Rule 424(b)(2)
			Registration Nos. 333-14791
	NASD File No. 961029005
	Cusip #: 52517PLL3

REVISED PRICING SUPPLEMENT NO. 266
Trade Date: September 17, 1997 to Prospectus
Supplement dated August 11, 1997
and Prospectus dated August 11, 1997

	 LEHMAN BROTHERS HOLDINGS INC.   
        	  Medium-Term Notes, Series E
                  		(Fixed Rate)

Due from Nine Months to 30 Years from Date of Issue

Pricing to Public:  100%

Agent's Commission: .50% 

Settlement Date: 09/30/97

Interest Rate Per Annum:  7.00% 

Interest Payment Dates:	Monthly on the 30th, commencing on 10/30/97

Maturity Date:  9/30/12 

Call Feature: The Issuer has the right to call these notes at Par on 
9/30/02 only.  Call notice is 15 calendar days.

These Notes, issued under Pricing Supplement No. 266, may be sold in 
minimum denominations of $1,000, or any amount in excess thereof 
which is an integral multiple of $1,000.

The aggregate principal amount of this offering is $15,000,000 and 
relates only to Pricing Supplement No. 266.  Medium-Term Notes, 
Series E may be issued by the Company in an aggregate principal 
amount of up to $10,267,500,000 and, to date, including this 
offering, an aggregate of $9,332,325,000 Medium-Term Notes, Series E 
has been issued and $5,376,390,000 are outstanding.	

The Agent has purchased the Notes as principal in this transaction 
and may resell any of such Notes to another broker/dealer (acting as 
principal for the purposes of resale) at a discount, which may vary 
from the discount received by the Agent in such transaction.