Monday, January 26, 2009
More Swanky Office Outrage
Joan and Sandy Weill. You hate them already right?
You remember Citigroup don’t you? Well you should. You recently transferred $50 billion from your kid’s college funds to their coffers in the form of two federal bailout payments.
And yet, they reported a loss on Friday of $8.29 billion which brings their total 2008 losses to $18 billion.
So what did we get for our $50 billion? Well, they laid of 60,000 employees so many of you got a tougher, more competitive job market to endure.
And they just announced plans to sell a majority stake in Smith Barney to Morgan Stanley and revealed plans to divide the bank into two pieces. This will surely make it easier to account for our $50 billion.
Let’s see what else did we get for our $50 billion? Oh! Well they just took delivery on a new $50 million Dassault Falcon 7X private jet. So that’s something. This baby seats up to 12 in a plush interior with leather seats, sofas and a customizable entertainment center. It can cruise 5,950 miles before refueling and has a top speed of 559 mph. There are just nine of these top-of-the-line models in the United States.
So, you know…awesome. The executives responsible for an $18 billion loss, the same guys we just gave $50 billion to, the guys who are so brilliant and whose time is so unbe-freakin-lievably valuable can avoid taking their shoes off in the security line.
Sweet. 60,000 unemployed people and a kick-ass new jet. What else did my son’s college fund buy for Citibank?
How about a $21 million annual lease for an office for retired CEO Sandy Weill? And before you totally flip out, you need to understand that this truly is a kick-ass office. One of the most spectacular in all of New York. He's a floor below Carl Icahn and one floor up from Ted Forstmann. So, you know the neighborhood right?
Weill also has a deal with Citigroup that provides him with a generous fee for any advisory work he does (up to 45 days a year), a full-time car and driver, and health and life insurance for him and his wife, Joan. The agreement also guarantees Weill lifetime access to Citi's fleet of jets—for both personal and business travel—a perk he "unilaterally and voluntarily" agreed to "reduce" in 2007 after objections to the arrangement were raised.
Did you catch that? He “unilaterally” agreed to “reduce” his use of Citigroup’s corporate fleet of jets! Unilaterally!
What an asshole!
Just in case you’re curious, in 2007 Forbes listed Weill’s net worth at $1.3 billion.
Louisville Sluggers anyone?