Sunday, March 15, 2009


"How can I go forward when I don't know which way I am facing."

John Lennon

Meet Edward Liddy the CEO of AIG (American Liquidation Group). Mr Liddy was appointed CEO of AIG when Hank Paulsen and company initially bailed out Goldman Sachs, directly and indirectly, by injecting US taxpayer money into AIG. Mr Liddy's first assignment was to commence an AIG financial services garage sale, the proceeds to be used to pay back Uncle Sam. At the time this was characterized as a no brainer. Yes, apparently so, except...the CEO is missing the brains. Six months later the garage sale is in mothballs.

Mr Liddy is having a heck of a time seeing the forest from the trees. Probably because he is confused about who he works for. Is it AIG's shareholders, bondholders, counterparties, Goldman Sachs, AIG's employees? If he was a bankruptcy trustee for AIG there would be no confusion. But as we all know, AIG is not a Chapter 11 debtor in possession. It is a rudderless bailout zombie aircraft carrier loaded down with derivative sputniks and Mr Liddy is the drunken bailout swabby at the helm.

He has no idea where he is piloting his vessel. He is to busy putting out all the fires stoked by his predecessors Willumstead, Sullivan and Greenberg. He has been quoted as saying AIG is full of rocks. Turn one over and you either find a scorpion or another rock.

Meanwhile Mr Liddy continues to think all of AIG's "best and brightest" employees should remain perpetually employed with handsome bonus arrangements to which AIG says it is contractually bound. His ship is infested with Somali bailout pirates.

Yes Mr Liddy is confused alright. He has no idea who he really works for, certainly not the US Government. Why would anyone think that?

Time to show Mr Liddy to the bailout exit door. 1, 2.....

Remember---Shaolin castration techniques.

1 comment:

  1. This is sick. Why in the world are we helping these companies that keep sending millions to people who do not know how to run a company? They cry yet get paid millions on the "average joes" taxes. Furthermore, I fear this is just the tip of the iceberg. Look what Enterprise rent-a-car did to get bailout funds: