Greed, arrogance, indiscretion and a large chunk of bad luck: this deadly concoction led to America's fourth-largest investment bank Lehman Brothers biting the dust and sending tremors across the financial world.
With even the giants of this world unsafe from the uncertainties and complexities of a global economy, the questions that are uppermost in everyone's mind are: who will be the next to go bankrupt and when will this fiscal tempest subside?
Frankly, no one knows for sure who will be the next to go belly up or when will the world economy return to normalcy. But then for Corporate America, bankruptcies or vagaries of uncertain economy are nothing new.
Over the years, the world has been witness to many an irresponsible management policy and greed that wreaked havoc on 'super' companies that folded up. In the process, billions of dollars -- both investors' money and employees' pension -- went down the drain.
So here is a list of the biggest bankruptcies to hit America in the last two decades
With even the giants of this world unsafe from the uncertainties and complexities of a global economy, the questions that are uppermost in everyone's mind are: who will be the next to go bankrupt and when will this fiscal tempest subside?
Frankly, no one knows for sure who will be the next to go belly up or when will the world economy return to normalcy. But then for Corporate America, bankruptcies or vagaries of uncertain economy are nothing new.
Over the years, the world has been witness to many an irresponsible management policy and greed that wreaked havoc on 'super' companies that folded up. In the process, billions of dollars -- both investors' money and employees' pension -- went down the drain.
So here is a list of the biggest bankruptcies to hit America in the last two decades
1. Lehman Brothers Holdings Inc; $639 billion
The Lehman Brothers bankruptcy, is without a doubt, the largest bankruptcy ever: the size is estimated between $613 billion and $639 billion!
What began life as a general store set up by three German immigrant brothers to the United States, over the years turned into one of US's largest investment banks.
The amazing story of Lehman Brothers' story started in 1844, when 23-year-old Henry Lehman, son of a cattle merchant, emigrated to the United States from Rimpar, Bavaria. He settled down in Montgomery, Alabama, and opened a dry-goods store -- H Lehman.
Later, when his brothers, Emanuel and Mayer, joined him the company changed its name to Lehman Brothers.
The global financial-services firm, which did business in investment banking, equity and fixed-income sales, research and trading, investment management, private equity, and private banking declared itself bankrupt on September 15, 2008.
Why it collapsed?
The fourth-largest investment bank in the United States, and one of Wall Street's biggest dealers in fixed-interest trading, was heavily invested in securities linked to the US sub-prime mortgage market.
As the crisis in financial markets gathered momentum, it saw its share price collapse from $82 to less than $4.
The Lehman Brothers bankruptcy, is without a doubt, the largest bankruptcy ever: the size is estimated between $613 billion and $639 billion!
What began life as a general store set up by three German immigrant brothers to the United States, over the years turned into one of US's largest investment banks.
The amazing story of Lehman Brothers' story started in 1844, when 23-year-old Henry Lehman, son of a cattle merchant, emigrated to the United States from Rimpar, Bavaria. He settled down in Montgomery, Alabama, and opened a dry-goods store -- H Lehman.
Later, when his brothers, Emanuel and Mayer, joined him the company changed its name to Lehman Brothers.
The global financial-services firm, which did business in investment banking, equity and fixed-income sales, research and trading, investment management, private equity, and private banking declared itself bankrupt on September 15, 2008.
Why it collapsed?
The fourth-largest investment bank in the United States, and one of Wall Street's biggest dealers in fixed-interest trading, was heavily invested in securities linked to the US sub-prime mortgage market.
As the crisis in financial markets gathered momentum, it saw its share price collapse from $82 to less than $4.
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