Description: A year and a half after Lehman Brothers’ collapse, Senate Banking Committee Chairman Chris Dodd, D-Conn., is calling for a federal investigation into the “Lehman situation” and other companies that may have fudged their balance sheets, contributing to the financial crisis. Source: CNNMoney.com  Date: 03/20/2010  Link: http://money.cnn.com/2010/03/19/news/economy/lehman_brothers_chris_dodd/index.htm Questions for discussion: Do you believe… Read more »
Posts Tagged: Bankruptcy
Avoid Negative-Net-Worth Stocks Like the Plague: John Dorfman
Description: I rarely buy a stock whose debt is greater than stockholders’ equity, or corporate net worth per share. In effect, that means I won’t give a second look to about one third of U.S. stocks. Source: Bloomberg.com Date: 03/15/2010 Link: http://www.bloomberg.com/apps/news?pid=20601039&sid=aReZz0vi1B5U Questions for discussion: In general, do you agree with this analysis and strategy… Read more »
Palm shares may hit $0: Analysts
Description: Palm’s future already looked bleak. But after reporting worse than expected results for the third quarter Thursday, some analysts think the company’s stock is now essentially worthless. Source: CNNMoney.com  Date: 03/19/2010 Link: http://money.cnn.com/2010/03/19/technology/palm_target_price_zero/index.htm Questions for discussion: Summarize the reasons for Palm’s demise. Do believe there is any hope for the stock? How would… Read more »
Lehman’s $642 million bankruptcy
Description: Councils, advisors, consultants, even an art auctioneer get hefty compensation for cleaning up the firm’s books. Source: CNNMoney.com – video report  Date: 03/12/2010 Link: http://money.cnn.com/video/fortune/2010/03/12/f_sl_lehman_fees.fortune/ Questions for discussion: Summarize the possible claims against Lehman. Explain why criminal proceedings against individuals or organizations might be in order? Explain the lessons learned by the failure… Read more »
$642 million to clean up Lehman — and counting
Description: Unraveling the biggest-ever U.S. bankruptcy case isn’t cheap. A report released Thursday by the examiner in the Lehman Brothers Chapter 11 case exposed the games the defunct investment bank’s executives played to stay in Wall Street’s good graces Source: CNNMoney.com  Date: 03/12/2010 Link: http://money.cnn.com/2010/03/12/news/companies/lehman.fees.fortune/?section=magazines_fortune Questions for discussion: How does the Sarbanes-Oxley Act, which… Read more »
Geithner’s bailout burden
Description: Treasury Secretary Tim Geithner says he will always feel legitimate pressure from the public even though the bailout wasn’t ‘under his watch. Source: CNNMoney – video report  Date: 01/29/2010 Link: http://money.cnn.com/video/news/2010/01/29/n_geithner_stimulus_bailout.cnnmoney/ Questions for discussion: Do you share the views put forward by Treasury Secretary Tim Geithner? Explain your answer. In which ways do… Read more »
Ericsson to Acquire Nortel Unit for $1.13 Billion
Ericsson AB, the world’s largest maker of wireless phone networks, will buy the wireless equipment unit of insolvent Nortel Networks Corp. for $1.13 billion after beating bids from Nokia Siemens Networks and MatlinPatterson Global Advisers LLC. Source: Bloomberg. com Date: 7/25/2009 Keys: Asset acquisition, bankruptcy, valuation, planning Link: http://www.bloomberg.com Questions for discussion: Why would Ericsson… Read more »
