Going for Broke: How Robert Campeau Bankrupted the Retail Industry, Jolted the Junk Bond Market, and Brought the Booming 80s to a Crashing Halt

by John Rothchild

Rothchild tells the incredible story of Robert Campeau's rise and fall, from his acquisition of major department store chains with $11 billion in loans the banks were all too eager to give, to his demise, when the overwhelming debt, coupled with eccentric management practices, drove him into bankruptcy. A fitting epilogue to the money-mad "Era of Debt"--a story of bankers who bent the rules of lending until they broke. Photographs.

286 pages, Paperback

First published November 1, 1991

About the author

John Harmon Rothchild was a freelance writer specializing in financial matters. He authored or co-authored more than a dozen books on finance and investing, and served as an editor of Washington Monthly as well as a columnist for Time and Fortune.

Reviews

[Erik Surewaard · Rating 4 out of 5]

Great example of one of the LBO defuncts of the 80’s. Mr. Campeau was a uncompetent money burner that was able to loan billions. You will be stunned in reading what he was able to pull off. He was even able to fraud the bankers and getting away with it. Be basically was able to get the billions for his first LBO of Allied Stores for free.

Book gives also good insights in the financial structures of the LBO’s. I.e. what part was debt and how was it structured with secured and unsecured debt, mortgages and junk bonds.

The famous investment banker Wasserstein also features well in this book as also the missteps that First Boston made in the second LBO of Federated dept stores.

Good and enjoyable read of the junk bond hype of the 80’s. Writing style is good and book has a good flow.

[Mark Bunch · Rating 4 out of 5]

I enjoyed this book very much. Written in a very witty and funny manner, this book explains the retail, junk bond world to a tee.

[Gilad Levin · Rating 5 out of 5]

Super interesting (and crazy) story, which is written very well. The writers seem to have done great research since they have a lot of information on actual conversations that happened in private.

This biography is the closest I found to a businessman with a style which is reminding of Trump - success via brute force.

The most interesting pice to take away is how to leverage what you have to increase your position. Find a reputable banker for a fee > they help you find a reputable lawyer > they help you find a more reputable banker > they help you find transactions > these transactions help you find bigger transactions > eventually, if you’ve done enough big things, everyone will be willing to land you money.

This book also has a good depiction of First Boston in its glory years.