Lehman investors get reassurance

0 Comments | USA TODAY, June, 2008 | by Greg Farrell

NEW YORK -- Lehman Bros. CEO Richard Fuld seemed to reassure shareholders about the investment bank's future Monday after he took responsibility for its $2.8 billion loss in the second quarter and added his belief that the firm can continue to "go it alone."

Lehman shares closed at $27.20, up 5.4%, after a conference call with analysts to discuss the company's first quarterly loss since going public in 1994.

Last week's pre-announcement of the loss in the quarter ended May31 led some investors to question whether Lehman could survive as an independent entity. But Fuld's efforts to contain the damage mean that "They're not going to be acquired," says Richard Bove of Ladenburg Thalmann. "There's no reason for them to give up their independence."

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