AIG and our tax money.

[fish_doc]

Just days after it got a federal bailout worth $85 billion, American International Group Inc. spent $440,000 on a posh California retreat for its executives.
It was all complete with spa treatments, banquets and golf outings, according to people investigating the company's money problems.
AIG sent its executives to a resort south of Los Angeles even as the company tapped into the $85 billion loan from the government it needed to fight off bankruptcy.
The resort tab even included $23,380 worth of spa treatments for AIG employees.
This whole mess can be blamed on greed, and those in charge just don't seem to care.
Well, why should they?
It is our money they are spending.
The people (taxpayers) need to make their voices heard.
This situation could get worse than ugly.
So far, not enough people seem to care.
What a shame.


Who do these people think they are? Spending our money like they deserve it. They have runed lives, ran people out of their homes, risked other peoples savings accounts, and now this has led to the stock market taking trillions of dollars from peoples 401k's. Now they vacation taking our tax money for the next few years to throw a weekend party.

[emc7]

I have to agree with you. These people are getting huge severance packages and lots of stock options as the shareholders lose everything and the taxpayers get left holding the bag. They seem completely clueless. It doesn't occur to them not to have everything they want. The average wage is stagnant and a few people are getting rich. These aren't the owners of the means of production either. They are technically just another employee. Somehow stock owners need to take back control of their investments and find some people who will work more cheaply or are more competent or both. I don't think increasing taxes on the highest incomes helps the issue, the corporations just pay the tax for them and the stockholders are out even more. Maybe someone should start a mutual fund that only invests in companies whose executive compensation is < 20X the median salary.

[TheOldSalt]

Wow.
Just wow.

Why isn't this a major headline in all the papers and getting constant mention on the news channels?

[TheOldSalt]

Wow.
Just wow.

Why isn't this a major headline in all the papers and getting constant mention on the news channels?

[fish_doc]

Now they are being given an additional 37.8 Billion to go along with the 85 that they were already promised. 122.8 Billion more than 1/6 of the total going to all the banks. at that rate they will only be able to help 6 banks. All that money and only 6 banks get help. I guess that explains why they thought they needed to party. (not that it justifies it though.)

[wm_crash]

This has been a front page Yahoo story. I can't say for misinformation channels since I don't watch much TV.

cheers,
wm_crash, the friendly hooligan

Originally Posted by TheOldSalt

Wow.
Just wow.

Why isn't this a major headline in all the papers and getting constant mention on the news channels?

[COM]

I recently departed employment with a huge (huge huge huge) corporation. I would have been one of the people invited to a 'retreat' like this one and I have been to dozens of these types of things over the past four years. I don't believe that they spent only $440k. I think they probably spent several million but used creative accounting to call most of it 'training' or 'staff development.'

Honestly, I have been to week-long retreats at resorts where I doubt that $440k would cover the bar bills (always blank-check, unlimited). When Corporate America honors or 'inspires' their best with a big trip, they spend untold amounts of money. Private concerts with the top stars, dinners with race-car drivers, movie stars, the best hotels, spa treatments head-to-toe, champagne, caviar, limos, the works. It's quite wonderful to get the posh treatment but in the end a complete waste of money.

A bit more...

This is an executive retreat. Those are, IME, less extravagant than sales meetings. Sales meetings are the most absurd things that corporations spend money on. AIG and the other bailout recipients will all be having them, probably at least twice a year. I can recall a product launch that had a very characteristic color in its marketing. For sales meetings (54 nationwide) the company paid the hotels hosting them to have the carpets in their ballrooms changed to a specific color and then, of course, any costs related to changing them back. Carpets. For employees.

[Asully70]

wow.... just today my dad was talking to me and he lost 30,000 dollars just today in the stock market. UPS stock went down 5 bucks today times 6,000 shares is a loss of 30,000. He said that wasnt anything compared to his 401k so i dont even want to know about that.

[emc7]

Today was a "don't look" type of day in the market. They don't think its hit bottom yet, either.