Cafe Talk | Talking Points Memo | Fannie-Freddie Bailout

Fannie-Freddie Bailout

By RobbyLove - September 8, 2008, 11:23AM

I am as disgusted as I've ever been. A quote below from the following article: http://www.nytimes.com/2008/09/08/business/08scorecard.html

Under the terms of his employment contract, Daniel H. Mudd, the departing head of Fannie Mae, stands to collect $9.3 million...

Richard F. Syron, the departing chief executive of Freddie Mac, could receive an exit package of at least $14.1 million...

Both executives stood to make millions more from restricted stock
grants and options, but those awards are now worthless because of the
plunge in the companies’ share prices. Even so, their past pay — and
the idea that they might receive more — irks some investors.

“This is completely outrageous,” said Richard C. Ferlauto,
a large pension fund. “It is really a slap in the face to shareholders
and homeowners whose loans are at risk and taxpayers footing the bill
for a bailout.”

So we have millions GIVEN TO executives who ran the companies into the ground, billions FROM taxpayers who are already struggling just to make ends meet. In every situation, time-and-again, the rich get to feed at the trough while the middle-class and poor take it where the sun don't shine.

And still, McCain and the Republican party who support this economic model are polling ahead of Obama and the Democrats. They could actually be voted in to office to continue these same aristocratic policies.

I'm stunned and inconsolable.

Comments (1)

Paulson this weekend took unprecedented measures to end the crisis of confidence in Fannie and Freddie, which account for the majority of new mortgages and own or guarantee almost half the $12 trillion in home loans already outstanding. Mudd and Syron, who received almost $30 million in combined compensation last year, will serve in a transition period as paid consultants.

So apparently the reward for mismanaging one of the cornerstones of the US economy is approximately - $15 BILLION a year!!

Posted by kgb999
September 8, 2008 11:36 AM | Reply | Permalink

November 16-20	Coming Soon
November 30-December 4	January 12-16

Fannie-Freddie Bailout

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