Jon Stewart should Cramer these people

Individual Pay
James F Orr III
Robert Michael Sandler
Fred Langhammer
Steven J Bensinger
Frank G Zarb
Andrew J Kaslow
Edwards E Matthews
Beneficial Owner (10% Or More)
Ellen V Futter
David L Herzog
Robert B Willumstad
Monika M Machon
Maurice R. &Amp; Corinne P. Greenberg Joint Tenancy Co
Beneficial Owner (10% Or More)
Jacob A Frenkel
Martin J Sullivan
Michael H Sutton
Stephen L Hammerman
Nicholas C Walsh
Maurice R Greenberg
Beneficial Owner (10% Or More)
C V Starr &Amp; Co Inc
Beneficial Owner (10% Or More)
Morris Offit
Paula Rosput Reynolds
Marshall A Cohen
Robert Edward Lewis
Kristian P Moor
Virginia M Rometty
Richard C Holbrooke
Frank G Wisner
William N Dooley
Dennis D. Dammerman  
Edmund S. W. Tse
Chairman of American International Assurance Company Ltd and Chief Exec. Officer of American International Assurance Company Ltd
Edward M. Liddy
Chairman and Chief Exec. Officer
George L Miles Jr
James F. Orr III  
Jay S Wintrob
Exec. VP of Retirement Services
Martin S Feldstein
Robert M. Sandler
Stephen F. Bollenbach
Suzanne Nora Johnson  
Virginia M. Rometty  
>Win J Neuger CFA
Chairman of AIG Investments and Chief Exec. of AIG Investments

In the New York Times under the headline “A.I.G. Planning Huge Bonuses After $170 Billion Bailout,” Edmund L. Andrews and Peter Baker reported that the huge financial group to which US taxpayers contributed an enormous amount of money will pay bonuses amounting to about $165 million to executives. There is something seriously amiss here.

Jon Stewart should Cramer* these AIG leaders, and the folks in the US government who are allowing this to happen. The names of the AIG leadership and people who have been making insider trades of AIG stock (with links to Yahoo Finanace pages about them) are listed in the accompanying table. I understand that many of these individuals and others at AIG have foregone some bonuses, but they still ought to have to sit down and explain themselves.

The American International Group, which has received more than $170 billion in taxpayer bailout money from the Treasury and Federal Reserve, plans to pay about $165 million in bonuses by Sunday to executives in the same business unit that brought the company to the brink of collapse last year.

Word of the bonuses last week stirred such deep consternation inside the Obama administration that Treasury Secretary Timothy F. Geithner told the firm they were unacceptable and demanded they be renegotiated, a senior administration official said. But the bonuses will go forward because lawyers said the firm was contractually obligated to pay them.

Mr. Andrews and Mr. Baker predict that the payments will “almost certainly will fuel a popular backlash against the government’s efforts to prop up Wall Street.” I’m betting my boots that there will be a well-deserved popular backlash. It won’t only be aimed at the government’s efforts. These executives—let’s start with the folks listed to the right here—who appear to be playing us for chumps will likely feel that backlash, too. (Follow the links to comments from any of the articles listed at the end of this post!)

Sure, some of these bonuses are small and, sure, the percentage of the total bailout is small and, sure, some executives will only get $1 in salary for the rest of the year and, sure, there are contracts for those people in the financial games arm of AIG and, sure, sure, sure, but to we financial mortals, it’s real money. How about a requirement that anyone who makes more than, say, $1 million, in bonuses must spend 100% of the difference between that bonus and $1 million in building and maintaining free housing for citizens living below the poverty line in the US. Not only that, but the individual must live in that housing and perform housekeeping services for the other residents.

Link to Mr. Andrews’ and Mr. Baker’s article. See also “Bailout King AIG Still to Pay Millions In Bonuses” by David Cho and Brady Dennis of the Washington Post. more from the Wall Street Journal. Here’s Big Money’s take.

Remember to read the comments.

*I’m referring, of course, to Jon Stewart’s interview with Jim Cramer: Pt1, Pt2, and Pt3.



Filed under Equity, News, Politics, Thanks for reading

2 responses to “Jon Stewart should Cramer these people

  1. Pingback: Jon Stewart should Cramer these people

  2. Pingback: Jon Stewart should Cramer these people

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