(Source: Business Week)American International Group (AIG) - CNBC's David Faber reports Fed has reviewed AIG's books and has a good idea of what firm needs. There is some hope Fed will have something together by end of the day [not the business day]. If not, it is likely AIG will file for bankruptcy, Faber said. Earlier, CNBC's Charlie Gasparino reports that government money is now on table in AIG discussions. This morning, S&P Ratings Services lowers long-term counterparty rating on AIG to 'A-' from 'AA-' and its short-term counterparty credit rating on AIG to 'A-2' from 'A-1+'. A.M. Best Co. downgrades financial strength rating to A [Excellent] from A+ [Superior] and issuer credit ratings of the domestic life and retirement services subsidiaries of AIG to "a" from "aa" [AIG]. S&P Equity Research reiterates sell.

Morgan Stanley (MS), announcing third quarter results ahead of schedule, posts better-than-expected $1.32, vs. $1.38 a year ago, third quarter EPS on 1.0% revenue rise. Notes non-interest expense rose 7%. Street was looking for $0.77.

Goldman Sachs (GS) posts $1.81, vs. $6.13 a year ago, third quarter EPS on 43% total revenue decline. Effective income tax rate for first 9 months of fiscal year 2008 was 25.1%, down from 34.1% in fiscal year 2007. Net revenues in Investment Banking fell 40% year-over-year and 23% from the second quarter. Net revenues in Fixed Income, Currency and Commodities were 67% lower than a very strong third quarter fiscal year 2007, primarily reflecting particularly weak results in credit products and mortgages.

Washington Mutual (WM) - S&P Ratings Services lowers its counterparty credit rating on WM to 'BB-/B' from 'BBB-/A-3'. Also lowers rating on Washington Mutual Bank to 'BBB-/A-3' from 'BBB/A-2'. The outlook is negative. Says the current ratings and negative outlook assume an improvement in earnings for H2 '08, but a loss for the full year.

Wells Fargo & Co. (WFC) says that, as a result of the Chapter 11 filing by Lehman Brothers (LEH), it will record other-than-temporary impairment and take a non-cash charge to earnings in third quarter for its investments in senior unsecured notes and perpetual preferred securities issued by LEH. Says its investments in the notes and preferred securities are included in securities available for sale at a cost of about $90 million and $109 million, respectively.

Dell (DELL) says it is seeing further softening in global end-user demand in the current quarter.