Sarkozy Threat to Shun Banks on Pay Draws U.S. Alarm (Update2)
By Daniel at 26 August, 2009, 8:51 am
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By Michael J. Moore and Mark Deen
Aug. 26 (Bloomberg) — French President Nicolas Sarkozy’s plan to shun bankers who don’t accept pay limits was met with alarm by analysts and investors in the U.S., where Citigroup Inc. and six other bailed-out companies are being grilled by the government on how they compensate top-paid executives.
“I find Sarkozy’s statements threatening,” said Bruce Foerster, president of South Beach Capital Markets in Miami and a former Lehman Brothers Holdings Inc. executive.
France won’t hire financial firms unless they apply rules agreed to by French bankers that include a three-year deferral on two-thirds of bonus payments, Sarkozy said yesterday. He aims to bring his proposals to the Group of 20 summit in Pittsburgh next month, which President Barack Obama is scheduled to attend.
http://www.bloomberg.com/apps/news?pid=20601103&sid=aUiWfT.2bIZY
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