We all know CEO's make a ridiculous amount of money while they're working, but how about after they retire? (From Motley Fool):
Disgraced former WorldCom (Nasdaq: WCOM) CEO Bernard Ebbers will receive $1.5 million annually for the rest of his life... as long as he keeps making payments on his $400 million loan from the company. Now, that's a deal: preside over a company whose stock goes from $80 a share to less than $2 in two-and-a-half years and still get a huge, low-interest loan and a monstrous pension.
Dennis Kozlowski, who stepped down as chairman of Tyco International (NYSE: TYC) on Monday and was indicted on tax evasion yesterday, is due a severance package worth more than $100 million. Tyco stock is down more than 70% this year.
In 2000, George Shaheen became the head of Webvan, the online grocery delivery company. By July of 2001, the company was being interred in the dot-com cemetery. For his 18 months of service, Shaheen will receive $375,000 a year for the rest of his life. (We can't help but mention that Shaheen's previous employer was Andersen Consulting.)
Dynegy (NYSE: DYN) Chairman Charles Watson resigned last week and will earn more money than if he had remained on the job for the eight months left on his contract. His severance package: anywhere between $18 million and $33 million. Dynegy stock: $8.80 a share, the same amount it was in January 1996.
Jack Welch, former head honcho at General Electric (NYSE: GE), will receive $9 million a year for life. OK, if anyone deserves a sweet retirement deal, it might be Welch. But you still can't help but ask, "Didn't he make enough from his salary and options? At what point does such gross compensation become disgusting?"
I'm telling you it must be nice.