• 15 Oct 2009 at 4:09 PM

A Model For AIG To Follow

AIG.jpgIf AIG wants to learn what constitutes acceptable compensation in this market, they should look to one of Ken Feinberg’s success stories so far, Lehman. While the cost of paying people to handle a firm with less than optimal growth prospects came in at a little over $400 million last year, the czar found less than an average GS bonus’s worth of egregious behavior among the 23 law firms, financial advisers, investment banks and consulting firms involved in the clean up.

So far, Mr. Feinberg’s committee has found relatively few problems with the fees charged in Lehman’s bankruptcy. According to a report it filed with the court, the committee found just $223,262 in “inappropriate fees” through January 2009. It also recommended guidelines for future billing: no car service before 8 p.m., working meals limited to $20 per person and explanations for billing more than 18 hours in a day

So the message is clear. If you want to find institutions that pay appropriately in the current economic environment, don’t look to the bailed out ones, look to the bankrupt ones.

Comments (12)

  1. Posted by guest | October 15, 2009 at 4:16 PM

    Greg, you have talent of Snoop Dogg sober.

  2. Posted by guest | October 15, 2009 at 4:16 PM

    The dead don’t fight back.

  3. Posted by guest | October 15, 2009 at 4:21 PM

    Alvarez & Marsal, Weil Gotshal, raping Lehman creditors.

  4. Posted by guest | October 15, 2009 at 4:29 PM

    Greg,
    I’m certain that if you’re the author, the message is not clear.

  5. Posted by guest | October 15, 2009 at 4:32 PM

    Why is Maria Bartiromo attempting to shit in my mouth without asking?

  6. Posted by guest | October 15, 2009 at 4:39 PM

    Greg,
    You make me depressed.
    Tony Robbins

  7. Posted by guest | October 15, 2009 at 4:43 PM

    18 hours a day is the cutoff??!! No sleep, no meal breaks, no bathroom breaks, no personal life (ok, I believe that last one). Totally unrealistic.

  8. Posted by guest | October 15, 2009 at 4:44 PM

    18 hours a day is the cutoff??!! Minimal sleep, no meal breaks, no bathroom breaks, no personal life (ok, I believe that last one). Totally unrealistic.

  9. Posted by guest | October 15, 2009 at 4:56 PM

    3=Joe Gregory

  10. Posted by guest | October 15, 2009 at 5:06 PM

    @ 7 & 8 Trigger happy much?

  11. Posted by guest | October 15, 2009 at 7:59 PM

    Greg -
    “So the message is clear”. Not if you wrote it. Then it is incomprehensible. You douche.
    Love,
    Mom

  12. Posted by guest | October 16, 2009 at 8:32 AM

    While the cost of paying people to handle a firm with less than optimal growth prospects came in at a little over $400 million last year, the czar found less than an average GS bonus’s worth of egregious behavior among the 23 law firms, financial advisers, investment banks and consulting firms involved in the clean up.
    what????

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