MAKES ME SICK! 60,000 employees? Where was risk control department? if they were so well managed, why did they have to arrange a shotgun marriage to BoA or else fail? Makes us taxpayers feel really good! After all, they deserve the bonuses for their excellent management, risk control, use of leverage, vision, and trading expertise. ... [more]
MAKES ME SICK! 60,000 employees? Where was risk control department? if they were so well managed, why did they have to arrange a shotgun marriage to BoA or else fail? Makes us taxpayers feel really good! After all, they deserve the bonuses for their excellent management, risk control, use of leverage, vision, and trading expertise.
http://www.ft.com/cms/s/0/378a38d4-e814-11dd-b2a5-0000779fd2ac.html?nclick_check=1
Merrill Lynch took the unusual step of accelerating bonus payments by a month last year, doling out billions of dollars to employees just three days before the closing of its sale to Bank of America.
The timing is notable because the money was paid as Merrill’s losses were mounting and Ken Lewis, BofA’s chief executive, was seeking additional funds from the government’s troubled asset recovery programme to help close the deal.
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Response by evnyc
over 17 years ago
Posts: 1844
Member since: Aug 2008
Spoke to a friend whose SO works for Merrill: they are looking for any excuse at all to fire "for cause" so as to avoid handing out severance. Those bonuses may be all the severance any of the soon-to-be-unemployed receive, which doesn't make the news any easier to swallow, but adds a little perspective.
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Response by stevejhx
over 17 years ago
Posts: 12656
Member since: Feb 2008
"A person familiar with the matter estimated that about $3bn to $4bn was paid out in bonuses in December."
Wow. Could have reduced that $15 billion loss by 20%-25%. But the bonus was more important.
Of course this ends John Thain's career at BofA, and makes it far more likely that BofA people will be put in charge, instead of Merrill people. No wonder they just announced 4,000 layoffs, most in New York. I understand from DealBook that the reason why so many top people left Merrill was to take their money and run.
This is a culture that is coming to a swift end.
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Response by urbandigs
over 17 years ago
Posts: 3629
Member since: Jan 2006
"This is a culture that is coming to a swift end."
so true - game is over
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Response by october
over 17 years ago
Posts: 145
Member since: Mar 2008
Urban - what's up with your widget - numbers seem to be the same for the 4 days.
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Response by patient09
over 17 years ago
Posts: 1571
Member since: Nov 2008
and ....UD and Lenane are the only ones that realize this. perfect..If we could get Lippman on board, maybe transactions would pick up pace.
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Response by urbandigs
over 17 years ago
Posts: 3629
Member since: Jan 2006
yea I know - emails into streeteasy where I get the data feed. Im helpless right now
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Response by urbandigs
over 17 years ago
Posts: 3629
Member since: Jan 2006
who is Lenane?
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Response by patient09
over 17 years ago
Posts: 1571
Member since: Nov 2008
UD: Elliman broker. mostly UWS stuff, She seems to have a handle on where priceing actually is relative to most. Seems to be trying to get her listings to move in the proper direction.
Oh, I think I met Ann before, yea she is great. Lots of listings! I got a new 4000 sft SoHo Loft coming on today, W Broadway (Prince/Spring), 2nd full floor. Curious to see traffic.
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Response by patient09
over 17 years ago
Posts: 1571
Member since: Nov 2008
nice, good luck..price it right and and and THEY WILL COME
When John Thain became Merrill Lynch’s CEO in early 2008, he hired Michael S. Smith Design to revamp his office suite, spending approximately $1.22 million according to documents.
Additionally, documents showed that Thain signed off on the purchases personally, and that he used another $5,000 to pay the expenses Smith incurred in doing the work.
The following is a list of the items in his suite:
Area Rug $87,784
Mahogany Pedestal Table $25,713
19th Century Credenza $68,179
Pendant Light Furniture $19,751
4 Pairs of Curtains $28,091
Pair of Guest Chairs $87,784
George IV Chair $18,468
6 Wall Sconces $2,741
Parchment Waste Can $1,405
Roman Shade Fabric $10,967
Roman Shades $7,315
Coffee Table $5,852
Commode on Legs $35,115
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Response by stevejhx
over 17 years ago
Posts: 12656
Member since: Feb 2008
Because it has legs, JuiceMan.
