That’s a question posed on another blog today.
Bank of America’s acquisition of mortgage giant Countrywide have some people wondering if Lewis, the bank’s CEO, awaits a similar fate to his cross-town Charlotte, N.C., competitor, Ken Thompson, former Wachovia chief executive. Part of Thompson’s downfall, you may recall, was making the decision to purchase Golden West, the holding company of World Savings Bank, which also was steeped in the mortgage business.
But one could argue that in Lewis’ case, he and Bank of America shareholders know what they are getting into, versus Thompson and others at Wachovia, whose acquisition of Golden West came about the same time the nation’s mortgage business was ready to tank.
The question is, should Lewis, Thompson or any other chief executive of a major firm take the fall for one misstep, especially when their previous moves proved bountiful for their companies?