AP writes "Money fund casualty to return most remaining cash", which says Reserve Primary Fund, which says, "A money-market mutual fund that once held more than $60 billion before it 'broke the buck' and collapsed due to its ties to the doomed Lehman Brothers is returning nearly all its remaining cash to investors. Reserve Management Co. said it will return about $215 million, perhaps as soon as Friday, to Reserve Primary Fund shareholders. It's the seventh of the partial payouts the fund has made since its September 2008 collapse. The fund disintegrated after announcing that the $785 million it held in Lehman debt had become worthless when the investment bank filed for bankruptcy protection. Money funds put clients' cash to work by investing in short-term debt and other safe investments so they can ensure clients can get back at least a dollar for each dollar put in. After the latest distribution, announced Friday, New York-based Reserve Management says 99 percent of what the fund held at the peak of the financial crisis will have been returned. About $108 million remains to cover legal and management costs."
