Bush Backs Unlimited Compensation For Disgraced CEOs: Now Is Not The Time For ‘Punitive Measures’

[marmar]

from ThinkProgress:



Bush Backs Unlimited Compensation For Disgraced CEOs: Now Is Not The Time For ‘Punitive Measures’»

Today, the White House released a statement criticizing Congress’s potential plan to limit CEO compensation at the companies the federal government is bailing out, firmly standing against any “punitive measures”:

We certainly understand and are sympathetic to the sentiment regarding the pay of CEOs and senior management of these firms, but we have to focus on the problem, and the problem is that we need these firms to participate in the program and sell us this debt. Having punitive measures would provide a disincentive for firms to participate, and that would make the program much less likely to succeed.

CEO compensation and corporate governance in public companies are very important issues — especially when receiving taxpayer support — but we need to be focused on fixing this problem in our markets right now. We can and should return to those issues once we get this legislation passed.

President Bush also released another statement earlier today warning Congress against inserting any “unrelated provisions” — such as help for struggling homeowners — in the $700 billion Wall Street bailout.

The Bush administration’s position is unjustifiable. As ABC News reported:

In 2007, Wall Street’s five biggest firms — Bear Stearns, Goldman Sachs, Lehman Brothers, Merrill Lynch, and Morgan Stanley — paid a record $39 billion in bonuses to themselves.

That’s $10 billion more than the $29 billion loan taxpayers are making to J.P. Morgan to save Bear Stearns.

Those 2007 bonuses were paid even though the shareholders in those firms last year collectively lost about $74 billion in stock declines — their worst year since 2002.

In short, the Bush administration wants zero punishment for these wreckless CEOs who lost shareholder money and are now costing each person in the United States $2,000. In return for $700 billion, the White House has yet to name any ways that it will hold these corporations accountable or institute safeguards to ensure that this irresponsible lending and borrowing won’t happen again.

Furthermore, the White House is demanding that Congress give up its oversight powers for this deal and “place no restrictions on the administration other than requiring semiannual reports to Congress, granting the Treasury secretary unprecedented power to buy and resell mortgage debt.”


http://thinkprogress.org/2008/09/22/white-house-ceo-pay/

[Solly Mack]

1. Says the man getting away with torture

[roguevalley]

25. when he does this I hate Nancy Pelosi more than him every time.

[kentuck]

2. This is the perfect time for punitive measures.

Sorry George.

[ixion]

3. my my... just watch the compassion ooze from him when he smugly speaks of his base

:puke:

[Faygo Kid]

4. Go to hell, George.

No way. Giving away our money to these creeps is not acceptable.

[Old and In the Way]

5. This is Bush's base he's looking out for.

No big surprise...I'd be shocked if this administration held their private sector equals accountable.

[TwilightGardener]

6. Wait a second...these firms need "incentive" to participate in a BAILOUT???

They need "incentive" to be relieved of their worthless assets by taxpayers??? They need "incentive" to receive FREE MONEY and a chance to wipe their slates clean and start making money again??? :wtf:

[The Straight Story]

10. yeah, cause they are giving us the right to buy their debt....

damned nice of em! ;)

[But....]

7. It's not about punishment....

although there should be some, it's about responsible. If I'm coughing up hard earned money to deal with a problem I had nothing to do with the least they could do is make a small token payment also(so sorry no bonus this year:mad: )

[Vinca]

8. Average Americans are struggling to buy a gallon of milk

and King George is pimping multimillion dollar salaries for individuals who failed at their jobs. Unfuckingamazing. I read a story in the local paper today about Vermont Senators Leahy and Sanders and Congressman Welch nearly begging for more heating assistance money before the September 30 deadline. People are going to freeze to death this winter, but apparently as long as the private jets are fueled up, all is right with the world.

[Obamanaut]

16. Yesterday I saw a lady prepay $1 (yes one dollar) for gas. I had

gone out for a bicycle ride, and had gone inside for a brief moment, and the lady asked the clerk if she could wait until the other patrons left so they would not know what a small amount she was getting. She said that would get her home. I could not help her (don't carry wallet, only emergency phone numbers) and the clerk was as broke as the customer.

