Insurance giant AIG to pay $165 million in bonuses

[waggy]

to be fear they were talking to one of the CEO's that got a bonus.

he has not worked there for years. when he did work there AIG was doing well. the stock was doing ok (think they said $63). this bonus was part of his package.

so i can understand why he is getting it.

actually sadly while disgusting i understand why they all are.

 

[RightIsWrong]

Once again ProfJohn shows that there isn't a train that he isn't able to miss.

You seem to not take into account the number of people that receive benefits from the government's budget vs. how many are going to get bonuses from AIG.

 

[blahblah99]

Originally posted by: RightIsWrong
Once again ProfJohn shows that there isn't a train that he isn't able to miss.

You seem to not take into account the number of people that receive benefits from the government's budget vs. how many are going to get bonuses from AIG.

Yeah, nothing gets past profjohn.

 

[her209]

NPR's Fresh Air Talks About AIG Bailout
http://www.npr.org/templates/s....php?storyId=101936770

EDIT: Click on the Listen Now link

 

[postmortemIA]

Originally posted by: ProfJohn
$165 million???

Why don't you guys get that pissed of at the BILLIONS of dollars wasted by our government every year.

We just passed a $700+ billion stimulus and you are freaking out over a $165 million.

Let's compare the two shall we.

AIG bonus=
$165,000,000

Last government Stimulus=
$710,000,000,000

How about AIG bonuses vs Federal budget??
$165,000,000
$4,000,000,000,000

It is a shame you guys don't get that pissed about overall government spending. And instead beg for more more more.

For those of you math impaired... the Federal budget is 24,000!!!! times larger than these AIG bonuses. 24,000!!!!!!

$165 millions is $100,000 to 1650 schools in America, or $1,000 for 165,000 poorest households... don't you think it is better way to spend than giving millions to few that already have plenty?

and yes, WE decided because We funded those $165M

 

[Acanthus]

Originally posted by: ProfJohn
$165 million???

Why don't you guys get that pissed of at the BILLIONS of dollars wasted by our government every year.

We just passed a $700+ billion stimulus and you are freaking out over a $165 million.

Let's compare the two shall we.

AIG bonus=
$165,000,000

Last government Stimulus=
$710,000,000,000

How about AIG bonuses vs Federal budget??
$165,000,000
$4,000,000,000,000

It is a shame you guys don't get that pissed about overall government spending. And instead beg for more more more.

For those of you math impaired... the Federal budget is 24,000!!!! times larger than these AIG bonuses. 24,000!!!!!!

The $165m is undeserved. Thats what the uproar is about.

 

[wetech]

Originally posted by: chowderhead

Originally posted by: loki8481
AIG had contractual obligations to make the bonus payments and could face lawsuits if it did not do so.

These contracts were negotiated in bad faith right before the bailout. Just like Merrill Lynch gave bonuses right before being bought, so too did AIG whose executives enrich all their buddies right before begging the government for bailouts. These executives are the same people who ran this company into the ground. People should be going to jail and not getting any bonuses for screwing up.

The government should cancel these contracts because they were negotiated in bad faith and with gross misconduct.

Wrong. These contracts were put in place over a year ago, more then 6 months before the government stepped in. When they were put in place, AIG was in bad shape, but not nearly at the level that caused the bailout.

 

[BoberFett]

Originally posted by: wetech

Originally posted by: chowderhead

Originally posted by: loki8481
AIG had contractual obligations to make the bonus payments and could face lawsuits if it did not do so.

These contracts were negotiated in bad faith right before the bailout. Just like Merrill Lynch gave bonuses right before being bought, so too did AIG whose executives enrich all their buddies right before begging the government for bailouts. These executives are the same people who ran this company into the ground. People should be going to jail and not getting any bonuses for screwing up.

The government should cancel these contracts because they were negotiated in bad faith and with gross misconduct.

Wrong. These contracts were put in place over a year ago, more then 6 months before the government stepped in. When they were put in place, AIG was in bad shape, but not nearly at the level that caused the bailout.

A year ago AIG was already in bad shape, it just wasn't visible yet. The current problems have been caused by policies that have been in place for years.

You don't think the CDS market started and crashed all on the same day do you?

 

[wetech]

Originally posted by: BoberFett

Originally posted by: wetech

Originally posted by: chowderhead

Originally posted by: loki8481
AIG had contractual obligations to make the bonus payments and could face lawsuits if it did not do so.

These contracts were negotiated in bad faith right before the bailout. Just like Merrill Lynch gave bonuses right before being bought, so too did AIG whose executives enrich all their buddies right before begging the government for bailouts. These executives are the same people who ran this company into the ground. People should be going to jail and not getting any bonuses for screwing up.

The government should cancel these contracts because they were negotiated in bad faith and with gross misconduct.

Wrong. These contracts were put in place over a year ago, more then 6 months before the government stepped in. When they were put in place, AIG was in bad shape, but not nearly at the level that caused the bailout.

A year ago AIG was already in bad shape, it just wasn't visible yet. The current problems have been caused by policies that have been in place for years.

You don't think the CDS market started and crashed all on the same day do you?

