Thursday, July 16, 2009
Goldman Sachs Has Huge Earnings
Goldman Sachs was also a huge contributor to the campaign of The Kenyan, Barack Hussein Obama, Junior.
Goldman Sachs Group Inc said quarterly earnings surged 33 percent on blowout trading results, trouncing forecasts and putting the bank on pace for hefty bonuses that could draw unwanted scrutiny.
The results continued Goldman's extraordinary rebound from a near meltdown of the U.S. banking industry last fall that led to a $125 billion taxpayer bailout for its largest members.
Goldman set aside $6.65 billion for salary, bonuses and benefits in the quarter, up by nearly half from the quarter ended in May last year.
That puts the average Goldman employee on pace to earn more than $900,000 this year. Chief Executive Lloyd Blankfein, senior officers and star traders will likely receive tens of millions of dollars.
The U.S. government wanted "to make sure that the banks are making money, so they do make money," said Francis Campeau, a broker at MF Global Canada in Montreal. "The flip side is now one could argue they're making too much."
Reaction to Goldman's earnings was muted among U.S. lawmakers, some of whom have been harsh critics of Wall Street's excesses proceeding the credit crunch and bailout.
"I want all the people we gave money to make profits. Pay the money back with interest and have a net zero cost to our program," House Majority Leader Steny Hoyer told reporters.
Representative Paul Kanjorski, a senior Democrat on the U.S. House Financial Services Committee, said Goldman's soaring profits were a sign of economic recovery.
"Is there a law in the United States that you can't make profits?" Kanjorski asked reporters after a panel meeting.
"There should be at least some ethical obligation on the part of the Goldman Sachs because their bonus pool is backed by taxpayers who are suffering through the poorest economy that we've seen in 70 years," said Rich Ferlauto, director of corporate governance and pension investments for the American Federation of State, County and Municipal Employees.
I'm sure none of the Pbama Cultists mind Goldman Sachs paying out $900 Grand to the average employee and tens-of-millions in executive pay. Oh, The Cultists would be screaming if this occurred under W. Bush. But everything in the world is copacetic with The Cultists as long as their Dear Leader His Excellency is in charge.
Where is the outrage from The Liberals who, for eight years of the Bush Admin, ranted against profits and salaries in the financial sector? Why are they so dutifully silent now? You know the answer. He has big ears, has no willpower to quit smoking cigarettes and was born in Kenya.
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