<PAGE>
Filed Pursuant to Rule 424B3
Registration No. 333-50197
INTERNATIONAL PROSPECTUS SUPPLEMENT
(To prospectus supplement and prospectus, each dated March 23, 1999)
$1,250,000,000
LEHMAN BROTHERS HOLDINGS INC.
6.625% NOTES DUE 2004
Application has been made to list the 6.625% Notes due 2004 on the
Luxembourg Stock Exchange. The Notes are described in the attached prospectus
supplement and prospectus.
The Luxembourg Stock Exchange takes no responsibility for the contents of
this document, makes no representation as to its accuracy or completeness and
expressly disclaims any liability whatsoever for any loss however arising from
or in reliance upon the whole or any part of the contents of this document and
the attached prospectus supplement and prospectus.
Lehman Brothers Holdings Inc. ("Holdings") accepts responsibility for the
information contained in this document and the attached prospectus supplement
and prospectus.
Holdings undertakes to provide you, without charge, a copy of any and all of
the documents incorporated by reference in the attached prospectus (other than
exhibits to such documents unless such exhibits are specifically incorporated by
reference into such prospectus). Written or oral requests for such copies should
be directed to the Controller's Office, Lehman Brothers Holdings Inc., 3 World
Financial Center, New York, New York 10285, USA (212) 526-0660.
This document and the attached prospectus supplement and prosectus, together
with the documents incorporated by reference herein, will be available free of
charge at the office of Kredietbank S.A., Luxembourgeoise, 43, Boulevard Royal,
L-2955 Luxembourg.
Notices to holders of the Notes will be published in a leading daily
newspaper in The City of New York, in London, and, so long as the Notes are
listed on the Luxembourg Stock Exchange, in Luxembourg. It is expected that
publication will be made in The City of New York in THE WALL STREET JOURNAL, in
London in the FINANCIAL TIMES, and in Luxembourg in the LUXEMBOURGER WORT. Any
such notice shall be deemed to have been given on the date of such publication
or, if published more than once, on the date of the first such publication.
- --------------------------------------------------------------------------------
LEHMAN BROTHERS
ABN AMRO INCORPORATED BEAR, STEARNS & CO. INC.
CHASE SECURITIES INC. FIRST CHICAGO CAPITAL MARKETS, INC.
HSBC MARKETS NATIONSBANC MONTGOMERY SECURITIES LLC
BARCLAYS CAPITAL BAYERISCHE LANDESBANK GIROZENTRALE
COMMERZBANK AKTIENGESELLSCHAFT DRESDNER KLEINWORT BENSON
GREENWICH NATWEST ING BARINGS/BBL
PARIBAS SOCIETE GENERALE
WESTDEUTSCHE LANDESBANK GIROZENTRALE
March 23, 1999
<PAGE>
CONSOLIDATED CAPITALIZATION OF
LEHMAN BROTHERS HOLDINGS INC. AND SUBSIDIARIES
The following table set forth the audited consolidated capitalization of
Holdings and its subsidiaries as of November 30, 1998.
<TABLE>
<CAPTION>
AT NOVEMBER 30, 1998
(IN MILLIONS)
----------------------
<S> <C>
COMMERCIAL PAPER AND SHORT-TERM DEBT.................................. $ 6,657
LONG-TERM DEBT:
Senior notes(1)..................................................... 23,873
Subordinated debt(1)................................................ 3,468
-------
TOTAL LONG-TERM DEBT................................................ 27,341
-------
TOTAL COMMERCIAL PAPER, SHORT- AND LONG-TERM DEBT................... 33,998
-------
STOCKHOLDERS' EQUITY:
Preferred Stock..................................................... 908
Common Stock: $0.10 par value; 300,000,000 shares authorized; shares
issued: 121,801,123; shares outstanding: 113,657,877.............. 12
Additional paid-in capital.......................................... 3,534
Accumulated other comprehensive income (net of tax)................. 15
Retained earnings................................................... 1,105
Other stockholders' equity, net..................................... 269
Common stock in treasury at cost: 8,143,246......................... (430)
-------
TOTAL STOCKHOLDERS' EQUITY.......................................... 5,413
-------
TOTAL COMMERCIAL PAPER, SHORT- AND LONG-TERM DEBT AND STOCKHOLDERS'
EQUITY.............................................................. $ 39,411
-------
-------
</TABLE>
- ------------------------
(1) Long-term debt is as follows:
<TABLE>
<CAPTION>
U.S. DOLLAR NON-U.S. DOLLAR
---------------------- ---------------------- TOTAL AT
FIXED FLOATING FIXED FLOATING NOVEMBER 30,
RATE RATE RATE RATE 1998
--------- ----------- --------- ----------- --------------
(IN MILLIONS)
<S> <C> <C> <C> <C> <C>
Senior notes
Maturing in fiscal 1999............................. $ 1,560 $ 2,664 $ 939 $ 172 $ 5,335
Maturing in fiscal 2000............................. 3,178 2,875 524 309 6,886
Maturing in fiscal 2001............................. 1,281 793 115 198 2,387
Maturing in fiscal 2002............................. 1,349 886 39 799 3,073
Maturing in fiscal 2003............................. 1,661 506 119 573 2,859
December 1, 2003 and thereafter..................... 1,836 411 749 337 3,333
--------- ----------- --------- ----------- -------
Total senior notes.................................. 10,865 8,135 2,485 2,388 23,873
Subordinated debt.....................................
