Finance
Atul Gawande: America's Doctor
Who is Atul Gawande and why is he having a bigger impact on your life than any physician in America who is not treating you?Gawwande is a cancer surgeon in Boston. A Rhodes Scholar and the recipient of a MacArthur "genius grant", he trained at Harvard, and Stanford and grabbed a Masters in Public Health [...]
Helicopter Money vs. Stolen Bonuses
Money is hard to keep in perspective, especially when the bad guys steal yours. This week Americans discovered that we are to pay multi-million dollar bonuses to the very AIG executives who bankrupted the company (a fairly small part of AIG called the Financial Products Group in London). Many of the recipients no longer even [...]
Can Ron Bloom Save the US Auto Industry?
As mentioned in an earlier post, I think very highly of Ron Bloom, the Steelworker Financial adviser just named by President Obama as the non-czar car czar. Ron and Diana Farrell of the National Economic Council will head up the task force that will oversee the restructuring of our car companies. Both are first-rate appointments.Ron [...]
Economic Collapse: Understanding the Triple Whammy
We are in the middle of three economic crises. Although it would be preferable to handle and attack of food poisoning, a vicious cold, and the flu separately, we got all three at the same time. The patient is feverish, heaving, and has not yet seen the worst of it.They are related economic diseases, but [...]
There is no joy on Wall Street — Bernanke has struck out.
Courtesy of Matt Miller, author of the just-out The Tyranny of Dead Ideas. He is a better writer than poet, but this isn't bad: Bernanke at The Fed! Things were looking down for GDP that fateful yearRetail sales had sunk, with the consumer crouched in fearThe S&P had cratered, while the banks their cash did [...]
Is General Motors Lehman, AIG, or Bear Stearns?
Government can do three things when faced with a sick company. Let them file for bankruptcy as we did with Lehman Brothers. Engineer a sale or a "tough love" restructuring as we did with Bear Stearns. Or invest money like we did with AIG. Which is appropriate for automakers? Chrysler is a Lehman — the [...]
“How would a Machinist say that?” Talking points for Obama on the financial crisis.
During the early 1980s an odd combination of economic recession, bad career planning, and good fortune pulled me out of my job making turbine blades at Westinghouse and landed me in the position of directing education programs for about 200,000 west coast members of the International Association of Machinists and Aerospace Workers. I trained union [...]
Category Five Storm Slams Wall Street
It is the worst financial crisis in a generation and, for just a moment, I thought that it might be divinely inspired. Only two weeks ago Focus on the Family called on Americans to pray for a rainstorm “of biblical proportions” to wash away Obama’s outdoor acceptance speech in Denver. God delivered perfect 72 degree [...]
Scooter and Skilling: Fools or Felons?
Start with my prejudices, which many people share. I do not especially like Dick Cheney’s aide Scooter Libby or Enron President Jeff Skilling. Both strike me as men who chose to advance narrow and unworthy goals: the sharp-elbowed, mean-spirited, zero-sum politics of the Cheney/Bush White House or the creation of an energy trading giant built [...]
When Talk Isn't Cheap
For most of us, talk is cheap and blogging free. For leaders however, talk can be costly — as many CEOs and politicians have learned. For leaders trusted with extraordinary power, talk can be very, very expensive, as the example of America’s two most powerful leaders illustrates. The second most powerful leader in America is [...]
The IPO Diaries, Days Eight and Nine: Early Returns
EARLY RETURNS Friends, Your correspondent went silent yesterday. Tuesday was a brutal 17 hour day – raising money in New York is definitely a contact sport. Seven private meetings with teams of smart, articulate, sceptical investors, a lunch speech, two updates with the capital markets banking team, a board meeting, and a late night huddle [...]
The IPO Diaries, Day Seven: Whistle Stop
Monday, May 17, 2004 Philadelphia and Delaware WHISTLE STOP Alibrians, Our "Mid Atlantic" day consisted of five high quality meetings in Philadelphia and Delaware. The finish line is in sight. Bankers and sales guys are confident; I see no reason to be. The day started with a nice surprise in the Wall Street Journal: our [...]
The IPO Diaries, Day Six: You Must Be Salesmen
Friday, May 14, 2004 Boston, Massachusetts (Part Six of the IPO Diaries) Friends and Family, Boston was packed. Six-back-to-back meetings, including a nicely attended road show lunch, before we hit our final, seventh call. It had been a long week. Everyone was tired but feeling good as we cleared security and took the elevator [...]
The IPO Diaries, Day Five: How High is Up?
Thursday, May 13, 2004 Milwaukee, Wisconsin (Part Five of the IPO Diaries) Folks, Milwaukee was a pleasant surprise. The airport has a very large used bookstore and I got a drive by glance at the Santiago Calatrava-designed Quadracci Pavilion — a museum that perches delicately on Lake Michigan like a white bird poised for flight. [...]
The IPO Diaries, Day Four: Momentum a Mile High
Wednesday, May 12, 2004 Denver, Colorado (Part Four of the IPO Diaries) MOMENTUM A MILE HIGH Folks, For the first time today, our bankers started to use a scary word — momentum. It’s one of those dangerous words that politicians, CEOs, and coaches use when we know that things are going well, but we don’t [...]
The IPO Diaries, Day Three: Flush Until Water Runs Clear
Tuesday, May 11, 2004 (Part Three of the IPO Diaries) Everybody, When exactly did bottled water become the business beverage of choice on planes, in meetings, cars, and hotel rooms? We are drinking water constantly and, when trolling for capital in La Jolla and Santa Monica as we were today, watching oceans of it out [...]
The IPO Diaries, Day Two: Stretchin'
Monday, May 10, 2004 Alibrians, Day one of the domestic road show began with incessant pounding starting just after 5 am. I was mainlining espresso in the kitchen, still in my undershirt, hoping to preserve the purity of the power tie on white. As the caffeine slowly took effect, I realize….knocking at front door… music [...]
The IPO Diaries, Day One: London
Friday, May 7, 2004 Folks, Six meetings and a rock concert for a total of seven high quality events. These meetings do not vary. Enter car on left, zoom to office building, clear security, elevator up, exchange business cards, pass out Red Herring. Pitch using portable flip slides — no computers. Answer questions. Run to [...]
The IPO Diaries: the Alibris 2004 Road Show
The Money Campaign A Daily Diary of the Alibris 2004 Road Show American stock markets have replaced commercial banks as our most important source of corporate financial capital. Today about 15,000 companies worth trillions of dollars sell shares to the public. Public companies come under the scrutiny of the Securities Exchange Commission, whose first Chairman, [...]
The Remarkable Ted W. Hall
Today’s Wall Street Journal ran an op ed politely suggesting that the British give up pound sterling and switch to greenbacks. It is the kind of strange idea that is so counterintuitive that you are prepared for satire or possibly a rant by someone still upset about the gold standard. Instead, you get this: "There [...]
