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Bailed-Out Bank Execs Made $1.6B Last Year

Execs made average of $2.6 million; Merrill Lynch CEO made $83 million

By the Associated Press

Posted Dec 21, 2008 3:45 PM CST

(AP) – Banks that are getting taxpayer bailouts awarded their top executives nearly $1.6 billion in salaries, bonuses, and other benefits last year, an AP analysis reveals. Benefits at bailed-out institutions like Goldman Sachs, Merrill Lynch, and JPMorgan Chase included cash bonuses, stock options, personal use of company jets and chauffeurs, home security, country club memberships, and professional money management.

The rewards came even at banks where poor results last year foretold the economic crisis that sent them to Washington for a government rescue. Barney Frank, the House Financial Services committee chair and a long-standing critic of executive largesse, said the bonuses amount to a bribe "to get them to do the jobs for which they are well paid in the first place.”

[Images (4)]

[Quotes (2)]

Six financial firms that received billions in bailout dollars own and operate fleets of jets for executive travel. (AP Photo)

Lloyd Blankfein, chairman and CEO of Goldman Sachs Group, took home nearly $54 million in compensation last year, the AP reports. The company's top five executives received a total of $242 million. (AP Photo/Peter Dejong, File)

In this Sept. 15, 2008 file photo, a Merrill Lynch office is seen in New York. CEO John A. Thain made $83 million last year. (AP Photo/Seth Wenig, file)

Pain on Wall Street, indeed. The average paycheck last year of banks that have accepted a government bailout was $2.6 million in salary, bonuses and benefits, the AP found. (AP Photo/Mary Altaffer)

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Most of us sign on to do jobs and we do them best we can. We're told that some of the most highly paid people in executive positions are different. They need extra money to be motivated! - Rep. Barney Frank

The tougher we are on the executives that come to Washington, the fewer will come for a bailout. - Rep. Brad Sherman

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COMMENTS

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Showing 2 of 2 comments

Guest

Jan 27, 2009 2:25 AM CST

Wow, paying people for not doing their banking jobs...Wow, paying people for running their company into the ground. Wow, paying people for doing such bad jobs they need a government bailout. Can the rest of us get that deal or just rich white guys? "Get them to do their jobs?" They were doing their jobs?!? What job was that? Figuring out how to run away with the cash and get a government bailout to run away with more cash? Well, then, congrats! Good job! Time to go to business school to learn how to do this, so we can hit social services and give rich executives a bailout instead.

Guest

Dec 21, 2008 4:25 AM CST

Corruption at its highest level. Taxpayers should not have to pay for this time of decision making.

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Money • US

executive compensation • Goldman Sachs • Merrill Lynch • bonuses • John Thain • benefits • JPMorgan Chase • financial crisis • Wall Street bailout • TARP

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Bailed-Out Bank Execs Made $1.6B Last Year