The last tycoons: the secret history of Lazard Frères & Co

Home > Other > The last tycoons: the secret history of Lazard Frères & Co > Page 99
The last tycoons: the secret history of Lazard Frères & Co Page 99

by William D. Cohan


  "You each supported my appointment": WL memorandum, "Our Future Course," October 24, 2000.

  "I remain chairman": Euromoney, January 2001.

  "It would not be abnormal": Ibid.

  "cutting off Loomis at the knees": Euromoney, November 2001.

  "We've been through a period of turmoil": BusinessWeek, November 27,2000.

  "The mood was ghastly": WSJ, November 13, 2002.

  "We are the independent and private": WL memorandum to the executive committee, October 24, 2000; WL speech, November 2000; and Institutional Investor, December 2000.

  "If we were to sell": BusinessWeek, November 27, 2000.

  "The price was obscene": "Dressing Up Lazard," Bloomberg Magazine, February 2003.

  "Bollore caused just a huge distraction": Interview with a Lazard partner.

  "It's all about IQ": Rich Karlgaard, "Microsoft's IQ Dividend," WSJ, July 28,2004.

  "The crux for all investment banks": Economist, November 30, 2000.

  "The machinery, the culture": AE, December 10, 2000.

  "After an outstanding year": AE, December 22, 2000.

  Chapter 18: "Lazard May Go Down Like the Titanic!"

  "That was the beginning": Interview with a Lazard partner.

  "Within weeks, Michel was undermining": Interview with a Lazard partner.

  "Bill actually had come in on": Interview with a Lazard partner.

  "He was told by them": Interview with a Lazard partner.

  "I mean, people thought that it": Interview with a Lazard partner.

  "Richard has been a gifted banker": Article/press release on Microsoft.com, November 30, 2000.

  "But basically, Bill insisted": Interview with a Lazard partner.

  "Now, you have to remember": Interview with a Lazard partner.

  "All of us also knew": Interview with a Lazard partner.

  "Everybody in Europe wanted more points": Interview with a Lazard partner.

  "Bill, on this first working day of 2001": MDW to WL, January 2, 2001.

  "has $50 million too much expense": AE, January 13, 2001.

  "some sort of gesture": Ibid.

  "This would be a fine start": Ibid.

  "Michel, with whom Bill had discussed": Ibid.

  "our usual very frank conversation"; Ibid.

  "We will either work": Ibid.

  "It is interesting to consider why": Ibid.

  "to hold the firm together": Ibid.

  "Loomis played an interesting, watchful game": AE, January 20, 2001.

  "deeply and unusually depressed": AE, February 1, 2001.

  "yet another threat to quit": Ibid.

  "big cuts" in New York: Ibid.

  "In a nutshell": Ibid.

  "equity scheme": Ibid.

  "a rather excited voice": Ibid.

  "chasing abortive schemes": Ibid.

  "Bill appeared to lose his temper": Ibid.

  "There will be trouble ahead": Ibid.

  "three hours to chew on": Ibid.

  "pretty bizarre scheme": Ibid.

  "Bill's behaviour is quite against the grain": Ibid.

  The account of Verey's mood: Ibid.

  "He simply could not face": Ibid.

  "unacceptable": AE, February 4,2001.

  follow-up meeting: Interview with Lazard partners.

  Verey sent a letter: AE, February 4,2001.

  "received the impression": AE, February 22, 2001.

  "Our name in the world is excellent": MDW speech at February 20, 2001, executive committee meeting; speech dated February 12, 2001.

  "commitment fest": AE, February 22, 2001.

  "Michel made it clear": Ibid.

  "could impact the timing": Ibid.

  "good book about what I have seen": NYT, January 23, 2001.

  "I decided that I couldn't go back": Institutional Investor, May 2001.

  "No, you know I can't do this": Interview with FGR, January 3, 2005.

  released him from a provision: Ibid.

  "Well, we can't do that": AE, February 22, 2001.

  "extraordinary exercise": Interview with FGR, January 3, 2005.

  "I could go to court": Ibid.

  "If they voted to release you": Ibid.

  Two points were communicated: AE, February 22, 2001.

  "Another bizarre affair": Ibid.

  "The idea was that Lazard could use": Interview with FGR, January 3, 2005.

  "So Felix is back": Lazard chat room on Vault.com, April 26, 2001.

  "Isn't Felix in his early 70s?": Ibid., April 27, 2001.

  "Even with his return": Ibid., April 27, 2001.

  "I think bringing Felix back": Ibid., April 27, 2001.

