March 20, 2005

heil duce : THE CEO- circus part 7




YA GOTTA HAND IT TO 
             these board room 
                              ALPHA SWINE  

some of em remind me 
        of
my childhood hero

the late reich's marshall 
                  hermann goering 

                            

once shrewed  and 
                    fierce 
                        and now  corrupt 
                                  adicted 
                           and as soft 
                                as  a late Mamloouk  


========================================


check out this columnist's 
snide slap shots 


---------------------------------------------------
 "John Kenneth Galbraith once wrote  :


 "The salary 
    of the chief executive 
                    of a large PUBLIC corporation 
                 is  little more
             then a warm personal gift 
                that same  individual
                           grants to himself."

nothing could be more true .....



" where as
  in Russia, 
those who manipulate capitalism
 to gain fabulous wealth 
are called the oligarchs
  Herein in the states 
   we just call these  guys 
                               C.E.O.'s


 even though
         just like in russia

when our ceo's act  naughty 
 they usually don't go to prison
     they just
     reward themselves
          with   increased 
           compensation packages " 

 
              ---------------------------


"This is the time of year
 when CEO's 
  get to mug 
 their shareholders......

 Over the next few weeks
 if you're nosey
  you can  find out 
precisely how much
" our   public companies" 
     overpaid 
their chief executives"


write it off to...

i don't know....

  our unquenchable 
public indulgence
of money masd rascals


and you can
       forget the pompous 
   
             calls
             for  tighter swifter
                        more effective 
                             board room justice 
that just  
                         makes for soupy tempest type 
                                               head lines 

like

  " once again
        a wave of 
insider plundering
    sweeps thru  
     amerika's top  boardrooms" 

or think pieces on

" market failure at the summit "
  or 
"whither the rogue board rooms ? "

etc etc etc 
change?
    reform?

  please ....

this same monkey business
 has been around since 
issac newton
   got burned 
by the south sea bubble 

-----------------------------------
 supporting anecdotes :

take
Carly Fiorina 
 the fast climb
                  lady  
that cracked thru 
 the high tech
           glass ceiling

she gets  her self
    sacked last month 

as chair-person
  and   dominatrix in chief 
                   of Hewlett-Packard

and yup
the board rewards  her 

with a total of
 $8.15 million 

then there's
 Michael Eisner 

disney's 

 second mighty mikey

  finally after 12 years
  of the most blatant hee hooey 
  
  he gets pushed out

    out out out 

     finally 

   out 
          as  the magic company's 
                   chief   knuckle basher
                 and balance sheet
                                 re-animator 

  what else can a poor board do

 after he's
         run old Walt's  pirate ship  
                       over a half dozen   water falls 

but then
  what does 
this same  board  do ?

they hand  him
 a $7.25 million good bye
                    kiss

                 a one time cash bonus 
and to boot
they 
      install 
  his hand picked  rubber necked stooge
                     as the outfits
                    neat new guy  in charge ......

 If Kim Jong Il 
    came  to America

 he  would immediately feel
             right at home 
                heading up 
                     one of these
                   large     public   ventures  
                                we got here "

--------------------------------------------------------

here's 
               some more
    systematic evidence 
    of the "deep filthy "
               up there at the top of the stairs  :

first off
a question


was last year
 a great year for earnings growth ?

  not really
           not mostly 

 but still ......

" major U.S. corporations
       raised CEO bonuses 
              by 
          record amounts "
 

 " the percentage increases 
        were the highest 
since comparable studies began 
               five years ago"



" proving  the theory
             small cats 
  can get skinned
 more ways then one .....

back ground:

 boards 
 facing scandal and scrutiny
           have  cut back 
      on the number one 90's abuse 
                massively
               piled  up
                            CEO   stock options....

but to off set thatloss

                to compensate
            the compensation......

                      ceo   bonuses are soaring"

----------------------------------------------
a few final numbers :


"Since 1993
 the average pay for C.E.O.'s 
of the S.&P. 500 companies
         has tripled 
             to $10 million "
 

" 60 % of the time 
     over the last 20 years
      big public companies 
           increased CEO 
              bonuses in years 
                 the companies' earnings  dropped" 


 

" public companies devote
 about 10 percent
 of their profits 
to compensating 
their top five executives
thats 
 up from 6 percent 
in the mid-1990's"




is compensation 
        based on  peer comparisons?

hardly

check out the trick
        yard sticks results 

 
" of the 1,000 largest companies
 two-thirds reported
they'd

" outperformed 
                 their peers..."
                          two thirds
                           nice  "Lake Wobegon effect" eh?  "


final note:


"Boards sometimes argue
 that they need to pay
 huge sums to hang on to talent"

           hang on 
                  Really? 

often it costs more to let em go....


Consider Mr. Eisner

 he's  been 
  a walking pay scandal
  since 1993

the year 
Disney earnings 
fell 63 percent  
 and he paid himself
                   $203 million

 but since then 
He has been so desperate
 to stay at Disney 
that he has virtually
 Super-glued himself
 to his chair


 full cost of removal /

call me in ten years .....

bye bye suckers

oh and keep investin' 
the  swells at the top need
 need to count
   your votes
 of confidence  

in personal
    "paid out dollars" 
               of course 

========================================================
Posted by pinky at March 20, 2005 05:20 AM

Post a comment

Thanks for signing in, . Now you can comment. (sign out)

(If you haven't left a comment here before, you may need to be approved by the site owner before your comment will appear. Until then, it won't appear on the entry. Thanks for waiting.)


Remember me?