U.S. Sen. Kay Hagan is blasting bonuses at AIG.
The Greensboro Democrat said today in a statement that she shares "the public's outrage" over reports that the ailing financial insurer is paying employees $165 million in performance bonuses while receiving a federal bailout.
The company has defended itself by saying that they are contractually obligated to make the payments, a position the U.S. Treasury Department agreed with.
"I suppose it is no surprise that a company which engaged in such grossly reckless behavior that it required a $170 billion bailout would also willingly enter into a contract that requires it pay out 'performance bonuses' to its employees even when it is on the verge of bankruptcy," she said. "That is not good business sense."
Hagan cosponsored an amendment in February to limit the pay of CEOs of companies receiving federal bailout money.
Her statement followed similar remarks by President Obama Monday.
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Re: Hagan 'outraged' over AIG bonuses
kay "obamabot" hagen. Outraged over 165mil bonus for aig. That is chicken feed money compared to the bailout, and the budget spending bill,and don't forget the 8000 earmarks. If she wants to here OUTRAGE she should talk to the people in her state. This senate, including hagen will spend this country into the dark ages without remorse. If obama wants it passed, hagen is sure to do her part. Wake-up North Carolina.