Greed in Corporate America: Alive & well, thank you

[mubs]

Newspaper CEO's wife paid $300k a year for duties described as reading the paper and discussing it with him. (Internal investigators reported that she was paid "more than $1.1 million a year in annual salary and bonus payments" even though "she performed no meaningful work in return.")

The CEO and cronies accused of systematically looting the newspaper publishing company of more than $400 million — nearly all its profits from 1997 through 2003.

Here.

 

[Handruin]

After reading that, do you feel Ebert's salary is any part of the greed? (just a question, not implying anything)

Some of those expenses I can see as being write-offs, but to neglect the building and other workers to pay Barbara $300K a year for nothing is annoying to say the least.

 

[mubs]

I'm not sure you can classify Ebert's compensation as greed. The other day I saw (on an executive recruitment board) a listing for a VP of IT Operations with compensation at $400k - $800k, + 50% - 100% bonus, + options + car, etc. It was for a Wall Street firm. I have no problem with CEOs making a few million.

But "consuming" $400M over and above your compensation, plus paying your wife $300k - $1100k annually, I definitely consider egregious. In my mind, this is in the same leage as Lay/Skilling/Enron, Kozlowski/Tyco and what-was-the-CFO's-name/WorldCom.

 

[Fushigi]

After reading that, do you feel Ebert's salary is any part of the greed? (just a question, not implying anything)

Ebert is nationally known and generally highly regarded in his field. His celebrity status draws more sales of the paper, hits to the web site, etc. $500K/year is not too bad. Besides, he probably makes more from his TV show & other endeavors.

The Sun-Times building, BTW, is being demolished so Trump can build another skyscraper. His first, I believe, in Chicagoland. The winner of the first Apprentice show, Bill Rancic, is managing the project. My wife met Bill this past Tuesday at a book signing.