A.I.G. Reverses Bonus Hustle - You heard it here first!!!

3.19.2009 UPDATE

BONUES TO BE TAXED AT 90%

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AIG (American International Group) has relented after being beaten by public outcry we haven't seen in some time......and has agreed to Repay the Taxpayers 165 Million of the "Bonuses for Helping to Bring the U.S. Economy Down."

We'll be digging to get the facts straight but boy talk about a reversal.  A few thoughts.....

1.  Tim Geithner has been getting hammered, and rightfully so as wasn't he part of the AIG negotiation in the first place and where was his due dilligence?

2.  Everybody involved who received a part of the bonus money, especially those who snickered that AIG management was a bunch of suckers for allowing such language to be placed into a performance to pay business.

3.  This bull about we need to retain these superstars is ridiculous, and that no one else could do the job!!!!!  With the economy in such dire shape I am sure I could pull some of my real estate buddies, hell, even some of my crew here at Active Rain........give us a couple of weeks and I guarantee you.........we will not take down what is left of the U.S. economy, plus we might even work for free!!!!!!

4.  What was Tim Geithner's role in this fiasco??? Certainly he knows more than we are receiving but something smells.

5.  The notion of contracts (I know some of you are hell bent on honoring them to the end) but how do you justify to thousands (not just those reported such as GM and others from the auto industry WHO IN FACT AGREED TO RENOGOTIATE AS THEY UNDERSTOOD 100% OF NOTHING IS NOTHING!!!!!!, so the bull about you can't break the contract simply doesn't pass the smell test.

6.  Yes we know those crooks who received the money won't be paying back their bonus they have already received, per se, the jury is still out as their is discussion to Tax the hell out of the money so the bottom line is greatly minimized.  The end result is AIG is paying back money from the portion we gave them (uhh......as you go to the corner to stratch your head), but the moral victory for now at least, is some type of compromise versus the jubilant resistence we heard earlier in the day......"hell no we won't pay back"

"Geithner said AIG will pay the Treasury an amount equal to the payments, and the Treasury will deduct that amount from the $30 billion in government assistance that will soon go to the company."

THIS NEWS SURELY WILL FIRE UP THE AIRWAVES FOR THE REST OF THE EVENING AND LEADING WEDNESDAY'S TOP STORIES.  NEXT IN LINE ARE THE BANKS.  THEY HAVE LONG RECEIVED THEIR BAILOUT, BUT THEY TOO HAVE BEEN STONEWALLING!!!!

You know the drill......feel free to chime in.

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Fred Thomas, III VP, CB

Vice President, Chief Bloggeroligist

Omega Capital Financial, Inc.