I don't see any winners coming out of this "sweetheart deal". . .

http://www.washingtonpost.com/wp-dyn/articles/A30382-2002May16.html

. . . or am I missing something?

Sad isen't it.

Something on a smaller scale.

The VP of our company(this is a billion dollar corp) was fired last week. Ok now don't be to sad. He was making 400,000 a year so the golden hand shake he got was just under 750,000 dollars.

I can't imagen that kind of coin. And he was just the VP of our Canadian division.

:confused: :confused: :confused: :confused:

The "pension" doesn't bother me as much as this unpaid loan. I can almost guarantee this thing won't be repaid. Worldcom will have to charge it off, then let go of a couple thousand employees to lessen the sting of it.

Even if he does make the first payment next year, it will be with essentially Worldcom's own money. This just boggles the mind.

i'm sure there are huge deals such as this going down everyday.

how the hell do you get 400 million in debt anyways. my god that is pathetic.

how the hell do you get 400 million in debt anyways. my god that is pathetic.

That's what I'm screamin'! What in the world did he spend all of that money on? And why in the world should he get severance? He appears to be the person bringing down the company.....Man, the life of an executive...:eek3:

well, you know, those 4 or 5 houses for him an his wife, not to mention all the houses for his kids, plus cars and planes and investments he made.

he NEEDS that money to survive!!!

$400 Million is nothing:

http://money.cnn.com/2002/05/21/technology/adelphia/index.htm
The CEO of Adelphia borrowed $2.3 Billion and Adelphia wants it back NOW!

As far as getting $400 Million in debt...margin calls will do that to you :D. Never buy stock on margin.

Wow!! It's not suprising all these companies are going bust when people are "borrowing" that kind of money.

Originally posted by 9onlinehost
how the hell do you get 400 million in debt anyways. my god that is pathetic.

Well, from what I gather, Ebbers was buying huge blocks WorldCom stock even as it was tumbling in price. When the margin calls came in he did not have the cash to cover the loss. WorldCom lent him the money to cover these calls as they felt it would be better than letting their CEO default.

Just my personal opinion, of course. I am not privy to the facts. ;)

400 million holy cow lol. thats some note to put in the petty cash. altho if he used it to buy stocks in the company cos to try and keep the stock from bottomin out then thats half a reason. but how do you sleep oweing 400 million when you dont earn anywhere near enough to cover it.