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2.7%  Q1 GDP    4.57%  avg. 30-year mortgage     9.5%  Unemployment

AIG Says Resort Trip Was Reward for Employees

AIG has issued a clarification to the report that its executives enjoyed a luxury hotel stay a week after the federal government threw them an $85 billion lifeline.

The gathering was a previously planned reward for life insurance agents, a spokesman for the company said, and fewer than 10 AIG executives were present.

"It's a common practice among large life insurance companies in the U.S. to reward their top business producers," the spokesman, Peter Tulupman, said.

Asked about the outrage at a House Oversight committee over the visit, Tulupman said, "I'm not debating where they're coming from. I just want to be clear about what it is."

He declined to say who was staying in the $1,600 rooms, but said he would look for a list of the executives who were present.

--Peter Whoriskey

By Sara Goo  |  October 7, 2008; 4:52 PM ET
Categories:  The Ticker  
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Comments

Knowing these guys, they might be paying for hookers with bailout funds.

Posted by: Anonymous | October 7, 1908 5:01 PM | Report abuse

The American taxpayer also paid for the hookers, drugs and booze that AIG execs and producers enjoyed. We can't thank you enough, America, for picking up the tab for our orgiastic excesses.

I hope you enjoy having that big fat AIG pecker shoved up your a$$, America!!

ENJOY!!

Posted by: Peter Tulupman | October 7, 1908 5:06 PM | Report abuse

Kinda make you wish that AIG had their HQ in the WTC on 9-11 doesn't it? ... and ALL executives were present. Why is it that the American citizens only have a choice between the BIG BROTHER Socialist LEFT, or the FOO-LOOSE, ELITIST Wall Street?

Posted by: Anonymous | October 7, 1908 5:11 PM | Report abuse

The current financial situation will be the biggest transfer of wealth from everyone to the already richest among us - this is the biggest Fire-Sale of assets to the rich. Once we emerge, you'll see a economic class separation like you've never seen before.

Posted by: Anonymous | October 7, 1908 5:15 PM | Report abuse

It was a previously planned reward even though the company was tanking.

This "reward" should have been canceled even before the government intervened with taxpayer money.

While our economy is crumbling these companies are partying! Outrageous!

No wonder we're in such a mess.

Posted by: Sandy | October 7, 1908 5:17 PM | Report abuse

If I made millions a year running a company into the ground, then got the government to bail me out and make me whole, I would celebrate too. There is a reason these wise guys make 100 times what a senator makes: they are 100 times smarter than a senator.

Posted by: PJTramdack | October 7, 1908 5:18 PM | Report abuse

they deserve the benefits of private enterprise: they have worked hard to earn their executive rewards. Those of us who do not work so hard earn wages and serve them.

Posted by: charles | October 7, 1908 5:24 PM | Report abuse

Where is Eliot Spitzer when you need him?? His indiscretions don't seem so bad now in comparison, do they you hypocrites.

Posted by: Bring back Spitzer!!! | October 7, 1908 5:26 PM | Report abuse

Looking at the invoice, they ate $58,000 in attrition damages, which means that about 40% of the room revenue they had contracted for went unused.

I don't mean to excuse them (and I'm not saying the retreat was advisable even before they were in trouble), but it sounds to me like they greatly scaled back a previously planned -- and CONTRACTED -- retreat for which they would have been on the hook whether they showed up or not.

Posted by: Left of the Pyle | October 7, 1908 5:28 PM | Report abuse

That's it! Distribute the $700 billion among the taxpayers! I'll take my share in hundreds, fifties and twenties, please.

Posted by: No Mercy | October 7, 1908 5:31 PM | Report abuse


The rich are not like us.

Posted by: Mom | October 7, 1908 5:33 PM | Report abuse

well, hey, paying for hookers with bailout funds is fine evidence of trickle down economics.

