Paris - Caught up in the turmoil caused by the collapse of US investment bank Lehmann Brothers, the Paris Bourse lost nearly 5 per cent of its value by mid-afternoon on Monday, led downward by weak banking shares.

The big losers for the day were the banks Credit Agricole and Societe Generale, which were down 13.79 and 12.51 per cent, respectively.

For the year, Credit Agricole - France's largest retail banking group and the second largest in Europe - has lost more than 43 per cent of its value.

The shares of two other banks, Dexia and BNP Paribas, fell by 12.10 and 11.54 per cent, while insurance giant Axa lost 11.53 per cent of its value.

Shortly after noon, the Paris Bourse's benchmark CAC 40 had lost 4.94 per cent, to stand at 4,118.64. (dpa)