James E. "Jimmy" Cayne (born February 14, 1934) is an American businessman, a former CEO of Bear Stearns (1993–2008), and bridge player. After losing about one billion dollars in net worth from the collapse of Bear Stearns' stock, he sold his entire stake in the company for $61 million. Tough loss.
Cayne has been the subject of various press since the Bear collapse, including the fact that he has sold his stake in the company for 61 million dollars after its crash.
On March 14, 2008, Charlie Gasparino of CNBC reported that the value of Cayne's holdings in Bear Stearns had declined from $993 million to significantly less than $200 million in the wake of Bear Stearns liquidity crisis. Just days later Bear Stearns came to agreement with competitor JP Morgan for a full buyout at only $2 share, roughly $236 million for the entire firm. At the time, Cayne had significant exposure to the company's stock, with most of his net worth tied up in shares that he had not yet exercised. It is estimated that the value of Caynes' holdings had dropped to less than $15 million as a result, effectively removing him from the list of the wealthiest individuals in the country. On March 27, 2008, it was announced that Cayne sold his entire stake in Bear Stearns, over 5.61 million shares, for $10.82 a share. This stake was sold prior to the vote on the renewed bid by JP Morgan for Bear Stearns.
In 2005, Forbes magazine ranked him as the 384th among the 400 richest Americans, with an estimated net worth of $900 million. He is married and has two children. On February 15, 2008, the Caynes purchased two fourteenth-floor condominium units in Plaza Hotel overlooking Central Park in New York for $27.4 million.
WHAT HE DID Took card-playing vacations and allegedly smoked weed while Bear went bankrupt.
WORST MOVE Cashed out his $61 million share after resigning shortly before Bear's sale to J.P. Morgan Chase.
NOW SAYS Of Treasury Secretary Geithner: "The guy thinks he's got a big dick. He's got nothing, except maybe a boyfriend."
CNBC named Cayne as one of the "Worst American CEOs of All Time".