Posted by: guitaristo | October 7, 1908 5:38 PM | Report abuse

I have not been angry about the bailouts until this AIG story. I am SICK of these people raping the rest of us. I don't use that word lightly. People who can't get medical care die every day in this country because "we can't afford universal coverage," while these f***ers go to the spa.

Posted by: San Diego | October 7, 1908 5:39 PM | Report abuse

Why the outrage now? These parasites have been living high for many years whilst doing not very much but gamble. Please dont tell me there is skill involved. If skill was involved we would not be where we are now. Marx, Lenin, and all the soviet apparatchiks we spat upon so freely are now laughing in their mausoleums. "How do you like your central planning, comrade?"

Posted by: Millennium1 | October 7, 1908 5:39 PM | Report abuse

Asked about the outrage at a House Oversight committee over the visit, Tulupman said, "I'm not debating where they're coming from. I just want to be clear about what it is."

Rest assured, Mr. Tulupman, we are very clear about "what it is."

Posted by: San Diego | October 7, 1908 5:40 PM | Report abuse

This is classic addict behavior...credit addict that is...get bailed out and start spending again. It would have been prudent for AIG to have cancelled the retreat as soon as they knew they couldn't afford it. Personally I am not interested in paying for luxury retreats for life insurance agents or AIG execs...and guess what...we just did pay for exactly that.

Orange jumpsuits for all of them!

Posted by: Baruch | October 7, 1908 5:45 PM | Report abuse

Much like Nazi war criminals these guys will be changing their names, having plastic surgery and heading to South America. Hopefully there will be a group dedicated to hunting them down. If so I'm in!

Posted by: T. Kaliff | October 7, 1908 5:50 PM | Report abuse

The nightmare continues.

Posted by: Anonymous | October 7, 1908 5:51 PM | Report abuse

Make them pay for it out of their salaries. And then, no one, past or present, gets more than $1 Million a year. And if you helped run this company into the ground, you get zip! Where are these people's consciences? How can they live with what they are doing and how can their families stand by and let them get away with it? Don't any of them have any morals?

Posted by: Anglia | October 7, 1908 5:51 PM | Report abuse

Reward for what?

I trust Congress will step in and reclassify this "outing" as a Personal Boys Week Out that does not quality as a business expense. It's not as though these executives can't afford to pick up the tab with their salaries.

If Congress doesn't have the stones to demand AIG (and other bailed out businesses) be brought under more careful scrutiny regarding executive perks, Main Street Middle Class Americans shouldn't be too terribly surprised when asked for another tax funded cash infusion for companies having difficulty curtailing extravagent executive spending.

Posted by: Anonymous | October 7, 1908 5:53 PM | Report abuse

Talk about having a grand sense of entitlement! Just because they got caught screwing up their company doesn't mean they have learned anything from it. It was our own government who decided it was in all our best interests to bail this company out of trouble. Now these overpaid executives have given themselves a well deserved pat on the back for bilking even more money out of consumers. As if they don't already charge a fortune for the insurance products they sell which, by the way, the consumer ultimately ends up paying for anyway.

Posted by: mac1319 | October 7, 1908 6:09 PM | Report abuse

Absolutely disgusting. These companies we are bailing out should be nationalized with the entire board of directors fired without severance or pay.

Posted by: RJR | October 7, 1908 6:15 PM | Report abuse

What a repulsive group of swine! Let's get out the guillotine, it worked for the french.

Posted by: Lisa | October 7, 1908 8:56 PM | Report abuse

I WANT A REFUND! I want AIG's "bail out" money rescinded and returned to the government where it can be best used to benefit MAIN STREET. Why are we bailing out large corporations when Mom & Pop are going out of business and losing their homes? US based small business is being forced out.

STOP THE MADNESS! Time for the citizens of this country to say ... ENOUGH ALREADY. Call your politicians and demand change! If they don't do it - VOTE THEM OUT as soon as you can. Do it for your family, do it for your country!

