Skip to: Content
Skip to: Site Navigation
Skip to: Search

September 5, 2008 11:47:13 PM CDT

Learn about Newser Points »

« Back to the grid | Next story »

Another Head Rolls at Merrill Lynch

Posted Jan 28, 08 3:55 PM CST in Business 

(Newser) – Merrill Lynch co-president Ahmass Fakahany will step down after subprime mortgages led to a $9.8 billion fourth-quarter loss, the firm said today. Fakahany is at least the third exec from Stan O'Neal's team to leave since John Thain took over as CEO, reports Bloomberg. Thain replaced O'Neal in October following almost-as-horrifying third-quarter losses.

The decision hasn't been made public, but Merrill is expected to announce Fakahany's departure soon. When he was promoted in May 2007, O'Neal called him one of the "strongest leaders of the organization." He had joined Merrill in 1987. The security firm's other co-president, Greg Fleming, will remain under Thain.

Source Bloomberg

0 comments | Print E-mail | Digg Seed this on Newsvine Add this link to Del.icio.us StumbleUpon

Related Newser Stories

  • 3 More Wall Street Firms Agree to Buy Back Securities

    Aug 22, 08 2:23 AM CDT
    3 More Wall Street Firms Agree to Buy Back Securities Merrill Lynch, Goldman Sachs and Deutsche Bank have agreed to a settlement with New York's attorney general and other state regulators to buy back $14.5 billion of now worthless auction-rate securities. The brokerages will also pay $162 million in fines to settle charges that they misled investors into thinking the securities were as liquid as cash, reports the Financial Times.
    More »

  • Merrill Panic May Mark Bottom of Stock Market

    Aug 1, 08 10:30 AM CDT
    Merrill Panic May Mark Bottom of Stock Market Merrill Lynch CEO John Thain has seen better days, Floyd Norris writes in the New York Times. He's gone from “cockiness to capitulation. Distinction to desperation.” Thain recently unloaded a bundle of his company’s securities for 22 cents on the dollar and raised $8.5 billion from a stock sale. But this uncharacteristic fear could indicate that Wall Street has finally hit bottom. More »

  • Fed to Crack Down on Subprime Loans

    Jul 8, 08 8:26 AM CDT
    Fed to Crack Down on Subprime Loans The Federal Reserve will issue new rules next week restricting subprime lending and other exotic loans aimed at borrowers with weak credit, Ben Bernanke said today. He said the Fed is also considering extending the overnight low-cost loan program, which helps big banks in need of quick cash, a sign that the Fed believes the financial crisis will continue into 2009. More »

  • Embattled AIG CEO Steps Down

    Jun 15, 08 3:43 PM CDT
    Embattled AIG CEO Steps Down Martin Sullivan has stepped down as AIG's CEO, and the company's board named chairman Maurice Willumstad his successor, insiders tell the Wall Street Journal. The insurance giant's stock has plummeted more than 50% since October due to subprime writedowns, and Sullivan is still embroiled in legal battles with his former boss. The new chief may start with a clean slate, but the state of American real estate remains daunting. More »

  • As Mortgages Melt Down, Owners Burn Up

    Apr 21, 08 12:11 PM CDT
    As Mortgages Melt Down, Owners Burn Up US homeowners are literally burning down their homes instead of paying their subprime mortgages. Last year saw a dramatic nationwide jump in apparently debt-motivated arson, the Los Angeles Times reports. “I'm busier now than a one-armed paper hanger,” said one investigator. “What is happening is terrifically economically driven.” So far, the numbers are small, but they have insurers on edge. More »

A Merrill Lynch office is seen in New York in this Oct. 24, 2007 file photo. Ahmass Fakahany, Co-President of Merrill Lynch & Co. is stepping down in response to record losses on subprime mortgages and...   (Associated Press)
Ahmass Fakahany, Co-President of Merrill Lynch & Co. is stepping down in response to record losses on subprime mortgages and bonds acquired while he oversaw risk management.   (merrilllynch.com)
People arrive at the Merrill Lynch building on a rainy morning in New York in this Nov. 15, 2007 file photo.Ahmass Fakahany, Co-President of Merrill Lynch & Co. is stepping down in response to record...   (Associated Press)
« Prev« Prev | Next »Next » Slideshow
Our editors also recommend:

Threads (1 of 3)

Tags

subprime mortgages  • subprime crisis  • Merrill Lynch  • John Thain  • Stan O'Neal


Loading...

Premium Articles from HighBeam

Find more articles like this

Today's Most Popular


Other Business Stories

What is Newser?

2008 Codie Finalist

Newser gives you more news in less time. We search for the best and most important stories all over the web, read them for you, and deliver concise and sharp summaries—along with links to the full text. Newser provides a way to stay on top of an ever-expanding horizon of news and opinion—politics, sports, business, trends, technology, personalities, crimes, and controversies. Newser keeps you not just better informed, but, with our signature graphic interface and smart condensed format, more enjoyably informed.

Learn more »