MAJOR PAPERS:

• As it prepares to report its first quarter results, Lehman Brothers Holdings Inc (NYSE: LEH) may need to raise $3B to $4B to support its balance sheet, meaning its first quarter loss could be higher than the anticipated $300M, according to the Wall Street Journal. The capital raise would likely be through new common shares.
• Yahoo! Inc (NASDAQ: YHOO) shareholders are suing the company over an employee severance plan they say was intended to help block its takeover by Microsoft Corporation (NASDAQ: MSFT), adding between $462M and $2.1B to Microsoft's costs,the Wall Street Journal reported.
• The Financial Times reported that Momentive Performance Materials, a company owned by private-equity firm Apollo Management, has exercised its option to suspend cash payments on part of its debt.
• As manufacturers push to compete in the "netbook" category, Intel Corporation (NASDAQ: INTC) admitted to shortages of its Atom microprocessor. In an interview with with the Financial Times, Intel's executive vice-president, Sean Maloney, said the company had received more orders than expected for the low-power processor.

Newspaper wrap-up: Lehman may raise billions to help balance sheet originally appeared on BloggingStocks on Tue, 03 Jun 2008 08:30:00 EST. Please see our terms for use of feeds.