Rumor: Bear Stearns looking to replace Cayne

Jimmy Cayne was always one of the great characters on Wall Street, following in the tradition of his mentor Ace Greenberg. But did he cross the line in the Bear Stears hedge fund debacle? The very memorable page 1 article in the Wall Street Journal--the one that noted his penchant for smoking pot at bridge tournaments-- may have done him in. CNBC reports that the board is considering a move. This has been rumored for a while now. No one would be surprised. We may see a transitionary move that would allow Cayne to remain as chairman, while a CEO runs things. It may or may not work. We'll see. Bear Stearns President Alan Schwartz has been mentioned as a CEO candidate. My guess is that an outsider will be named. How long before Larry Fink's name starts cropping up?  

For more:
- here's the item
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