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NATHAN FERNANDES
14- 4224
 Industrial sickness is defined in India as "an
industrial company (being a company registered for
not less than five years) which has, at the end of
any financial year, accumulated losses equal to, or
exceeding, its entire net worth and has also suffered
cash losses in such financial year and the financial year
immediately preceding such financial year"
 1a : subjective evidence of disease or physical
disturbance; broadly: something that indicates the
presence of bodily disorder
 b : an evident reaction by a plant to a pathogen
 2a : something that indicates the existence of
something else symptoms of an inner turmoil
 b : a slight indication
1. Persisting shortage of cash
2. Frequent request to banks and financial institutions for
loans;
3. Frequent turnover of personnel in the industry
4. Continuous tumble in the prices of the shares
5. Deteriorating financial ratios
0.00%
5.00%
10.00%
15.00%
20.00%
25.00%
30.00%
Industry Turnover 2015
Rate of Turnover
 Better prospects
 Low Salary/ Wages
 Long Hours of work
 Employees feel stress from overwork and have a work/life
imbalance.
 Mismatch between the job and person
 Too little coaching and feedback
 Few growth and advancement opportunities
 Employees feel devalued and unrecognised
 The fourth-largest investment bank in the United
States (2007)
 Asset base of $639 billion (Before Bankruptcy)
 158 years old
 Survived the following events
1. World War I
2. The Great Depression
3. World War II
4. Continuous fall in the prices of the shares
 The leverage ratio of Lehman Brother(2007) was 44 : 1
 Where as the leverage ratio of other investment banks
such as
I. Goldman Sachs 26 : 1
II. Morgan Stanley 34 : 1
 Lead to the Financial Crisis of 2008
 Bailout of $700 billion
 Iceland and Ireland went Bankrupt
 15 American Banks went Bankrupt before the year
ended
 15 million jobs were lost in America
 India saw a decline of 2.1% in growth
 Estimated loss worldwide loss was $13 trillion
Thank you

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Industrial Sickness and Its Symptoms: Lehman Brothers Example

  • 2.  Industrial sickness is defined in India as "an industrial company (being a company registered for not less than five years) which has, at the end of any financial year, accumulated losses equal to, or exceeding, its entire net worth and has also suffered cash losses in such financial year and the financial year immediately preceding such financial year"
  • 3.  1a : subjective evidence of disease or physical disturbance; broadly: something that indicates the presence of bodily disorder  b : an evident reaction by a plant to a pathogen  2a : something that indicates the existence of something else symptoms of an inner turmoil  b : a slight indication
  • 4. 1. Persisting shortage of cash 2. Frequent request to banks and financial institutions for loans; 3. Frequent turnover of personnel in the industry 4. Continuous tumble in the prices of the shares 5. Deteriorating financial ratios
  • 6.  Better prospects  Low Salary/ Wages  Long Hours of work  Employees feel stress from overwork and have a work/life imbalance.  Mismatch between the job and person  Too little coaching and feedback  Few growth and advancement opportunities  Employees feel devalued and unrecognised
  • 7.
  • 8.  The fourth-largest investment bank in the United States (2007)  Asset base of $639 billion (Before Bankruptcy)  158 years old  Survived the following events 1. World War I 2. The Great Depression 3. World War II
  • 9. 4. Continuous fall in the prices of the shares
  • 10.  The leverage ratio of Lehman Brother(2007) was 44 : 1  Where as the leverage ratio of other investment banks such as I. Goldman Sachs 26 : 1 II. Morgan Stanley 34 : 1
  • 11.  Lead to the Financial Crisis of 2008  Bailout of $700 billion  Iceland and Ireland went Bankrupt  15 American Banks went Bankrupt before the year ended  15 million jobs were lost in America  India saw a decline of 2.1% in growth  Estimated loss worldwide loss was $13 trillion