Call me a cynic, but I'm thinking this might be the key paragraph:
If successful, Goldman would become the first major bank to return funds received under the Troubled Asset Relief Program, or TARP. Such a step would probably enable Goldman — long one of the most lucrative places to work on Wall Street — to free itself from government-imposed restrictions on compensation.
Good thing, too - here's CJR's Ryan Chittum's take on Goldman's compensation:
Government billions help Goldman boost pay 25%Not that you'd get that from the fawning coverage of the business press. Oh, they cover it, but it's a question of emphasis.
Chittum pats the FT on the back for addressing something plenty of people aren't talking about:
The bank raised its total compensation and benefits’ bill to $4.7bn – 18 per cent higher than in the first quarter of 2008. But Goldman now employs 4,000 fewer people so the quarterly pay for its 27,898 employees was, on average, more than $168,000, nearly a quarter higher than a year ago.Right. So Goldman payroll is up 25% for the first quarter of this year.
Because they had such a great year.
$10 billion from TARP
$12.9 billion funneled through AIG
Pop the champagne, everybody!
Just be sure to get the hell out of the room after you do - Goldman Sachs would prefer to drink alone.
2 comments:
Oh, and don't worry your pretty little heads about that December thingy, nothing to see there.
It's good to be Midas or one of the minions.
Better balance sheets through selective memory.
Wish I could play by those rules.
I loved it a few weeks ago, when CitiGroup announced that they had made a profit in 2009.
Rather like an Ebola patient telling you they've gotten over their head cold.
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