using its assets as collateral for the loan. and the company issues ious. because it s so risky, those ious carry high interest rates, and they re called junk bonds. you may not have heard of michael milken, but this 40-year-old wall street whiz is said to be the most powerful financier in america. he brought respectability to low rated junk bonds and then used the money to finance corporate raids and takeovers. without mike milken, pickens couldn t have raided phillips, 76 and gulf. he said if you really want to take over gulf, it s going to cost you $13 billion. i said, yeah, i get it. and he said, i can get the $13 billion. he s the guy that t. boone pickens goes to and most people haven t heard of him. that s the way he likes it. he doesn t care about publicity and pride. he just cares about doing deals and having power. he was this shadowy howard
wetting their well, you get the idea. of course, boesky was guilty. there was going to be no defense. all he had was bargaining power. who could he deliver? levine was a fish, boesky was a shark. who is the whale they re going to catch? i don t know. drexel burnham? well, that s possible. in the middle of all this is drexel burnham lambert. it shot to the top of the high-stakes world by specialized in so-called junk bonds. high interest but also high risk. drexel and the head of its junk bond department michael milken made a deal with ivan boesky to make millions of dollars illegally. california company wicks was planning a takeover. the secret was whispered to boesky in new york. boesky bought the stock before
and wall street big shots begin wetting their well, you get the idea. of course, boesky was guilty. there was going to be no defense. all he had was bargaining power. who could he deliver zm? levine was a fish, boesky was a shark. who is the whale they re going to catch? i don t know. drexel burnham? well, that s possible. in the middle of all this is drexel burnham lambert. until a few years ago a little known law street firm. it specialized in so-called junk bonds. high interest but also high risk. drexel and the head of its junk bond department michael milken made a deal with ivan boesky to make millions of dollars illegally. california company wicks was planning a takeover.
leveraged buyout. the company borrows the money, using its assets as collateral for the loan. and the company issues ious. because it s so risky, those ious carry high interest rates, and they re called junk bonds. you may not have heard of michael milken, but this 40-year-old wall street whiz is said to be the most powerful financier in america. he brought respectability to low rated junk bonds and then used the money to finance corporate raids and takeovers. without mike milken, pickens couldn t have raided several companies. he said if you really want to take over gulf, it s going to cost you $13 billion. i said, yeah, i get it. and he said, i can get the $13 billion. he s the guy that t. boone pickens goes to and most people haven t heard of him. that s the way he likes it. he doesn t care about publicity and pride. he just cares about doing deals and having power. he was this shadowy howard hughes-like figure that you
then whispered that secret to boesky bought the stock before it went up, shared the profits with milkens firm, but milken betrayed his client, charged a million-dollar fee and secretly earned $6.5 million more at the clients expense. authorities are worried that further disclosures resulting from the boesky affair may weaken public confidence in financial markets and weaken the markets themselves. just came from inside. it looks like a mad house. i guess the bull market s over. it s a blood bath down there. they re calling it the monday massacre. the worst drop in history. i call it the nearest thing to a meltdown i ever want to see. by the closing bell, the dow jones industrial average was down more than 500 points.