Citation
Report of Anton R. Valukas, Examiner, In re Lehman Brothers Holdings Inc.
TL;DR
Documented Lehman's 31:1 leverage ratio
2,200-page bankruptcy examiner report detailing Lehman's collapse, documenting 31:1 leverage, exposure to illiquid real estate assets, and the extinction vortex from credit freeze to bankruptcy. Authoritative forensic analysis of the largest bankruptcy in U.S. history.
The report provides granular detail on how extreme leverage (31:1) eliminated any buffer against asset value declines, and how reliance on short-term funding created fatal vulnerability when credit markets froze. Essential reading for understanding how financial fragility translates to organizational extinction.
Key Findings from Valukas (2010)
- Documented Lehman's 31:1 leverage ratio
- Detailed 'Repo 105' accounting manipulation
- Traced extinction vortex from asset writedowns through credit freeze to bankruptcy
- Showed how lack of government rescue sealed Lehman's fate