September 12, 2008 (Friday): Will Lehman Find a Buyer?; How Harvard's Endowment Did

Published Sept. 12, 2009 at 4:00 a.m.

Lehman Awaits Buyout Bids

With the future of Lehman Brothers on the line, three options seem clear: a sale of Lehman, a bankruptcy filing or a desperate attempt to somehow continue in business. Top executives spent the day in meetings as possible takeover bids over the weekend loom. The most likely buyers are seen as Bank of America and Barclays—but a deal is far from certain. Federal officials want Lehman to conclude a deal by Sunday evening. With the future so cloudy, many employees rush to prepare their resumes. (For more on this news, click here and here.)

Newest Economic Numbers Are a Mixed Bag

Economic news released by the government today sends mixed signals. Though the Producer Price Index report for August eases fears about inflation, the retail sales report is discouraging. “It’s a ray of hope on the inflationary front, but dark clouds on the horizon for consumers,” the chief economist at Merk Mutual Funds tells the New York Times. “If you’re not confused, you’re not paying attention.” Worried consumers rolled back spending on retail goods and food, causing a 0.3 percent dip in August after a 0.5 percent monthly drop in July, according to the Commerce Department. Economists had been expecting an increase of 0.2 percent. (For more on this news, click here.)

Fatal Train Crash in Los Angeles

In a Los Angeles suburb, a commuter train and a freight train collide, killing 25 people and injuring more than 130. The engineer of the Metrolink commuter train is faulted for failing to heed a traffic signal. (For more on this news, click here.)

Harvard Endowment Posts 8.6% Return

Harvard University’s endowment reports a return of 8.6% for the year ended June 30—well below the 23% return seen in the previous fiscal year. The returns lifted the value of Harvard’s endowment to $36.9 billion. (For more on this news, click here.)

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