The Jerome Chazen Case Series
Landsbanki Islands, the oldest of Iceland's three major banks, faced a funding crisis in March 2008 as its home country spiraled into a financial crisis. The astonishing growth rate of Landsbanki and Iceland's other top banks during the previous few years begged the question of whether such expansion can occur without strategic missteps. As the crisis worsened, the bank's leaders were under pressure to keep the institution afloat. In this case students examine Landsbanki's history and financial data, the close connections between Iceland's major corporations and banks, and the country's monetary policies to consider the reasons for the collapse and what steps the bank's management should take.
Case id: 090304
Supplemental Material: Teaching Note, Teaching Slides