AlphaOmega7
March 20th, 2008, 06:25 PM
Monday, Mar. 17 2008
Analysis
Bear Bailout: Employees’ Fortunes Vanish
Ken Sweet
FOXBusiness
One of the more stunning developments of the Bear Stearns (BSC: 5.96, +0.63, +11.81%) fire sale is that many of the firm's 14,000 employees, as well as the firms many thousands of shareholders, have just watched their stakes in the company go up in smoke.
What's more, Sunday's news that JPMorgan Chase (JPM: 46.00, +3.53, +8.31%) would purchase Bear for $236 million, or $2 a share -- a fraction of its value even from the close of trading Friday -- sent fears that there might not be much of Bear Stearns left when the merger is set to be completed later this year.
"This is gonna go down as the biggest theft in all of financial history, said William Smith, portfolio manager of Smith Asset Management and a former Bear employee. "The $2 a share stock price is more symbolic than anything because the alternative is nothing."
more...http://www.foxbusiness.com/markets/industries/finance/article/bear-bailout-employees-fortunes-vanish_520815_9.html
Analysis
Bear Bailout: Employees’ Fortunes Vanish
Ken Sweet
FOXBusiness
One of the more stunning developments of the Bear Stearns (BSC: 5.96, +0.63, +11.81%) fire sale is that many of the firm's 14,000 employees, as well as the firms many thousands of shareholders, have just watched their stakes in the company go up in smoke.
What's more, Sunday's news that JPMorgan Chase (JPM: 46.00, +3.53, +8.31%) would purchase Bear for $236 million, or $2 a share -- a fraction of its value even from the close of trading Friday -- sent fears that there might not be much of Bear Stearns left when the merger is set to be completed later this year.
"This is gonna go down as the biggest theft in all of financial history, said William Smith, portfolio manager of Smith Asset Management and a former Bear employee. "The $2 a share stock price is more symbolic than anything because the alternative is nothing."
more...http://www.foxbusiness.com/markets/industries/finance/article/bear-bailout-employees-fortunes-vanish_520815_9.html