Five AIG execs say may quit over pay

Wall Street Journal says they're upset that pay czar cut their
compensation

Five senior executives at American International Group told the bailed-
out insurer last week they may quit if their compensation was cut
significantly by the U.S. pay czar, the Wall Street Journal reported.

The five senior AIG executives indicated on December 1, in written
notices, that they were prepared to leave by year-end, the paper
reported, citing unnamed sources. Two of them changed their minds over
the weekend, the paper added.
AIG, which was propped up by the government with some $180 billion in
taxpayer funds, has been sparring with the Obama administration's pay
czar, Kenneth Feinberg, over executive compensation.

Even Chief Executive Robert Benmosche reportedly threatened to quit
last month, in part because he did not have discretion over pay
packages for top executives.
Feinberg has cut average compensation for the 25 best-paid employees
at companies that received multiple bailouts and is setting guidelines
for pay for the next 75.

For AIG in particular, Feinberg has vowed to limit bonuses at the
company's financial products unit, whose massive payouts earlier this
year sparked huge outrage.

AIG could not be reached immediately late on Sunday.

Copyright 2009 Reuters.
http://www.msnbc.msn.com/id/34309703/

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