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Merrill Downgraded; Lehman Looks to 80s For Inspiration 

Sep 05, 2008By

Wall Street continued to struggle with the aftermath of the mortgage market collapse on Friday, with a well-known analyst cutting Merrill Lynch & Co. [stock MER][/stock] to a sell rating over mortgage-led concerns, while battered Lehman Brothers Holdings Inc. [stock LEH][/stock] saw the latest rumors around the firm center on a possible creation of a 1980s-style “bad bank” to absorb nearly all commercial mortgage holdings.

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