Too Big to Fail: The Inside Story of How Wall Street and Washington Fought to Save the FinancialSystem--and Themselves

ACKNOWLEDGMENTS

This book had its origins in the wee hours of the morning of Monday, September 15, 2008. I had just gotten home at about 2:30 a.m. after working flat out for days with my colleagues at the New York Times as we sought to report all of the details of what has become perhaps the most storied weekend in our economic history. When I walked in the door I was still in shock, having just finished writing the paper’s lead article that morning: Lehman Brothers had officially filed for bankruptcy protection, Merrill Lynch was sold to Bank of America, and American International Group was teetering.

Desperate to talk to someone about what had just happened, I woke up my wife, Pilar Queen, to share the news with her. “You’re not going to believe this,” I said, as I recounted all of the dramatic details. “It’s like a movie!”

Pilar looked at me for a split second, and before pulling the sheets back around herself and going back to sleep, she said, “No, it’s like a book.”

For the entire week after that conversation I resisted even considering the idea of writing a book. I was overwhelmed with my reporting for the paper, and the thought of ever writing more than a few thousand words at once frankly scared me. But Pilar was persistent, nudging me gently but firmly, and ultimately persuading me to take on the task, believing that I was capable of doing so even when I didn’t. For virtually the next 365 days she encouraged me through the completion of this project—one that often felt like trying to sprint for the duration of an entire marathon.

I also owe a special thank-you to my parents, Joan and Larry Sorkin, and to my sister, Suzie. Whatever success I’ve had in my life has been a direct result of their love and support. When I was in high school they would all anxiously hover over me as I struggled to write my term papers; to them—and to me—the very idea that I would end up writing a book is more than a little inconceivable.

There is one important family member I need to mention who didn’t get to read this book—or witness the climax of the financial crisis. Up until the Friday of “Lehman Weekend ”—September 12, 2008—I was fortunate enough to have all four of my grandparents. But that Friday my grandfather Sidney Sorkin passed away at ninety-one years old. He had always been a voracious reader, and I felt that he would have urged me to continue to cover the events of that weekend as I grieved his death.

I have been encouraged throughout my life by my three other grandparents, Chester and Barbara Ross and Lilly Sorkin—all proudly over the age of ninety—who have also been tremendous sources of support over the past year.

Writing a book can be an isolating experience, but I was helped through it by so many dear friends at various points in the process that I never felt alone. I owe a special debt of gratitude to Jeff Cane, my former longtime editor at the Times, who has an encyclopedic knowledge of Wall Street and offered his assistance from the very beginning. My pal Jim Impoco, another of my favorite former editors at the Times, offered keen suggestions throughout, as did Hugo Lindgren, a brilliant editor at New York magazine (and another former Timesman). Michelle Memran, researcher and fact-checker extraordinaire, tracked down the most obscure details and made the most meticulous time lines imaginable, helping me keep track of a very complicated plot. In the final weeks of the project, Pam Newton, another researcher, tirelessly located people on various continents. These friends worked at all hours, often sacrificing time with their families, to help me see this project through.

One of the reasons I wrote this book at all was that I was lucky enough to have as my editor Viking’s Rick Kot, who edited my favorite business book of all time, Barbarians at the Gate. Rick was a good friend before this project, and he’s an even better friend now. He hustled to make this book work under enormous time pressure, and his deft editing improved every page. His assistant, Laura Tisdel, was also remarkable, simultaneously juggling a dozen moving parts at the same time. Clare Ferraro, Viking’s president, believed in the vision of this project from the moment I walked in the door to pitch it. I am also indebted to the rest of the Viking team, who worked around the clock to make this book happen: Rachel Burd, Carla Bolte, Pat Lyons, Fabiana Van Arsdell, Paul Buckley, Jennifer Wang, Carolyn Coleburn, Yen Cheong, Louise Braverman, Linda Cowen, Alex Gigante, Melanie Belkin, Jane Cavolina, Norina Frabotta, Susan Johnson, John Jusino, Michael Burke, Martha Cameron, Beth Caspar, Hilary Roberts, Jackie Véissid, Christina Caruccio, and Noirin Lucas.

