Is it really asking too much for Congress to lower the boom here? Andrew Cuomo is great but surely he's not the only person who knows how to go after such excesses. Again, let's look at who lost billions and who was rewarded (and continue to be rewarded) very handsomely. The GOP needs to quit blaming the poor for this historic failure because it's Wall Street who is killing capitalism through their greed. Of course, if they're never held accountable, why would they not behave this way? Even now, it's not as though Congress or Paulson are aggressively overseeing this process.
Wachovia Corp (NYSE:WB - News), which lost $33 billion in the last two quarters, said 10 top executives may be entitled to $98.1 million in severance pay after the bank is acquired by Wells Fargo & Co (NYSE:WFC - News).
In a U.S. Securities and Exchange Commission filing, Wachovia said the executives would receive severance under their employment agreements if the merger closes by December 31, as expected. Wachovia said shareholders will vote on the merger on Dec 23.
The 10 executives do not include Robert Steel, who in July replaced the ousted Ken Thompson as Wachovia's chief executive, and does not have an employment agreement.
Wachovia also said a closing would entitle its 11 executive officers, who include Steel, as well as Chairman Lanty Smith to $2.5 million in equity-based awards under existing stock incentive plans. But the executives' stock options are worthless, the bank said.
U.S. regulators pushed Wachovia to find a merger partner after losses soared on a $118.7 billion portfolio of option adjustable-rate mortgages. The bank largely took these on when it bought California's Golden West Financial Corp in 2006.
