From Wikipedia, the free encyclopedia Edward M. Liddy
Edward M. Liddy
Edward M. Liddy Liddy was on the board of Goldman Sachs from 2003
to 2008, when he resigned to become CEO of AIG.[5] He
Born January 28, 1946 (1946-01-28) was selected by Henry Paulson for both roles.[6]
New Brunswick, NJ[1]
Nationality United States As CEO of AIG
Education B.A. 1968 Liddy became CEO of AIG in September 2008, succeeding
MBA 1972 Robert B. Willumstad.[7] As CEO of AIG, Liddy received a
salary of just $1,[8][9][10][11] but also received $460,000 to
Alma mater Catholic University of America
George Washington University cover "housing, travel, taxes and legal fees".[12]
Liddy garnered national headlines in October 2008 for
Occupation CEO defending a controversial $440,000 AIG retreat for top-
Employer AIG performing insurance salesmen at the luxury St. Regis
Resort in Monarch Beach, California. The retreat, which
Title CEO and Chairman of AIG
was held shortly after the U.S. government rescued AIG
Term September 2008–August 2009 from insolvency with $84 billion in loans, included
$200,000 for rooms, $150,000 for meals and $23,000 for
Predecessor Robert B. Willumstad
the spa. In testimony before the U.S. House Oversight
Successor Robert Benmosche Committee, Liddy stated that such retreats "are standard
Board member of 3M and The Kroger Company practice in our industry."[13] During the U.S. presidential
debate on October 7, 2008, Democratic presidential nom-
Spouse Marcia inee Sen. Barack Obama mentioned the retreat and said,
Children 3 "The Treasury should demand that money back and
those executives should be fired."[14]
Signature
In light of the AIG bonus payments controversy, Lid-
dy urged employees to return $165m issued in bonuses
to them,[15] suggesting doing the "right thing"[16] and re-
turning at least part of the bonus is preferable to legal
action, noting “honoring contractual commitments is at
Edward Michael Liddy (born January 28, 1946) was the the heart of what we do in the insurance business.”[17]
chairman and chief executive officer of American Inter- While Mr Liddy called the bonuses “distasteful” in an
national Group (AIG) from 2008 to 2009 during the appearance in the House of Representatives,[18] it later
late-2000s financial crisis. transpired that Liddy had accelerated more than a quar-
ter of AIG Financial Products bonuses by three months,
which Jake DeSantis described as “hardly something that
Early life one would do if he truly found the contracts ‘distaste-
Born in New Brunswick, New Jersey, Liddy prepped at ful’.”[19]
the Trinity-Pawling School for Boys (Founder’s League), Liddy owned 27,129 shares in Goldman Sachs, at the
located on the hills overlooking Pawling, New York. He time worth just over $3 million.[20] In April 2009 mem-
holds a B. A. degree from The Catholic University of bers of Congress called for Liddy to sell these shares, as
America (1968)[2] and holds an MBA from George Wash- they created a conflict of interest due to Goldman Sachs’
ington University (1972). receipt of bailout money.[21]
Liddy announced on May 21, 2009 that he would re-
Career sign as AIG Chairman and CEO when replacements were
found, suggesting that the two roles be split.[22] In August
Liddy worked for Ford Motor Company until 1981 when 2009, Robert Benmosche took over as CEO and Harvey
he joined Searle. From 1986 to 1988. Liddy was executive Golub as chairman.[23]
vice president of ADT, Inc.[3] In 1988 he moved to Sears[4]
and then in 1994 to Allstate where chief operating officer
until 1999 and president until 2005.[3]
1
From Wikipedia, the free encyclopedia Edward M. Liddy
Career after AIG York: The Independent.
http://www.independent.co.uk/news/business/
As of September 2011, Liddy is on the board of directors
news/aig-chief-edward-liddy-to-step-down-ndash-
for 3M[24] and Boeing.[25] He is chairman of Ser-
without-being-paid-1689340.html. Retrieved
viceMaster[26] and a partner of private equity firm Clay-
2009-05-22.
ton, Dubilier & Rice.[27][28]
[12] "AIG Gave Liddy $460,000 to Cover Legal, Housing
Costs". Bloomberg.com. 2009-04-30.
