Lehman Bros. pulls a Baghdad Bob as its shares plummet

from Bloomberg:



Lehman's Fuld Says Liquidity Concern `Off the Table' (Update1)

By Yalman Onaran and Jeff Kearns

March 17 (Bloomberg) -- Lehman Brothers Holdings Inc. Chief Executive Officer Richard Fuld said the Federal Reserve's move to provide funding to brokers should alleviate investor concern that Wall Street firms may face cash shortages.

``The Federal Reserve's decision to create a lending facility for primary dealers and permit a broad range of investment grade securities to serve as collateral improves the liquidity picture and, from my perspective, takes the liquidity issue for the entire industry off the table,'' Fuld said in a statement today.

Fuld, who presides over the fourth-largest U.S. securities firm, made the statement as his company's shares declined more than 15 percent in New York trading. Smaller rival Bear Stearns Cos. yesterday agreed to be acquired by JPMorgan Chase & Co. for $2 a share, 90 percent below the company's market value last week, after the company faced a run on its assets that raised the prospect of bankruptcy.

The Federal Reserve, aiming to prevent a meltdown in financial markets, yesterday cut the rate on direct loans to banks and became lender of last resort to the biggest dealers in U.S. government bonds.

Lehman declined $6.98, or 17.8 percent, to $30.51 at 9:40 a.m. in New York Stock Exchange composite trading, the biggest drop since the firm was spun off from America Express Co. in 1994. The stock has lost about 52 percent of its value this year. ......(more)

The complete piece is at: http://www.bloomberg.com/apps/news?pid=20601087&sid=aSEbPERHCk3Q&refer=home

let the bastards go under. since we do not have a laws to throw these guys in prison let them go down like everyone else they have conned...

From last week.

http://www.businessweek.com/ap/financialnews/D8VAQFS80.htm



And by Friday it had sold for $2 per share


Sid