Speaking of which, Lehman Brothers is really unlucky.

Lehman Brothers was exposed to the crisis last year, in September 2007.

On September 11, seven years ago, two planes hit the World Trade Center in New York, the Lehman headquarters in the World Trade Center. They suffered heavy losses, but they also survived.

On the same day seven years later, Lehman’s share price fell below 4 per yuan, again coming to life and death.

At the end of 2007, Lehman's total assets were approximately US$700 billion, and the net value of the company after deducting various liabilities was approximately US$20 billion, with a leverage ratio of 35 times. By this year, in the first half of 2008, Lehman's mortgage asset problems were gradually exposed, and losses could reach tens of billions of dollars. The company lost its capital and turned into a net worth of 10 billion to support $690 billion in assets, and the leverage ratio suddenly rushed. As high as nearly 70 times.

At this time, Lehman was already in danger, and if there was a slight disturbance, Lehman would collapse.

At this time, the Korea Development Bank, which is far in East Asia, was willing to inject capital into Lehman. As soon as the news came out, Lehman's share price immediately stabilized.

The main reason why KDB is willing to take Lehman Brothers at this time is because the boss of KDB used to be the head of the Lehman Korean branch and has a lot of affection for the old club.

At that time, KDB was willing to offer 26 US dollars per share, while Lehman insisted on 28 US dollars. Dick Fuld, the head of Lehman Brothers, is indeed unwilling to "sell at a low price." After all, Lehman is quite profitable, with a profit of US$4.2 billion in 2007. But this is the horror of mobility-when the air dries up, what use is there for you to show eight pack abs.

As a result, this undecided transaction finally caused problems. On September 7, 2008, the U.S. government suddenly announced the takeover of the two housing estates, inserting US$200 billion in preferred stock investment into their capital structure.

The next day, South Korean financial regulators expressed their opinions in an oriental euphemism: "KDB should treat the issue of Lehman capital injection with extreme caution." KDB immediately issued a statement to terminate negotiations with Lehman. As a result, Lehman's share price fell sharply. What's more fatal is that no one has borrowed from Lehman, and liquidity will be cut off soon.

Looking around, Goldman Sachs and Citigroup are hard to protect themselves. They just ate Bear Stearns and would not be interested in Lehman who is in a similar situation.

There are only two blind dates left, the relatively simple and honest Bank of America, which was born in a commercial bank, and the Barclays Bank from Great Britain.

The weekend in mid-September 2008 was just an ordinary holiday for many people on this planet, but it was Lehman’s life and death.

Prior to this, Bank of America and Merrill Lynch had been eye-catching for a long time. Merrill looked at the mortgage assets on his books and knew in his heart that if Bank of America bought Lehman, then the next short target of this financial vulture would be itself. Bank of America is also unforgettable, sitting on the negotiating table with Lehman, but always aiming at Merrill Lynch.

Can this matter be delayed? Without further ado, Merrill Lynch resolutely clung to her body and took the room card handed over by Bank of America at the bottom of the table.

Upon learning of the good things about Merrill Lynch and Bank of America, Treasury Secretary Paulson was overjoyed and ordered both parties not to hesitate and must complete the merger.

That weekend old Paulson recruited all the executives of Wall Street giants to the Federal Reserve Building and did two things. First, to follow the LTCM crisis in 1998, let Wall Street set up a rescue team to buy Lehman’s problematic assets and then buy them. People buy the remaining assets of Lehman; second, finalize the purchase of Lehman.

Does Goldman Sachs dare to tear down the old leader's desk? Surely not. Therefore, the rescue team was surprisingly smooth. Seeing that Lehman was about to be saved, the M&A case was stuck in a seemingly insignificant section: Barclays is a British bank. It turned out that according to British regulatory regulations, mergers and acquisitions need to be voted by the general meeting of shareholders before they can count.

