After reports said that Merrill Lynch CEO John Thain was interested in a $5-10 million bonus, NY Attorney General Andrew Cuomo warned Merrill executives that bonuses to top executives aren't a great idea. Given that Merrill lost $11 billion this year and is being acquired by Bank of America (who will then shed thousands of jobs in the takeover), Cuomo said a bonus would be "nothing less than shocking." Then, late yesterday, Merrill revealed Thain and other top execs would not get bonuses this year. A NY Times editorial, which acknowledges that Thain's actions probably saved Merrill, says, "Bankers and financial regulators will ultimately have to design a pay structure that rewards bankers for the performance of their strategies over several years, not just the current year or quarter."
Published Dec 9, 2008
Modified Dec 9, 2008
We rely on your support to make local news available to all
Make your contribution now and help Gothamist thrive in 2025. Donate today
