AIG - How dare you pay out US$100 million in bonuses?

Written on February 3, 2010 – 12:19 pm | by Kampung Boy |

AIG is on the spotlight again. This time, AIG is paying out US$100 million in bonuses. AIG is already bleeding from their financial products division as AIG has been given a hand by the government. Not much but only US$180 billion bailout.

Although it’s US$20 million short as AIG cut on retention bonuses but paying out US$100 million is still a lot.

Of course there are pro and cons by doing this and this is my simple concept and thinking on this issue.

Pro

By paying out bonuses, AIG can keep all their smart and best people in the company.

Cons

It’s making AIG bleed even more.

Conclusion

I wouldn’t mind if AIG pays bonuses to its top people but i do really hope they do their work properly and don’t get AIG into bigger shit after this. It’s already bad enough!

If you like my kampung style investment blog, please subscribe to our full feed RSS. You can also subscribe by Email to receive all latest investment updates. Don’t miss out!