Sprint Nextel Corp. (NYSE: S), even as it loses hundreds of thousands of customers, continues to pay its executives astonishingly high salaries and overall pay packages. This according to analyst group Glass Lewis & Company.Top managers at the telecom company were awarded pay valued at $74 million in 2007, even as the company saw massive customer defections to the competition and was preparing to toss out former CEO Gary Forsee in the process. Sounds like some recent AIG shenanigans, doesn't it? No wonder Main Street no longer trusts Wall Street. Although corporate compensation abuses are almost the norm recently, it's amazing shareholders don't stand up and scream when companies not doing well are lavishly rewarding management.
Of course, Sprint spokesperson James Fisher defended his employer by stating "It's very important to consider that 2007 was a highly unusual year because of compensation that was paid to an exiting CEO, as well as sign-on compensation paid to a new CEO ... we had significant other severance charges for executive changes during the year." Severance charges -- for a management team that ran the company into the ground. I guess all those contracts signed by incompetent management were too hard to bypass since shareholders can't blow holes in those golden parachutes.











Reader Comments (Page 1 of 4)
10-11-2008 @ 2:15PM
debra said...
Instead of the goverment bailing out all these coroporations wit hour tax dollars. We should ask the CEO to contribute their
bonus this year; that alone would save the government and the tax payer's at least 500 billinos dollars. I feel that they
created this mess, andthey should clean it up using their own money. This way they would think twice before letting this happen again.
10-11-2008 @ 2:18PM
pickledick said...
cut their nuts off
10-11-2008 @ 2:22PM
Jerome Crosson said...
"Those who forget the past are condemned to repeat it". All this crxx about executive compensation and golden parachutes started years ago with William Agee, who destroyed Bendix Corp. and was given a $ 6 million 'goodbye'. Doing nothing about him led to Enron, etc; and now to the brink of another depression. Off with their heads.
10-11-2008 @ 2:36PM
George said...
One only has to look in Yahoo and see "insider transactions" to see the huge stock options sold by execs when the working force hardly gets cost of living raises. The CEOs of this country are socking away millions of dollars a year, even though some companies are not doing well. But that is the name of the came and this is exactly why the head of the SEC needs to be fired.
10-11-2008 @ 2:27PM
Lissa said...
Gee, that's not surprising, seeing how my sprint bill was never right, & they expected me to overpay my bill all the time. I do have to say that the billing has become better in 2008, but 2005-07 was ridiculous. They should have made a fortune.
10-11-2008 @ 2:26PM
Owen said...
Take away their big bucks then send 'em to the grocery store with a $20 bill and see how they make out. Bastards!
10-11-2008 @ 2:40PM
solange thompson said...
we can vote for our president every four years, why can't stock holders vote to fire a ceo that lose money. these people think they are gods and they don't have no accountability to anyone. this is INSANE!!!!a country as smart as the USA and we can't control our own business!!!!
whether you pay them one million or 300 millions, it is has become companies that are run by men that have ego the size of the earth and penis and brains the size of peas.
10-11-2008 @ 2:49PM
Nancy said...
Seize the bank accounts of those responsible for this financial crisis....This would pay for 3/4 of the debt, and these guys can eat "humble pie" by flipping burgers at MacDonalds or Burger King!!!!
10-11-2008 @ 2:57PM
virginia said...
I think all the ceo's of all of these companies should be let go with no golden parachutes, just two weeks pay like everyone else on main street and bring in new faces with none of these outragous contracts that give them millions of dollars at the expense of the stock holders and the people on main street who pay higher prices to pay for them. They need regulating just like wall street.
10-11-2008 @ 3:00PM
T. Rogers said...
When George Bush said he'd be the CEO president, it seems he didn't mean he would rule like a CEO, but that CEO's were the only constituents he cares about! And CEO's are about the only voters who have done well under W!
10-11-2008 @ 3:00PM
Vidal Demonti said...
Shame on them! Seize their bank accounts and distribute for the bailout!
10-11-2008 @ 3:05PM
SIDNEY KLEIN said...
WHAT HAS HAPPENED TO RESPONSIBILITY AND HONESTY
HAS IT BEEN REPLACED WITH GREED?
10-11-2008 @ 3:07PM
lisa said...
I once worked for a pharma company whose ceo ranks as among the fortune 500 top paid year after year, yet every year they would come up with some reason not to pay cost of living increases in salary even if it was your best performing year in sales (merit increases); ie. th economy was bad, or was predicted to be bad the next year, etc. If they couldn't use that excuse, tehy would change the bonus and commission structure. This year (I'm told-no longer with the company because of their practices), I'm told that they are laying off before the end of the calendar year, even though their "sales pitch" to their employees has always been that they're the only pharma org. that will never lay of because they are so successful My point is, every single national meeting, the top executives fly into the meetings on personal jets an hour before the meetings start, and roll up to the hotels in limosines. They do not share limosines. Each exec has their own, expensed to the company. The sales reps are carted out on red-eye flights over holiday weekends, without a complaint, each and every year.
10-11-2008 @ 3:16PM
arvedelle said...
Sprint to use their big bucks for better customer service and a new billing system. They are the WORST!
10-11-2008 @ 3:18PM
GladeyeLeftya said...
After having put up with almost two years of dropped calls, screwed up monthly bills and pathetic customer service I finally paid the $200 larceny charge (called an "early termination fee") and divorced NexHell. I went back to my "ex" (AT&T) and man has she changed for the better. Best $200 divorce I ever had. The devil will be serving margaritas in hell before I would ever consider Spit-Nexhell for a wireless provider. They can buy a billion dollar NASCAR sponsorship but nothing they will ever do will ever get another dollar of mine. I hope the seams of the exec's golden parachutes spilt and that nake a hard "splat" on their way. My dad said many years ago "Everything you do is gonna come back to you." Aint life great? ;-)
10-11-2008 @ 3:20PM
eml said...
Shareholders must vote against all incumbent directors.
10-11-2008 @ 3:25PM
Jo-Ann said...
Overpaid executives and no one mentioned Wal-Mart? Not only are the rulers of that company overpaid, but their greed is destroying the environment, adding to the problems of the economy, and punching big holes in our national security. For details on these subjects go to wakeupwalmart.com.
10-11-2008 @ 3:25PM
werts said...
ALL of you knew this for many years what did any of you do? NOTHING.'what did your Goverment do? admire it, encourige it
participated in it. What do you expect by now? you created this mess by not speaking up. OH I forgot when you do you get called LIBERAL's from the mouse
attitude of America
10-11-2008 @ 3:30PM
parse said...
it is hard to digg up sympthay for your country at this time, you all let it happend
big shots and small people, fingerpointing will not do a damm thing
they will get off and be fine, while you are sinking in the quicksand
10-11-2008 @ 3:34PM
J. Lundin said...
Oh boo-hoo!
You're just a bunch of cry babies because you didn't get off of your duff and make it for yourselves in life so you blame all of your woes on people who used their heads and set themselves some goals to achieve.
Gotta love these posts though, (It's not fair, it's not fair!) purly intertaining. Kinda of like watching all of the welfare bums that make their break by getting a role on Jerry Springer. Too bad they never use their energy to get out of the hillbilly trailer park.
Do yourselves a favor-set yourselves a goal and get in the game or you can spend the rest of your measley little lives complaining to yourselves because nobody is really listening.