bonus-season

Jamie Dimon Will Have to Make Do

cityfile · 02/05/10 09:20AM

"JPMorgan Chase & Co. Chief Executive Officer Jamie Dimon, who led the second-biggest U.S. bank to a profit each quarter of the financial crisis, got a bonus package valued at $17 million for 2009 that didn't include any cash. The 53-year-old banker, who got a $27.8 million bonus for 2007 and only a $1 million salary for 2008, received restricted stock units and options and no cash bonus for last year, spokesman Joseph Evangelisti said. The valuation of his 2009 bonus was based on a JPMorgan regulatory filing today. "It's consistent with past pay practices and returns," said Alan Johnson, founder of New York-based Johnson Associates Inc. "You could argue that for him, personally, pay could have been higher, but this isn't the year for them to have done that." There's always next year! [BN]

AIG Employees Understand the Meaning of Sacrifice

cityfile · 02/03/10 09:05AM

Let's all take a moment to thank our friends at AIG. In the spirit of generosity, employees at the ruined insurance giant have agreed to a $20 million reduction in the $195 million in bonus payments they were previously promised. They didn't have to do it. But they did. To make you happy. Can't we all get along now? [WSJ]

Does Lloyd Blankfein Have a Death Wish?

cityfile · 02/01/10 11:44AM

Over the weekend, the Times of London reported that Goldman Sachs CEO Lloyd Blankfein could walk away with a bonus of as much as $100 million, at least according to unnamed bankers the paper talked to at last week's World Economic Forum in Davos.

Goldman Sachs Secures the Fort

cityfile · 01/21/10 10:20AM

Goldman Sachs blew away estimates today and "delivered its richest quarterly profit in the investment bank's 140-year history," reporting that it netted $4.95 billion in the fourth quarter and $13.4 billion in 2009. The bank also reported that it paid out $13.5 billion in bonuses and salaries last year, which is more than what it handed out in 2008, but down from 2007 when it awarded its employees $20 billion in compensation. Not that Goldman CEO Lloyd Blankfein really expects anyone to pay any attention to his talk of the "lowest ever compensation to net revenues ratio." Per the firm's request, the NYPD set up barricades outside Goldman HQ this morning and a bomb-sniffing dog has been on the scene as well. [WSJ, NYT]

Morgan Stanley Underperforms, Overdelivers

cityfile · 01/20/10 02:23PM

Morgan Stanley chairman John Mack was gracious enough to forego a bonus for 2009. But pretty much everyone else did just fine. Despite the fact the bank reported its first annual loss in its 74-year history this morning, the firm said it set aside $14.4 billion to pay employee bonuses and salaries, "an astonishing figure, even by the gilded standards of Wall Street" and one that's up 30 percent from 2008. Of course, it's always possible the windfall led a magnanimous banker to toss a couple of coins in the direction of the poor guy assigned to polish the Morgan Stanley logo this afternoon. Feel free to consider that the upside if you'd like! [NYT, FT]

Goldman Execs May Have to Wait Until Next Week to Go Yacht Shopping

cityfile · 01/20/10 08:54AM

Goldman Sachs, the investment bank that you helped rescue back in the fall of 2008, is getting ready to hand out billions in bonuses. But it's a little concerned that you might be annoyed when you hear how much money the firm is shelling out:

Best Year Ever!

cityfile · 01/15/10 09:09AM

"Major U.S. banks and securities firms are on pace to pay their people about $145 billion for 2009, a record sum that indicates how compensation is climbing despite fury over Wall Street's pay culture. An analysis by The Wall Street Journal shows that executives, traders, investment bankers, money managers and others at 38 top financial companies can expect to earn nearly 18% more than they did in 2008—and slightly more than in the record year of 2007." [WSJ]

Real Estate Brokers Get Giddy (2010 Edition)

cityfile · 01/13/10 01:38PM

It's bonus season on Wall Street, which explains why investment bankers are in good spirits these days. But they're not the only ones excited about the impending gravy train. Real estate brokers are gearing up to (finally!) unload some of those ridiculously expensive apartments that have been sitting on the market unloved for many months now.

John Mack Sets an Example

cityfile · 12/18/09 10:43AM

Credit where credit's due: Not every Wall Street chieftain is planning to take home home an eight-figure bonus at the end of the year. Outgoing Morgan Stanley CEO John Mack announced today that he is foregoing a bonus in 2009 for the third year in a row. "That makes him the first of the major banking chiefs to do so, at a time when many outside the industry are criticizing the probable return of outsized bonuses as these firms return to profitability." [NYT]

Even Dead Banks Pay Pretty Nicely

cityfile · 12/17/09 10:14AM

Lehman Brothers may have gone bankrupt 15 months ago, but the liquidating firm is still paying out $50 million in year-end bonuses to some 230 employees. [Bloomberg, WSJ]

Goldman Caves!

cityfile · 12/10/09 10:36AM

Goldman Sachs is giving in, believe it or not. The bank announced this morning that it plans to change up the way it compensates its top 30 execs this year, as the fury over outsized pay packages continues to grow. Goldman says it will now pay out the bonuses in the form of restricted stock, a move that will likely gratify Goldman's critics and also terrify high-end real estate brokers and Porsche salesmen in the Hamptons. [NYT]