Rising delinquencies mean that CDOs lose value. The investment banks must take write-downs and raise capital; the rout begins. Bear Stearns goes down. Lehman Brothers plays an endgame and loses.
Great Depression 2.0: Tracing the Meltdown
The housing bubble burst. Wall Street collapsed. Now the aftershocks are radiating throughout Main Street. TIME explores how this initially insular financial crisis went national.
Finance Takes the Next Hit