Question: Do executives of large American companies spend more time:
A) Running their companies, or
B) Figuring out how to steal from the shareholders for whom they work?
Clearly, the answer is B. Today's case in point, bankrupt Kmart. You
might ask what fate met the executives who ran the company into the
ground? Did they commit seppuku, to demonstrate their shame? Did they
apologize to the stockholders? Hell No! Unbelievably enough, they
profited from their own incompetence. As the company slid into
bankruptcy, they were given millions of dollars in extra compensation.
If you owned stock in Kmart you may end up empty handed, but that's
certainly not true of the people that ran the company. Just months
before the chapter 11 bankruptcy filing, top Kmart executives were given
$30 million in "loans", most of which were then "forgiven". In other
words, they were given multimillion dollar gifts. The executives then
decided it was time to move on; destroy another company, make some more
money.
Former CEO Chuck Conaway was given, then forgiven, a $5 million loan.
Mark Schwartz, the former president, was given, then forgiven, $3
million. Millions more went to other executives who have since left the
sinking ship. Meanwhile, as a result of their mismanagement, 22,000
Kmart employees lost their jobs. You can bet they weren't given million
dollar parting gifts, but stealing is best done from the top of the
mountain.
READ ALL ABOUT IT!
More on the story, read the.street.com's article at:
http://www.thestreet.com/stocks/timarango/10017880.html
More about profiting at the expense of shareholders see:
http://www.thestreet.com/funds/jubak/10017595.html
Have you bought the book yet?
Get one for yourself, the second one, at only $9.95, for someone else who is going insane:
http://www.livingsanely.com
Learn how Attitude Media, the producers of The Outrage, can help your
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