CEO Pay

[ls317]

NEW YORK (CNNMoney.com) -- Two high-profile former Wall Street CEOs and the head of the nation's largest home lender defended their oversized pay packages to Congressional lawmakers Friday, arguing that recent reports grossly exaggerated their compensation in some instances.

In testimony prepared for the House Committee on Government and Oversight Reform, Countrywide Financial's (CFC, Fortune 500) founder and CEO Angelo Mozilo, former Merrill Lynch (MER, Fortune 500) Chairman and CEO Stanley O'Neal and ex-Citigroup (C, Fortune 500) chief Charles Prince argued that their pay was determined through an independent assessment process, and was tied directly to the performance of the company.

"In short, as our company did well, I did well," Countrywide's Mozilo said.

Mozilo reportedly stood to collect a windfall of $115 million after his firm agreed in January to a yet-to-be completed $4 billion sale to Bank of America (BAC, Fortune 500). After facing heavy criticism from lawmakers, Mozilo forfeited $37.5 million in payments tied to the deal.

In his testimony, he called reports of his pay package "grossly exaggerated."

Stanley O'Neal, who relinquished his title as chairman and CEO of Merrill Lynch & Co. in October after the company reported an $8 billion loss on subprime related investments, argued that his compensation was in line with the broader financial services industry and that his pay was determined as "the board saw fit."

O'Neal called reports that he collected about $161 million after he stepped down "inaccurate."

[napi21]

1. I watched that hearing on & off the whole time it was on.

I found it mindboggling that the Pubs on the panel simply said the market is working just fine, those CEO's were successful because they worked hard and had talent! The Dems really pressured those guys and flat out told them they were just greedy btd's! MAYBE if this issue is publicized enough, the STOCK HOLDERS will push those companies to change!

[ljm2002]

2. Just love it how...

...they call the reports of their pay "inaccurate", without bothering to factually correct the record.

Really inspires confidence in their... truthiness.

[JerseygirlCT]

3. You know how that independent assesment happens?

By comparing it to other boards. Boards filled with their friends. Just as they help determine the "appropriate" compensation for their friends. It all goes around in circles and they all take care of each other.