Wednesday, July 18, 2007

Bear Stearns, Lehman Bond Risk Soar As Worries About Subprime Losses Grow

(Bloomberg) -- The risk of owning securities firms'
bonds surged, as Bear Stearns Cos. informed its hedge-fund
investors of ``unprecedented declines'' in the value of the
highest-rated securities backed by subprime mortgages.

Lehman Brothers Holdings Inc. and Bear Stearns, both based
in New York, led the jump in risk premiums, which reached their
highest levels since November 2002, credit-default swaps show.


Read more at Bloomberg Bonds News

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