Lehman brothers, another big US financial institution going down.
- Lehman Brothers Holdings (LEH) had a large exposure to commercial real estate. So falling real estate prices have ####ed up Lehman brothers.
- A lot of other banks worldwide are going to get affected (read this BBC article) because of their complex derivatives contract with Lehman. I have no idea whether a chain reaction will screw more banks.
- According to this article "subsidiaries of Lehman will remain solvent while the firm liquidates its holdings." So what about the investments Lehman has in Indian markets? will Lehman liquidate its holdings in India too?