Tribune's legal fees

They're monumental - $138 million, or about one-quarter of the company's cash flow last year, the Chicago Tribune reports. Sidley Austin, the lead debtor's attorney, is closing in on $25 million, which isn't that surprising when you consider that 160 people at the firm have spent the equivalent of 4.6 years on the case - at an average rate of $500 an hour.

As big as those numbers are, experts agree, the spending is hardly unusual. Major cases in recent years -- such as Enron ($793 million), United Airlines ($296 million) and Delphi (just under $400 million) -- have been colossally expensive. And the monstrous Lehman Bros. case, now underway in New York, will dwarf all of those. After just 17 months Lehman has generated fees of $457 million, and that jumps to more than $700 million if management fees earned by restructuring specialist Alvarez & Marsal are included.

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Mark Lacter
Mark Lacter created the LA Biz Observed blog in 2006. He posted until the day before his death on Nov. 13, 2013.
 
Mark Lacter, business writer and editor was 59
The multi-talented Mark Lacter
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