Thursday, September 11, 2008

Lehman Selling Itself By Sunday; WaMu Continues Plummeting

Yesterday, Lehman Brothers. released its Third Quarter report early in an effort to reassure investors and save itself.

Didn't work. Today the bank's shares fell another 41%. Tonight they're looking for a buyer. Chair Richard Fuld is in talks with Barclay's Bank of Britain, as well as Bank of America. Uh Oh.

Fuld is also a Director at the New York Fed, and he's seeking assurances that any sale will be guaranteed in a way similar to that of Bear Stearns sale to JPMorgan back in March.

WaPo says this is even more of a done deal than the NYTimes, and that the Treasury is involved. Shocker. Instead of another Late Friday Rumor, we've got it on Thursday; expect an announcement no later than Sunday Night ahead of the opening of the Asian markets.

Meanwhile, Washington Mutual stock declined 50% over the past two days. Will anybody be stepping in to rescue these jokers, or will a big bank finally be allowed to fail?

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