  "Seems like Felix is": Ibid., May 10,2001.

  "Felix is truly the best": Richard Emerson on Vault.com, June 21, 2001.

  "We see the writing on the wall": Lazard chat room on Vault.com, March 15, 2001.

  "Due to the fact that MDW": Ibid., March 16, 2001.

  "In the next two weeks": Ibid., March 17, 2001.

  "There are rumors of layoffs": Ibid., March 19, 2001.

  "First of all": Ibid., March 20, 2001.

  "Lazard's reputation": Ibid., March 31, 2001.

  "Imagine being in the middle": Ibid., March 31, 2001.

  "I got a call from Bill Loomis": Ibid., April 2, 2001.

  "It is shit": Ibid., April 1, 2001.

  "Everyone at the firm knows it": Ibid.

  "First, you had this level of expectations": Interview with a Lazard partner.

  "By March, he was saying": Interview with a Lazard partner.

  Project S: AE; and interviews with Lazard partners.

  "The day we go public one way or another": AE, around February 22, 2001 (undated entry).

  "Who owns Lazard": AE, March 18,2001.

  "shabbily dealt with": Ibid.

  "If Loomis goes ahead": Ibid.

  "cope with the 'rumours'": AE, April 24, 2001.

  "it had been a rotten day": Ibid.

  "on a friendly basis": Ibid.

  "honorably consider alternatives": Ibid.

  "The difficulty I had with David": Interview with MDW, January 31, 2005.

  "My first loyalty is to Michel David-Weill": Interview with David Verey, May 31, 2005.

  "very touched by that": Interview with MDW, November 30, 2005.

  "Your essential qualities": Bruno Roger to Adrian Evans, May 11, 2001.

  "He lost control of the situation completely": Interview with a Lazard partner.

  "We need to have more vibrant incentives": WL speech, May 25, 2001.

  "A house divided against itself": E-mail correspondence between WL and Adrian Evans, June 26, 2001.

  Michel had three messages for him: E-mail correspondence between WL and Adrian Evans, July 6, 2001.

  "With that, I went to bed": Ibid.

  "if others wish to put themselves": Ibid.

  "Perhaps it was an illusion": AE, July 12, 2001.

  "both publicly and privately": Ibid.

  "we have to work together": Ibid.

  "EAT BEFORE READING": Adrian Evans e-mail, July 20, 2001.

  "This will be colorful, if 'disturbing'": Ibid.

  "$70 million is unlikely to be": Lazard partner e-mail, July 21, 2001.

  "lecture on Paris' feeling of isolation": Evans e-mail, July 21, 2001.

  "When you say to partners": Interview with Bruno Roger.

  "To imagine Michel becoming involved": Evans e-mail, July 21, 2001.

  "We need to be honest in our assessment": WL to MDW, July 23, 2001.

  "And that was the only future": Interview with a Lazard partner.

  "I would say that I started": Interview with a Lazard partner.

  "ridiculous to float or sell now": Interview with a Lazard partner.

  "We might prefer restructuring": Ibid.

  "So nothing will happen": Ibid.

  "You suggest that we 'fire' Tom": WL e-mail to MDW, July 31, 2001.

  "angry, quarrelsome" one: AE, August 2
, 2001.

  "The guy was the manager": Interview with MDW, December 1, 2004.

  "I think he was losing confidence": Ibid.

  Summer 2001 efforts to hire Bruce Wasserstein: Interviews with MDW, FGR, WL, and a spokesman for BW.

  "unproductive and highly dangerous": AE, August 29, 2001.

  "we speak with them all the time": Ibid.

  Two meetings in Biarritz: Interview with MDW, November 30, 2005.

  "they are dying to do something": AE, August 29, 2001.

  "Personally, I am not against it": Ibid.

  "were all the same": Ibid.

  "You would be bribed to stay": Ibid.

  "I would not work hard": Ibid.

  "There was my knowledge": Interview with MDW, December 1, 2004.

  "I mean, even though they went to talk": Interview with a Lazard partner.

  "Felix would've done it": Ibid.

  "It's unclear how far the Lehman discussions got": Interview with Ken Wilson, January 18, 2005.

  "with pleasure": Interview with MDW, November 30, 2005.

  discussions between the two firms: Interviews with Lazard bankers; and WSJ, November 7, 2001.

  two-paragraph agreement: Interviews with MDW and WL.

  "Because I am an eternal optimist": Interview with MDW, September 15,2004.

  "I spent the rest of the day": Vernon Jordan sermon to the First Congregational Church in Atlanta, September 23, 2001.