Maturing in fiscal 1999............................. 334 7 341
Maturing in fiscal 2000............................. 192 192
Maturing in fiscal 2001............................. 194 194
Maturing in fiscal 2002............................. 250 42 292
Maturing in fiscal 2003............................. 475 475
December 1, 2003 and thereafter..................... 1,755 201 18 1,974
--------- ----------- --------- ----------- -------
Total subordinated debt............................. 3,200 250 18 3,468
Total long-term debt.................................. $ 14,065 $ 8,385 $ 2,503 $ 2,388 $ 27,341
</TABLE>
Except as set forth in the attached prospectus supplement and prospectus,
there has been no material change in the capitalization of Holdings since
November 30, 1998 to the date of this document.
IS-2
<PAGE>
LEHMAN BROTHERS HOLDINGS INC. AND CONSOLIDATED SUBSIDIARIES
SELECTED FINANCIAL DATA
(IN MILLIONS OF U.S. DOLLARS)
<TABLE>
<CAPTION>
TWELVE MONTHS ENDED
ELEVEN MONTHS NOVEMBER 30,
ENDED NOVEMBER 30, -------------------------------------------
1994 1995 1996 1997 1998
-------------------- --------- --------- --------- ----------
<S> <C> <C> <C> <C> <C>
OPERATING RESULTS
Net revenues................................. $ 2,738 3,071 3,444 3,873 4,113
Total non-interest expense................... 2,545 2,702 2,807 2,936 3,061
Income before taxes.......................... 193 369 637 937 1,052
Net income................................... 113 242 416 647 736
BALANCE SHEET
ASSETS:
Cash and cash equivalents.................... 964 874 2,149 1,685 3,055
Securities and other financial instruments
owned...................................... 47,473 53,021 61,453 76,862 77,000
Collateralized short-term agreements......... 48,107 52,524 52,991 57,752 58,722
Receivables.................................. 10,490 6,471 9,944 12,838 11,965
Property, equipment and leasehold
improvements (net of accumulated
depreciation and amortization)............. 619 495 477 468 505
Other assets................................. 686 793 722 787 1,297
Total assets................................. 109,947 115,303 128,596 151,705 153,890
LIABILITIES AND STOCKHOLDERS' EQUITY:
Securities and other financial instruments
sold but not yet purchased................. 17,030 21,814 26,364 30,080 28,803
Collateralized short-term financing.......... 60,046 61,001 62,415 71,050 70,895
Payables..................................... 5,657 6,864 8,586 13,857 10,525
Accrued liabilities and other payables....... 2,691 2,926 3,233 4,116 4,256
Long-term debt............................... 11,321 12,765 15,922 20,261 27,341
Total liabilities............................ 106,552 111,605 124,722 147,182 148,477
Total stockholders' equity................... 3,395 3,698 3,874 4,523 5,413
</TABLE>
IS-3
<PAGE>
DIRECTORS AND PRINCIPAL EXECUTIVE OFFICERS
OF LEHMAN BROTHERS HOLDINGS INC.
