY; INTEREST, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $18,765.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (974 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-00165 Allegations: SUITABILITY; ACCOUNT RELATED-MARGIN CALLS; OMISSION OF FACTS; BRCH OF FIDUCIARY DT Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $65,465.00; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $57,001.38; ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $57,001.38; INTEREST, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 10/25/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; INTEREST, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (975 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-00147 Allegations: MISREPRESENTATION; SUITABILITY; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $76,908.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 05/24/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (976 of 993) ** Type of Event: ARBITRATION Update: YES NASD BrokerCheck October 12, 2005 Page 624 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-00138 Allegations: SUITABILITY; CHURNING; UNAUTHORIZED TRADING; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: LIMITED PARTNERSHIPS; OTHER TYPES OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $4,358,155.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/23/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,100,000.00; ATTORNEY'S FEES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $240,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (977 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 05/24/1988 Case Number: 88-00129 Allegations: CHURNING; MISREPRESENTATION Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $200,000.00; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 11/02/1992 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $164,810.70 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $50,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (978 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1988 Case Number: 88-00098 Allegations: EXECUTIONS-FAILURE TO EXECUTE Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $3,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY PAPERS Disposition Date: 03/19/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (979 of 993) ** Type of Event: ARBITRATION NASD BrokerCheck October 12, 2005 Page 625 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Update: YES Arbitration Forum: NASD Case Served Date: 02/11/1988 Case Number: 88-00097 Allegations: ACCOUNT RELATED-NEGLIGENCE; CHURNING; MISREPRESENTATION Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $74,704.00 Disposition: AWARD AGAINST PARTY Disposition Date: 09/26/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $146,943.67 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (980 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1987 Case Number: 87-02799 Allegations: UNAUTHORIZED TRADING; SUITABILITY; MISREPRESENTATION; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $91,327.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/29/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (981 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1987 Case Number: 87-02768 Allegations: EXECUTIONS-FAILURE TO EXECUTE; ACCOUNT RELATED-NEGLIGENCE; ACCOUNT RELATED-BREACH OF CONTRACT Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $39,600.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 05/31/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN NASD BrokerCheck October 12, 2005 Page 626 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (982 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1987 Case Number: 87-02657 Allegations: UNAUTHORIZED TRADING Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $59,249.00 Disposition: AWARD AGAINST PARTY Disposition Date: 12/20/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $35,878.50 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (983 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1987 Case Number: 87-02507 Allegations: CHURNING; ACCOUNT RELATED - FAILURE TO SUPERVISE Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $250,000.00 Disposition: AWARD AGAINST PARTY Disposition Date: 06/30/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $251,402.00 ** BROKERAGE FIRM ARBITRATION (984 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1987 Case Number: 87-02246 Allegations: SUITABILITY; MISREPRESENTATION; OMISSION OF FACTS Type of Securities: LIMITED PARTNERSHIPS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $100,000.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00; ATTORNEY'S FEES, ASKED AMOUNT $0.00 Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 06/30/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST NASD BrokerCheck October 12, 2005 Page 627 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (985 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1987 Case Number: 87-02090 Allegations: UNKNOWN TYPE OF CONTROVERSY Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $144,831.00 Disposition: AWARD AGAINST PARTY Disposition Date: 05/12/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $8,990.00 ** BROKERAGE FIRM ARBITRATION (986 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 02/09/1988 Case Number: 87-02041 Allegations: Not Provided Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $5,925.00 Disposition: AWARD AGAINST PARTY Disposition Date: 10/28/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $2,100.00 ** BROKERAGE FIRM ARBITRATION (987 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1987 Case Number: 87-02002 Allegations: CHURNING; MISREPRESENTATION; SUITABILITY; BRCH OF FIDUCIARY DT Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $100,000.00 JOINTLY AND SEVERALLY; PUNITIVE/EXEMPLARY DAMAGES, ASKED AMOUNT $5,000.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 08/15/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; PUNITIVE/EXEMPLARY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF NASD BrokerCheck October 12, 2005 Page 628 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (988 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: 01/01/1987 Case Number: 87-01787 Allegations: SUITABILITY; MISREPRESENTATION; OMISSION OF FACTS; BRCH OF FIDUCIARY DT Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $84,572.61 Disposition: AWARD AGAINST PARTY Disposition Date: 10/12/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $22,000.00 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (989 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 10/27/1987 Case Number: 87-01738 Allegations: ACCOUNT RELATED-NEGLIGENCE; SUITABILITY; MISREPRESENTATION Type of Securities: OPTIONS Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $67,005.47 Disposition: AWARD AGAINST PARTY Disposition Date: 09/26/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $91,992.66 JOINTLY AND SEVERALLY ** BROKERAGE FIRM ARBITRATION (990 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 01/01/1987 Case Number: 87-01591 Allegations: MANIPULATION; CHURNING Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $94,821.00 JOINTLY AND SEVERALLY; OTHER COSTS, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY; ATTORNEY'S FEES, ASKED AMOUNT $0.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 05/11/1989 NASD BrokerCheck October 12, 2005 Page 629 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL; OTHER COSTS, RELIEF REQUEST HAS BEEN DENIED IN FULL; ATTORNEY'S FEES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (991 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: PRECRAFTIS Case Number: 87-00970 Allegations: UNKNOWN TYPE OF CONTROVERSY Type of Securities: UNKNOWN TYPE OF SECURITIES Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $0.00 Disposition: AWARD AGAINST PARTY Disposition Date: 10/02/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL) ** BROKERAGE FIRM ARBITRATION (992 of 993) ** Type of Event: ARBITRATION Update: NO Arbitration Forum: NASD Case Served Date: 06/30/1988 Case Number: 87-00426 Allegations: Not Provided Type of Securities: Not Provided Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $400,000.00 JOINTLY AND SEVERALLY Disposition: CASE IS CLOSED, BY HEARING Disposition Date: 11/14/1990 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF REQUEST HAS BEEN DENIED IN FULL ** BROKERAGE FIRM ARBITRATION (993 of 993) ** Type of Event: ARBITRATION Update: YES Arbitration Forum: NASD Case Served Date: PRECRAFTIS Case Number: 87-00321 Allegations: SUITABILITY; BRCH OF FIDUCIARY DT; CHURNING Type of Securities: COMMON STOCK Relief Asked: ACTUAL/COMPENSATORY DAMAGES, ASKED AMOUNT $141,134.00 Disposition: AWARD AGAINST PARTY Disposition Date: 07/12/1989 Relief Awarded: ACTUAL/COMPENSATORY DAMAGES, RELIEF HAS BEEN AWARDED (PARTIAL OR FULL), AWARD AMOUNT $21,998.93 JOINTLY AND SEVERALLY NASD BrokerCheck October 12, 2005 Page 630 This information is current as of: 10/12/2005 ________________________________________________________________________________ NASD Member Firm: LEHMAN BROTHERS INC. CRD Number: 7506 BROKERAGE FIRM ARBITRATIONS(cont.) ************ END OF REPORT ************