Posted by: J.E. Komosinski, US Taxpayer | October 8, 1908 1:03 AM | Report abuse

"Reward" ?? Rewarding these jokers for running their company into the ground is like rewarding the republicans for the last 8 years with 4 more years. It's stupid, they've got to be dumb as hair, and it should be illegal. Fire them and fire the republicans.

Posted by: Anonymous | October 8, 1908 4:28 AM | Report abuse

Oh...well that just changes everything. Fine, no problem. So instead of assuming it was 100's f Exec's running up Hundreds of thousands of dollars in company expenses it was only 10 Exec's....LOL. I can't even believe that they think statement justifies it???? Hello....is there anybody in there? I have another hard earned tax dollar to buy a clue with!

Posted by: J McD - Hard Working Tax Payer | October 8, 1908 9:55 AM | Report abuse

WE CANNOT LET THEM GET AWAY WITH THIS FLAGRANT WASTE OF OUR HARD EARNED MONEY.

We rescued them alright, so that they can immediately do all the same things that brought us to this economic disaster in the first place. Has anything changed I think NOT.

POLITICIANS, MAKE SOMETHING HAPPEN FOR THE PEOPLE OF THIS COUNTRY BEFORE THEY TAKE ANOTHER TRIP.

THERE IS NO PROTECTION FOR US, OUR REPRESENTATIVES SHOULD BE ASHAMED OF THEMSELVES FOR ALLOWING THIS TO HAPPEN

Posted by: DISGUSTED WITH GOVERNMENT | October 8, 1908 11:51 AM | Report abuse

FTG

Posted by: Anonymous | October 8, 1908 2:51 PM | Report abuse

FTB

Posted by: Anonymous | October 8, 1908 3:01 PM | Report abuse

These are the same f--kers that tell the workers they can not afford a 25 cent an hour raise or medical benefits.
Then pay themselves outrageous salaries and huge bonuses with inflated sales numbers until there is nothing left.
Then they act surprised that their companies are in trouble!
How can they live with themselves easy they are paid enough not to care.
Let line them up and Rape them all!

Posted by: ken | October 8, 1908 3:05 PM | Report abuse

Would like to hear Obama's and McCain's comments on this resort issue. I too want a refund from the Government....No One asked THE WORKING CLASS about passing the Bill anyway. WAKE UP AMERICA !!!!!!

Posted by: Jackson Lee | October 8, 1908 3:56 PM | Report abuse

If the members of Congress think that our veterans receive adequate medical help, then I strongely suggest that the NEXT time any of them NEED medical attention they SHOULD BE REQUIRED TO SEEK HELP AT OUR VA. HOSPITALS.......HMMMM...maybe then they will see how AMERICA's Bravest are truly treated for defending our Country.They have NO CLUE but then as elitest WHY SHOULD THEY?? Hmmmmm......!

Posted by: JACK LONDON | October 8, 1908 4:22 PM | Report abuse

First of all, I agree with every pissed off taxpayer in America,Every Family living below the poverty line that struggles to make it through another day of hardship. It is the rich, greedy politicians and executives of a corporate America that have caused this crisis.Yet the poor must pay for these mistakes? How can you justify outragous salarys in the Millions for corporate Executives who clearly fail to do there jobs.Using tax payers money to go on a pre-planned get-awayis complete B.S. Sounds like they need some courses in money MANAGEMENt! Then again they are the ones making the easy bucks$$ The real working class in America ,the ones digging ditches, doing the 'DIRT WORK' make the chump change!How can the people of this Country allow this.This must change.It is not the Corporations or government keeping this country afloat,it is the WORKING CLASS.Time to be rewarded for OUR hard work!! When was the last time you got positive reinforcement for BAD behavior? After all its just Money, Right??

Posted by: Jason K. | October 8, 1908 5:59 PM | Report abuse

There exists but one option - don't pay taxes.

--------

Posted by: none | October 13, 1908 8:17 PM | Report abuse

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