Publications
Publications
- April 2009 (Revised September 2011)
- HBS Case Collection
Before the Fall: Lehman Brothers 2008
By: Clayton S. Rose and Anand Ahuja
Abstract
This case examines Lehman Brothers in the months preceding its collapse. Following the announcement of a huge and unexpected second quarter loss, the CFO was removed from her post after only seven months in the job. This case explores the challenges faced by a firm leader as she attempts to manage a situation that threatens the firm's survival. In particular, the case allows for an examination of how changes in a firm's performance and position are communicated to key external stakeholders in an effort to retain their confidence, while market conditions worsen, the balance sheet deteriorates, and the firm's credibility is challenged by a short-selling hedge fund.
Keywords
Communication Strategy; Financial Crisis; Insolvency and Bankruptcy; Financial Management; Financial Markets; Crisis Management; Trust; Financial Services Industry
Citation
Rose, Clayton S., and Anand Ahuja. "Before the Fall: Lehman Brothers 2008." Harvard Business School Case 309-093, April 2009. (Revised September 2011.)