468 “Decisions by the Secretary pursuant to the authority”: “Text of Draft Proposal for Bailout Plan,”
472 “You know, there’s a chance I could lose the firm”: Mack later recounted this story to Bloomberg: “I said to my wife, when things were really crazy, ‘You know, there’s a chance I will lose this firm. But I would rather be doing this than sitting on a beach reading a book.’ ” See Lisa Kassenaar and Christine Harper, “Mack Tells Wife He May Lose Firm Before Brokerage Bid,” Bloomberg, January 26, 2009.
473 the headline “King Henry”:
473 a quote from Governor Jon Corzine: “There hasn’t been a consistent pattern… . We save Bear Stearns but not Lehman. The market is going to have a hard time sorting through what the underlying principle is.” Daniel Gross, “The Captain of the Street; Treasury Secretary Hank Paulson Has a Radical Game Plan for Beating America’s Financial Crisis,”
474 “If you were in your old job”: Tom Brokaw
476 “He understands Berkshire far better”: Buffett, from his 2003 chairman’s letter. See the annual report at http://www.berkshirehathaway.com/2003ar/2003ar.pdf.
477 it had used Morgan Stanley as an adviser: “MUFG’s unsolicited bid, arranged by Morgan Stanley as its financial advisor, also illustrates how conservative Japanese companies are adapting to the cut and thrust of U.S. M&A.” Yuka Hayashi and Alison Tudor, “MUFG offers to buy UnionBanCal,”
485 Mitsubishi agreeing to buy up to 20 percent: Louise Story, “Morgan Stanley Secures Japan Deal; Mitsubishi UFJ to Pay $9 billion for 21% Stake in U.S. Firm,”
486 At 9:30 p.m., the news hit the wires: On September 21, 2008, the Federal Reserve released the following: “The Federal Reserve Board on Sunday approved, pending a statutory five-day antitrust waiting period, the applications of Goldman Sachs and Morgan Stanley to become bank holding companies.” See http://www.federalreserve.gov/newsevents/press/bcreg/20080921a.htm.
CHAPTER NINETEEN
488 “It would be a grave mistake”: Representative Barney Frank, appearing on
488 Trott called Buffett again: Chris Blackhurst, “Billionaire Buffett and the Only Banker He Trusts,”
489 Buffett buying $5 billion in Goldman Stock: Susanne Craig, Matthew Karnitschnig, and Aaron Lucchetti, “Buffett to Invest $5 Billion in Goldman,”
490 Winkelried’s salary: Joseph McCafferty, “Goldman Execs Earn $70M Plus,” Directorship .com; Joseph A. Giannone, “Goldman Buys $58 mln Winkelried, Palm Fund Stakes,” Reuters, March 30, 2009.
490 Winkelried selling Nantucket property: According to the Town of Nantucket’s tax assessor’s office, Winkelried purchased 4.18 acres for $5 million in January 1999 and another 1.7 acres for $1.95 million later that September. Peter B. Brace, “Goldman Sachs Executive Selling 5.9 Acres on Nantucket for $55 million,”
491 “Total Abdication of Responsibility to the Public”: Andrew Ross Sorkin, “DealBook: Power Grab and a Roll of the Dice,”
491 “What they have sent us is not acceptable”: “U.S. Lawmaker Dodd Says Treasury Plan ‘Unacceptable,’” Reuters, September 23, 2008.
491 “a terrible communicator”: Charles Babington and Julie Hirschfeld Davis, “Simmering GOP Upset They Were Kept in the Dark; Political Meltdown Came on the Heels of Financial One,” Associated Press, September 27, 2008.
492 “All of us around the table”: Press releases and documents, “Bush Pushes Financial Plan with Congressional Leaders, Candidates,” Voice of America, September 26, 2008.
492 “If money isn’t loosened up”: David M. Herszenhorn, Carl Hulse, and Sheryl Gay Stolberg, “Talks Implode During a Day of Chaos; Fate of Bailout Plan Remains Unresolved,”
493 “Well, do we need to start from scratch”: Nedra Pick ler, “Obama Says More Work Needed for Deal,” Associated Press, September 25, 2008.
493 “I didn’t know you were Catholic”: David M. Herszenhorn, Carl Hulse, and Sheryl Gay Stolberg, “Crunch Time as Washington Battles Impasse,”
493 “You have been great at picking”: “‘In the Eye of the Storm’: Citi CEO Vikram Pandit Sees a Difficult Recovery Ahead,” Knowledge@Wharton, October 2, 2008. See: http://knowledge.wharton.upenn.edu/article.cfm? articleid=2068.
494 WaMu … paying $1.9 billion: FDIC Press Release, “JPMorgan Chase Acquires Banking Operations of Washington Mutual,” September 25, 2008. http://www.fdic.gov/news/news/press/2008/pr08085.html.
495 “You saw what happened earlier”: Deborah Solomon, Damian Paletta, and Greg Hitt, “US Seals Bailout Deal,”
495 “Damn it… . If you think you need ”: Ibid.
496 “Let’s not get emotional ”: Ibid.
496 “All we’re talking about is having Groucho”: Ibid.
498 Wachovia threatened to downgrade the firm’s debt: David Enrich and Matthew Karnitschnig, “Citi, U.S. Rescue Wachovia—Latest Shotgun Deal Creates Nation’s Third-Largest Bank,”
499 Citigroup acquiring Wachovia, Fed help: Ibid. See also Eric Dash and Andrew Ross Sorkin, “Citigroup to
