Dimon Drops A Deuce on Bear MD’s

Jamie Dimon's $2 offer for Bear Stearns is already legendary on Wall Street. And while he has yet to work out in the swank new gym, or even christen the executive wash room, he did face top Bear executives mano a mano last night.

Outnumbered 400 to 1:

“I don’t think Bear did anything to deserve this,” Mr. Dimon said. “Our hearts go out to you.”

“No one on Wall Street could have anticipated this,” he continued. “I feel terrible sometimes when people think we took advantage. I don’t think we could possibly know what you all are feeling, but I hope that you give JPMorgan a chance.” New York Times

Dimon's lowball bid stinks to high heaven, at least the way some Bear Managing Directors see it. They did not light a match to clear the air, they lit into Dimon:

“In this room are people who have built this firm and lost a lot, our fortunes,” one Bear executive said to Mr. Dimon with anger in his voice. “What will you do to make us whole?” The packed room of senior managing directors applauded.

Dimon response was perfect, but the pack of paupers was not about to let him off easy:

Mr. Dimon responded gingerly. “You’re acting like it’s our fault, and it’s not. If you stay we will make you happy.”

But the Bear employee was not satisfied. “I think it’s galling you come into our house and you call this a ‘merger,’ ” the Bear executive went on.

This time, Mr. Dimon was silent.

Alan Schwartz, whose character has been unfairly attacked by people outside the firm, and also by newly poor Bear veterans, tried to pull himself together after the worst week of his life:

We here are a collective victim of violence,” he said, his voice cracking. “It’s natural to be angry, and you’re not sure who to be angry at. But we have to put it behind us.”

J.P. Morgan execs are already taking over at Bear; sooner or later one of them is likely to encounter a sucker punch similar to the one Dimon landed on Schwartz over the weekend.

Dimon will soon christen the bathrooms at 383 Madison while reading the New York Post. Hopefully the toilets are functioning, because thousands of employees are about to get flushed as Jamie sets them packing with only the shirts on their back.

At Bear Stearns, Meet the New Boss
New York Times
-----------------------------------------------------------------------------------------------------------------------
The content contained represent the opinions of 1440 Wall Street. This commentary in no way constitutes a solicitation of business or investment advice. It is intended solely for the entertainment of the reader, and the author.

Comments:

<< Back to main