EXHIBIT 99.3
LEHMAN BROTHERS HOLDINGS INC.
CONSOLIDATED STATEMENT OF INCOME
(Preliminary and Unaudited)
(In millions, except per share data)
Three Months Ended % Change from
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Aug 31 May 31 Aug 31 May 31 Aug 31
2003 2003 2002 2003 2002
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Revenues:
Principal transactions $1,203 $1,275 $ 234
Investment banking 458 432 427
Commissions 314 299 357
Interest and dividends 2,467 2,445 3,048
Other 21 19 9
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Total revenues 4,463 4,470 4,075
Interest expense 2,116 2,179 2,728
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Net revenues 2,347 2,291 1,347 2% 74%
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Non-interest expenses:
Compensation and benefits 1,174 1,168 687
Technology and communications 150 147 140
Brokerage and clearance fees 96 90 87
Occupancy 76 73 73
Business development 36 37 37
Professional fees 35 41 36
Other 31 30 18
Global real estate reconfiguration - 77 -
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Total non-interest expenses 1,598 1,663 1,078 (4)% 48%
Income before taxes and dividends on trust
issued securities 749 628 269
Provision for income taxes 250 173 61
Dividends on trust issued securities 19 18 14
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Net income $480 $437 $194 10% 147%
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Net income applicable to common stock $469 $426 $183 10% 156%
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Earnings per common share
Basic $1.92 $1.76 $0.74
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Diluted $1.81 $1.67 $0.70
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