Business Context and Reporting Period
This Form 8-K is a current report filed by Lehman ABS Corporation on behalf of the Corporate Backed Trust Certificates, Goldman Sachs Capital I Securities-Backed Series 2004-6 Trust. The report covers the period ending November 15, 2008, with a filing date of November 17, 2008. The Trust is a wholly-owned, indirect subsidiary of Lehman Brothers Holdings Inc. (LBHI), which filed for Chapter 11 bankruptcy on September 15, 2008. Following the bankruptcy and the sale of LBHI's investment banking business to Barclays Capital, the Registrant discontinued its securitization business, resulting in a delay in filing this report.
Key Financial Metrics
The filing does not provide specific numerical values for revenue, profit, cash flow, margins, debt, or liquidity. The Trust's primary asset consists of junior subordinated debentures issued by The Goldman Sachs Group, Inc. The filing notes that no distribution was scheduled or made to certificate holders on November 17, 2008. Interest payments on the underlying securities are scheduled to be received only on February 15 and August 15 of each year.
Material Changes
- Swap Agreement Termination: The September 15, 2008 bankruptcy filing of LBHI triggered an "Event of Default" under the Interest Rate Swap agreement. This constituted a Swap Agreement Termination Event but was not a Trust Termination Event.
- Cessation of Payments: As a result of the termination event, no further payments are required to be made by the Trust to the Swap Counterparty, and no further payments are expected to be received from the Swap Counterparty.
- Distribution Schedule Change: Due to the Swap Agreement Termination Event, the distribution frequency changed from quarterly (February, May, August, November) to semi-annual (February and August only).
Outlook, Risks, and Management Commentary
The Trustee will apply interest received on the Underlying Securities as set forth in the Series Supplement. The filing explicitly states that neither Lehman ABS Corporation nor the Trustee has verified the accuracy or completeness of reports filed by The Goldman Sachs Group, Inc., the issuer of the underlying securities. There is no assurance that events affecting the issuer or the underlying securities have not occurred that would impact the accuracy of publicly available documents. No other reportable transactions or matters occurred during the current reporting period.
Investor Verification Checklist
- Verify the current status and creditworthiness of The Goldman Sachs Group, Inc., the issuer of the underlying junior subordinated debentures.
- Confirm the specific terms regarding the application of interest received on Underlying Securities following the Swap Agreement Termination Event.
- Review the Trustee's Statement (Exhibit 99.1) for detailed financial data not included in the main body of this 8-K.
- Monitor for any future Trust Termination Events that may differ from the current Swap Agreement Termination Event status.