As we know, Morgan Stanley reported a $178m charge in the third quarter in respect of severance costs and compensation. Here's where most of the dosh looks to have gone:
Philip Purcell (ex-CEO) - $44m
Stephen Crawford (ex-Co-President) - $32m
Stephan Newhouse - (ex-President) - $17m
Vikram Pandit (former head of institutional securities) - $9m
John Havers (ex-head of equities) - $7.9m
Terry Meguid (ex-head of investment banking) - $6m
Joseph Perella (former VP and investment banking legend) - $6m
Let's hope that the firm has some cash left over to look after the those 25 lesser mortals who are said to be being canned as we approach the season of goodwill. Furthermore, if the bonus pot this year is not as big as some staff would have hoped, they can take some comfort from knowing that several former senior executives were well taken care of.
At least current CEO, John Mack, did the decent thing, and scrapped the $25m guaranteed pay pack Morgan Stanley offered him. He is happy to be paid on performance. Mack and Zoe Cruz, Morgan Stanley's acting President, are now said to have also signed a contract which precludes them from poaching bankers for up to 180 days in the event that they resign from the firm.
Finally, Morgan Stanley has confirmed that it will establish a Middle East & North Africa office in Dubai. 25 staff will be selling investment banking, capital markets and wealth management services from that office.