The Fall of Lehman Brothers

  • Unemployment Line

    The progression of the economy has moved from a recession to a credit crisis to a financial panic back to a recession.  The GDP numbers of last week encapsulate exactly where we're at:  Q1 -6.4% and Q2 -1.0%.  Due to the incredible sharp reduction in costs and inventories in Q1, earnings beat expectations by a historical amount and generated a massive up move in equities.  It is truly a case of falling so far that everything looks up from here.

  • end_of_wallstreet.jpg

    In exposing the chain of events that led to the market’s collapse (liquidity and capital) and the government’s unprecedented bailout, Lowenstein pieces together the full story of “The End of Wall Street” as we knew it and what he calls, the fall of an entire generation.

  • If you have to run your business by checking to see what Congress is doing everyday, it’s “virtually impossible,” CEO Jeff Lane.

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    “In the late summer of 2008, as Lehman Brothers teetered at the edge, a bell tolled for Wall Street,” so writes Roger Lowenstein in his book, "THE END OF WALL STREET." The bell may have sounded, in 2008, but for those who were really listening, there were warning signs of a financial crisis long before the summer of 2008.

  • Lehman Brothers

    Fancy a credit-crunch keepsake or a meltdown memento? Artworks, objects and office signs from the European offices of Lehman Brothers are being auctioned to help pay creditors of the failed investment bank, Christie's auction house said Monday.

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    To those that knew what their strategies were doing, to those that contributed to the downfall, I reserve the most substantial level of scorn.

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    During the "lost decade," so many lost tangible assets; that has been well-documented. Less chronicled was the proliferation of art purchases by hedge fund managers in the mid-2000's. Many attributed the phenomenon to "ego-buying," but there was a credible inherent strategy.

  • Henry Paulson

    The government let Lehman Brothers fail during the financial crisis because there was no other choice, former Treasury Secretary Henry Paulson said Wednesday.

  • Wall Street sign

    The Securities and Exchange Commission has been getting tougher on insider trading on Wall Street, but its potential target may be too wide, The New York Times reports.

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    Lehman Brothers may find itself on more secure ground, but its poor showing in the second quarter has undermined confidence in banks and brokerages and left investors wondering what to believe about the state of the credit crisis.

  • Erin Callan

    Lehman Brothers Holdings has pushed out its chief financial officer, Erin Callan, and chief operating officer, Joseph Gregory, amid a persistent clamor over the company's weak performance.

  • Lehman Brothers

    Officials at Lehman Brothers have held conversations about the possible sale of the firm's entire investment-management division, according to a people with knowledge of the matter.

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    Lehman Brothers, which is actively shopping the entire firm, is unlikely to remain independent much longer.

  • New York Stock Exchange (NYSE)

    Wall Street seemed to be preparing for a bankruptcy filing by Lehman Brothers on Sunday as a special trading session for credit default swaps was called.

  • WALL STREET IN CRISIS - A CNBC SPECIAL REPORT

    Lehman Brothers, which filed for bankruptcy Sunday to became the largest casualty of the global credit crisis, is still trying to sell its asset management business, including the crown jewel, Neuberger Berman.

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    Significant losses that Lehman Brothers suffered from its part of the acquisition of a national apartment portfolio helped to bring down the investment bank, reports the NY Times.

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