Two Top Executives Out at Lehman Brothers
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Lehman Brothers says the Chief Financial Officer, Erin Callan, and the Chief Operating Officer, Joseph Gregory, have been removed from their positions, days after the investment bank announced a $3 billion quarterly loss.
The company says the changes are effective immediately.
Ms. Callan will remain with Lehman in its investment banking division, but it was unclear if Mr. Gregory will retain a position. Herbert McDade will succeed Mr. Gregory, and Ian Lowitt will take over for Ms. Callan.
Ms. Callan has been CFO last September. She has been under pressure after Lehman was forced to raise $6 billion in new capital.
Lehman shares are down about $1 in premarket trading.
