In so far is it is for executives who took buyouts? Tough. But will this apply retroactively? Is he telling them this now, after they took the deal without preconditions?
Let the brain drain begin. Sure, there are a bunch of asses out there in big companies, but remember that these organizations don't run themselves. There has to be some intelligence somewhere to keep these monsters afloat. What do you think is going to happen to these troubled companies now? Any right-minded honest executive is going to jump ship at the first opportunity and there is no way these troubled organizations are going to be able to entice other smart people to come on board and lead them to better times. Who is going to accept responsibility for solving these sorts of serious problems and doing the hard work of rebuilding without the hope of reward? The new motto of the US should be:
"We're goin' down. And we're taking your trillions with us!"
I heard rumor that some firms were attempting to return bailout funds. Anyone else hear of this? Goldman sachs was specifically mentioned. The image of an animal chewing off its own leg to escape a trap comes to mind...
There is an article about the salary cap here. There are loopholes, like getting stock options exercisable after the TARP funds are paid back. If there is no loophole for a new person in a position, the company will have a difficult time finding somebody to take the position. Ah, unintended consequences. Another consequence: For Boutiques, Time to Shop as Bankers Flee Big Firms
Thanks for the links. In the second link I had to laugh out loud at the fact that Goldman Sachs stock price went up 6.2% just on the rumor that they might give back the TARP funds! What a joke. You wouldn't think that anything could drive up their stock. This just shows how desperate people are and how little faith they have in the government's actions.
