So Hank Paulson held secret meetings with Goldman in a hotel room in Russia and now we also find out, from Andrew Ross Sorkin’s new book, that matchmakers Paulson and Geither arranged a midnight meeting between Dick Fuld and Ken Lewis on Monday, July 21, 2008 to discuss the possibility of something going down between the two men’s firms. The rendez-vous took place after a dinner honoring the then Treasury Secretary, at which all of Wall Street’s CEO’s were assembled and one sort of gets the impression that maybe if Geithner had thought to talk Fuld/Lehman up to Lewis a little more (“he’s a grower, not a shower”), and told Fuld “for god’s sake, don’t look so desperate, play it cool,” the outcome might’ve been different. (It probably also would’ve required Richard to not be delusional about what he was trying to sell which, admittedly, TG couldn’t have helped.)
As the dinner was ending, Mr. Geithner, approached Mr. Lewis and, leaning close, whispered, “I believe you have a meeting with Dick.”
“Yeah, I do,” Mr. Lewis replied.
Mr. Geithner gave him directions to a side room where the two could speak in private. He had apparently already given Mr. Fuld the same instructions, because Mr. Lewis noticed him across the room looking back at them like a nervous date.
Seeing Mr. Fuld start to walk in one direction, Mr. Lewis headed in the other; with half of Wall Street looking on, the last thing either of them needed was to have word of their meeting get out.
The two men eventually doubled back and found the room. Mr. Fuld explained that he would want at least $25 a share from Bank of America to buy Lehman; Lehman’s shares had closed that day at $18.32. Mr. Lewis thought the number was far too high and couldn’t see the strategic rationale. Unless he could buy the firm for next to nothing, the deal wasn’t worth it. But he held his tongue.
Two days later, he called Mr. Fuld back.
“I don’t think this is going to work for us,” Mr. Lewis said as diplomatically as he could, while leaving open the possibility that they could discuss the matter again.
“I believe you have a meeting with Dick.”
I’m guessing that line didn’t work to well for Timmy in his single days either.
They couldn’t break Boones together.
@1 that’s my new pick-up line.
For the record, the recently adopted practice of utilizing the ‘Continue Reading’ link to post-jump in an attempt to get pageviews up is almost as annoying as having to skirt posts by Grichaels.
“he’s a a grower, not a shower” Bess is horny tonight
@4 then don’t click through and you won’t have anything to whine about (goes without saying but: you little bitch).
Bald and Beard would have closed the deal fo sho.
Does anybody know whether Timmay has any competence whatsoever?
I bet CG is not happy that ARS’s book is 48 pages longer than his
@6, quite feisty there. Show us some more. I love em feisty bitches.
@4 have you ever been to a website that doesn’t have that policy? the answer is no, so STFU.
I’m just going to say it. Tim Geithner is completely worthless.
-HP
@13 seconded.
-bho
Provoke, Bess, some more, please. I think she is beautiful when she is angry.
CG
“You’re doing a fine job, Brownie. I mean Timmy!”
- bho
I tried to tell ‘em!
-BB
I just don’t see how the goombah’s book can compete.
I like that ken left the door open, in case he needed an easy lay at some point in the future. player.
Greg’s mom is so fat you couldn’t buy her for $25 a share.
@6 God you your feisty nature is hot
I love the fact that there is always some loser (see #12) who shows up to “defend” Bess after she has severely cut down some misguided schmuck.
-Not 4
I’ve seen a few picture of KL now and am wondering – does his facial expression ever change?
Greg is worth less than Lehman’s equity.
Greg should have been a “member” of the Atlantic Trade.
Given the OTC nature of the trade and a spread large enough to drive through with a truck, Timmay and Hank should have stepped up and acted as market maker.
I’m not say’in that today the Lehmanites would still be alive and anticipating a multi-billion dollar Christmas.
Nonetheless, three months later and DoT and the NY Fed were orchestrating trillions of dollars of taxpayer funded adrenaline injected straight into the hearts of mortgage-backed, structured product crack whores.
“I believe you have a meeting with leather.”
“Yeah, I do,” Mr. Berman replied
@15…..no doubt, had her over for drinks the other night. Best rodeo bang ever!
Ken Lewis has a schlong bigger than mine.
-CG
Bess I believe you’re missing the word “done” in your post
@Bess – aww… but then I would miss the last sentence of all of your posts.
@22 – thanks for defending this “schmuck’s” honor.
- 2StopShop (#4)
I am a man who will fight for your honor. I’ll be the hero you’re dreaming of. We’ll live forever, knowing together; that we did all for the glory of love.
@28 what is a “rodeo bang”?
I am just now beginning to understand why magazines and newspapers never responded to my suggestions to place the content and the ads in different sections of the publications. Doh!
what sorkin doesn’t say is that while we didn’t broker a deal, I rode the shit out of that bitch. twice.
-KL, starting early today
TGFD watched Charlie Rose interview Sorkin for one hour last nite on TV.
Andrew threw very soft criticisms at the Wall Street criminals, and he even had praise for douchebag Paulson.
Along the way, Andrew told us about the day when Goldman Sachs and Morgan Stanley were about to vanish and how they were rescued by the heroic acts of Paulson.
Too bad TGFD didn’t have the ear of the president at the time, because that outcome would have been decidedly different.
Blankfein and Mack would have heard, “You don’t need bank charters, boys. You traded your way into this; just go ahead…trade your way out. You’re smart guys; you can do it.”
Wouldn’t that have been fun to watch?
The Guy from Delaware
@26 (Inside) As this post illustrates, Fuld’s intransigence was an obstacle. It is nevertheless difficult to understand why Mr. Geithner chose to let Lehman fail.
@36 I, for one, welcome TGFD’s pithy observations on this bankster forum.
@TGFD
Your lease-insane comment, dare I even say almost lucid, today.
Btw, are you insinuating you now have the ear of el presidente?
TGFD scares me.
-Greg
Was Tiny Tim in awe of big Dick?
@12 is right; all the blogs do jumps to get page views higher. Going back and reading or rereading the comments antes it up even more.
“I believe you have a meeting with Dick.”
“Yeah, I do,” Mr. Lewis replied.
Mr. Geithner gave him directions to a side room where the two could speak in private. He had apparently already given Mr. Fuld the same instructions, because Mr. Lewis noticed him across the room looking back at them like a nervous date.”
Absolutely priceless
BoALeh – it sounds so regal in this comment.
By the bearded balls of Bernanke, I shall return!
~D. Fuld
Anal_Yst@#39…
Does TGFD “now have the ear of el presidente?”
Of course I do, now. Why else do you think obama’s doing all the crazy things he’s doing? He’s listening to TGFD.
The Guy from Delaware
p.s. Just kidding.
@ Anal. Yeah he does. TGFD is Joe Biden, I thought everyone knew that?