by Calculated Risk on 9/11/2008 12:38:00 PM

UPDATE: From Reuters: Goldman Sachs is not buying Lehman - sources

From Bloomberg: Lehman Said to Be in Talks With Potential Buyers as Shares Drop

Lehman Brothers Holdings Inc. entered into talks with potential buyers of the securities firm after Moody's Investors Service said the company must find a ``stronger financial partner'' and the shares plummeted.

Bankers from other firms are reviewing Lehman's books today, people with knowledge of the situation said ...

Yves Smith at Naked Capitalism broke this earlier: Lehman End Imminent

I heard this rumor from two sources, that Lehman is in its final day or two and Goldman is willing to buy the firm, and the second source, who volunteered the information, is sufficiently well plugged in that I trust the reading. This came from a former senior employee:

A couple friends of mine from LEH trading desk called me this a.m. to say that mgmt has taken employees aside to let them know that the end should come in next 24-48 hours. Ratings agencies apparently told them that the steps were not sufficient to prevent a d/g, and LEH mgmt asked them to hold off for a day or so to give them a chance to resolve situation (with sale of company).

Apparently GS is willing buyer, but is buyer of last resort from LEH's perspective, b/c they would keep very few LEH employees.