Data Centers Crucial To Lehman Sale

miller60 writes "What assets retain value in the midst of a financial panic? Data centers. When assets of bankrupt Lehman Brothers were sold to Barclays Tuesday for $1.75 billion, Lehman's data centers and headquarters accounted for $1.5 billion of the value in the deal. That echoes the JPMorgan-Bear Stearns fire sale, in which Bear's two data centers and HQ represented much of the sale price. Amidst financial turmoil, Wall Street's high-tech data centers become the crown jewels for buyers of distressed assets."

Comments

Asset valuation programmer seeks job

[tjstork]

Hi! I'm a programmer for Lehman brothers and I'm looking for work. I was the designer of Assett Manager 1.0, a powerful tool that allowed our brokers to get values of our contracts....it's not a bad program, but it had a couple of bugs in it that I would like to have fixed.

Re:Asset valuation programmer seeks job

[Red Flayer]

Take the infamous NINJA loan: No Income, No Job, No Assets. That is, you're given a mortgage based on nothing but good looks and your credit score. Nothing else is verified.

The big problem with the NINJA loans was that the interest rates given on them did not reflect the risk. Typically NINJA loans were made with just a 1-2% premium over standard loans. They should have been assigned a Phenomenally Increased rate (at least a 5% premium), or PIRATE -- which would have held them in check.

However, because the NINJAs were allowed to go unchecked, we still have a dearth of PIRATES, and thus heavy global warming in addition to the credit crunch.