The markets are up Tuesday. The Dow gained 32.65 points to
7,249.62,
the S&P 500 increased 6.25points to
760.14, and the Nasdaq climbed 20.69 points to
1,424.71. Financial stocks are mixed on news of climbing salaries due to
bonus loopholes, as well as
big bonuses at bailed-out out financial institutions such as American International Group Inc. (NYSE:AIG).
One recently awarded bonus that could ignite some fireworks, according to
The Boston Globe, is the $29 million in compensation State Street Corp.'s (NYSE:STT) CEO Ronald E. Logue received in 2008. A banking analyst interviewed by the Globe, Nancy Bush, believes Logue will have to defend his compensation at an annual shareholders meeting in May. Although the bank's stock are trading up Tuesday, the bank's shares dove 71% since March 2008. The bank also reported $9 billion in
unrealized losses on its books for the year, cut up to 1,800 jobs and instituted a companywide salary freeze for all employees but company executives. State Street received $2 billion in TARP funds.
The other four highest-paid officers also earned more than last year, but none of the top executives received a bonus in 2008.
The Associated Press reported that Logue's salary is 14% less than in 2007. Here's the break down:
- $120,824 in perks including a car and driver, home
security, and health tests
- Stock options awards valued at $15.6 million (a 6% increase from 2007).
Do you think State Street is looking for loopholes to the stimulus plans' compensation caps that
The Wall Street Journal reported other financial institutions are discussing?
- Maria Woehr
Troubled Wall Street
Prices at 12:00pm EST |
| Name |
Price at
open |
Price
at 12:00pm |
Change |
Mkt cap |
| J.P. Morgan Chase & Co. |
23.3 |
23.91 |
0.82 |
89251.25 |
| Goldman Sachs Group Inc. |
92.64 |
95.46 |
1.56 |
44081.94 |
| Morgan Stanley |
22.3495 |
22.26 |
-0.78 |
23918.32 |
| Citigroup Inc. |
2.58 |
2.49 |
0.16 |
13635.77 |
| Fannie Mae |
0.5799 |
0.57 |
0.03 |
622.00 |
| Freddie Mac |
0.57 |
0.57 |
0.06 |
369.00 |
| Bank of America Corp. |
6.07 |
5.99 |
-0.19 |
38344.31 |
| Wells Fargo & Co. |
13.57 |
13.57 |
-0.13 |
57506.64 |
| American International Group Inc. |
0.938 |
0.96 |
0.13 |
2590.65 |
| Fifth Third Bancorp |
1.76 |
1.84 |
0.01 |
1063.78 |
| Capital One Financial Corp. |
12.48 |
12.76 |
0.19 |
4999.71 |
| SunTrust Banks Inc. |
11.47 |
11.91 |
0.43 |
4263.35 |
| U.S. Bancorp |
13.76 |
14.13 |
0.35 |
24800.17 |
| Regions Financial Corp. |
3.85 |
4.07 |
0.22 |
2827.15 |
| KeyCorp |
7.94 |
8.02 |
0.13 |
3967.54 |
| PNC Financial Services |
27.25 |
26.66 |
-0.66 |
11845.37 |
| BB&T Corp. |
17 |
16.91 |
-0.07 |
9457.73 |
| Bank of New York Mellon Corp. |
22.68 |
23.49 |
0.83 |
26989.73 |
| State Street Corp. |
22.75 |
24.28 |
1.16 |
10488.13 |
Source: The Deal |
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