Profits slip at Lehman Brothers

Confirming a downward blip last spring in Wall Street profits, Lehman Brothers revealed that its second quarter earnings this year slipped from first quarter levels. Lehman, which in recent weeks has been widely seen as a takeover target, said its net earnings for the quarter totalled $121m (pounds 73m), down from $144m in the first quarter. Even so, the second quarter earnings compared favourably with the same quarter last year, when they came in at $108m.

"Overall, the first half of 1997 was a very good one for the firm," commented Richard Fuld, Lehman's chairman and chief executive. "Despite an extremely difficult trading and underwriting environment in March and April, the second quarter earnings reflect continued progress in building on Lehman Brothers' position as a leading global investment bank."