City Lawyers Looking to be Citi Lawyers Because Citigroup is Going to Need Them
Today, 50,000 Citigroup employees learned that their services would no longer be needed. I spent the weekend at the gun range working on the skills that will matter in the “new economy,” but law firms partners spent the time jockeying for business. Apparently, not everybody has accepted the post-apocalyptic reality staring us all in the face.
But let’s play their game; let’s assume that there will be “money” in the future that can still be traded for goods and services. Which law firms are positioned to pitch in with new Citigroup work?
Because it’s not going to be Wachtell. AmLaw Daily reminds us that Wachtell is representing Wells Fargo in litigation against Citi. And Sullivan & Cromwell is representing the Wachovia side of that Citi-Wachovia-Wells ménage à screwed.
Given today’s news, it’s not surprising that Citi’s board spent most of the weekend trying to pick a top law firm to cover their backside:
Citi’s board is apparently fighting over which Am Law 100 firm free of conflicts it should retain as counsel.Quoting an anonymous “person close to the situation,” the Times reports that “Citigroup’s board has been bickering over seemingly small issues, including which white-shoe law firm will represent it. …”
The contenders, after the jump.
Cravath, Swaine & Moore looks to be the leader in the clubhouse:
B. Robbins Kiessling, the head of Cravath’s banking practice, was out of the office on Friday and unavailable for comment. A spokeswoman for the firm declined to comment. Like Wachtell, Cravath is a go-to firm for board advisory work, primarily through former presiding partner Robert Joffe.
But going with Cravath would be a little slap in the face to Skadden:
[Skadden partner Eric] Friedman has represented Citi on the $3.7 billion sale of its asset management business to Legg Mason in June 2005 and on Citi’s $11.5 billion divestiture of its Travelers Life & Annuity unit to MetLife in January 2005. In May, Friedman advised Citi on the $900 million sale of CitiStreet to ING Group. (Friedman did not respond to a request for comment by the time of this story.)
Oh, there will be work. You can’t sell assets and free yourself of 50,000 employees without lawyers. Good lawyers. We’ll see who makes bank off this latest financial travesty.
Now if you’ll excuse me, I have to go to my class on how to field dress a wound.
Layoffs Watch ‘08: Citi [Dealbreaker]
Citigroup’s Board Shopping for a Legal Adviser [AmLaw Daily]
Citi Plans Asset Sales and Job Cuts [NYT]
(66) Comments
Comments
First!!
It's clear they'll be choosing MoFo.
These pretzels taste like ass... CiTTTi
Shearman does a ton of Citi work.
Former Thelen and current Orrick partner Tom Glascock (aka Glass Cock) here, reminding the Citi board that you can't screw over the country without a big glassy cock in the fore.
Choose Orrick and give me credit, then I can finally step out of Weitzel's shadow!
CORRECTION: Boies, Schiller & Flexner, NOT Sullivan & Cromwell, is representing the Wachovia side of that Citi-Wachovia-Wells ménage à screwed.
It's not going to be Skadden, MysTTTal.....as you pointed out, they're looking for "a top law."
What about DPW?
Citigroup has announced that it has selected Jackie Chiles.
This is not a good fit for the Ass Cravath. Better to go with CWT or Schulte.
9 - Jackie Chiles is currently representing me in a lawsuit against my former wife, in which I allege she gave me genital warts and a very bad yeast infection.
They should totally get Barry Zuckercorn:
Barry: I got Michael out of his marriage, didn’t I?
Michael: Actually she died.
Barry: You’re kidding me. I’ve been taking credit for that for years.
Michael: Credit?
SkaddenDC is going to need a top flight law firm to cover its backside and front side in the coming months.
*wonders if all this citi work will require the talents of one anxious, nervous, and ready to work (and make 3k/week!) 1L*
-nervous T-10 1L
email job leads to nervoust101l@yahoo.com
MysTTTal fact check your stories.
RMFT!
skaaaaaden
Those bull balls are making Mystal hungry.
By the way, the picture accompanying this story reminds me of the nightmare I had where I was Elie's prison cellmate and him telling me that he is a power bottom.
Glass Cock, out.
Better yet, CiTTTi should choose Bob Loblaw
While I haven't been that impressed with Mystal, I have to admit that this post had its moments.
Whose right 6 or Ellie?
When the hell did the commenters become so freakishly gay on this site? I mean a little gay is fine, but everybody knows you never go full balls deep gay. Damn, boy.
Go balls deep or don't go at all.
23 - right on. now time to love that cock.
Hey Citi, here's an idea. You're looking to cut costs? Why not take a look at some of the "second tier" law firms who can perform for you just as well as any of the "AmLaw 100", and who won't charge you obscenely ridiculous rates?
Hey Citi, here's an idea. You're looking to cut costs? Why not take a look at some of the "second tier" law firms who can perform for you just as well as any of the "AmLaw 100", and who won't charge you obscenely ridiculous rates?
Honestly, these posts are getting ridiculous.
Hey Citi, how's it going? You know me, I'm Mark Wahlberg. I see you are fat and bloated, the Elie Mystal of banks if you will. I like that. Say hi to your mother for me.
right meow
27, that's hilarious! The nervous institutional investors are sure to go for that. You should call Citi HQ ASAP with your fine idea.
28 -- get back to billing your weekend work if these posts are so ridiculous. Douche.
