This video from the USA says about itself:
HEADLINE: How much is your year-end bonus?
CAPTION: While many banks have lost money this year, Wall Street bonus checks are up 14%. That leaves many asking ‘is that fair?’ (Dec. 21)
[Notes: ANCHOR VOICE]
“Maybe a hundred bucks.”
(FONT: New York)
That’s the year-end bonus this New York hot dog vendor will get.
The CEO of nearby Goldman Sachs will receive a bit more.
Lloyd Blankfein will reportedly take home a 70 million dollar bonus this year for navigating his company past the mortgage meltdown.
((FONT: Joe Bel Bruno, AP Business Writer))
“Mergers and acquisitions are a multi-trillion dollar industry and these guys put together multibillion dollar deals, huge deals, they need to get a cut of it, and there bonuses are going to reflect that.”
Overall, investors in investment bank stocks have LOST money this year, up to 45 percent in some cases.
Yet, Wall Street bonus checks are UP, 14 percent.
“Well that’s the trick on Wall Street. Everyone wants bigger and better, and you’ve got to keep increasing them to keep that top talent in their job, or they’ll look elsewhere.”
But some companies are boosting compensation, even though investors have suffered.
((FONT: Ted Shaffrey, the Associated Press))
((FONT: New York))
“Just this week Morgan Stanley reported its first quarterly loss in the company’s history, taking a nine point four billion dollar write down due to the credit crisis.
But at the same time, compensation rose 18 percent.”
For middle and low income earners, Wall Street bonus figures are staggering.
((FONT: Andrew Blais, Investor))
“I think it’s out of line with what’s going on. Especially in the housing market. Doesn’t seem quite fair, doesn’t seem in line with what the rest of us are dealing with.”
((FONT: Larry Malamut, Investor))
“Executive compensation on Wall Street is out of control.”
Behind the scenes on Wall Street, lots of people who made losing bets on sub prime mortgages are losing their jobs.
Some say those who survive, deserve to be rewarded.
((FONT: Ted Thaxton Jr., Investor))
“This is America, it’s free to make, we have free enterprise, I have no problem people who perform, getting bonuses.”
Goldman Sachs credited its record performance this year to mortgage-backed bonds, and higher investment banking fees.
Ted Shaffrey, The Associated Press, New York
The economic crisis continues; also in the USA.
A consequence of dozens of public school closings in the past few years, suburban Chicago’s Lockport Township High School has implemented a staggered school day to manage overcrowding: here.
Fannie Mae and Freddie Mac, the mortgage lending giants under federal conservatorship, will pay $210 million in bonuses over 18 months: here.