How Big is Lehman’s Failure? Big!
Lehman Brothers had $639 billion in assets and $613 billion in liabilities when it declared bankruptcy – the largest bankruptcy in US history. Most of those assets will be unwound, revalued, and sold to cover the liabilities. By the time this is over, shareholders will most likely receive nothing.
How much is $639 billion? Well, here are some comparisons.
$639 billion would buy you:
- 3 complete Space Shuttle Programs
- 375 Space Shuttles
- 125 US Navy Gerald R. Ford class supercarriers
- 106 Large Hadron Colliders
- 43 Big Digs
- 290 B-2 Stealth Bombers
- 1,558 Mars Rovers
- 1,893 fully equipped Airbus A380s
- The total GDP of Sweden, with enough leftover to also buy the GDP of the Czech Republic
That’s a lot of money!
» Tagged: banks, lehman brothers
Three-fourths of a war in Iraq!
I’m still in baby accting here, buy why don’t they have to impair their assets on their b.s. before they declare bankruptcy?
Andie: I’m not entirely sure I have a solid answer, but here’s some random guessing.
I like your responses.
I just emailed my accting prof to get his take . . . so hold your breath!
“As long as it wasn’t the end of the quarter, I don’t think they would have to file anything before bankruptcy.”