The collapse of Lehman Brothers and buyout of Merrill Lynch & Co. by Bank of America over the weekend sent shudders through New York's economy yesterday as issuers evaluated what it meant for them.

"I had hoped Lehman Brothers could be saved, along with the jobs that employ more than 12,000 people who live in the New York area," New York City Mayor Michael Bloomberg said at a news conference, referring to Lehman's filing for bankruptcy. "Lehman Brothers had provided countless New Yorkers with an opportunity to pursue the American dream, and it's a sad day for our city to see it close its doors."

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