Wamulicious, you said the following that I concur with in total. A very factual post and thank you.
Gallagher's pay mix is 11.1% cash and 88.9% equity. A significant anomaly in an otherwise straightforward compensation package.
Given Gallagher and Fairfield's level of experience (these are both individuals who looked to be in their 50s-60s and both have esteemed careers in corporate finance), I don't think they
accidentally came up with a compensation package so heavily slanted towards equity.
They understand what they have here. They understand the environment is right. They understand the capitalization is at their fingertips. They understand that their chance for significant success is great.
There is a stark commonality among all participants of the reorganized WMIH, with Gallagher & Fairfield being the latest participants. That commonality is the desire for equity in the venture.
It spans from the board of directors who have chosen to receive nearly their entire compensation in equity; to Appaloosa who has recently participated substantially in the convertible preferred offering in order to receive equity; to KKR who specifically demanded participation in up to 50% of future equity offerings up to an aggregate $1 billion; to now the new CEO & CFO who have decided to take an anomalous portion of their compensation in equity.
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***This is just too simple***
***EQUITY over CASH***EQUITY over CASH***EQUITY over CASH***
******How VERY unusual unless TOTALLY NAIVE - Not a Chance******
***As I have said for years***FOLLOW the BIG MONEY PLAYERS***
***ACTIONS***ACTIONS***ACTIONS***Speak the TRUTH & Direction***
CAN YOU ACTUALLY IMAGINE HAVING FEW/ZERO ESCROW SHARES at this point in time?
WOW, I AM HUGELY & LARGELY HAPPY I LISTENED to MIKE & ED. Remember, they were the only two people in the Mediation room for Equity during the two month intense mediation span. What were some of the responses I received over the last two years concerning this? Follow BIG MONEY ALWAYS!
HAVE I told you lately how much MORE, MORE, MORE and MORE I REALLY do love my Escrow Shares?
