Ex-ceo's Take Costs Us Airways $6.3 Million

[700UW]

Ex-CEO's take costs US Airways $6.3 million
Wednesday, March 02, 2005

By Dan Fitzpatrick, Pittsburgh Post-Gazette

The 2004 departure of former US Airways chief executive officer David Siegel cost the twice-bankrupt airline a total of $6.3 million -- about a third more than was disclosed at the time, according to the airline's latest annual report filed with regulators yesterday.

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[jack mama]

are you as jealous as i am?

 

[speedbird86]

75K in vacation accural, 773K in defined contribution bennies. That's rubbing salt in a open wound. I personally would like to give him a good smack along with the 6.3 mil. :angry:

 

[marco90821]

are you as jealous as i am?

[post="252049"][/post]​

What problems do you have that create jealousy? If you wanted to make that magnitude of a salary you should have pursued that as your career. Nothing wrong with cleaning planes, but let's face it, not all jobs can pay seven figures. Get over it. If you want to make that amount do something about it. It is out there for those that pursue.

 

[700UW]

Bob,

In bankruptcy the company has the right to seek all that back from Siegel, as they had the same rights with Messrs, Wolf, Gangwal, and Nagin, which ofcourse they would never do.

But it is ok for them to go to court and cut the employees wages and break our contracts, but god forid they do that to one of their own.

 

[AP Tech]

Bottom line, did Siegel accomplish what he was given a contract to do? :down: Bob, you hire someone to paint your hours...they do a crummy job...what are you going to do? I agree with you on the fact that Siegel is no dummy and if someone is offering more for a position than its worth he surely will not argue. The blame falls on the persons who hire him in the first place.

What I find that its ammusing that at the time the company claimed they were paying him a certain $$$$ and now it seems to increased by 1/3? You hire a person to do a job you should know what you are paying them? Cost overruns maybe? Did they lie to the shareholders are are they just that stupid? In my opinion another reason why most do not trust this managment team.

 

[usairways_vote_NO]

Apparently he had a contract. We always hear on this board ad nausem how sacrosanct the "Contract" is. Well Siegel signed one and US Airways is honoring it. End of story.

Spare me the endless diatribe on how US "breaks our contracts everyday" speech. There is little proof that I have seen to support those arguments. Even the Airbus outsourcing issue went away despite an IAM court victory. The subsequent vote on a CBA, duly ratified that agreement so legally it's a "No harm, No Foul" situation.

You can't get angry really. Think about it, if you interview for a job and they offer you $8.00/hr MORE than you make now and you find out you would make more than anyone else in your position, reason being your vast experience with airline operations, would you give the money back? Telling your employer "That's to much money for my job" Of course you wouldn't. Siegel didn't either.

[post="252054"][/post]​

So did all the unions... whats your point? As you beat a dead horse. Since you mentioned it it isn't end of story is it?

Why not spare us you endless diatribe about it then? Oh because you can post whatever you want right? well the employees can too so why not just go with flow and stop trying to shut them up?

I think more are pissed for USAirways not taking it back from him for not doing his job per his contract not for him taking it. Obviously no one can blame him for that.

 

[AP Tech]

I stand corrected, "lie" was not the correct word to use, "misinformed" would be better one. Going over some of the info coming out of the WorldCom trial, Ebbers claimed he was misinformed, uninformed but never mentions out and out lied too

 

[USFlyer]

Bob,

In bankruptcy the company has the right to seek all that back from Siegel, as they had the same rights with Messrs, Wolf, Gangwal, and Nagin, which ofcourse they would never do.

But it is ok for them to go to court and cut the employees wages and break our contracts, but god forid they do that to one of their own.

[post="252061"][/post]​

Do you have any references to case law on this? ITRADE, is this correct? Isn't there a time limit (like 6 mos prior to Chapter 11 filing)? Doesn't this only apply to non-wage payments?

 

[usairways_vote_NO]

I don't have time right now to wade through the annual report. I am concerned about the headline 700UW posted and the question you raised.

In modern America and business today the word "lie" means different things to different people. In our world, people who get up every day and go to work "Lie" is a pretty black & White concept. In other circles the definition is less clear.

[post="252070"][/post]​

How about just using the word lie as it is defined and meant to be used?

 

[SKY HIGH]

speaking of income.............this was posted today

US Airways CEO gets $286K base salary
US Airways Group Inc. paid Chief Executive Bruce Lakefield $286,000 in salary for eight months' service last year.


Lakefield became CEO in late April, succeeding David Siegel.

According to a filing with the Securities and Exchange Commission, Lakefield also earned $128,000 in other compensation last year.

He also received stock options and stock awards, but their value has declined with the airline's stock price.

The filing also notes the base salaries of other top executives last year. Alan Crellin, executive vice president of operations, was paid $347,000. Elizabeth Lanier, executive vice president of corporate affairs and general counsel, received a base salary of $346,000.

 

[700UW]

According to the Bankruptcy lawyers including the company's during the last bankrutpcy informed people that this is available in the bankruptcy process, the unions during the 1st bankruptcy put pressure on the company to do this, but they refused.

A lawyer could better clarify this.

 

[javaboy]

sue to recover most of the money. it has been done as recently as last year i believe it was a company in indiana. as well as the CALPrs successfully have gotten back "excessive" pay packages in the face of "dismal" performance. and yes they collected it.

 

[WestCoastGuy]

Alan Crellin, executive vice president of operations, was paid $347,000.

[post="252099"][/post]​

This is absolute madness in the face of such dismal performance over the past year. How this man continues to receive such compensation for his lack of performance is a mystery. He should be called before the Board of Directors and fired on the spot!

 

[diogenes]

Obviously, transparency is sufficient in today's marketplace, and there is no need for further regulation.

Really, how the hell can you, in good faith, invest in ANY publically held company with no better info than what is legally required?

With regards to clawing back some of the ill-gotten gains, it happens.

Some months ago, BusinessWeek published an article that had America West's creditors going after monies paid by AW to vendors for services rendered PRIOR to AW's entry into BK. IIRC, the claw-back period extended backwards some months prior to BK entry. The rationale was to keep the creditors on an even footing before the court.

Didn't U go after some retired pilots who took a lump sum? How did that turn out?