  "The curious thing with me": Interview with MDW, September 15, 2004.

  "I was not totally against a deal with Lehman": Interview with MDW, November 30, 2005.

  "Look, you know I never participated": Ibid.

  "There are five of us stuck here" and story of partners flying back to the United States in MDW's jet; Interview with a Lazard partner.

  "I have long been concerned and articulate": WL e-mail to Adrian Evans, September 23, 2001.

  "joking" and "happy": Interview with a Lazard partner.

  "Very interesting, very odd, very puzzling": Interview with a Lazard partner.

  "Fundamentally, if you shut down Capital Markets": AE, October 16, 2001.

  "menacing monotone" and "To be perfectly frank": Ibid.

  "Every time we have this discussion": Ibid.

  he fired Tashjian: Interviews with Lazard partners.

  "Gratuitous violence": Interview with a Lazard partner.

  "a watershed event": Interview with MDW, December 1, 2004.

  "In a partnership": Ibid.

  "I reached the conclusion": Interview with WL, June 30, 2005.

  "At that point I knew": Interview with Ken Jacobs, October 27, 2004.

  "So here I am in a situation": Interview with WL, June 30, 2005; and WL e-mail to Scott Hoffman, October 21,2001.

  "His advice was to hold on": Interview with WL, June 30, 2005.

  "Maybe you were once a banker": Ibid.

  "This was an impossible situation": Ibid.

  "I thought about it on Sunday": Ibid.

  "Otherwise, I just get tarred": Ibid.; and WL e-mail, October 20, 2001.

  "goes far enough in NYC": Marcus Agius e-mail to WL, October 22, 2001.

  "I must also tell you": Interview with WL, June 30, 2005.

  "You are a great partner": WL e-mail to Adrian Evans, October 23, 2001.

  "work with clients and focus": Lazard press release, October 24, 2001; and WSJ, October 25, 2001.

  "If Michel had to offer them the olive branch": Daily Deal, October 24,2001.

  "He was so much in David-Weill's shadow": Euromoney, November 2001.

  "People don't have a long time": Interview with MDW, December 1, 2004.

  "was a catastrophe": Interview with a Lazard partner.

  "Turning back the clock": Interview with MDW, September 15, 2004.

  "never been able to keep": Bloomberg, October 24, 2001.

  "the high-profile departures": "Men Overboard," Economist, November 3,2001.

  "A change is required": AE, November 8, 2001.

  "basically whatever we want": Ibid.

  "He argued that he increases": Ibid.

  "Is this better or worse": Ibid.

  "The deal is on": Ibid.

  "Well, I've got to say": Interview with MDW, November 30, 2005.

  sold his eponymous firm: Numerous press reports.

  "That's utter baloney": Vicky Ward, "Lazard's Clash of the Titans," Vanity Fair, April 2005.

  "It's classic Bruce": Interview with a former Wasserstein Perella partner.

  "he should be free to leave": WSJ, November 15, 2001.

  "old news": Interview with a Lazard partner.

  "unfinished business": Interview with SR, September 14, 2001.

  "Before Bruce ever got into a discussion": Interview with a Lazard partner.

  "Who would take this job?": BusinessWeek, November 12, 2001.

  WL call to Fuld: Interview with WL; and WL letter to Fuld, November 8,2001.

  "Dear Lenny": WSJ, November 15,2001.

  "After 25 years of stewardship": MDW memorandum/press release, November 15, 2001.

  "I am delighted to join Lazard:" Ibid.

  "To take a firm with potential": BW on The Charlie Rose Show, January 4,2006.

  "great firm," "intergenerational transition," "Classic small business problem": Ibid.

  "It was obviously a deal": Interview with a Lazard partner.

  "One of the most interesting things": Bruce Wasserstein, Big Deal (New York: Warner Books, 1998), and Harvard Business School Bulletin, October 1996.

  "Well, I had two thoughts, not reactions": Interview with MDW, November 30, 2005.

  nothing short of suicidal: Interviews with Francois Voss (January 31, 2005) and other Lazard partners.

  "I knew the accounts of the Wasserstein firm": Interview with MDW, January 12, 2005.

  "It is very difficult to manage a private firm": Interview with MDW, September 15, 2004.

  "Both are considered brilliant bankers": WSJ, November 16, 2001.

  joint telephone interview: Ibid.

  "People should worry about customers": Financial Times, November 16,2001.

  "There is no sharing": BusinessWeek, November 16, 2001.

  reaction within Lazard: Various press reports.

