AIG Seeks US Approval for More Bonuses

By John Johnson,  Newser Staff
Posted Jul 9, 2009 9:26 PM CDT
The AIG logo.   (AP Photo/Mark Lennihan, file)
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(Newser) – Two of the least favorite words in the Wall Street lexicon are back in the news: AIG bonuses. The company is requesting the government's permission to dole out millions more to dozens of top executives, the Washington Post reports. Technically, AIG doesn't need the federal approval, but it's still gunshy because of the outrage that arose four months ago over a much larger pot of bonuses.

"Anytime we write a check to anybody," it's under tight scrutiny, an AIG official tells the Post. "We would want to feel comfortable that the government is comfortable with what we are doing." The new bonuses include $2.4 million due to 40 execs, but the total amount is unclear. Because they're delayed from 2008, the bonuses don't fall under the authority of President Obama's new point man on executive pay, Kenneth Feinberg. AIG is negotiating with him anyway.