The Directors and Executive Officers of Holdings are as follows:
<TABLE>
<CAPTION>
PRINCIPAL OCCUPATION
------------------------------------------------------------
<S> <C>
DIRECTORS
Richard S. Fuld, Jr.......... Chairman and Chief Executive Officer
Michael L. Ainslie........... Former President and Chief Executive Officer, Sotheby's
Holdings
John F. Akers................ Retired Chairman, International Business Machines
Corporation
Roger S. Berlind............. Theatrical Producer
Thomas H. Cruikshank......... Retired Chairman and Chief Executive Officer, Halliburton
Company
Dr. Henry Kaufman............ President, Henry Kaufman & Company, Inc.
Hideichiro Kobayashi......... Director and General Manager for the Americas, Nippon Life
Insurance Company
John D. Macomber............. Principal, JDM Investment Group
Dina Merrill................. Director and Vice Chairman, RKO Pictures, Inc.
EXECUTIVE OFFICERS
Richard S. Fuld, Jr.......... Chairman and Chief Executive Officer
John L. Cecil................ Managing Director, Chief Financial Officer and Chief
Administrative Officer
Joseph M. Gregory............ Managing Director, Head of Global Equities
Bradley H. Jack.............. Managing Director, Co-Head of Investment Banking
Bruce R. Lakefield........... Managing Director, Chairman, Lehman Brothers Europe
Stephen M. Lessing........... Managing Director, Head of Global Sales and Research
Kevin J. McGilloway.......... Managing Director, Chief Information Officer
Michael F. McKeever.......... Managing Director, Co-Head of Investment Banking
Maryanne Rasmussen........... Managing Director, Chief Human Resources Officer
Mark Rufeh................... Managing Director, Chief Operations Oficer
Thomas A. Russo.............. Managing Director, Chief Legal Officer
Jeffrey Vanderbeek........... Managing Director, Head of Global Fixed Income
Jarett F. Wait............... Managing Director, Chief Operating Officer, Lehman Brothers
Asia
</TABLE>
IS-4
<PAGE>
GENERAL INFORMATION
Application has been made to list the Notes on the Luxembourg Stock
Exchange. In connection with the listing application, the Certificate of
Incorporation and the By-Laws of Holdings and a legal notice relating to the
issuance of the Notes have been deposited prior to listing with GREFFIER EN CHEF
DU TRIBUNAL D'ARRONDISSEMENT DE ET A LUXEMBOURG, where copies thereof may be
obtained upon request. Copies of the above documents together with this
document, the attached prospectus supplement and the accompanying prospectus,
the Indenture and Holdings' current Annual and Quarterly reports, as well as all
future Annual Reports and Quarterly Reports, so long as any of the Notes are
outstanding, will be made available for inspection at the main office of
Kredietbank S.A Luxembourg, in Luxembourg. Kredietbank S.A. in Luxembourg will
act as intermediary between the Luxembourg Stock Exchange and Holdings and the
holders of the Notes. In addition, copies of the Annual Reports and Quarterly
Reports of Holdings may be obtained free of charge at such office.
Except as disclosed or contemplated herein or in the attached prospectus
supplement or prospectus (including the documents incorporated therein by
reference), there has been no material adverse change in the financial position
of Holdings since November 30, 1998.
The independent auditors of Holdings are Ernst & Young LLP, New York, New
York.
Neither Holdings nor any of its subsidiaries is involved in litigation,
arbitration, or administrative proceedings relating to claims or amounts that
are material in the context of the issue of the Notes. Holdings is not aware of
any such litigation, arbitration, or administrative proceedings pending or
threatened.
Resolutions relating to the issue and sale of the Notes were adopted by
Holdings Board of Directors on April 6, 1998.
The Notes have been accepted for clearance through Euroclear and Cedelbank
and have been assigned Common Code No. 9613471, International Security
Identification Number (ISIN) US524908BZ26 and CUSIP No. 524908BZ2.
IS-5
<PAGE>
PRINCIPAL EXECUTIVE OFFICE OF HOLDINGS
Lehman Brothers Holdings Inc.
3 World Financial Center
New York, New York 10285
TRUSTEE
Citibank, N.A.
Corporate Trust Office
111 Wall Street
New York, New York 10043
LUXEMBOURG STOCK EXCHANGE LISTING AND PAYING AGENT
Kredietbank S.A. Luxembourgeoise
43, Boulevard Royal
L-2955 Luxembourg
LEGAL ADVISERS TO THE UNDERWRITERS
Simpson Thacher & Bartlett
425 Lexington Avenue
New York, New York 10017
INDEPENDENT AUDITORS
Ernest & Young LLP
787 Seventh Avenue
New York, New York 10019
IS-6
