Half a Million Dollars Per Day

That is the amount the consulting  firm of Alvarez  & Marsal has received from the Lehman Brothers estate through the end of January. And that includes nights and weekends. That is $20,000 dollars per hour, 24 hours a day. And that’s not all. Alvarez & Marsal hired Weil, Gotshal to assist with the Bankruptcy. Weil Gotshal has billed $149.5 million over a 16 month period. That is another $300,000 per hour. Consulting fees, attorney fees and expenses total $641.9 million to date. Wow.

The SEC filing is here.

Note: I have received several comments about this post which I haven’t published. I didn’t offer an opinion one way or the other. Most are negative about these consultants. But some of the comments have gone overboard in trying to defend the fees. If you are one of those commenters, then argue your position. Tell us about the complexities of the case or the special knowledge required. Don’t just post an anonymous “you are clueless” comment. Clue me in. And don’t be “anonymous.”

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