#27 - you are an idiot if you think that is going to happen. basically, at that level, the board has no choice but to spend a boatload of money. all of us that have gone against the likes of cravath and watchell know they are nothing special but they have done an excellent job making themselves appear to be, and that is what investors want. they dont care about good legal advice. they only care if it can cover their butts (i.e. blame someone else).
it is what it is. i actually admire cravath and watchell. they have done an excellent job fooling ignorant people into believing that they know something that the other law firms dont. they should rightfully reap their just rewards. in other words, second tier law firms wont get this sort of business because they have not done proper PR/networking/lobbying to build their brand name. it is their own fault.
go cravath. go get em.
Momma always said beware of dem gays with all of their gay ways and strange crevice filling phalluses.
Tier 2 law firms have been wiping the Ass Cravath for years. Why would anything change now?
UVA2L
Everything will be fine on january 20th. Obama is gonna tax people making over 200k, so everything will be fine after that. Why is everyone panicking?
Dear Nervous T10 1L:
Did I see you in Carolyn Spencer's office the other day?
Sincerely,
Not-Nervous T10 2L
And the winner is:
Sagman, Bennet, Robbins, Oppenheim and Taft
Sagman, Bennet, Robbins, Oppenheim and Taft
Sagman, Bennet, Robbins, Oppenheim and Taft
Sagman, Bennet, Robbins, Oppenheim and Taft
Sagman, Bennet, Robbins, Oppenheim and Taft
36: i did have a meeting with career services but that's all i'll say.
-nervous T-10 1L
email job leads to nervoust101l@yahoo.com
34 - How would you know? How the fuck does a 2L know about anything in the real legal world? Answer: YOU DON'T. Now stfu you pretentious little shit
Tier 2 law firms have been wiping the Ass Cravath for years. Why would anything change now?
UVA2L
_________________________
Go back to poppin your collar and attending keg parties dressed in madras, asshole!
39/40--it's sad when GULCers can't handle the fact that their school sucks. Keep poppin those collars!!
-Not 34
should go with schulte
#32: Right on the money on the first, but not second point.
In this kind of legal work, especially in rather unique deals that are being crafted during the crisis (e.g. how to handle fed's backstop guarantee, a new world of financing (non-)availability etc) economies of scale do matter - the firm that has done a Bear/JPM or ML/BofA deal can facilitate a new transaction much faster (and speed matters a lot here) and more efficiently.
Also, when you made exactly/almost same deals in recent past, you spend less hours on a current deals, and in terms of value for money provided to a client, even if we assume that the clients are fees-sensitive (corporate boards in M&A are not), you get exactly the same, or more, than from the second-tier firm.
Simple equation: Top5-10 firms: higher billing rates x lower hours < or = Tier 2 firms: lower rates x more hours.
@ 43, "what you've just said is one of the most insanely idiotic things I have ever heard. At no point in your rambling, incoherent response were you even close to anything that could be considered a rational thought. Everyone in this room is now dumber for having listened to it. I award you no points, and may God have mercy on your soul. "
UVA >GULC> Cooley>Texas
I don't know how they overlooked Paul Hastings.
The choice is so clear.
45 -- Wrong. Wrong. Wrong.
It's almost noon and we have one semi-lucid post and two fluff pieces. Thanks Elie! Keep working hard....maybe we can have another post about Obama to round out another morning of mediocrity?
UVA<3 GULCers collective mouths.
Elie is working hard at the doughnut shop frantically getting ready for turkey day.
Elle, I too have been watching Road Warrior, Zombie movies, and any other apocalypse movies I can find just in case. The new economy will probably be based on some kind of "thunderdome" type wagering system. Good thing I'm a member of the NRA. This is our time to shine, lets show the post-world how cutthroat we lawyers can be!
Boies Schiller is representing Wachovia you retarded idiot. How do you have such trouble doing research on basic facts that could be accomplished in a simple google search?
BSF is doing the litigation now that Citi is suing-mad. S&C did the deal and agreement, and is now advising.
So relax.
Amlaw reports that DPW is one of the front-runners.
51 -- I think there is an excellent debate to be had (sadly, probably not here) about which post-apocalyptic movie best represents our future society.
I drunkenly re-watched Waterworld after Lehman collapsed and I thought that there were a couple of important themes there (global warming, oil as the most precious resource, drinking your own pee).
But obviously, much like Kevin Costner, all the land won't just disappear, no matter what we do to the environment.
Waterthunderdome Warriors. Something like that is what I'm planning for.
What about Paul Weiss?
C'mon lets get serious, clearly UVA is in a completely different league than GULC. Not even debatable.
-GW 1L
39-um, jealous much? maybe you should have studied harder and gone to a better school?
34, if you siphon off all of 39's jealousy from his comment, he does have a point. I've only been out a couple of years and I admit I know nothing about 2nd tier law firms...though I have caught some malpractice-level "oops-es" among other top firm opposing counsel
I'm guessing it goes to Shearman.
sure, it'll go to shearman - so long as they forget that little billing issue they had with Shearman a few years ago . . . .
It's gonna go to Shearman.
Are these comments REALLY confidential? Can they be traced?
Are these comments REALLY confidential? Can they be traced?
skadden all the way...!
Chris Brannigan Law recently expanded its NY practice and would be great.
http://www.youtube.com/watch?v=2cV0yzNX7P8
CWT!!!
As a first year at CWT, I can attest to how busy we are in comparison to all you chumps in other firms that have yet to layoff....I hope it feels good to wait to be laid off...we'll be busy for all of '09...BITCHESSS!!!!
hahahahahhahahahahahaahahahaha......