Lehman Execs Ousted

Lehman bounced its chief financial officer, Erin Callan, and chief operating officer, Joseph Gregory, today in response to the uproar over the firm’s poor performance. The move is an effort to regain the credibility Lehman lost over repeated misstatements of the company’s exposure to the sub-prime mess and resultant credit crunch.

With more than $60 billion of mortgages, real estate assets, and asset-backed securities still on its books, I’m still not sold, but this will help. As we saw with Bear Stearns, a bank is only as strong as its reputation. Too many doubts, and you’ve got Jaime Dimon in your office.

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: