Bear Stearns Dead!

It turns out my guess of 28 days was wildly optimistic. JP Morgan Chase is buying Bear Stearns for $2 a share, exchanging 0.05473 share of its stock for one share of Bear Stearns. Both boards approved the transaction over the weekend. Bear Stearns opened down 88% from Friday's close at $3.70 (just one business day after it closed Thursday at $57). The collapse was bigger than Enron and faster than LTCM. I can just see the class action securities lawyers foaming at the mouth.