Article: Legg Mason outlook dims after money funds bailout; Analysts ponder state of other fixed-income management firms.(News)

Byline: Douglas Appell

Legg Mason Inc.'s latest round of support for its money market funds has prompted analysts to push back their predictions for when the struggling giant might regain its footing, with some seeing the move as an ill omen for other fixed-income managers as well.

The June 30 announcement of another $240 million in capital contributions to support three money market funds managed by Legg Mason's Pasadena, Calif.-based unit, Western Asset Management Co., appeared to catch the market by surprise.

Legg Mason's share price slumped 9% in intraday trading July 1, closing 5.3% lower at $41.25 even as the Standard & Poor's 500 stock index was edging up ...

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