Gerry Pasciucco was named to direct American International Group's Financial Products (AIGFP) group after the government bailout of AIG in 2008 and charged with the job of shutting down the division while minimizing the government's losses. AIGFP's unsuccessful trades had threatened to bring down the whole firm, and the government had responded by loaning AIG $182 billion in exchange for 79.9% of the business, because it worried that AIG's failure could trigger the fall of the entire global financial system.
Several months into his tenure, the division paid large retention bonuses to all of its professionals according to a contract before he joined AIGFP negotiation. Liddy reacted by requesting people who had received the biggest payments to return the cash to the business. Now Pasciucco has to determine just how to direct his team through this catastrophe while grappling with the larger issues of the justice of the retention payments.
PUBLICATION DATE: November 14, 2012 PRODUCT #: 413059-HCB-ENG
This is just an excerpt. This case is about LEADERSHIP & MANAGING PEOPLE
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