LendingClub Names Sanborn CEO, Announces Job Cuts

The video discusses Lending Club's decision to retain Scott as CEO, surprising many who expected an external hire. This decision coincided with a Supreme Court ruling that affected Lending Club's stock, raising investor concerns about potential risks. However, the stock rebounded slightly as investors were relieved by the absence of major undisclosed issues. Scott's main task is to reassure investors and address past loan irregularities. The video also highlights concerns over loans taken by the former CEO and his family to artificially boost growth, which have since been repaid.

What was surprising about Lending Club's decision regarding their CEO?

• They hired a completely new CEO.

• They decided to keep Scott, an internal candidate, as CEO.

• They decided to operate without a CEO.

• They appointed a temporary CEO from another company.

What was the concern of Lending Club investors related to the Supreme Court?

• The Supreme Court might mandate a change in Lending Club's leadership.

• The Supreme Court might prevent Lending Club from lending at higher rates in some states.

• The Supreme Court might allow higher interest rates.

• The Supreme Court might force Lending Club to close.

What has Lending Club been doing since its founder left?

• Expanding into new markets.

• Increasing their marketing budget.

• Conducting an internal review to find discrepancies.

• Hiring new executives from outside.

What irregularity was disclosed about the former CEO of Lending Club?

• He falsified company records.

• He was involved in insider trading.

• He embezzled funds from the company.

• He took out 32 loans to make the company appear to grow faster.

What is a key task for Scott as the CEO of Lending Club?

• To expand the company internationally.

• To reassure investors and regain their trust.

• To launch a new product line.

• To cut down on operational costs.