AIG Execs spend $400,000 at spa after bailout

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Fukclemson

Fukclemson

Sicc OG
#1
Mar 31, 2007
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#1
Fukin assholes spending our money that we bailed them out with on a fukin spa. Greedy mothafukers

http://abcnews.go.com/Blotter/story?id=5973452&page=1

Less than a week after the federal government committed $85 billion to bail out AIG, executives of the giant AIG insurance company headed for a week-long retreat at a luxury resort and spa, the St. Regis Resort in Monarch Beach, California, Congressional investigators revealed today.

Rooms at this resort can cost over $1,000 a night," Congressman Henry Waxman (D-CA) said this morning as his committee continued its investigation of Wall Street and its CEOs.

AIG documents obtained by Waxman's investigators show the company paid more than $440,000 for the retreat, including nearly $200,000 for rooms, $150,000 for meals and $23,000 in spa charges.

"They're getting their pedicures and their manicures and the American people are paying for that," said Cong. Elijah Cummings (D-MD).

"This unbridled greed," said Cong. Mark Souder (R-IN), "it's an insensitivity to how people are spending our dollars."

Appearing before the committee, Martin Sullivan, the AIG CEO until June, said the company was overwhelmed by a "financial global tsunami," and that "no simple or single cause" was to blame.
 
Sydal

Sydal

Sicc OG
#6
Apr 25, 2002
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www.idealsentertainment.com
#6
If my company was going belly up, and somebody handed me $85 Billion to stay afloat, I would make sure my business was right. Who the fuck do these clowns think they are? I was always against the bailout UNLESS the companies and government agreed to pay the taxpayers back PLUS some kind of interest. If they go down and we pay for it, they need to pay when they are making a profit...since we are all now basically investors.
 
S

scrillafein

Sicc OG
#14
Jun 21, 2005
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#14
Fucking bastards.. At least someone was was telling it like it is. People need to wake the fuck up and see how these big corporations/organizations are fucking the average American citizen through the ass.
 
coondogg26

coondogg26

Sicc OG
#20
Nov 27, 2006
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#20
Alright, obviously them going to the spa is bullshit, but the issue isnt as clear cut as the government just giving them money. What the Reserve did with AIG is they they loaned them money to make them liquid, in exchange for assets that the company holds. They didnt just give them money for free, it is a loan. AIG is selling off most of its holdings to other companies. Once those sales go through the reserve will get their share back, they hold about 79.9% of the company.

AIG is wayyyyy too big of a company to go under. If they went under the results would be far worse then what is going on now. It was a mistake in the first place for an "insurance" company to be involved with as many things as they were but they just bought the bad debt from other companies. They over leveraged themselves and now their paying for it. The C.E.O's and C.F.O's like the guys from Freddie Mac and Fannie Mae obviously fucked up and they need to be persecuted and put in jail for what they did. They knew what they were doing, they tried to make as much money as they could while they could knowing that the profits they were reporting were heavily leveraged with debt. But what they did already happened and now we need to fix it. The only way to do that is allow the companies to access their own assets by loaning them the cash necessary to do so, sell those assets, and then recoup the loan with interest. It may seem bad now, and it probably will for awhile but it will get better once the credit market is unfrozen.
 
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