He bought a George IV chair - must be a fake, because we've only had a George I and George II, and that was enough.
I think this is indicative of a culture of greed that has now died an official death. Investment banks are owned by commercial banks, which don't put up with crap like this. Imagine, Thain was going to pay himself a $10 million bonus this year on top of the $70 million he'd already made, when his firm posts a $15 billion loss in one quarter.
Charlotte is going to take firm control over Merrill, starting now. According to the MarketWatch article, Ken Lewis might be forced to fire all of Merrill's top management. Paying the bonuses must have made him livid.
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Response by buster2056
over 17 years ago
Posts: 866
Member since: Sep 2007
There was a George IV, King of GB who died in 1830. I had to look it up, though.
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Response by Special_K
over 17 years ago
Posts: 638
Member since: Aug 2008
I can understand where he is coming from wanted that credenza. I personally wouldn't be caught dead in a 20th century one.
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Response by Special_K
over 17 years ago
Posts: 638
Member since: Aug 2008
sorry, wanting not wanted.
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Response by West81st
over 17 years ago
Posts: 5564
Member since: Jan 2008
Patient09: Lisa L. definitely gets it. If it were up to her, she'd probably treat every listing like 333 CPW #33 and move the price-discovery process along. But not every seller is that plugged in.
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Response by patient09
over 17 years ago
Posts: 1571
Member since: Nov 2008
81, from your keyboard to her ears
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Response by kingdeka
over 17 years ago
Posts: 230
Member since: Dec 2008
Things are not well in North Carolina or Charlotte:
Job losses lead the nation in North Carolina
yo... everyone... have you guys taken a dump in a $35K toilet... it's a totally different experience.... it's like getting a $1,000.00 crew cut versus the cheapie $20 one in Astor Place... :)
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Response by stevejhx
over 17 years ago
Posts: 12656
Member since: Feb 2008
You have to be a sociopath to spend $1.2 million on an office when your firm is losing money, then $4 billion on bonuses after the government just gave you $10 billion, and you lost $15 billion.
Yes Charlotte is suffering - the BofA merger, but mostly Wachovia. More reason to move ops there - plenty of cheap office space.
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Response by Special_K
over 17 years ago
Posts: 638
Member since: Aug 2008
w67, a $35k is truly a differentiated experience. though i personally wouldn't take more than 7 craps in that thing before i tossed it. that way i could say to the world that each crap is worth $5,000.00
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Response by stevejhx
over 17 years ago
Posts: 12656
Member since: Feb 2008
Special_K, you give no credit for urination?
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Response by Special_K
over 17 years ago
Posts: 638
Member since: Aug 2008
steve, that what the $35k "commode on legs" is for
Spoke to a friend whose SO works for Merrill: they are looking for any excuse at all to fire "for cause" so as to avoid handing out severance. Those bonuses may be all the severance any of the soon-to-be-unemployed receive, which doesn't make the news any easier to swallow, but adds a little perspective.
"A person familiar with the matter estimated that about $3bn to $4bn was paid out in bonuses in December."
Wow. Could have reduced that $15 billion loss by 20%-25%. But the bonus was more important.
Of course this ends John Thain's career at BofA, and makes it far more likely that BofA people will be put in charge, instead of Merrill people. No wonder they just announced 4,000 layoffs, most in New York. I understand from DealBook that the reason why so many top people left Merrill was to take their money and run.
This is a culture that is coming to a swift end.
"This is a culture that is coming to a swift end."
so true - game is over
Urban - what's up with your widget - numbers seem to be the same for the 4 days.
and ....UD and Lenane are the only ones that realize this. perfect..If we could get Lippman on board, maybe transactions would pick up pace.
yea I know - emails into streeteasy where I get the data feed. Im helpless right now
who is Lenane?
