Corporate

Apr
9
2009

Written by:
Will Pickering

Princeton Alums Defend AIG in Wake of Bonus Backlash

Following AIG's disclosure that it had paid out more than $165 million in bonuses, the public outcry became so severe that the company advised its employees against wearing AIG clothing and identification in public. Given that the insurance giant received over $170 billion in bailout money, indignation that the money was spent at least partly on undeserved bonuses is certainly justified. But media coverage of the controversy often failed to distinguish between those parts of AIG which contributed to the current financial meltdown and received unmerited bonuses, and the other divisions of the company which were innocent of wrongdoing. A number of Princeton alumni currently employed by AIG expressed just this point in a recent Daily Princetonian article:

Apr
3
2009

Written by:
Shuang Yang

The Wall Street Journal’s CEO 2008 Compensation Survey

In the midst of the economic downturn in the past year, executive compensation on the whole declined as expected. According to a survey conducted by the Hay Group, a Philadelphia management consultant company, the median salary and bonus of CEOs from 200 large U.S. companies was $2.24 million, down 8.5% from the previous year. Factoring in stock, stock options, and other long-term incentives, the median total compensation package was $7.6 million, down 3.4%. The list was headed by a surprising name:

The biggest pay package in The Wall Street Journal's CEO 2008 compensation survey went to an India-born engineer who was granted equity initially valued at $103.5 million for a job he doesn't fully have yet.

Motorola Inc. hired Sanjay Jha as its co-CEO last August, intending to have him run its ailing cellphone unit and take it public as a separate company. The spin-off plan is on hold because of the credit crunch and the deteriorating finances of the unit.

Mar
29
2009

Written by:
Shuang Yang

World's Most Admired Companies 2009

Despite the economic recession, many of the blue-chip companies have maintained their status among the world’s most admired companies. Based on a survey of businesspeople conducted by FORTUNE, familiar names such as Apple, Toyota, Google, General Electric, and Microsoft dominate the list.

Look here for the full list of the world’s most admired companies.

Mar
29
2009

Written by:
Shuang Yang

World's Billionaires 2009

Over the past year, the global economic crisis has severely affected the world’s wealthiest people. This year, there are 793 billionaires worldwide, down 30% from the 1,125 billionaires on last year’s list. It was the first time since 2003 that there was a net loss in the number of billionaires. Here are some more interesting facts about this year’s list:

  • From last year’s 1,125 billionaires, 378 fell off the list (355 from declining fortunes, 18 from death). On the other hand, there were 38 newcomers and 3 returnees to billionaire status.
  • The collective net worth of the world’s billionaires is $2.4 trillion, down $2 trillion from last year. The average net worth is $3 billion, down 23%.
  • New York is the billionaire capital of the world with 55 billionaires.
  • 656 billionaires lost money in the past year, while 44 increased their fortunes.