Lehman Brothers has named one of its top structurers as its new chief financial officer in the same week the bank posted a $950m (€685m) hit on fixed income trading in the third quarter and a decline in net profits of 3%.

Lehman appointed Erin Callan, who currently runs global hedge fund coverage, as its chief financial officer. Callan replaces Chris O'Meara, who has been chief financial officer since 2004 and will now lead risk management. The switch takes place on December 1, Lehman said.