As US stocks fell again Wednesday (the falls in the S&P since October has now taken care of around 50% of the gains in stock seen in the bull market which lasted from October 2002 to October 2007), Bloomberg reports that former AIG CEO 'Hank' Greenberg has seen the value of the stake he controls in the company drop by around $2.4bn this week alone (taking the fall to $5.9bn this month!).
Here's a selection of some of the more lighter stuff that's making the news this gloomy week.
Here's a CNN newsclip from Monday. The crew were filming live outside Lehman's New York HQ.
Here's our Highly Placed Professional's view on the impact of the current market turmoil.
CNBC reports that TowerGroup reserch director Ralph Silva told its 'Squawk Box Europe' that 'there is insufficient margin in the banking industry to sustain the number of banks we have. We need to see at least one third of the banks around the world disappear'.
In what is being described as the biggest gamble of his career, Barclays President Bob Diamond has spent $1.75bn of his bank's money to acquire Lehman Brother's US broker-dealer unit.
Barclays announces agreement to acquire Lehman Brothers North American investment banking and capital markets businesses
NEW YORK, September 16, 2008 - 'Morgan Stanley (NYSE: MS) today reported income from continuing operations for the third quarter ended August 31, 2008 of $1,425 million, or $1.32 per diluted share, compared with $1,474 million, or $1.38 per diluted share, in the third quarter of last year. Net revenues were $8.0 billion, 1 percent above last year’s third quarter. Non-interest expenses of $6.1 billion increased 7 percent from a year ago. The annualized return on average common equity from continuing operations was 16.5 percent in the current quarter, compared with 17.2 percent in the prior year.
NEW YORK, September 16, 2008 - The Goldman Sachs Group, Inc. (NYSE: GS) today reported net revenues of $6.04 billion and net earnings of $845 million for its third quarter ended August 29, 2008. Diluted earnings per common share were $1.81 compared with $6.13 for the third quarter of 2007 and $4.58 for the second quarter of 2008. Annualized return on average tangible common shareholders' equity was 8.8% for the third quarter of 2008 and 16.3% for the first nine months of 2008. Annualized return on average common shareholders' equity was 7.7% for the third quarter of 2008 and 14.2% for the first nine months of 2008.
As thousands of Lehman Brothers staff were turned away from their workplace Monday, there's hope yet for some firm employees.
The harsh realities of life are kicking in - sign up or ship out.
Former Enron Chief Financial Officer Andy Fastow-who developed many of the structured finance transactions that are often blamed for the energy giant's epic 2001 collapse-says the bankruptcy could have been avoided.
Dick Fuld, Sandy Weill, Jimmy Cayne, Bernie Madoff, Jamie Dimon, John Mack, Hank Paulson, Bob Diamond. Some crackers here.