Hank Greenberg sounds of in this interview about the management of the company he is still a major shareholder of.
Part 1
Part 2
It is hard to argue with the buy who created the company even if many of the transactions hurting the company today, were done on his watch. It is probably more of a function of current management being late to recognize the situation they were in and due to that, being too late to react.
Current CEO Sullivan will be out of a job soon not for these losses, but of making the cardinal sin of telling shareholders he did not expect any material write-downs and now saying $12 billion must be raised to cover the write-downs he said would not be there. For the results of actions like this see Citi’s (C) Chuck Prince, Merrill’s Stan O’Neil (MER) and Wachovia’s (WB) Ken Thompson.
The “they are not my deals” argument does not go far because it then becomes a “you did not know what was going on one” and neither will allow you to keep a job.
Disclosure (“none” means no position):None
