Tuesday, June 9, 2009

Stan O'Neal

- Former CEO of Merrill Lynch!

- Graduate of (wait for it...) Harvard Business School!

- Known for firing people who disagreed with him!

- Despised by Merrill's rank and file!

- Called "a mean person, a disrespectful person" who "drove out thousands of years of experience" by a former Merrill EVP!

- Bet the farm on subprime mortgage market growth!

- Acquired subprime lending junkie First Financial in 2006 -- the peak of the housing bubble!

- 2006 compensation: $48 million!

- Forecast a subprime-related loss of $3 billion for Q3 2007!

- Two weeks later, Merrill announced an actual writedown of $8 billion!

- While his bank's balance sheet was crumbling, somehow managed to squeeze in more than a few rounds of golf!

- 2007 compensation: $46 million!

- Relieved of his position after trying to sell Merrill to Wachovia -- without the approval of the Merrill board!

- Left with a $160 million golden parachute -- the biggest ever!

- In late 2008, a deeply distressed Merrill was acquired by Bank of America!

- Idiot!

1 comment:

  1. In early 2008 he joined the board at Alcoa. I suppose he will provide invaluable insight for the compensation committee.

    Don't be surprised if characters like O'Neal, Prince and Fuld are successful in efforts to rehabilitate their images. I understood that they are engaging some prominent PR firms for that purpose. America is after all a plutocracy.