More Videos
- Delta Airlines Reports Quarterly Net Loss
- Citi Has No Plans to Take Delivery Of Any New Aircraft
- Verizon Profit Gains Even as Wireless Slows
- Bristol-Myers Swings to Quarterly Profit on Plavix Sales
- Hershey Posts Higher Profit, Boosted by Sales
- Baccardax: Optimism Down, Not Out
- Citi Pushes Ahead with $50 Million Jet Order
- DuPont Posts Quarterly Loss as Demand Slumps
- Siemens Keeps Outlook, Profit Beats Expectations
- Lightning Round: Southwest Airlines, Hasbro, Hudson City and More
- Lightning Round OT: Annaly and More
- One-on-One With McDonald's CEO James Skinner
- Cramer's Favorite Restaurant Stocks
- Cramer: How to Save Housing
- Your First Move For Tuesday January 27th
- Web Extra: Fast & Furious Trades For Tuesday
- Rising Star Stock - Monday January 26th
- Pops & Drops: Chesapeake Energy, U.S. Bancorp...
Text Size 
Seven senior executives of American International Group, the insurer that is getting $152 billion of U.S. taxpayers' money, will not get $3 million in deferred compensation that they were expecting to be paid by April.
 |
In a filing with the U.S. Securities and Exchange Commission, AIG said it would pay about $273.5 million to more than 4,000 current, non-senior employees who took part in the retirement plans that allowed funds to be set aside and drawn upon in later years.
AIG [AIG
Loading...
()
] in November said it planned to accelerate payment of these funds in a bid to limit departures after the company posted $42.5 billion in losses over the past four quarters, putting it on the verge of collapse.
The federal government stepped in for a second time and restructured its bailout of AIG raising the package to $152 billion with easier terms.
Some U.S. lawmakers railed against the bailout, in part because AIG spent $440,000 at a California spa and resort.
"Less than one week after taxpayers rescued AIG, company executives could be found wining and dining at one of the most exclusive resorts in the nation," Congressman Henry Waxman, a California Democrat said during a hearing of the House Committee on Oversight and Government Reform.
The congressional hearings and a federal probe led AIG to cut executives' pay. Chief Executive Edward Liddy, who took over AIG's top job in September will take $1 in salary.
The seven senior executives who will not receive the disbursements that had been expecting by April include Jay Wintrob, head off AIG's life operations. He had been due about $1.9 million, according to November figures. Wintrob received $7.5 million in salary, bonus, incentives and stock and options awards in 2007, according to filings.
David Herzog, the company's recently appointed chief financial officer, was to have received about $371,000 by April.
Five others, including investment executive Win Neuger, were due $800,000 under the plan, AIG said.
In addition to senior executives, former employees and agents will also not receive accelerated payments, AIG said. The total that was to have been paid to these individuals was $90.3 million.
Print
Email
Data is a real-time snapshot *Data is delayed at least 15 minutes