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Enron by the Numbers

As the final bills come due, the big winners in Enron's demise are—surprise!—the lawyers.
Illustration of businessmen pointing at real estate sign.
From lawn care to fast food, every industry is blaming the mortgage meltdown. Read More
Last Trade:Change:
Industry:
Finance
Primary executive:
Vikram S. Pandit,
Summary:
A global financial services holding company, which provides a range of financial services to consumer and corporate customers. View More
Six years after Enron's collapse, lawyers are salivating over a potential $1.5 billion in fees, the biggest such payout in history. A Texas judge in Enron's securities class-action case is now considering a fee request amounting to 9.5 percent of the more than $7.2 billion that attorneys have recouped for investors. The lead firm's asking rate averages out to a truly startling $2,379 per hour. Enron's bankruptcy case has already netted fees and expenses of more than $725 million. Add to that a $20 billion claim against Citigroup, set to go to trial in April, and disgraced C.E.O. Jeff Skilling may emerge as the legal profession's all-time greatest rainmaker.

Securities Class-Action Case
Newby v. Enron
Sought: $688,000,000
Pages of documents reviewed by all prosecuting lawyers: 70,000,000
Hours billed by lead law firm, Coughlin Stoia Geller Rudman & Robbins: 248,804
Potential payout to Coughlin Stoia: $592,000,000

Bankruptcy Case
Fees and expenses paid to lawyers and accountants as of January 2008: $725,000,000
Hours billed by lead law firm, Weil Gotshal & Mange: 391,820
Fees paid to Weil Gotshal: $149,000,000
Photocopying expenses: $5,400,000

Sources: Legal Cost Control; court filings.

 



 

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