CEO Watch Former Bear Stearns CEO to Exit J.P. Morgan Chase
Former Bear Stearns chief executive Alan Schwartz will leave J.P. Morgan Chase at the end of August, according to an internal memo from J.P Morgan CEO Jamie Dimon.
After three decades at Bear Stearns, Schwartz was forced to sell the firm to J.P Morgan in March after speculation about the firm's liquidity forced investors to pull their cash. At that point the federal government stepped in to orchestrate the sale.
"With most of the work on the merger integration behind us, Alan will be moving on from the firm at the end of August to pursue other interests," said a memo signed by Dimon, according to an Associated Press report. "Despite the extremely difficult circumstances that brought our firms together, Alan has been a terrific and constructive partner through the process."
Analysts predicted Dimon would offer Schwartz a major role in its investment banking division, according to AP. But that speculation proved to be false.
"I am very proud to have been a part of Bear Stearns," Schwartz said in the memo, according to Bloomberg News. "It was a special place I know many of us will miss."
It has been rumored for that Schwartz is headed to buyout titan Kohlberg Kravis Roberts & Co., according to TheStreet.com. KKR founder Henry Kravis recently announced his plans to take the firm public.
Over 7,000 Bear Stearns employees lost their jobs when shareholders approved the government-led merger of Bear Stearns and J.P. Morgan in May.
