Lehman To Lose $3.9 Billion

Lehman Brothers said this morning that it expects to lose $3.9 billion for the third quarter, or $5.92 a share. The bank will spin off spin off to its shareholders $25 billion to $30 billion of commercial mortgages into a new public company called to be called Real Estate Investments Global. LEH also has plans to sell a majority stake in its investment management division. And they are "committed to examining all strategic alternatives," including a complete takeover (though no one actually said that). According to CEO Dick Fuld, "Intense public scrutiny has been a distraction for clients and employees."