Seven senior executives at AIG won't be getting that $3 million in
deferred compensation they were expecting to be paid by April.
A SEC filing
said that on
Dec. 31, 2008, "AIG determined instead to distribute account
balances only to current agents and
employees (excluding former employees and agents), and to exclude
current executive officers from
such distributions." Meaning the 4,000 employees that took part in the
retirement plans will be paid at a later date. The participants in
total are due about $273.5 million.
Some of those executives that will be
affected include:
- Jay
Wintrob, head off AIG's life operations who is due $1.9 million on top
of $7.5 million in salary, bonus and incentives, according Reuters
- David Herzog, the company's chief
financial officer, who is was supposed to get $371,000 by
April
- Win Neuger, an investment executive, who
was due $800,000
Plus, Liddy is taking $1 in salary this year.
AIG had said in a November SEC filing it planned to accelerate $3
million held by executive officer payment in an effort to limit
departures after the company's $152 billion bailout. Still, the company has reportedly offered $450 million to employees
to get them to stay at the company and has already lost at least 20 managers to competitors, according to Bloomberg. - Maria Woehr
Also see:
AIG alters its executive payout plansAIG asset sale update: Greenberg calls HSB deal 'fire sale'
It looks like some executives at American International Group Inc. will be compelled to follow the examples of other Wall Street executives -- including AIG's CEO Edward Liddy -- this year and forgo bonuses and even salaries.
