AIG chief rejects payoff

Sep 23 2008 by Brian Amble Print This Article

Amid the chaos and turmoil on the financial markets, here's a real surprise. AIG's just-departed Chief Executive Robert Willumstad, who was replaced as part of the US Treasury's rescue of the insurance giant, has rejected the $22 million severance payment he is entitled to.

According to Reuters, "Willumstad e-mailed his successor, Edward Liddy, of his decision to forego the severance since he was not able to execute the restructuring plan he had developed".

"I prefer not to receive severance while shareholders and employees have lost considerable value in their AIG shares," Willumstad wrote in the email.