A year after he was fired by or resigned from PIMCO, Bill Gross sued the company he founded 44 years earlier for his “self respect,” and also $200 million. The self-proclaimed Secretariat of bond-fund management was confident he’d prevail, in spite of the resignation letter he scrawled before leaving the office for the last time without telling anyone. For its part, PIMCO just seemed desperate to put the whole thing behind it—that thing being Bill Gross, a name its new management was doing all it could to scrub from the company’s collective memory.
For starters, the “Bill Gross Founders Room,” presumably the men’s room housing Gross’ worst nemesis this side of Mohamed El-Erian, the automatic flushing toilet. A few tasteful pictures of Bob Gross the girl cat and stately golden retrievers, and perhaps a shower stall with a panoramic view of the Pacific, complete the redecoration.
Next, an annual “Bill Gross Award.” What exactly will be rewarded with it is unclear, but the employee with the fewest number of communication demerits has to be the early favorite.
Finally, the empty title of “Director Emeritus” at PIMCO, which is strange, given that he has the actual title of “portfolio manager” at Janus Capital Group, a mutual fund firm in direct competition with PIMCO.
Pimco said in a statement Monday that it "recognizes the enormous contribution to its success made by Mr. Gross…."
"Pimco has always been family to me, and, like any family, sometimes there are disagreements," Gross said in a Monday press release. "I'm glad that we have had the opportunity to work through those ... I am honored to be included in their ranks and to know that Pimco is in capable hands."
Gross’ colleagues at Janus would presumably like to see PIMCO in significantly less than capable hands, by Gross has already shown himself quite unconcerned with their feelings.
Bill Gross settles lawsuit against Pimco for $81 million and a nameplate: Sources [CNBC via Yahoo! Finance]
Pimco Close to Settling Breach-of-Contract Suit With Former Manager Gross for $81 million [WSJ]
Bill Gross and Pimco Settle Suit Over His Ouster [DealBook]