UD: Elliman broker. mostly UWS stuff, She seems to have a handle on where priceing actually is relative to most. Seems to be trying to get her listings to move in the proper direction.
http://www.prudentialelliman.com/mainsite/agents/agents.aspx?BID=ALC
Oh, I think I met Ann before, yea she is great. Lots of listings! I got a new 4000 sft SoHo Loft coming on today, W Broadway (Prince/Spring), 2nd full floor. Curious to see traffic.
nice, good luck..price it right and and and THEY WILL COME
In a perfect world, I agree!
As I predicted:
Thain's Future at BofA To Be Decided This Morning
http://www.cnbc.com/id/28793170
It's the end.
Told you!
Former Merrill CEO Thain Leaving Bank of America
http://www.cnbc.com/id/28793170
The problem is the culture - what these guys think they're "worth":
"Thain Spent $1.2 Million on Office Last Year"
Come on.
Radical, radical culture shift in investment banking.
B of A's bonus babies
Commentary: Merrill payout may be the last for many, including Thain
http://www.marketwatch.com/news/story/merrills-bonus-heist-may-last/story.aspx?guid={D65C11BC-CF40-406D-9DE7-8ECF016466EE}&dist=TQP_Mod_mktwN
It's all going to Charlotte.
He paid $35k for a shitter?
When John Thain became Merrill Lynch’s CEO in early 2008, he hired Michael S. Smith Design to revamp his office suite, spending approximately $1.22 million according to documents.
Additionally, documents showed that Thain signed off on the purchases personally, and that he used another $5,000 to pay the expenses Smith incurred in doing the work.
The following is a list of the items in his suite:
Area Rug $87,784
Mahogany Pedestal Table $25,713
19th Century Credenza $68,179
Pendant Light Furniture $19,751
4 Pairs of Curtains $28,091
Pair of Guest Chairs $87,784
George IV Chair $18,468
6 Wall Sconces $2,741
Parchment Waste Can $1,405
Roman Shade Fabric $10,967
Roman Shades $7,315
Coffee Table $5,852
Commode on Legs $35,115
Because it has legs, JuiceMan.
He bought a George IV chair - must be a fake, because we've only had a George I and George II, and that was enough.
I think this is indicative of a culture of greed that has now died an official death. Investment banks are owned by commercial banks, which don't put up with crap like this. Imagine, Thain was going to pay himself a $10 million bonus this year on top of the $70 million he'd already made, when his firm posts a $15 billion loss in one quarter.
Charlotte is going to take firm control over Merrill, starting now. According to the MarketWatch article, Ken Lewis might be forced to fire all of Merrill's top management. Paying the bonuses must have made him livid.
There was a George IV, King of GB who died in 1830. I had to look it up, though.
I can understand where he is coming from wanted that credenza. I personally wouldn't be caught dead in a 20th century one.
sorry, wanting not wanted.
Patient09: Lisa L. definitely gets it. If it were up to her, she'd probably treat every listing like 333 CPW #33 and move the price-discovery process along. But not every seller is that plugged in.
81, from your keyboard to her ears
Things are not well in North Carolina or Charlotte:
Job losses lead the nation in North Carolina
http://charlotte.bizjournals.com/charlotte/stories/2008/12/22/daily4.html
http://www.istockanalyst.com/article/viewiStockNews/articleid/2680620
http://www.charlotteobserver.com/banking/story/59812.html
yo... everyone... have you guys taken a dump in a $35K toilet... it's a totally different experience.... it's like getting a $1,000.00 crew cut versus the cheapie $20 one in Astor Place... :)
You have to be a sociopath to spend $1.2 million on an office when your firm is losing money, then $4 billion on bonuses after the government just gave you $10 billion, and you lost $15 billion.
Yes Charlotte is suffering - the BofA merger, but mostly Wachovia. More reason to move ops there - plenty of cheap office space.
w67, a $35k is truly a differentiated experience. though i personally wouldn't take more than 7 craps in that thing before i tossed it. that way i could say to the world that each crap is worth $5,000.00
Special_K, you give no credit for urination?
steve, that what the $35k "commode on legs" is for