Thain To Reign Over Merrill



The headline: NYSE Euronext CEO John Thain Accepts Top Post At Merrill Lynch.

Thain who is a former Goldman Sachs president will be 1st outsider to lead Merrill Lynch, said Dylan Ratigan. And Merrill Lynch shares surged on news.

To better understand what Thain might do, Charlie Gasparino filed the following report on what he's already done.

When the NYSE, the world's cathedral of capitalism, was broken and in danger of becoming obsolete, John Thain saw opportunity. Out was tradition - in was technology.

He forced the move to electronic trading through a merger with Archipelago and took the exchange global - merging it with Europe's Euronext. The move drove NYSE's stock six times higher.

Now Merrill is hoping "the Robot" can take his systematic, MIT-Trained approach to their broken system.

Sources are telling Charlie to expect massive cuts at Merrill's fixed income department - something Larry Fink (the other top CEO contender) was loath to do. And likely expect a change of management structure.

Still, the question for investors is…will the brow beaten troops of mother Merrill, rally around a robot?


The interesting thing about the announcement said CNBC’s Charlie Gasparino is the back story. Over the week-end Larry Fink (the other top CEO contender) asked Merrill’s board for all the information about Merrill’s write-downs and the board wouldn’t give it to him. That suggests, said Gasparino, that Merrill has more trouble to come.

> Read More “Thain Agrees to Merrill Job After Two Weeks of Talks”

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