This is no different from US regulations, but the following one is terrible: Prior to this, Barclays could not guarantee the Lehman transaction because it would constitute a "substantial merger." It will take a few days for shareholders to vote at the earliest. During this period, Lehman has to open its doors for business. If investors continue to withdraw their capital, Lehman may not be able to pass the merger and will go bankrupt because the transaction cannot be settled.

Once, when old Paulson persuaded Dick Fuld, the latter replied "I have been at Lehman for longer than you have been at Goldman Sachs". That means it is very clear, you count as a hairy!

So afterwards, some people said that it was because of Fuld's consistent arrogance that completely angered old Paulson. It is also said that the old Paulson just wanted to kill the chickens and curse the monkeys and teach the greedy Wall Street a lesson. In short, the old Paulson made a clear statement very early, don't think about the government paying for Lehman.

Humph, I just want to use you as that horrible chicken, what can you do with me? You **** dare to talk about old paper like that, if the old paper is not whole, you are pretty good!

However, the old Paulson’s face work still has to be done. He asked the British regulators to exempt the relevant regulations, but the British guy shook his head like a rattle: there are enough troubles in our own financial system. We open the back door to save an American investment bank. ? no way!

Now old Paulson has something to say. Look, I’m not a bigot, I’m going to beg a British guy for Lehman.

But when Barclays persuaded the U.S. government to change its mind, Paulson’s attitude was very firm at this time-our country’s financial system cannot be easily undermined. The implication is clear, no way!

As a result, the fate of Lehman Brothers as a chicken cannot be changed, and the 158-year-old Lehman Brothers finally came to the end of life.

The bankruptcy of Lehman Brothers finally turned the subprime mortgage crisis into a global financial crisis!

The cruelty in the financial market was vividly demonstrated in this subprime mortgage crisis.

However, all of this has nothing to do with the Dragon Fund. There is John Paulson in the front, and large investment banks such as Bear Stearns, Merrill Lynch, and Lehman Brothers are dragging them in the back. Even if the old Paulson deliberately digs into it, he doesn’t have the energy to do this. matter.

Not to mention, in January of next year, Austrian Heitan will come to power, and Paulson's trip to the finance minister will be completely over. He also checked a P!

Yang Jing knew these things clearly, but he couldn't tell them now.

Fortunately, the Dragon Fund performed well in the subprime mortgage crisis. It was enough to make enough profits while guaranteeing concealment.

As for John Paulson, although he made a lot of money in the subprime mortgage crisis, he made a full 20 billion U.S. dollars, and he was called "the **** of the sky" by later generations, but the Paulson fund earned that little money. , I really didn't let the Evil Dragon Fund pay attention to it.

A mere 20 billion U.S. dollars, not even a fraction of the profit of the Dragon Fund

"Okay, let's not discuss these." Yang Jing clapped his hands, raised his glass again and said: "Next month, the Olympic Games will be held in Yanjing, China. Guys, whoever is interested in going with me? Look at that grand event?"

Henry and the three of them also raised their wine glasses~lightnovelpub.net~ After touching Yang Jing and taking a sip, Henry smiled and said, "Boss, do you want to relax?"

Yang Jing shrugged noncommittal, "I have been busy for so many years, so I should give myself time to relax. Hey, you can't always be as tight as a bowstring. It's good for your body to relax properly. That's right. , Mike has promised my invitation. He will fly directly to Yanjing next month and we will meet there. Guys, who of you wants to follow me to the Olympics?"

Henry looked at both sides, hesitated a little, then raised his hand and said, "Just count me. I think these little guys are ready to go, so I'm also going to give myself a vacation."

Cesar grinned and said, "How can such a good thing fall to me? I'll go too."

Yang Jing looked at David, and David shook his head and said: "Boss, I think I'll just stare here. There needs to be someone sitting here. And I have no interest in the Olympics. Just go and watch. NS."

Yang Jing looked at the three of them, and finally smiled and said, "Okay, let's meet in Yanjing next month!"