The fate of Lehman Brothers is still to be determined, as the Wall Street Journal reports that it has become "increasingly clear that a clean sale of the entire firm to a big bank would be too difficult to execute." More "high-level talks were held Saturday" --including participants like Treasury Secretary Henry Paulson, who doesn't want the government to bail out the bank a la Bear Stearns. One possibility: Lehman might be sold in pieces. One employee described the company's Midtown headquarters as a "morgue" to the Daily News, who also spoke to local restaurants who say their business would go down 25-50% if Lehman folds. Update: The NY Times reports this afternoon that Barclays, considered the leading contender to buy all or part of Lehman, says that it could not reach a deal without financial support from the federal government or other banks. Thus it looks likely that Lehman will have to liquidate.