I guess the music’s stopped for Bear Stearns.
Good to see these highly paid guys, including Jimmy Cayne, working on the weekends, earning their millions.
The purchase of Bear Stearns by JP Morgan is a good thing for Deloitte and a pretty big deal for PwC. That’s because Deloitte loses a client, a problem client, a client they will probably be tied up with in lawsuits for a long time.
But at least Deloitte draws a bright line under their liability.
PwC inherits the problem child in the Bear Stearns business as external auditor to JP Morgan Chase. However, PwC is doing well on making their existing banking clients bigger and therefore driving more fees. They picked up a bigger Bank of America earlier this year when they acquired the Chicago based La Salle Bank. Deloitte looks to stay in the lead to remain as auditor for the rest of the larger RBS-ABN AMRO combination with Fortis and Santander.