Calgarypuck Forums - The Unofficial Calgary Flames Fan Community - View Single Post - Deal reached in US financial crisis [Update- NOT Passed]

HotHotHeat · 09-29-2008, 12:38 AM

Sept. 26 (Bloomberg) -- Wall Street's five biggest firms paid more than $3 billion in the last five years to their top executives, while they presided over the packaging and sale of loans that helped bring down the investment-banking system.

Merrill Lynch & Co. paid its chief executives the most, with Stanley O'Neal taking in $172 million from 2003 to 2007 and John Thain getting $86 million, including a signing bonus, after beginning work in December. The company agreed to be acquired by Bank of America Corp. for about $50 billion on Sept. 15. Bear Stearns Cos.'s James ``Jimmy'' Cayne made $161 million before the company collapsed and was sold to JPMorgan Chase & Co. in June.

Democrats and Republicans in Congress are demanding that limits be placed on executive pay as part of the $700 billion financial rescue plan proposed by U.S. Treasury Secretary Henry Paulson. The former Goldman Sachs Group Inc. CEO, who received about $111 million between 2003 and 2006, said in testimony to Congress on Sept. 24 that he would accept such limits as part of the plan, after initially opposing them.

``Shareholders and boards should have done something about this a long time ago,'' said Charles Elson, director of the Weinberg Center for Corporate Governance at the University of Delaware in Newark. ``They justified these levels of pay on the idea that they're all geniuses. I think that balloon has burst.''

http://www.bloomberg.com/apps/news?p...EHc&refer=home

This is the most outrageous part of this whole thing. Unbelievable to think that these sleazy CEO's are being paid this much...For what? Guidance and leadership? To ensure the maximum value of shares?

I'm actually somewhat surprised at the wording politicians are using coming out of this bailout....

Pelosi said the provisions added by Congress will protect taxpayers from having to pay for the bailout.

"We sent a message to Wall Street - the party is over," she said at a press conference with Reid and other Democratic leaders from the House and Senate.

I guess time will tell if she's just talking out of her ass.

....it has to be said one more time. THREE BILLION in CEO pay?!?!? Really? I mean really? Considering these investment firms must have seen all this coming, did they really figure they could just walk away with hundreds of millions of dollars each?

09-29-2008, 12:38 AM	#42
HotHotHeat Franchise Player Join Date: Mar 2007 Location: Victoria, BC Exp:	Sept. 26 (Bloomberg) -- Wall Street's five biggest firms paid more than $3 billion in the last five years to their top executives, while they presided over the packaging and sale of loans that helped bring down the investment-banking system. Merrill Lynch & Co. paid its chief executives the most, with Stanley O'Neal taking in $172 million from 2003 to 2007 and John Thain getting $86 million, including a signing bonus, after beginning work in December. The company agreed to be acquired by Bank of America Corp. for about $50 billion on Sept. 15. Bear Stearns Cos.'s James ``Jimmy'' Cayne made $161 million before the company collapsed and was sold to JPMorgan Chase & Co. in June. Democrats and Republicans in Congress are demanding that limits be placed on executive pay as part of the $700 billion financial rescue plan proposed by U.S. Treasury Secretary Henry Paulson. The former Goldman Sachs Group Inc. CEO, who received about $111 million between 2003 and 2006, said in testimony to Congress on Sept. 24 that he would accept such limits as part of the plan, after initially opposing them. ``Shareholders and boards should have done something about this a long time ago,'' said Charles Elson, director of the Weinberg Center for Corporate Governance at the University of Delaware in Newark. ``They justified these levels of pay on the idea that they're all geniuses. I think that balloon has burst.'' http://www.bloomberg.com/apps/news?p...EHc&refer=home This is the most outrageous part of this whole thing. Unbelievable to think that these sleazy CEO's are being paid this much...For what? Guidance and leadership? To ensure the maximum value of shares? I'm actually somewhat surprised at the wording politicians are using coming out of this bailout.... Pelosi said the provisions added by Congress will protect taxpayers from having to pay for the bailout. "We sent a message to Wall Street - the party is over," she said at a press conference with Reid and other Democratic leaders from the House and Senate. I guess time will tell if she's just talking out of her ass. ....it has to be said one more time. THREE BILLION in CEO pay?!?!? Really? I mean really? Considering these investment firms must have seen all this coming, did they really figure they could just walk away with hundreds of millions of dollars each?