No, however, AIG was still a viable entity when the contracts were put in place, and they thought they would be able to weather the storm. What caused AIG's sudden collapse was the fall of Lehman and subsequent downgrade of AIG. That all happened in the span of 2 days.

 

[ayabe]

Originally posted by: wetech

Originally posted by: chowderhead

Originally posted by: loki8481
AIG had contractual obligations to make the bonus payments and could face lawsuits if it did not do so.

These contracts were negotiated in bad faith right before the bailout. Just like Merrill Lynch gave bonuses right before being bought, so too did AIG whose executives enrich all their buddies right before begging the government for bailouts. These executives are the same people who ran this company into the ground. People should be going to jail and not getting any bonuses for screwing up.

The government should cancel these contracts because they were negotiated in bad faith and with gross misconduct.

Wrong. These contracts were put in place over a year ago, more then 6 months before the government stepped in. When they were put in place, AIG was in bad shape, but not nearly at the level that caused the bailout.

BS, they knew for years that they were writing policies that they could never pay out on. If don't get that, then you have no clue about why we're in this mess in the first place and should refrain from commenting.

 

[wetech]

Originally posted by: ayabe

Originally posted by: wetech

Originally posted by: chowderhead

Originally posted by: loki8481
AIG had contractual obligations to make the bonus payments and could face lawsuits if it did not do so.

These contracts were negotiated in bad faith right before the bailout. Just like Merrill Lynch gave bonuses right before being bought, so too did AIG whose executives enrich all their buddies right before begging the government for bailouts. These executives are the same people who ran this company into the ground. People should be going to jail and not getting any bonuses for screwing up.

The government should cancel these contracts because they were negotiated in bad faith and with gross misconduct.

Wrong. These contracts were put in place over a year ago, more then 6 months before the government stepped in. When they were put in place, AIG was in bad shape, but not nearly at the level that caused the bailout.

BS, they knew for years that they were writing policies that they could never pay out on. If don't get that, then you have no clue about why we're in this mess in the first place and should refrain from commenting.

I know exactly why we're in this mess. Yes, they were doing trades for years. But it's not the payout on the trades that got AIG in trouble. It was collateral calls due to credit downgrades. You've seen the recent release about the counterparties that received funds through AIG from the bailout. Most of this money was posted as collateral, not paid as a result from actual covered losses under the CDS's.

 

[BoberFett]

Any insurance company which can't properly assess risk shouldn't be in business.

Unless of course the taxpayer is in the business of propping up failed business plans.

This may be the most brilliant heist in history.

 

[Pepsei]

as much as i love to bash AIG like the next guy,

i think AIG really were stuck between a rock and a hard place, retention bonus is a little different then regular bonus. when i was offered a retention bonus to stay at my job, i actually have to sign a piece of paper that shows how much i'll be getting, and the period that i had to stay in my current job.

AIG shouldn't have offer it in the first place if they know that the job market is bad everywhere and should just take a chance. now that they did, it would set a bad precedence for the industry to back out of it without any repercussion. (I want to get my retention bonus first, the date is March 31st) 😀

 

[sportage]

Well old Chuck Grassley is getting into the fray, as if "HE" is not already in the back pockets of the banking system...He let the banks re write the bankruptcy laws to suit...HE then passed the new laws. Don't kid yourself... Grassley should NOT get in the habit of tossing stones from his cushie glass senate house "take the money" seat...!!!
Hey Chuck, YOU were a major player in this economy meltdown.

 

[WaTaGuMp]

ALBANY, N.Y. ? New York Attorney General Andrew Cuomo says troubled insurance giant American International Group paid bonuses of $1 million or more to each of 73 employees, including 11 who no longer work for the company.

Cuomo subpoenaed information from AIG on Monday saying he wanted to determine whether the payments constitute fraud under state law.

President Barack Obama and Washington lawmakers have blasted AIG for paying $160 million in bonuses to employees of the unit primarily responsible for the company's meltdown at the same time it has received federal assistance.

Cuomo says contracts written in March 2008 guaranteed employees 100 percent of their 2007 pay for 2008, regardless of their performance.

They paid people not even working for them ROFL.

 

[BassBomb]

Originally posted by: WaTaGuMp
ALBANY, N.Y. ? New York Attorney General Andrew Cuomo says troubled insurance giant American International Group paid bonuses of $1 million or more to each of 73 employees, including 11 who no longer work for the company.

Cuomo subpoenaed information from AIG on Monday saying he wanted to determine whether the payments constitute fraud under state law.

President Barack Obama and Washington lawmakers have blasted AIG for paying $160 million in bonuses to employees of the unit primarily responsible for the company's meltdown at the same time it has received federal assistance.

Cuomo says contracts written in March 2008 guaranteed employees 100 percent of their 2007 pay for 2008, regardless of their performance.

They paid people not even working for them ROFL.

I just read that on CNN... fuck

 

[her209]

Originally posted by: WaTaGuMp

Cuomo says contracts written in March 2008 guaranteed employees 100 percent of their 2007 pay for 2008, regardless of their performance.

What big event happened in March 2008?