Lehman Eyeing $4 Billion Capital Raise

Updated from 2:51 p.m. EDT

Lehman Brothers(LEH Quote) is mulling a plan to raise as much as $4 billion as the firm sets to report its first quarterly loss in its history, The Wall Street Journal reported Tuesday.

Lehman thus far has been regarded as one of the few investment banks to navigate the credit crisis without major damage, as it posted an 81-cent-a-share profit in the first quarter. Wall Street's outlook for the firm, however, has been dimming in recent months as continuing concerns about the residential mortgage market and construction loans mount.

Analysts expect a profit of 7 cents a share on revenue of $2.89 billion, according to a Thompson Reuters poll. The Journal, however, said the firm could lose more than $300 million. ...