  "inherited a ship with a mutinous crew": NYT, January 4, 2002.

  "off on the same duck shoot": Economist, December 5, 2002.

  "Clearly Michel knew what he had to do": Interview with a Lazard partner.

  Chapter 19. Bid-'Em-Up Bruce

  "Bruce is very creative": People, June 25, 1990.

  "His PR machine was working": Interview with Lynne Killin, March 2, 2006.

  "female pioneer in corporate America": New York, November 18, 2002.

  "little like Penn and Teller": Phoebe Hoban, "The Family Wasserstein," New York, January 4, 1993.

  "Morris was an extremely gentle": Interview with a Wasserstein family friend.

  "They were in the ribbon business": Interview with Ivan Cohen, January 23,2006.

  "We should all be as happy": Ibid.

  Information about Abner Wasserstein: ARC of Monroe County Web site and other press reports.

  "Bruce was a genius": New York, November 18, 2002; and Vicky Ward, "Lazard's Clash of the Titans," Vanity Fair, April 2005.

  "One day, this is going to be mine": "Dressing Up Lazard," Bloomberg Magazine, February 2003.

  "Sweetie, he's a play unto himself!": Pamela Wasserstein at Wendy Wasserstein's memorial service, March 13, 2006.

  "It had a major effect on him": Paul Cowan, "The Merger Maestro," Esquire, May 1984.

  "He was always the sort of kid": Ibid.

  "When I was a kid": L. J. Davis, "Wall Street's Wonder Boys," NYT Magazine, January 28, 1990.

  The headlines and "The funny thing about the whole situation": Bruce Wasserstein, "Never Trust a Naked Editor," Publick Occurrences, Michigan Daily, January 19, 1967.

  "He had a tremendous intellect": Interview with Harvey Wasserman, December 22, 2005.<
br />
  "First you pick a department": Bruce Wasserstein, "Raw Power Beats System Every Time," Michigan Daily, April 8,1966.

  "Let's put it this way": Interview with Killin, March 2, 2006.

  "Commuting by bicycle between the two schools": Harvard Business School Bulletin, October 1996.

  a collection of thirteen essays: Bruce Wasserstein and Mark J. Green, eds., With Justice for Some (Boston: Beacon Press, 1970).

  "He damned well better have": Interview with Killin, March 2, 2006.

  "He always had a lot of fish to fry": Interview with Ralph Nader, June 27, 2005.

  "I remember him saying": Interview with Killin, March 2, 2006.

  collaborated on another book: Mark J. Green with Beverly C. Moore Jr. and Bruce Wasserstein, The Closed Enterprise System (New York: Grossman, 1972).

  his thirty-four-page: Bruce Wasserstein, "British Merger Policy from an American Perspective," Yale Law Journal 82, no. 4 (1973).

  "almighty lucre": Interview with Nader, June 27, 2005.

  Bruce keeps a framed copy: Interview with a friend of BW.

  "First of all": Interview with Killin, March 2, 2006.

  "So she was making fun of my rocks": Ibid.

  "We were doing taxes": Ibid.

  "I remember reading about all the fees": Institutional Investor, June 1987.

  "I don't think I was at the meeting": Ibid.

  "When the M&A effort at First Boston": Wasserstein, Big Deal. 549. "The structure of the deal was so complex": Davis, "Wall Street's Wonder Boys."

  written the blueprint: Bruce Wasserstein, Corporate Finance Law: A Guide for the Executive (New York: McGraw-Hill, 1978).

  "The deal business is unfortunately replete": Ibid., p. 4.

  "He has great ambition and great confidence": Interview with a friend of BW.

  The Bruce brand got a boost: Robert Metz, NYT, May 2, 1980.

  "heavy-set and blond": NYT, April 21, 1981.

  "Wasserstein is best at figuring out": Tim Metz, WSJ, April 21, 1982.

  "Simon and Garfunkel": L. J. Davis, "Slightly Tarnished," New York Times Magazine, January 28, 1990.

  "I spotted this tall": Interview with Clarence Fanto, February 4, 2006.

  "Overweight and chronically rumpled": Cowan, "Merger Maestro."

  "Of course that is a good thing": Ibid.

  "What I'd like to think of as the hallmark": Institutional Investor, June 1987.

  "transform Wall Street": WSJ, November 6, 1986.

  "There was a swirl of controversy": Institutional Investor, June 1987.

  "These collapses will be long": Carol Loomis, "The Biggest Looniest Deal Ever," Fortune, June 18, 1990.

 

‹ Prev