peHUB Second Opinion 8.24

Welcome to the inadvertently longest Second Opinion links list of all time.

The Private Equity Model Needs To Be Overhauled: “They are used to striding into offices, slashing costs and throwing out dead wood.” (Telegraph)

On the Other Hand: Wipeouts likely won’t kill private equity (Breakingviews) But you already knew that.

Advent’s Purchase of Charlotte Russe: Is a big PR failure and probably a good first-deal lesson on the part of new buyout firm KarpReilly, founded by alumni of Apax Partners. (peHUB) You may remember the firm took a minority stake in the company and then made an unsolicited take-private offer last year (for around half of what Advent is paying, to boot). That offer happened to mentioned that the firm could make an even lower bid. It was rebuffed, and the shareholders later rejected the firm’s attempt to get board seats as well. The firm eventually withdrew its bid. Read the history of that mess here.

Postcards from the Hamptons: How is that vacation spot for the rich holding up? According to Dealbook, One restaurant manager said: “I think we’re probably not seeing as much money being spent on really, really expensive wine,” she said, “but people are still buying wine.” (DB)

Imagining a Profitable YouTube: “Google executives say that day is coming, but they’ve been vague about when.” (SFGate)

Lloyd Blankfein Goes Into Panic Mode: The Goldman Sachs bad press machine continues today with a hit piece on the firm’s “trader huddles” in this mornings Wall Street Journal. Today CNBC talking head Charlie Gasparino wrote on the Daily Beast that “Wall Street CEO who considers himself a friend of the Goldman CEO” said Blankfein “looks like shit,” these days. Tactful. Read about more of Blankfein’s travails at Cityfile.

The Official Filing: According to Bloomberg, Reader’s Digest’s failure is a stain on the record of Timothy Collins and Ripplewood Holdings. (Bloomberg)

Postcards from the Hamptons: How is that vacation spot for the rich holding up? According to Dealbook, One restaurant manager said: “I think we’re probably not seeing as much money being spent on really, really expensive wine,” she said, “but people are still buying wine.” (DB)

Controversies: Is Bernie Madoff dying of cancer in jail? (NY Post)

Who said leveraged loans are dead? The Warner Chilcott deal for Procter & Gamble’s pharma business “echoes of the good old days of highly leveraged deal-financing.” (FT Alphaville)

Talking Ones Books Are We? Nine bidders apparently are in the running for BusinessWeek. Is Wasserstein, the owner of The Deal, the lead horse? (NY Post)

Then and Now: Cerberus and the Alternative Investment Bubble. (WSJ)

IPOS are Back, Right? The number of scrapped IPOs is falling and the number of new ones is rising. Go Bulls Go! (Deal Journal)