New York - Crisis talks continued Saturday involving US Treasury Secretary Henry Paulson and top bankers amid ongoing fears about the future of Lehman Brothers Holdings Inc.

US media reports said Paulson had categorically ruled out any any state aid for the bank, which is desperately looking for a potential buyer after its shares tumbled 94 per cent since the beginning of the year as the credit crisis ravaged the US financial sector.

Bank of America Corp was said to be the leading contender for a takeover, but British banks Barclays and HSBC were also seen as having a possible a role in a rescue.

Lehman had announced its biggest ever loss Wednesday, and its shares shares fell another 13.5 per cent in New York Friday after falling around 40 per cent Thursday. (dpa)