BREAKING: Bank Of America Buys Countrywide, CEO Gets Up To $115 Million Parachute

Hey there, sports fans: Bank of America will buy everyone’s favorite evidence-forging subprime lender, Countrywide for a cool $4 billion dollars.

Countrywide’s CEO will receive up to $115 million dollars when he leaves after the sale is complete, says ABCNews.

During calendar 2006, the latest period available for review in Securities and Exchange Commission filings, Mozilo took home $48.1 million in compensation. An early analysis of SEC filings by the Los Angeles Times suggests he could get upward of $115 million when he leaves after the sale is complete, despite the fact that the company tanked during the recent subprime mortgage crisis.

In December, Countrywide reported a record number of foreclosures and delinquencies in its loan portfolio. The value of shares has fallen more than 84 percent since mid-May of last year.

Bank of America today confirmed that Mozilo will stay on with the company through a “transition period.” Countrywide wouldn’t comment on Mozilo’s pay.

In addition, ABC says that Bank of America will continue to employ Mozilo as a “consultant” until 2011. For this he will be paid a salary of $400,000 a year.

He will receive office space, secretarial support, use of the company jet, and country club dues. He will continue to receive life insurance and financial planning benefits for 3 years, after which he and his wife will receive free health insurance for life.

Sick.

Lavish Payout, Perks for Failed Mortgage CEO [ABCNews]
(Photo:ABCNews)

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