Lehman Brothers to report $2.7b in losses

Lehman Brothers to report $2.7b in losses
Jun 09, 2008
AFP

NEW YORK - INVESTMENT giant Lehman Brothers is set to announce losses surpassing US$2 billion (S$2.7 billion) for the second quarter or 2008 - far more than the US$300 million predicted by analysts, the Wall Street Journal reported.

The US financial daily reported on its website on Sunday that Lehman was close to raising some US$5 billion in fresh capital from various investors, in hopes of stemming a rumoured liquidity crisis.

Analysts have said Lehman, like many of its rivals, is trying to weather a widespread credit crunch unleashed in part by the United States housing slump.

The Journal reported that Lehman stock has lost about 50 per cent of its value this year as investors fret over its exposure to the mortgage market. -- AFP