khunsanuk Posted March 19, 2009 Report Share Posted March 19, 2009 Hi, "Millions of little people spending their small dollars don't mean squat 'ey?" Good point. How much would every American have received if the government had just divided the bailout money and handed it to each individual in the country? Probably well over $1,000 each, right? I'm sure that would have stimulated the economy quite a bit. Sanuk! Link to comment Share on other sites More sharing options...
TroyinEwa/Perv Posted March 19, 2009 Author Report Share Posted March 19, 2009 The lame part is, the excuse is "...these bonuses were contractual so we had to give them...if we didn't we'd have no credibility with our staff..." All the shit I lost was also contractual, ment nothing to our management... the other excuse is "...we have to pay bonuses to retain people to run the company..." yeah what? the same assholes who fucked it all up? A reward for a job poorly done? It may be contractual that it's offered but it doesn't have to be accepted. I'm not saying the guy's a saint but we had a CEO one time, John Dasburg, who did not accept his bonus cuz we were going in the shitter. I kinda thought that was pretty big of him. As far as the bonuses being offered to keep the execs......well.......they fucken left anyway. I would have thought it would be spelled out in the contract that if they leave, they give it back. Pretty simple concept. Stay and get paid or leave and don't. Link to comment Share on other sites More sharing options...
Bangkoktraveler Posted March 19, 2009 Report Share Posted March 19, 2009 We have to admit that USA politics surpasses Thai politics in comedy, soap opera quality and pure unadulterated bull shit. When my father was alive, I don't think the citizens would have allowed the country to sink to such an unbelievable low level. Link to comment Share on other sites More sharing options...
Khun_Kong Posted March 19, 2009 Report Share Posted March 19, 2009 ... Dodd is the biggest recipent of AIG lobby bribes, ... HH Nice timing! I'm trusting you on this one, HH, especially as it fits this damn thread. What a total wanker if this is true. Link to comment Share on other sites More sharing options...
cavanami Posted March 19, 2009 Report Share Posted March 19, 2009 It is true. The TV news had a chart of all the $$$ that AIG gave out: Sen. Dodd $100K++ Obama 100K+ Hillary about 35K McCain about 30K Dodd and Obama were as I have shown 1st and 2nd in the handouts from AIG! Link to comment Share on other sites More sharing options...
Old Hippie Posted March 19, 2009 Report Share Posted March 19, 2009 You have to figure these guys (AIG) play all sides, most likely giving money to, or the most money to the guy they figure will win. That said, it sort of proves my point, and that is all these guys are wankers, regardless of party. This why I have no use for this back and forth bickering about which is worse/more responsible... Link to comment Share on other sites More sharing options...
HeartThais Posted March 19, 2009 Report Share Posted March 19, 2009 As far as the bonuses being offered to keep the execs......well.......they fucken left anyway. I would have thought it would be spelled out in the contract that if they leave, they give it back. Pretty simple concept. Stay and get paid or leave and don't. The bonuses would most likely vest over a 3-5 year period anyway unless AIG is really poorly run. In finance, if you leave for a competitor, they will compensate you for the unvested bonus you give up. I don't know what is happening today though. Also, AIG does a lot of derivatives trading in addition to the CDS that brought them down. Some of those guys may have been making money. Anyway, the best traders will leave AIG regardless and AIG does not have a reputation for having the best traders because their relatively small bonuses attract second-tier talent. Goldman pays the best bonuses and attract the best talent by far. The bonus system does attract the best and the brightest (and most aggressive) people out there. And there is far less old boy's network in finance than any other profession I can think of because people will sell their mothers for enough money. Back when this kind of thing happened in 1907, Mr. Morgan gathered up all the bank chiefs into his living room, opened their books and decided who got to live and who died. It took guts to do that. Geitner has to grow a pair of balls. Link to comment Share on other sites More sharing options...
shygye Posted March 19, 2009 Report Share Posted March 19, 2009 The "bonus system" also encourages doing risky deals. No one gets paid a bonus for quashing a bad deal. Shouldn't bonuses be paid out of profits? If the company is not profitable then no bonus. Link to comment Share on other sites More sharing options...
Old Hippie Posted March 20, 2009 Report Share Posted March 20, 2009 The "bonus system" also encourages doing risky deals. No one gets paid a bonus for quashing a bad deal. Shouldn't bonuses be paid out of profits? If the company is not profitable then no bonus. You would think, but apparently not. Business these days has nothing to do with running a company well, it has to do with how much you can steal/loot. Link to comment Share on other sites More sharing options...
HeartThais Posted March 20, 2009 Report Share Posted March 20, 2009 The "bonus system" also encourages doing risky deals. No one gets paid a bonus for quashing a bad deal. Shouldn't bonuses be paid out of profits? If the company is not profitable then no bonus. That's not exactly true. Risk Management gets bonuses and their job is precisely to stop bad deals and trades. However, their bonuses are smaller and they attract weaker talent when actually they need to be smarter than the traders to make their case effective. Risk mgmt is broken at most banks. Bonuses in finance should be paid out of profits eventually. But I don't see a problem with paying a bonus with zero profit to lure talent away from a competitor if you think the market he trades will do well. Or to keep them around long enough to unwind all their trades, resulting in a smaller loss for your firm. Link to comment Share on other sites More sharing options...
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