Steadfast FinancesAIG's Crazed Spending After Billion Dollar Bailout!

AIG Blows $443,000 on Hotel Retreat and Day Spa Treatments after 85 Billion Dollar Bailout!

Filed in Consumer Education , Financial Crisis 2 comments

If ever there was a headline to make you scream “What The [expletive]?“… this is it! Roughly one week after AIG came calling for a cool $85 Billion in taxpayer money to prevent filing for bankruptcy, AIG’s management team decided they (and their best performing sales agents) needed a week off to play some golf, soak up some rays, and relax at the day spa.  Sounds understandable, right?

Not if you spent $443,343 doing it!

And certainly not after running a Dow Jones Industrial Average company into the ground, potentially contributing to a second Great Depression, or showing up in front of Congress with your tail tucked between your legs because you’re an incompetent executive.

AIG’s expenditures after a week at the St. Regis Resort

  • $200,000 for Hotel Lodging/Rooms
  • $150,000 for Catered Banquets
  • $23,380 for Spa Treatments
  • $7,000 for Golf
  • $1,400 for Hotel Salon

A copy of the full invoice for AIG’s week long retreat for “rewarding it’s top performing sales agents” can be viewed here at The Smoking Gun.  Please note, this sales meeting is reported to include only 100 people.

Throw in another $50,000 for the private jets or first class airfare, and goodness knows what other miscellaneous expenses, and you’re probably looking at a half million dollar sales meeting!

When will the nonsense stop?

Personally, I’m a believer in the old school theory of crime and punishment.  Meaning that certain circumstances warrant cruel and unusual punishments under the most extreme circumstances.

In this case, I feel various old customs should be revived so that some form of public shame will be permanently connected to the individuals responsible for allowing such events to transpire.

I’m not saying we should stone them in the streets, or make them wear a bright green “G” for “Greed” on their clothing analogous to Hawthorne’s The Scarlet Letter, but perhaps sentence them to permanent public service duty for 20 hours a week until they hit retirement age.  Something tells me a lifetime of picking up trash along the interstate or shoveling dog poo from the sidewalk could potentially curb this irrational behavior.

What do you think? Got any solutions to give Corporate America a wake up call?

Questions / Comments / Concerns? Please share them.

Image Credits:  CNBC Fast Money.

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Posted by CJ   @   8 October 2008 2 comments
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2 Comments

Comments
Oct 10, 2008
2:21 pm
#1 Jen K :

This is outrageous!!

Sign this petition to force AIG to payback the treasury for their retreat.
http://go.care2.com/17225761

Oct 10, 2008
2:43 pm
#2 Matt :

@ Jen K.

Thanks for sharing this… I signed the petition and will encourage more to do so.

On a more positive note, AIG did cancel another upcoming sales meeting due to public pressure so I’m thinking we have made our outrage felt in the upper echelons of Corporate America.

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