Related: CIT: See the New Bailout Model
Oh, you going to take another pumping, America?
"Merrill’s former CEO will head CIT Group; John Thain brokered sale amid ’08 crisis" by Stephen Bernard, Associated Press | February 9, 2010
NEW YORK - John Thain is getting a second chance.
CIT Group Inc., a lender trying to regain its stature after nearly collapsing during the financial crisis, has hired the former Merrill Lynch & Co. CEO as its chairman and chief executive.
Thain, too, is trying to repair his image. He brokered Merrill’s sale to Bank of America Corp. as the credit crisis peaked in the fall of 2008, but was forced to resign after the deal closed because of controversy over employee bonus payments and mounting losses at the investment bank.
Somehow, certain people are never touched by the falling of s***, ever notice that?
CIT, which lends to more than 3,000 businesses, went through bankruptcy reorganization late last year after it failed to restructure billions of dollars in debt. It was also hurt by rising losses as more customers fell behind on repaying loans.
How can that be when this economy is in recovery? Unless....
Thain, 54, is taking over a company whose business has shrunk dramatically.
But the economy has been roaring for two quarters my government and MSM tell me! WTF?
He will have to find a way to bring in new customers and new sources of funding, because the short-term lending known as commercial paper essentially disappeared during the credit crisis.
Analysts say Thain’s experience makes him an ideal candidate to rebuild CIT. He got Merrill shareholders the best possible price for their stock in the Bank of America deal. And as CEO of the New York Stock Exchange, he expanded it through mergers and acquisitions....
Yeah, who cares if he f***ed the rest of us.
Thain, a former president of Goldman Sachs Group Inc., might have been brought in because of his extensive connections on Wall Street.
OF COURSE!
They are ALL CONNECTED to that evil entity!!!
CIT will pay Thain an annual cash salary of $500,000, plus $5.5 million in stock annually, of which $2.5 million will be subject to a one-year holding period. The remaining $3 million cannot be sold for three years.
Thain could also receive up to $1.5 million in bonuses, based on the company’s performance.
Thain’s deal to sell Merrill was considered a lifesaving move. But he was criticized for having paid out $3.6 billion in bonuses to Merrill employees just before the deal closed, and for spending more than $1 million to redecorate his office at Merrill, despite its massive losses.
Yeah, but no reason anyone should be angry; heck, this saved the company from what I read above!
Thain resigned as head of global wealth management of the combined company in January 2009, after news of the bonus payments surfaced.
Bank of America last week agreed to settle a case with the Securities and Exchange Commission over claims it misled shareholders about the bonuses and more than $15 billion in fourth-quarter losses at Merrill to ensure the deal would be approved.
Yup, he's JUST the MAN for CIT!!!
New York Attorney General Andrew Cuomo filed civil fraud charges against Bank of America and its former CEO, Ken Lewis, on similar grounds.
Thain was not charged with any wrongdoing.
CIT shares fell....Yeah, INVESTORS KNOW what a STEALING SCUM the new leader is.
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