AIG, again
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wanna run
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AIG, again
http://www.dallasnews.com/sharedcont...g.37bdf48.html
Bailed-out AIG to pay $100 million in executive bonuses
09:06 PM CDT on Saturday, March 14, 2009
The New York Times
WASHINGTON – Despite being bailed out with more than $170 billion from the Treasury and Federal Reserve, American International Group is preparing to pay about $100 million in bonuses to executives in the same business unit that brought the company to the brink of collapse last year.
An official in the Obama administration said Saturday that Treasury Secretary Timothy Geithner had called AIG's government-appointed chairman, Edward Liddy, on Wednesday and asked that the company renegotiate the bonuses.
Administration officials said they had managed to reduce some of the bonuses but had allowed most of them to go forward after the company's chief executive said AIG was contractually obligated to pay them.
In a letter to Geithner, Liddy wrote: "Needless to say, in the current circumstances, I do not like these arrangements and find it distasteful and difficult to recommend to you that we must proceed with them."
The bonuses will be paid to executives at American International Group's Financial Products division, which wrote trillions of dollars' worth of credit-default swaps that protected investors from defaults on bonds backed by subprime mortgages.
An AIG spokeswoman said the company had no comment beyond the text of the letter. It said that AIG hoped to reduce its retention bonuses for 2009 by 30 percent and that the top 25 financial products division executives had agreed to reduce their salary for the rest of 2009 to $1.
But Liddy, whom Federal Reserve and Treasury officials recruited after AIG faltered in September and received its first round of bailout money, defended the need to continue paying bonuses.
"We cannot attract and retain the best and the brightest talent to lead and staff the AIG businesses – which are now being operated principally on behalf of American taxpayers – if employees believe their compensation is subject to continued arbitrary adjustment by the U.S. Treasury," he wrote Geithner. The government owns nearly 80 percent of the company.
Of all the financial institutions that have been propped up by taxpayer dollars, none has received more money than AIG and none has infuriated lawmakers more with practices that policy makers have called reckless.
Bailed-out AIG to pay $100 million in executive bonuses
09:06 PM CDT on Saturday, March 14, 2009
The New York Times
WASHINGTON – Despite being bailed out with more than $170 billion from the Treasury and Federal Reserve, American International Group is preparing to pay about $100 million in bonuses to executives in the same business unit that brought the company to the brink of collapse last year.
An official in the Obama administration said Saturday that Treasury Secretary Timothy Geithner had called AIG's government-appointed chairman, Edward Liddy, on Wednesday and asked that the company renegotiate the bonuses.
Administration officials said they had managed to reduce some of the bonuses but had allowed most of them to go forward after the company's chief executive said AIG was contractually obligated to pay them.
In a letter to Geithner, Liddy wrote: "Needless to say, in the current circumstances, I do not like these arrangements and find it distasteful and difficult to recommend to you that we must proceed with them."
The bonuses will be paid to executives at American International Group's Financial Products division, which wrote trillions of dollars' worth of credit-default swaps that protected investors from defaults on bonds backed by subprime mortgages.
An AIG spokeswoman said the company had no comment beyond the text of the letter. It said that AIG hoped to reduce its retention bonuses for 2009 by 30 percent and that the top 25 financial products division executives had agreed to reduce their salary for the rest of 2009 to $1.
But Liddy, whom Federal Reserve and Treasury officials recruited after AIG faltered in September and received its first round of bailout money, defended the need to continue paying bonuses.
"We cannot attract and retain the best and the brightest talent to lead and staff the AIG businesses – which are now being operated principally on behalf of American taxpayers – if employees believe their compensation is subject to continued arbitrary adjustment by the U.S. Treasury," he wrote Geithner. The government owns nearly 80 percent of the company.
Of all the financial institutions that have been propped up by taxpayer dollars, none has received more money than AIG and none has infuriated lawmakers more with practices that policy makers have called reckless.
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hood rich
Joined: Mar 2012
Posts: 35,752
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From: los josengeles
fuck aig.
and $1 salary? lol. like thats really a "humble" act. ill take a $1 paycheck, but please dont forget about my $1MM bonus. kthxbye.
faigs.
and $1 salary? lol. like thats really a "humble" act. ill take a $1 paycheck, but please dont forget about my $1MM bonus. kthxbye.
faigs.
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In Loving Memory
R.I.P. Huan Vo aka woong
01.14.1979 - 11.19.2008
In Loving Memory
R.I.P. Huan Vo aka woong
01.14.1979 - 11.19.2008
I
Joined: Jan 2001
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From: Westside til I die
BAILOUT LOL
lc
lc
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