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Realistbear

Northern Rock Top Pay Out £13M In Bonuses After £232M L O S S

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http://www.telegraph.co.uk/finance/newsbysector/banksandfinance/8370560/Northern-Rock-pays-13m-bonuses-despite-232m-loss.html

Northern Rock pays £13m bonuses despite £232m loss
Nationalised lender Northern Rock said it was paying staff around 10pc of their salary as a bonus for 2010 despite posting a multi-million pound loss for the year.

AS there is no regulation the banksters run wild. We are witnessing a complete break down in ethics, morals and plain good business. It must all soon come to grief again soon. All we can do is move our accounts away from banks and into mutual societies or credit unions.

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http://www.telegraph.co.uk/finance/newsbysector/banksandfinance/8370560/Northern-Rock-pays-13m-bonuses-despite-232m-loss.html

Northern Rock pays £13m bonuses despite £232m loss
Nationalised lender Northern Rock said it was paying staff around 10pc of their salary as a bonus for 2010 despite posting a multi-million pound loss for the year.

AS there is no regulation the banksters run wild. We are witnessing a complete break down in ethics, morals and plain good business. It must all soon come to grief again soon. All we can do is move our accounts away from banks and into mutual societies or credit unions.

Strewth,

and according to Peston the reason that they lost so much money was that the admin cost was way greater than the net difference in interest on lending and borrowing. Surely bonuses should be paid on actions made to make the company more profitable, something that clearly hasnt happened at Northern Rock.

This sort of theft would never happen if the owner was a private individual. Job losses and wage freezes would be the order of the day in an institution that is too big for its income stream to support.

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Crikey, the only time I ever had a "bonus", was when we had made money!

Other years we didn't! :huh:

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Doesn't surprise me in the least. I look forward to the day when this shower of shit comes crashing down and Cameron and his cronies start seeing house bricks thrown at their heads, forget eggs, think bigger :P

Edited by MrFlibble

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Strewth,

and according to Peston the reason that they lost so much money was that the admin cost was way greater than the net difference in interest on lending and borrowing. Surely bonuses should be paid on actions made to make the company more profitable, something that clearly hasnt happened at Northern Rock.

This sort of theft would never happen if the owner was a private individual. Job losses and wage freezes would be the order of the day in an institution that is too big for its income stream to support.

Strange how they don't just lend out 20 times their deposits and make zillions in profits isn't it? After all that's what banks do right? :D

Seems they've got too much in deposits and too little demand which is probably one reason why they're relaxing mortgage criteria.

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Strange how they don't just lend out 20 times their deposits and make zillions in profits isn't it? After all that's what banks do right? :D

Seems they've got too much in deposits and too little demand which is probably one reason why they're relaxing mortgage criteria.

Only works when they get repaid. :)

Peak debt means no way, Jose. All they would do by creating more credit 9and therefore deposits) is make themselves more liabilities that someone else would default on, leaving them* with the tab.

*Well, the taxpayer.

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http://www.telegraph.co.uk/finance/newsbysector/banksandfinance/8370560/Northern-Rock-pays-13m-bonuses-despite-232m-loss.html

Northern Rock pays £13m bonuses despite £232m loss
Nationalised lender Northern Rock said it was paying staff around 10pc of their salary as a bonus for 2010 despite posting a multi-million pound loss for the year.

AS there is no regulation the banksters run wild. We are witnessing a complete break down in ethics, morals and plain good business. It must all soon come to grief again soon. All we can do is move our accounts away from banks and into mutual societies or credit unions.

At least it made the news, eventually the populance of this sad little island will wake up............maybe not :(

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I wonder what they would have paid them if they had made a profit.

IIRC Banksters are paid on the amount of paper that circulated between banks. Profit and even loss does not come into it. Their sole reason for existence is shuffling paper from one bankster to another. Untraceable, unaccountable and unfathomable--the perfect crime. Exchnage paper transactions for real cash in the form of a "bonus" or, as the Cosa Nostra would put it: a skim.

Edited by Realistbear

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At least it made the news, eventually the populance of this sad little island will wake up............maybe not :(

I don't believe that will ever happen.

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Some guy was on BBC Breakfast this morning arguing that less bank regulation is needed, and that it appears the FSA agrees.

Another point - I think a lot of these bonuses are paid as deferred shares - and with the banks recovering (at our expense) I suspect those shares could be worth a lot more when the bankers are actually able to cash them.

It stinks.

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Some guy was on BBC Breakfast this morning arguing that less bank regulation is needed, and that it appears the FSA agrees.

Another point - I think a lot of these bonuses are paid as deferred shares - and with the banks recovering (at our expense) I suspect those shares could be worth a lot more when the bankers are actually able to cash them.

It stinks.

Dick Fuld sold $490m of Lehman shares he'd received as compensation, in the year before Lehman's bankruptcy. Those very discrete share and option bonuses are adding up to astronomical amounts. You just have to look at the insider buy/sell ratios to see that. Shareholders are being ripped off left, right and center.

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Last minute looting.

Indeed. They know that the system is broken beyond all repair. Time is almost up. Doubtless they will be converting their cash into hard assets asap.

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  • 312 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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