Wednesday, Aug 22, 2007
Lehman Brothers kisses bye-bye to their subprime business
New York Times: Lehman Closes Subprime Unit and Lays Off 1,200
Well, that's more that 4% of their workforce gone. Still, it's 4% fewer people clamouring for bonuses at Xmas time
"Lehman Brothers, a leader in packaging subprime mortgages into securities, is shutting down one of its home lending units and laying off 1,200 employees. The bank said it would take a $52 million hit to third-quarter earnings.
“Lehman Brothers announced today that market conditions have necessitated a substantial reduction in its resources and capacity in the subprime space,” the firm said in a news release.
Lehman’s decision to shutter the lending unit, BNC Mortgage, makes it the latest casualty in the subprime mortgage meltdown that started earlier this year and rippled into the broader credit markets starting in late July. "
- If you do not have an admin password leave the password field blank.
- If you would like to request a password allowing you to add comments and blog news articles without needing each one approved manually, send an e-mail to the webmaster.
- Your email address is required so we can verify that the comment is genuine. It will not be posted anywhere on the site, will be stored confidentially by us and never given out to any third party.
- Please note that any viewpoints published here as comments are user's views and not the views of HousePriceCrash.co.uk.
- Please adhere to the Guidelines
No comments have been submitted.
Be the first person to add your comment by completing the form below.