Lehman Brothers sitting on a stockpile of uranium 'yellowcake'

Lehman's nuclear stockpile is a hangover from a trading contract undertaken before the Wall Street bank collapsed last year

The rump of the bankrupt bank Lehman Brothers is sitting on a stockpile of 450,000 lb of uranium "yellowcake" which could be used to power a nuclear reactor or, theoretically, to make a bomb.

Lehman's potentially explosive asset is a hangover from a commodities trading contract undertaken before the Wall Street bank went bust in September. The substance, yellowcake, is a solid form of mined uranium which is yet to be enriched.

Liquidators have been trying to offload the stuff for months. But the price of uranium has been dropping steadily, leaving Lehman's yellowcake languishing in a variety of secure storage facilities, some of which are in Canada.

Bryan Marshal, Lehman's chief executive, who was appointed to salvage value for creditors, told Bloomberg News that the stockpile, which is worth about $18m, would be sold responsibly.

"We plan on gradually selling this material over the next two years," he said. "We are not dumping this on the market and have no fire-sale mentality."

Saddam should have lived long enough to see this one :eek: