It’s apparently not entirely self-evident that when your company needs a taxpayer bailout you shouldn’t get a “bonus,” so money-sucking insurer AIG has written a letter to NY Attorney General Andrew Cuomo promising that their top executives will not get bonuses this year.
In the letter, AIG says they are “extremely grateful” for the support they have received from taxpayers, and as their way of showing how “prudently” they are acting, they will not be giving bonuses to their top seven executives. The rest will get bonuses, but won’t be getting a raise this year.
They also promise that they are “developing” a way to insure that no taxpayer dollars are used for bonuses for the top 60 executives in the future.
Cuomo reacted favorable to the news, says ABC.
We believe AIG’s step is a positive step,” Cuomo said on a media conference call following the release of the letter. “I enocurage other Wall Street firms to wake up to the new reality on Wall Street and follow AIG’s steps quickly.”
Letter To Cuomo (PDF) [ABCNews]