by Calculated Risk on 9/14/2008 05:00:00 PM

I was hearing BofA wasn't interested in Lehman because Merrill was a better fit. I guess those rumors were true.

From the WSJ: Bank of America, Merrill Lynch In Merger Talks

From the NY Times: Bank of America in Talks to Buy Merrill Lynch

Bank of America is in advanced talks to buy Merrill Lynch for at least $38.25 billion in stock ... valued at between $25 a share to $30 a share, could be announced as soon as Sunday night

From Bloomberg: Bank of America Said to Walk Away From Lehman Talks

It sounds like the Lehman bankruptcy filing is expected before midnight ET tonight.

Update: And A.I.G. plans to announce a major restructuring, from the NY Times: A.I.G. to Plan Restructuring and Asset Sales

Several private equity firms were at A.I.G.’s headquarters in downtown Manhattan on Sunday, and may inject billions of dollars in capital into the firm ... Among the businesses likely to be sold is A.I.G.’s aircraft leasing business

This restructuring will apparently be announced early Monday morning.