Lehman Brothers bankrupt!

[born2rule]

more than 1000 banks will close down in coming years
http://economictimes.indiatimes.com/Ros ... 500121.cms

[whyiamdointhis]

According to some experts rebuilding phase will start in 18 months or so...... but these 18 months can change the scene of the present scenario to the worst of all the time......morgan stanley bid was also unexpected ...so anything can happpen at ny time.........
students of IIMs are concerned about their placement as indian companies will cut down their offer to take some advantage of the present scene...SKILLED LABOUR AT CHEAPER PRICE.only some of the european banks are in good position and they don't visit IIMs so students are left with the option of joining the US based banks or companies like TAS,TATA MOTORS and some other not the big names....ya but one more thing consultant companies like mckinsey ,irevna and many more will be good option....

[RaptoR]

Barclays's not goin' anywhere, it has just taken some LB share.(some lucky LB chaps can take a sigh of relief...)

Also AIG was bailed out by a $85 billlion loan from US federal govt.

last heard Morgan stanley was also running for cover.

(btw at this year start, they were 5 super ibanks, now there are just two :goldman, stanley!!!)

[raul]

ab pizza kaun khilayega???
www.dcetech.com/forums/viewtopic.php?f=82&t=5764
p.S on a serious note,,what happens to all who joined 2 months back(aadith raman and co.)

[dragon]

The employees are indeed in for a tough situation.. they'll probably get absorbed by the indian finance firms, taking hefty pay cuts in the bargain..

[dragon]

1 trillion dollars pumped into the firms by the US govt. Now THAT's a bailout..

[ravimanoram]

the irony of the situation is that the US govt. helped bail out Bears Stearn and bought AIG, but it completely dumped lehman brothers.......

one explanation that can be given to it that lehman brothers had a strong exposure in terms of equity to many asian banks(esp china and japan), and foreign money. thus lehman's disruption would be of US interest in the long run as it is the market mechanism that has dissolved lehman,
secondly lehman had the maximum exposure to risk, espcially in the us real estate market that went bust die to the sub prime crisis, bailing out lehman then wud have not been much of use.....

by the way sub prime crisis generated due to excessive lending of money by private banks for real estate deals to ppl who had no pay bank gurrantee, with low population in the us and most of the property usage going vertical, once this lending business went bust, it dissolved everything else with it, the sub prime crisis is said to be around 500b $ in terms of official figures and 1000b $ in terms of unofficial figures

[RaptoR]

morgan stanley india is liquidating all its indian shares to the tune of millions, wtf!!, is it closing down its indian branch to help recuperate itself?

AIG was saved by hair's breadth from this meltdown.

ya all dceites in LB could be absorbed in mid rung financial companies, although some foreign desk chaps could get some respite through foreign stakeholders of LB like barclays etc...

as far as LB is concerned it was in crisis from Jan, but US govt it could find its way on its own(given its 100 yrs exp), but bang on one fine day, it lost all its investors & reported 95% losses

Now CIC (chinese) is eyeing Morgan stanley, much to horror of US!!

[born2rule]

goldman sachs also is in trobule and wont be able to survive alone and may have to sel out like what morgan is doing.
I bank model is over it seems..

[whyiamdointhis]

goldman sachs also is in trobule and wont be able to survive alone and may have to sel out like what morgan is doing.
I bank model is over it seems..

YES there might be the possibility of the merge of goldman sac too..