Wednesday, October 14, 2009
Lloyd Blankfein, head of Goldman Sachs, said recently he understands why people get so upset over the amount of bonuses awarded to those on Wall Street. Time will tell if Blankfein is still as understanding after Thursday, when news of his firm’s swelling bonuses goes public and produces another round of scorn.
As of the end of the third quarter, Goldman Sachs’ bonus pool had enlarged to $23 billion—up from $11.4 billion for the first half of the year. The $23 billion is twice the amount that the firm paid out in 2008, and would be the largest ever in its history.
Goldman Sachs received $10 billion in federal bailout funds last year, all of which has been repaid to the U.S. treasury. Goldman is also expected to announce pre-tax profits of $3.5 billion.
-Noel Brinkerhoff
Don’t Fail, or Reward Success (by Andrew Ross Sorkin, New York Times)
Huge Profits Put Goldman on Track for Pay Bonanza (by Louise Armitstead and James Quinn, Telegraph)
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