3/18/2009
AIG CEO appeared in front of furious lawmakers on Capitol Hill yesterday to shed some light on over $165M bonus awarded to his employees - many of them in
AIG's financial products unit. That's the very same department blamed for plunging
AIG into the financial turmoil that eventually led the government to lend and invest about $170 billion in the company.
In defending his
decision foregoing the bonus payments, CEO
Liddy said that
AIG needs these employees to continue working to unwind the company's exposure to about $1.6 trillion in derivatives.
"I know $165 million is a very large number,"
Liddy said. "In the context of $1.6 trillion and the money already invested in us, we thought that was a good trade."
I think we should invite CEO
Liddy to explain such "a good trade" in a simple way that our children and grand children can understand. After all, we're counting on him to turn
AIG around and hopefully pay the money back to them.
Get a
