While Lehman Brothers attempted to put on a strong face at the height of foreboding rumors about its financial condition and criticism from short selling hedge fund managers, inside the firm nerves were stretched to the breaking point. Far from feeling like would-be masters of the universe, Lehmanites were struggling to contain their feelings of fear and desperation. At one point, tears were shed.
"I was reading these stories and crying at my desk," a young associate who was drinking at a small bar on the lower east side last night.
She was not alone. From fixed income traders to equity analysts, Lehman Brothers employees report that two weeks ago the firm was, well, emotional.
"You'd get on the elevator and it was like you could cut the tension with a knife," a longtime Lehman vet told DealBreaker.
Lehman employees exhibit a high degree of sentimental attachment to their firm, an attachment they say was only strengthened by recent difficulties. "I think we all kind of pulled together," said the associate. She then turned back to the bar and ordered a couple of shots.
"For Lehman," she said as our glasses clinked together.
Posted by golden girl , Jun 19, 2008 12:41PM
Ha! I love this.
Posted by guest , Jun 19, 2008 12:59PM
What BS.
Posted by guest , Jun 19, 2008 1:05PM
Don't the employees own something like 30% of the stock? That's worth tearing up, or at least getting drunk, over.
Posted by guest , Jun 19, 2008 1:20PM
wah
Posted by guest , Jun 19, 2008 1:23PM
Are you crying? There's no crying. There's no crying in investment banking!
Posted by guest , Jun 19, 2008 1:25PM
The emotion is real. Lehman is truly a terrific firm to work for. It will be a sad day if at some point it loses its unique culture for whatever reason.
Posted by guest , Jun 19, 2008 1:31PM
@1:25...
enough with that hippie sh*t
Posted by guest , Jun 19, 2008 1:47PM
women cry frequently in IB. men are not allowed to
Posted by guest , Jun 19, 2008 1:47PM
@ 1:25
Yes a unique culture indeed now that Bear has become extinct. Lehman and Bear share the same bottom feeding culture.
They are/were the Plankton of Wall Street.
Posted by I am a Dude , Jun 19, 2008 1:58PM
pussy, crying into her beer. she should not be in IB.
She is nowhere near as stong as Bess or Girl.
Posted by guest , Jun 19, 2008 2:09PM
Lehman has their employees drinking the kool aid for sure.
"I need about tree fidy."
Posted by guest , Jun 19, 2008 2:19PM
I used to work at LB, and left for another career when I finished grad school, but I always think fondly of the firm and I miss it every day now that I am working at a place that lacks Lehman's special environment and character. Truly I experienced there a meritocracy and a community.
Posted by guest , Jun 19, 2008 2:20PM
Mark my words: if LEH goes down, we all go down with it.
Posted by guest , Jun 19, 2008 2:50PM
I detect a little subtext in this post:
Carney "interviews" disconsolate young female associates in small bars on the LES while they do shots.
I expect nothing less.
Posted by beentheredonethat , Jun 19, 2008 2:55PM
I have seen this movie before. I was sittibg at my desk when the old Lehman Bros. evaporated. The only reason that name exists today is the last time they went under, they were owned by American Express. Previous names were Shearson Lehman Bros., Shearson Lehman American Express, etc. I worked for 3 different companies without changing my office. Peter Cohen, CEO, had offered a bridge loan to Prime computer which was outstanding at the time Drexel took out the junk bond market. The firms capital was gone, Amex recapitalized the firm under the Lehman name and tossed it off. The old Lehman has been dead for years. This one is a figment of the marketers. It will soon join its namesake. Drexel then, BSC now. Junk bonds then, mortgages now. Even politicians have longer memories than Wall Street.
Posted by guest , Jun 19, 2008 2:56PM
i too detect a little subtext in this post. Carney is full of shit. I would expect nothing less.
Posted by I am a Dude , Jun 19, 2008 3:15PM
@2:55
you're absolutely right. never thought of LEH that way. thanks for enlightening.
I was at Smith Barney when they were still trying to use up the the Smith Barney Shearson stationary. you know Sandy, wast not want not.
Posted by beentheredonethat , Jun 19, 2008 3:22PM
Yep, Smith Barney as well. One of my responsibilities was after absorbing EF Hutton, we attempted to locate, to little avail, one BILLION dollars in customer CD's. I can't begin to tell you the mess that was created and a firm at war with itself. Talk about enlightening! Jimmy Three sticks was running American Express and for the longest time he had the thickest coat of teflon. Until the day he didn't. Keep your seatbelts fastened and your tray in the upright position.
Posted by guest , Jun 19, 2008 3:34PM
Ahh Jim Robinson what a character that guy was
Posted by beentheredonethat , Jun 19, 2008 3:40PM
Ahem. James D. Robinson III. Shithead. Married his PR babe. And I'm not talking San Juan.
Posted by I am a Dude , Jun 19, 2008 3:41PM
good to know there are readers here older that the "models and bottles" crew
Posted by guest , Jun 19, 2008 3:46PM
@2:55, Yep, good book written in the aftermath of that era: "Greed and Glory on Wall Street: The Fall of the House of Lehman."
Posted by I am a Dude , Jun 19, 2008 4:14PM
yep, glucksman was hanging out at Smith barney after fall of the old LEH
Posted by beentheredonethat , Jun 19, 2008 4:26PM
To the current LEH crowd, check how many bodies are buried in this NYT article from 1989.......and this is just an excerpt......
Cutting the stake in Shearson, whose shares yesterday fell 25 cents, to $20.875, would not bring in that much cash for American Express, but it would mean the parent company would no longer have to consolidate Shearson's debt into its balance sheet.
Shearson has been slimming down. It has opened talks about selling the Lehman Management Company, an institutional investment operation, and last week it announced plans to move the mutual fund transfer operations of Shearson's Boston Company unit from Shearson to American Express, which will pay $275 million for it.
''Both are operations that Shearson hasn't gotten paid for in the market,'' said John Keefe, an analyst at Drexel Burnham Lambert Inc. ''It's a sign they are trying to raise the book value of Shearson.''
Mr. Robinson said Shearson went ''through a difficult year because of the consolidation of Hutton,'' and said the general revenue problems of the brokerage industry were being fought through continued belt-tightening. He dismissed as ''100 percent inaccurate'' any speculation that American Express would be less likely to reduce its stake in Shearson because of Mr. Gerstner's departure but said he would wait until the timing was right.
Posted by guest , Jun 19, 2008 5:10PM
Too long, didn't read.
Posted by guest , Jun 19, 2008 6:50PM
@3:15 -- I think you mean "stationery" not "stationary."
Posted by Old Sneep , Jun 19, 2008 8:10PM
That ""attachment" is Dick Fuld's fist....good luck getting it out!
Posted by I am a Dude , Jun 19, 2008 8:36PM
@6;50
yes, thats what i meant. you're hired as my secretary to proofread all my blog posts. if you give good head.
Posted by guest , Jun 19, 2008 8:38PM
If this chick really worked at Lehman, she would have said, "To Uncle Dick!" That's how we always toasted the firm. HA!
[Embittered ex-employee who only took profits on half of her stock]
Posted by guest , Jun 20, 2008 9:29PM
Long live Lehman! The culture rocks and we will be back on top soon. Look at the league table, debt/equity underwriting 1H08, then lets talk....