The biggest payouts ever ?
The Wall Street fat cats who taxpayers bailed out five years ago are poised for a big payday.
The New York Post reports that in the aftermath of the financial crisis, big banks held on to a sizeable chunk of executive pay - in the form stock or other deferred compensation instead of up-front cash - to curb the sort of risky short-term thinking that many blamed for tanking the economy.
Now, those same high-level execs pilloried by the public for their roles in the crisis are expecting to take home a windfall as the crisis fades and bank stocks surge.
Starting in 2009, the biggest Wall Street firms were pressured to pay their top money-makers in restricted stock, which usually vested in three or five years, rather than cash bonuses.
The typical pay structure for top execs was 75% cash and 25% equity in 2007, before the crisis turned that on its ear.
In 2009, Citi and Goldman delivered all of their bonuses to their top execs in the form of stock and options awards.
As a result, a number of Wall Street’s top executives can begin to collect big stock bonanzas this year.
To access the complete New York Post article hit the link below:
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