Millions in AIG bonuses draw chorus of outrage

Millions in AIG bonuses draw chorus of outrage

3/16

Insurance Quotes

WASHINGTON (AP) — Leaders of the White House economic team and the Senate's top Republican bellowed about bonuses at a bailed-out insurance giant and pledged to prevent such payments in the future.

From one Sunday talk show to the next, they tore into the contracts that American International Group asserted had to be honored, to the tune of about $165 million and payable to executives by Sunday — part of a larger total payout reportedly valued at $450 million. The company has benefited from more than $170 billion in a federal rescue.

AIG has agreed to Obama administration requests to restrain future payments. Treasury Secretary Timothy Geithner pressed the president's case with AIG's chairman, Edward Liddy, last week.

"He stepped in and berated them, got them to reduce the bonuses following every legal means he has to do this," said Austan Goolsbee, staff director of President Barack Obama's Economic Recovery Advisory Board.

"I don't know why they would follow a policy that's really not sensible, is obviously going to ignite the ire of millions of people, and we've done exactly what we can do to prevent this kind of thing from happening again," Goolsbee said.

Added Lawrence Summers, Obama's top economic adviser: "The easy thing would be to just say ... off with their heads, violate the contracts. But you have to think about the consequences of breaking contracts for the overall system of law, for the overall financial system."

Summers said Geithner used all his power, "both legal and moral, to reduce the level of these bonus payments."

The Democratic administration's argument about the sanctity of contracts was more than Senate Republican leader Mitch McConnell of Kentucky could bear.

"For them to simply sit there and blame it on the previous administration or claim contract — we all know that contracts are valid in this country, but they need to be looked at," McConnell said. "Did they enter into these contracts knowing full well that, as a practical matter, the taxpayers of the United States were going to be reimbursing their employees? Particularly employees who got them into this mess in the first place? I think it's an outrage."

In an interview that aired Sunday on CBS' "60 Minutes," Federal Reserve Chairman Ben Bernanke did not address the bonuses but expressed his frustration with the AIG intervention.

"It makes me angry. I slammed the phone more than a few times on discussing AIG," Bernanke said. "It's — it's just absolutely — I understand why the American people are angry. It's absolutely unfair that taxpayer dollars are going to prop up a company that made these terrible bets — that was operating out of the sight of regulators, but which we have no choice but to stabilize, or else risk enormous impact, not just in the financial system, but on the whole U.S. economy."

AIG reported this month that it had lost $61.7 billion for the fourth quarter of last year, the largest corporate loss in history.

In a letter to Geithner dated Saturday, Liddy said outside lawyers had informed the company that AIG had contractual obligations to make the bonus payments and could face lawsuits if it did not do so.

Liddy said in his letter that "quite frankly, AIG's hands are tied," although he said that in light of the company's current situation he found it "distasteful and difficult" to recommend going forward with the payments.

Liddy said the company had entered into the bonus agreements in early 2008 before AIG got into severe financial straits and was forced to obtain a government bailout last fall.

The bulk of the payments at issue cover AIG Financial Products, the unit of the company that sold credit default swaps, the risky contracts that caused massive losses for the insurer.

Goolsbee acknowledged the AIG example could make it harder to sell the administration's financial plan to Congress.

"Yes, you worry about that backlash. But you're also angry that this would happen at an institution that has been so troubled and you're trying to save. So I think that's perfectly fair," he said.

Goolsbee appeared on "Fox News Sunday," and Summers was on CBS' "Face the Nation" and ABC's "This Week," where McConnell also was interviewed.

Copyright © 2009 The Associated Press. All rights reserved.

北京猿人再老20萬歲 最新測年法技術發現

北京猿人再老20萬歲 最新測年法技術發現
3月13日 星期五

Charles Darwin The Theory Of Evolution

【明報專訊】北京 猿人較之前所知「老」了20多萬歲！中國科學家採用最新測年法技術發現，周口店北京猿人生活在距今約77萬年前，這比之前認為的50萬年前說法，提早了20多萬年，顯示北京猿人可在冰河時期的寒冷環境下繁衍生息。

研究刊登在最新一期《自然》雜誌上。研究負責人、南京師範大學地理科學學院沈冠軍教授說，這次他採用了一種名為「鋁鈹埋藏測年法」的技術，對北京猿人發現地——周口店第1地點的石英砂和石英質石製品進行了測量，測定結果為距今77萬年，誤差8萬年。

小冰河時期 古猿人仍能生存

美國 學者評論說，最新測定成果，將北京猿人的生存時間推向了一個更寒冷的年代。與大約50萬年前相比，77萬年前地球要寒冷許多，那時正處於一個小冰河時期。新測定結果將使學術界對古猿人在寒冷氣候下的生存能力，有新的認識，還為研究北京猿人用火等問題提供了線索。

沈冠軍說，目前在人類起源問題上，「非洲 起源說」和「中國古人類自成體系說」也存在爭議，這次將北京猿人生存時間推前，總體有利於中國古人類自成體系的假說，有助在東亞建立一個更可信的人類進化年表。

世上不少考古遺址多用鉀氬法測定年代，但中國的考古遺址中缺少這一方法所需的火山灰。今次沈教授所採用的鋁鈹埋藏測年法，可填補中國考古研究的技術空白。沈冠軍說，將採用該測年法，研究重慶巫山龍骨坡、河北泥河灣等古人類遺址的年代。

新華社 /路透社

Man survives Niagara Falls plunge

Man survives Niagara Falls plunge
BBC NEWS
2009/03/12

Travel Agency

A man has survived despite plunging 180ft (55m) over Niagara Falls and spending 45 minutes in freezing waters resisting his rescuers.

The unnamed man was seen by tourists to scale a wall and leap into the rapids above the falls.

Shortly afterwards he was spotted in the water near the base of the falls clinging to a log.

The man was eventually pulled from the icy waters and taken to hospital with hypothermia and a head injury.

Canadian officials said he was in a critical condition.

Rescue team

A specially trained falls rescue team had rushed to the man's aid after receiving reports of him going over the Horseshoe Falls, one of Niagara's three waterfalls.

However, the man - who was naked - swam away from them toward the middle of the river, police said.

A private helicopter was called in and used the force of its rotor blades to blow him closer to shore.

Firefighter Todd Brunning and another rescue worker then swam about 60 yards, grabbed the man and pulled him to safety, officials said.

Mr Brunning said the man was conscious but unable to talk.

“ It appeared he didn't want to come into shore. I thought he was an idiot to be honest with you ”
Witness Phil Richmond
Local resident Phil Richmond, who witnessed the rescue, told The Toronto Star that the man clearly didn't want to be saved.

"It appeared he didn't want to come into shore. I thought he was an idiot to be honest with you," he said.

"It looked like he was swimming, like he was one of those polar bear nuts who swim naked. I didn't realise he had gone over the falls."

It is against Canadian law to go over Niagara Falls, but police would not say if the man would be charged.

Very few people who have been swept over the falls have survived.

In 2003, American tourist Kirk Jones plunged over the Horseshoe Falls in what he claimed was "a spur of the moment act", and lived.

In 1960 a seven-year-old boy also survived the fall after the boat he was in capsized upstream.