My agent, David McCormick, did everything a good agent should do—only better. I’m also grateful to P. J. Mark, who handled the international sales of this project, and Leslie Falk. I must also thank Matthew Snyder, my film agent at Creative Artists Agency, who has been with me since 2001.

I would be remiss if I did not acknowledge my extraordinary colleagues at the Times, many of whom generously offered their editorial guidance—and, more important, emotional support—whenever I was on the verge of mental and physical exhaustion, which was more often than I’d like to admit. I’m especially grateful to Jenny Anderson, Liz Alderman, Alex Berenson, Adam Bryant, Eric Dash, Charles Duhigg, Geraldine Fabrikant, Mark Getzfred, David Gillen, Diana Henriques, David Joachim, P. J. Joshi, Kevin McKenna, Dan Niemi, Joseph Nocera, Floyd Norris, Winnie O’Kelley, Cass Peterson, Tim Race, and Louise Story. I’d also like to single out a special group of people at the Times who have become a very important part of my life: the team behind DealBook, an online financial report I started in 2001. My good friends and trusted partners, Peter Edmonston, Michael J. de la Merced, and Liza Klaussmann, are largely responsible for much of our early success. As our team has grown, it has also been a pleasure to work with Zachery Kouwe, Steven M. Davidoff, Jack Lynch, Cyrus Sanati, and Chris V. Nicholson.

I’d also like to acknowledge my friends at CNBC, especially the Squawk Box team and the old Kudlow & Cramer crew, which put me on television when I was twenty-five years old and had no business being in front of a camera.

A handful of friends from various parts of my life who supported this project and my career also deserve thanks: David Berenson, Dan Bigman, Graydon Carter, Cynthia Colonna, Alan Cowell, David Faber, David Goodman, Warren Hoge, Mark Hoffman, Laura Holson, Ben Hordell, Joe Kernen, the Malman family, the Queen family, Carl Quintanilla, Anita Raghavan, Dan Richenthal, Becky Quick, Charlie Rose, Seth and Shari Saideman, the Schneiderman family, Alixandra Smith, Doug Stumpf, Matt and Melissa Sussberg, Jonathan Wald, the Weinberg family, Josh and Lauren Wolfe, and Michael Wolff. I’m sure I have inadvertently left out more than one person on this list, for which I apologize in advance. (I have purposely not included anyone who could possibly be confused as a source for this book.)

Perhaps my biggest thank-you goes to my employer, the New York Times. I first started at the paper when I was eighteen years old, back in the spring of 1995, pretty much by accident. Stuart Elliott, the paper’s advertising columnist, whom I read religiously, was crazy enough to let me in the building. An editor, Felicity Barringer—unaware of my age—took a gamble and assigned me a story. Glenn Kramon, the business editor, was trusting enough to let me stay and later to hire me when I graduated from college and send me to London. Larry Ingrassia, the current business editor, not only kept me around, but gave me a column—always going above and beyond to support me. And Bill Keller, the paper’s executive editor (and Joe Lelyveld before him, when I originally joined the paper) allowed—even encouraged—all of this to happen. I owe my career to these people.

I am especially thankful to Larry and Bill—as well as to managing editors John Geddes and Jill Abramson—for generously giving me the time to write this book. I must also thank two people on the other side of the “wall”: Arthur Sulzberger Jr., the paper’s publisher, and Martin Nisenholtz, senior vice president of digital operations. Both of them have not only encouraged my career in journalism but have also supported my entrepreneurial efforts to help the paper.

Finally, this book would not have been possible without the hundreds of people on Wall Street, in Washington, and elsewhere who generously sacrificed their time to share their insider accounts to help me tell this important story. As I promised them, I have identified none of them by name here, but they know who they are. And they know how truly grateful I am.