When the world gets closer.

We help you see farther.

Sign up to our expressly international daily newsletter.

Already a subscriber? Log in .

You've reached your limit of one free article.

Get unlimited access to Worldcrunch

You can cancel anytime .

SUBSCRIBERS BENEFITS

Exclusive International news coverage

Ad-free experience NEW

Weekly digital Magazine NEW

9 daily & weekly Newsletters

Access to Worldcrunch archives

Free trial

30-days free access, then $2.90
per month.

Annual Access BEST VALUE

$19.90 per year, save $14.90 compared to monthly billing.save $14.90.

Subscribe to Worldcrunch
This Happened

This Happened — September 15: Lehman Brothers Bankruptcy

Lehman Brothers, a global financial services firm, filed for Chapter 11 bankruptcy on this day in 2008. This event was significant in the 2008 financial crisis and had far-reaching implications for the global economy and financial markets.

Get This Happened straight to your inbox ✉️ each day! Sign up here.



What is Chapter 11 bankruptcy?

Chapter 11 bankruptcy is a legal process in the United States that allows financially distressed businesses to reorganize their debts and operations while continuing their operations. It gives companies the opportunity to develop a plan to repay their creditors over time, potentially helping them recover from financial difficulties and avoid liquidation.

Why did Lehman Brothers file for bankruptcy?

Lehman Brothers faced severe financial challenges due to its exposure to subprime mortgage-backed securities and other complex financial instruments. As the housing market collapsed and mortgage defaults increased, the value of these assets declined sharply. Lehman's inability to secure additional funding and its deteriorating financial condition led to its decision to file for bankruptcy.

What were the consequences of Lehman Brothers' bankruptcy?

Lehman Brothers' bankruptcy had profound consequences on the global financial system. It triggered a crisis of confidence in financial institutions, causing severe disruptions in credit markets and leading to a credit freeze. The bankruptcy contributed to a wider global economic downturn, resulting in job losses, housing market troubles, and government interventions to stabilize financial markets.

How did the Lehman Brothers' bankruptcy impact financial markets?

The bankruptcy of Lehman Brothers had a domino effect on financial markets, causing panic and uncertainty. Stock markets around the world plummeted, and credit markets froze as banks became wary of lending to one another. The event exposed vulnerabilities in the interconnectedness of financial institutions and led to a crisis of confidence that required unprecedented government interventions to stabilize.

You've reached your limit of free articles.

To read the full story, start your free trial today.

Get unlimited access. Cancel anytime.

Exclusive coverage from the world's top sources, in English for the first time.

Insights from the widest range of perspectives, languages and countries.

Green

Stinkin’ Sunset? A Mexican Coastal Paradise Has A Major Sanitation Problem

As a paramunicipal organization takes over water services from local councils, residents face high costs, shortages, contamination — and a foul odor that’s sullying the area’s reputation as a coastal paradise.

Stinkin’ Sunset? A Mexican Coastal Paradise Has A Major Sanitation Problem

The San Francisco estuary at the beginning of the rainy season in San Francisco, Nayarit.

Maya Piedra

SAN FRANCISCO, MEXICO — Tourists from many corners of the world gather here to watch one of the region’s most beautiful sunsets. In this town in the municipality of Bahía de Banderas, in the state of Nayarit, they take photographs and applaud as the very last trace of the sun disappears.

But when darkness envelops the beach and the visitors gradually depart, the festive atmosphere gives way to fetid odors that roll in from the south, where the motors of the treatment plant start. The wastewater discharge flows into the town’s estuary, which, during the rainy season, fills with enough water to connect with the sea.

Keep reading...Show less

The latest