References http://www.bloomberg.com/apps/
news?pid=20601087&sid=aCBrsDmjpKes. Retrieved
[1] "Edward M. Liddy". NNDB.com.
2009-09-22.
http://www.nndb.com/people/024/000125646/.
[13] "AIG Gets More Government Bailout Money".
Retrieved 2008-09-17.
Washington Post. 2008-10-08.
[2] "Admissions at The Catholic University of America:
http://voices.washingtonpost.com/livecoverage/
Our Alumni". The Catholic University of America.
2008/10/government_to_give_aig_more.html.
http://admissions.cua.edu/undergrad/identity/
Retrieved 2008-10-09.
alumni.html. Retrieved 2011-09-20.
[14] Davis, Susan (2008-10-07). "Obama Says AIG Execs
[3] ^ "Printable Biography of Edward M. Liddy". All
Should Be Punished for Spa Trip". Wall Street
American Speakers.
Journal. http://blogs.wsj.com/washwire/2008/10/
http://www.allamericanspeakers.com/
07/obama-says-aig-execs-should-be-punished-for-
celebritytalentbios/Edward-M.-Liddy. Retrieved
spa-trip/?mod=googlenews_wsj. Retrieved
2010-09-20.
2008-10-09.
[4] Bell, Debra (March 18, 2009). "10 Things You Didn’t
[15] Braithwaite, Tom; Ward, Andrew; Scholtes, Sasika
Know About AIG CEO Edward Liddy". US News.
(2009-03-19), "AIG chief urges staff to return
http://www.usnews.com/news/national/articles/
bonuses", Financial Times (New York),
2009/03/18/10-things-you-didnt-know-about-aig-
http://www.ft.com/cms/s/0/
ceo-edward-liddy. Retrieved 2011-09-20.
ca794ce4-13ce-11de-9e32-0000779fd2ac.html,
[5] Edward Liddy Resigns from Goldman Sachs Board of
retrieved 2009-03-19
Directors, Goldman Sachs, 2008-09-26,
[16] Gomstyn, Alice; Herman, Charles (2009-03-19), AIG
http://www2.goldmansachs.com/our-firm/press/
CEO Liddy Calls Bonuses ’Distasteful’; Asks Execs to
press-releases/archived/2008/edward-liddy-
Return Money, ABC News, http://abcnews.go.com/
resignation.html, retrieved 2009-03-23
Business/Economy/story?id=7102844&page=1,
[6] Eisenberg, Carol (2008-09-18), Former Allstate
retrieved 2009-03-19
Chairman Edward Liddy tapped (again) by Paulson,
[17] Gapper, John (2009-03-19), "AIG reinvents the
Muckety, http://news.muckety.com/2008/09/18/
trader’s option", Financial Times,
former-allstate-chairman-edward-liddy-tapped-
http://www.ft.com/cms/s/0/
again-by-treasury-secretary/5092, retrieved
2ff0c70c-13fa-11de-9e32-0000779fd2ac,dwp_uuid=aa814f68-146e-1
2009-03-27
retrieved 2009-03-19
[7] "AIG Gets $85 Billion Fed Loan, Cedes Control to
[18] Guerrera, Francesco; Braithwaite, Tom
Avert Collapse". Bloomberg.com. 2008-09-16.
(2009-03-25), "Letter reveals AIG paid bonuses
http://www.bloomberg.com/apps/
early", Financial Times (New York),
news?pid=20601082&sid=al1yqdbt6HGY. Retrieved
http://www.ft.com/cms/s/0/
2008-09-16.
72999274-196c-11de-9d34-0000779fd2ac.html,
[8] Grace, Kerry E. (November 26, 2008). "AIG Says CEO
retrieved 2009-03-25
Pay Will Be $1". The Wall Street Journal: p. C2.
