Saturday will mark the 10-year anniversary of the collapse of Lehman Brothers. Still ranked as the largest U.S. bankruptcy in history, it was one of the key events in what would become the largest financial collapse since the Great Depression.
Since Lehman’s collapse, a lot has changed. The U.S. economy is firing on all cylinders. Unemployment is low, consumer confidence is high and the major U.S. stock market indexes are all hovering near record highs. So what became of Lehman’s leaders? Here's an update on seven of them.
Richard Fuld, former chief executive officer
Fuld was Lehman’s top executive and, in his own words, was “the most hated man in America” after thebank's collapse. Even though he was unemployed for some time, he is now the chief executive at Matrix Private Capital Group, a diversified asset management firm founded in 2016.
Joe Gregory, former chief operating officer
Gregory was with Lehman for 30 years, until he was asked to leave in June 2008. It is unclear if he is employed again, but what Gregory has been in the news for selling his assets. In the years after Lehman’s collapse he sold his helicopter and his Bridgehampton and Lloyd Harbor homes, both of which are in New York.
Herbert "Bart" McDade, former chief operating officer
McDade served primarily as the global head of equities, and following the departure of Joe Gregory in June 2008 he held the position of COO. McDade took control of Lehman during its final days in 2008 while CEO Dick Fuld had been pushed aside.
According to Bloomberg, McDade is the chairman of the Bond Market Association and the vice chairman and director of the board of governors of Winged Foot Golf Club. He has been a member of the National Advisory Council of Federal National Mortgage Association and Fannie Mae since March 30, 2004.
Michael Gelband, former head of capital markets
Gelband was global head of Lehman’s fixed income division and one of the leaders who warned about a potential risk to Lehman’s finances. He warned a group in the distressed-debt department back in 2005 that Lehman had a dangerously high level of debt while in 2008 he warned upper management that Lehman had taken on excessive risk.
Gelband is a founder of ExodusPoint Capital Management, a hedge fund that had a particularly high-profile launch, according to a Bloomberg report, raising $8 billion as other hedge funds were having to cut fees and shrink. Prior to ExodusPoint, Gelband worked at Millennium Management and was at one time considered the heir apparent to chairman and CEO Israel Englander, until the two had a falling out.
Scott Freidheim, former chief administrative officer
Freidheim worked at Lehman since 1991 and served as chief administrative officer during the bank's collapse in 2008.
Following Lehman's collapse, Freidheim began working for Sears Holdings and was with Sears for nearly three years, according to his LinkedIn profile. He was chief executive officer of Europe for Investcorp from 2011 to 2014. He has held numerous board positions, including the U.S. Olympic and Paralympic Foundation.
Ian Lowitt, former chief financial officer
Lowitt was Lehman’s final CFO, replacing Erin Callan Prior to that, he was Lehman’s chief administrative officer. After Lehman’s collapse he joined Barclays. He is currently the chief executive at Marex Spectron.