Goldman Sachs posts $2.1 Billion Loss

Venerated Wall Street firm slips into the red for the first time since going public in 1999; loss bigger than expected

NEW YORK (CNNMoney.com) -- Goldman Sachs suffered its first loss as a publicly traded company Tuesday, serving as yet another reminder that no corner of Wall Street has escaped the ongoing financial crisis.

The once-revered investment bank said it lost $2.1 billion, or $4.97 a share during the fourth quarter, representing the company's first loss since it went public in 1999.

Few analysts were expecting the company to maintain its impressive run given the recent market turmoil across financial markets and the upheaval in the nation's financial services sector. Still, the results were worse than expected. Consensus estimates were for a loss of $1.63 billion, or $3.73 a share for the quarter, according to Thomson Reuters.

Lloyd Blankfein, Goldman Sachs' chairman and CEO, blamed tough market conditions for the loss.

"Our results for the fourth quarter reflect extraordinarily difficult operating conditions, including a sharp decline in values across virtually every asset class," he said in a statement.

Investors, however, were encouraged by the news. Shares of Goldman Sachs (GS, Fortune 500), which have lost 69% of their value so far this year, rose 5% in pre-market trading Tuesday.

Rival Morgan Stanley (MS, Fortune 500) is also expected to report a loss for the quarter when it delivers its results Wednesday.