[19] DeSantis, Jake (2009-03-25), "Dear A.I.G., I Quit!",
http://online.wsj.com/article/
The New York Times, http://www.nytimes.com/
SB122762976460756705.html?mod=todays_us_money_and_investing.
2009/03/25/opinion/
[9] AIG praised for freezing executives’ salaries By
25desantis.html?_r=1&pagewanted=2, retrieved
Greg Farrell in New York, Tuesday Nov 25 2008
2009-03-25
18:30 from the Financial Times
[20] Pittman, Mark; Son, Hugh (2009-01-17), Liddy
[10] AIG ADOPTS VOLUNTARY EXECUTIVE COMPENSATION
Should Sell Goldman Sachs Stake, Lawmakers Say
RESTRICTIONS, AIG, 2009-11-25,
(Update3), gBloomberg.com,
http://www.aig.com/aigweb/internet/en/files/
http://www.bloomberg.com/apps/
Compensation%20(November%2025%202008%20FINAL)_tcm385-135191.pdf,
news?pid=20601087&sid=aPgsLnrwTaL0&refer=home,
retrieved 2009-03-21
retrieved 2009-04-20
[11] Foley, Stephen (2009-05-22). "AIG chief Edward
[21] Thompson, Susan (2009-04-07), "AIG payments to
Liddy to step down – without being paid". New
banks to be probed", The Times (London),
2
From Wikipedia, the free encyclopedia Edward M. Liddy
Business positions
Preceded by Chairman of AIG Succeeded by
Robert B. Willumstad 2008-09 Harvey Golub
Preceded by CEO of AIG Succeeded by
Robert B. Willumstad 2008-09 Robert Benmosche
http://business.timesonline.co.uk/tol/business/ 2008-05-27. http://web.archive.org/web/
industry_sectors/banking_and_finance/ 20080527093718/http://www.cdr-inc.com/
article6054479.ece, retrieved 2009-04-20 index_bio.html. Retrieved 2008-09-16.
[22] "AIG’s Liddy Stepping Down As CEO, Chairman Of [28] "Partners". Clayton, Dubilier & Rice.
Big Insurer". www.cnbc.com. CNBC. 2009-05-21. http://www.cdr-inc.com/professionals/
http://www.cnbc.com/id/30872807. Retrieved partners.php. Retrieved 2009-09-19.
2009-05-21.
[23] Son, Hugh (August 14, 2009). "AIG Changes Bylaw
to Ensure Chairman’s Independence". Bloomberg LP.
External links
http://www.bloomberg.com/apps/ • 10 Things You Didn’t Know About Edward Liddy
news?pid=newsarchive&sid=auJHnHlghCD0. from U.S. News and World Report.
[24] "Board of Directors: Edward M. Liddy". 3M. Persondata
http://phx.corporate-ir.net/ Name Liddy, Edward M.
phoenix.zhtml?c=80574&p=irol-
govBioCorpGov&ID=49860. Retrieved 2011-09-19. Alternative names
[25] "Corporate Governance: Board of Directors". Short description
Boeing. http://www.boeing.com/corp_gov/ Date of birth 1946-01-28
board_directors.html. Retrieved 2011-09-19.
Place of birth New Brunswick, NJ
[26] "ServiceMaster history". ServiceMaster.
http://servicemaster.com/about-us/history. Date of death
Retrieved 2011-09-19. Place of death
[27] "Clayton, Dubilier & Rice: Biography". Clayton,
Dubilier & Rice. Archived from the original on
Retrieved from "http://en.wikipedia.org/w/index.php?title=Edward_M._Liddy&oldid=451482401"
Categories:
• American International Group
• 1946 births
• American businesspeople
• Boeing people
• Directors of 3M
• Goldman Sachs people
• Living people
• The Catholic University of America alumni
• George Washington University alumni
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