Enron: The Smartest Guys in the Room (DVD, 2006)

I went into Alex Gibney's "Smartest Guys in the Room" having read Robert Bryce's "Pipe Dreams" and Kurt Eichenwald's "Conspiracy of Fools" thinking to myself: should be good, but no way the movie is going to come close to telling the story like those two authors did.

Well, surprise, surprise: the movie is outstanding on its own terms and all credit goes to Gibney. While the books focus on unraveling all of Andy Fastow's 'Special Purpose Entities' like the Raptors, LJM, Chewco, etc., Gibney brilliantly focuses on showing us things that are simply better on film: audio recordings of Enron traders jacking the California energy system; a devastated Portland Gas line worker after his 401K has gone to seed; an uncomfortable Skilling getting grilled by a Senate panel while Sherron Watkins glowers at him from 10 feet away; some Enron HR flack urging its employees to put all their 401K money into company stock, etc.

And there are two incredible, spine-tingling moments if you know the Enron story:

- An audio recording of the famous quarterly results analyst call where Skilling loses it and calls an analyst an a------. [The analyst only asked why the company couldn't produce a balance sheet.] Reading Eichenwald's book, you know Skilling is clearly unhinged at this point. For many, this call was the turning point of the great unraveling.

- A secret video recording from Merrill Lynch of Andy Fastow's LJM2 pitch to a bunch of bankers. This is *mesmerizing* stuff. Fastow is front and center in the books, but remains a spooky, off-camera presence in the movie. However, this one piece nails him. He's perpetrating a major fraud with that spiel.

Most of all, the movie is a tribute to the work of reporters Bethany McLean and Peter Elkind, both of whom had the guts to ask at the beginning "How does Enron make money"? No one at the company could answer the question and management's response was to attempt to bully McLean and then, in turn, bully her editors. They didn't bend. The story ran. The rest is history. In business writing, this was journalism on the level of Woodward and Bernstein. All glory belongs to Ms. McLean and Mr. Elkind.