[sufrommich]

18. How sad,the republicans have convinced a lot of people that

their economic problems are something to hide and deny,according to the McCain campaign,she just needs to stop whining and buck up.

[stray cat]

9. Hell no! If I'm their employer hell no!

[nykym]

11. So if we put

restrictions on the plan it will fail! These companies have a choice play by the rules and get some help -or- business as usual at your own risk. I somehow think that they will go along and take the bait with whatever string are attached just to stay afloat in the hopes of recouping their losses in the future.

From post
"We certainly understand and are sympathetic to the sentiment regarding the pay of CEOs and senior management of these firms, but we have to focus on the problem, and the problem is that we need these firms to participate in the program and sell us this debt. Having punitive measures would provide a disincentive for firms to participate, and that would make the program much less likely to succeed."

[sakabatou]

12. How much more criminal can * get?

[sufrommich]

13. God, what an asshole. What "incentive" should these

corporations expect??? Is he saying we should be careful not to offend them lest they not take our money??? Christ on a stick,what the hell is going on?

[sam sarrha]

14. this should impeach him in a week.. actually less than 3 days

[laststeamtrain]

15. We never get to have any fun.

Fuck that.

Bring out the guillotines.

[SIMPLYB1980]

17. I try not to hate anyone but I HATE YOU GWB! Go away untill after

we elect a real president.

[glitch]

19. If not now, when? nt

[Matariki]

20. Interesting to see how this works out. Bush seems to get what he wants

Even while congress does their little dance before capitulating.

I really hope they stick to their guns on this one and not let baby bush have his way.

[LeftyFingerPop]

21. THEY NEED TO RESTORE PUBLIC CONFIDENCE!!!!

:grr: :grr: :grr: :grr: :grr: :grr:

[road2000]

22. It's Beyond Belief.

It's monstrous that these evil fucks no longer even try to pretend to fairness. The odious POS occupying President Gore's office could nullify any provisions he doesn't like with a signing statement. Wonder what that tells us about the upcoming election?

My neighbors and I are terrified at the unknown quantity of county taxes next month. The county cannot even tell us yet what the percentage increase is, but the bills go out the first week of October. They just said it's "big." Houses all over the neighborhood are up for sale. My child and his future children will be indentured, while the rest of us are going to be like the lady buying $1 in gas.

[Hell Hath No Fury]

23. Fuck you, Bush.

Need I say more??


Join the New Boston Tea Party!

http://www.democraticunderground.com/discuss/duboard.php?az=view_all&address=389x4058104

[cascadiance]

30. At the risk of sounding like a dittohead... "DITTO!"

[Iterate]

24. With a career of illogic and shoveling shit

to cover his tracks, he's now turned some sort of corner well known by depots. "Having punitive measures would provide a disincentive for firms to participate..."?, well, if in their world, not getting a billion bonus is punitive, they have a long fall in store when they get yanked back into our world and realize that an investigation, indictment, trails, and prison will be closer what most people have in mind. And it could be worse.

Read some history George, and sleep well.

[foxfeet]

26. Bush is the living definition of the word "Whore." n/t

[bdamomma]

27. I hate this man.

he can burn in hell. george you are pushing us and we will push back cause it is coming to that.

[Initech]

28. They shouldn't get shit.

[guitar man]

29. punitive?

I don't see it as "punitive", it's just the breaks of the game. If these companies are so insolvent they can't operate, surely without a bailout they couldn't afford to pay the lavish bonuses and other compensation their top execs are expecting. IF, and that's a big if, it is absoultely necessary to buy up all the bad paper to keep the system from collapsing,then we should keep the total to an absolute minimum. I can't see where financing the failed execs' lavish bonuses is the taxpayers' responsibility.

What happend to being rewarded for success and not rewarded for failure? Is'nt that what their side has been preaching at the top of their lungs for decades?

[NYC Liberal]

31. He's just saying this to set a precedent for HIMSELF!

Obama has said that he would investigate Bush once he gets into office and uncovers the extent of what has been done.

Bush wants to set the precedent so that HIS pension will not be in danger when the find out all that he did!

[Jacobin]

32. $400,000 is the salary paid to the president of the United States