Lehman Brothers Announces Nearly $4 Billion Loss

After its shares fell amid news it failed to get a strategic investment--and pushed the Dow Jones 280 points lower--yesterday, Lehman Brothers said it lost almost $4 billion during the third quarter. Per CNN Money, "It was Lehman's biggest quarterly loss since the firm went public in 1994, exceeding a $2.8 billion loss announced in June," (analysts were expecting a $1.99 billion loss). The investment bank is planning a major restructuring, spinning off most of its real estate assets and selling its investment management division. However, an analyst said of the spinoff, “It’s not a good sign. It’s really a sign of the illiquidity in the markets — that no one wants to buy these assets.”