Back in October the press was all agog at $20,000 worth of spa treatments at an AIG sales retreat. A October 7th hearing before the congressional House Oversight Committee brought attention to a conference which took place at the St. Regis Hotel from September 24-28 2008. Here's how CNN reported it "Crippled Insurance Giant spent $440,000 on posh retreat for executives". Barack Obama stated in one of the debates " Those executives should be fired". Who could forget the indelible image of "smoke blowing through the ears and nose" of Henry Waxman as he lambasted AIG?
How Structured Settlements 4 Real covered the story on October 8, 2008 click here and Hemmer-ing and Hawing October 9, 2008
ABC News now reports "Despite a near collapse that required $45 billion in federal taxpayer bailout funds, Bank of America sponsored a five day carnival-like affair just outside the Super Bowl stadium this past week". According to ABC, "insiders put the spending at close to $10 million". The report also states that much of the Bank of America sponsorship was part of legal requirement to fulfil a contract (just like much of the AIG St. Regis) and that its sales "had already increased" in the week preceding the event.
ABC also limply highlighted a lavish Morgan Stanley sales retreat at The Breakers in Palm Beach.
My how times have changed. From publicly bemoaning $20,000 hot stone treatments at a Congressional Oversight Commitee to what appears to be simple groan about $10MM.
October 2008
Then Presidential candidate Obama "Those executives should be fired" and Elijah Cummings D-MD "They were getting their manicures, their pedicures, massages, their facials while the American people were paying their bills."
February 2009
Elijah Cummings D-MD "They should know better, but obviously they don't."
It will certainly be interesting to see the extent to which the government takes in "running the businesses" it has invested in.
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