WaMu's 3-week CEO Leaves with $19M
Thursday, October 02, 2008
While lawmakers on Capitol Hill are implementing stipulations to make sure bank executives don't get rich off of the government's bailout package, Washington Mutual, who went under less than one week ago, is signing a $19 million check to its CEO, who is required to stay on only until JPMorgan Chase completes its purchase.
Alan Fishman was named the bank's new chief two and a half weeks prior to its collapse, and now he's walking away with a $7.5 million hiring bonus and an $11.6 million cash severance.
Other bank executives are also cashing in. WaMu's president and COO, Stephen Rotella, is entitled to a cash severance of $12.7 million and CFO Thomas Casey would receive $6.3 million if they are terminated by JPMorgan Chase or quit with “good reason,” according to a report in the Portland Business Journal.
WaMu's shareholders, on the other hand, have been left holding the bag. The bank's stock is virtually worthless, now trading at less than 10 cents per share – far below even short-term and especially long-term investments.
Alan Fishman was named the bank's new chief two and a half weeks prior to its collapse, and now he's walking away with a $7.5 million hiring bonus and an $11.6 million cash severance.
Other bank executives are also cashing in. WaMu's president and COO, Stephen Rotella, is entitled to a cash severance of $12.7 million and CFO Thomas Casey would receive $6.3 million if they are terminated by JPMorgan Chase or quit with “good reason,” according to a report in the Portland Business Journal.
WaMu's shareholders, on the other hand, have been left holding the bag. The bank's stock is virtually worthless, now trading at less than 10 cents per share – far below even short-term and especially long-term investments.
