Rodge Cohen Quoted on the Collapse of Lehman Brothers in 2008 (The Times, Today and Guardian Unlimited)

September 12, 2009

Rodge Cohen was quoted in several articles which recounted the collapse of Lehman Brothers in 2008:

  • A September 12 article in The Times (London), “Lehman, Barclays and the Countdown to Financial Crisis,” discussed the turn of events that ultimately led to the collapse of Lehman Brothers. Regarding U.S. Treasury Secretary Hank Paulson's decision to let Lehman fail Mr. Cohen said, “I have puzzled over this for a long time. The idea that the U.S. Government wanted to set an example of Lehman is inaccurate, but it was not prepared to provide substantial support to enable Lehman to survive.” Mr. Cohen also commented on the potential deal with Barclays and the U.K. government's decision not to provide support to the failing bank. “We were told that the U.K. Government did not want Barclays to go forward — that it did not want this cancer to affect the U.K. banking system. We understood this was the issue, and that it did not get to a question of whether there would be a guarantee,” he said.
  • A September 12 Today (Singapore) article, “The Man Who Broke the Bank,” noted that Mr. Cohen advised Lehman on its bankruptcy that September. As Mr. Cohen recalled, “People were enormously upset. There was anger, but there wasn't any screaming or running around.” The article went on to report that Mr. Cohen and Bart McDade, Lehman's chief operating officer, delivered the news to Lehman chief executive Dick Fuld that no deal would be reached with Barclays, and Lehman was forced to file for bankruptcy.
  • In a September 4 article in Guardian Unlimited, “How the Collapse of Lehman Brothers Pushed Capitalism to the Brink,” Mr. Cohen recalled the upset on the day that Lehman filed for bankruptcy, “Everybody had been living this 24/7 so, really, there was an element of exhaustion,” he said.