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Profits Were Fake, Bonuses All Too Real

How risky schemes left bankers flush, banks broke

By Jason Farago, Newser Staff

Posted Dec 18, 2008 8:36 AM CST

(Newser) – Dow Kim was one of the leading bond traders at Merrill Lynch, and in 2006 he bundled together $500 million in loans into a huge CDO with the charming name Costa Bella. Since the subprime collapse, Costa Bella has cost Merrill millions—but Kim had... Read full story »

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Profits Were Fake, Bonuses All Too Real

How risky schemes left bankers flush, banks broke

executive compensation • Merrill Lynch • CDO • bonuses • mortgage backed securities • compensation • collateralized debt obligations • financial crisis

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More Newser Stories

How Banks' Fake Daisy-Chains Led to Meltdown

Self-dealing artificially propped up market for CDOs

Thain Accuses BofA of Lying About Bonuses

Fired Merill CEO tries to 'set the record straight' about $3.6B payout

BofA Knew of Merrill's $4B Bonuses

Private bonus agreement backs up Thain's claim that Bank of America was aware of payouts

Bailed-Out Bank Execs Made $1.6B Last Year

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

Morgan Stanley to Withhold Bonuses Until Bets Pay Off

Wall Street showing bonus season restraint

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