Back in February I posted that it was time to fire Fifth Third Bank's CEO, Kevin Kabat. The bank had just fired 50 people and announced that it was paying Kabat $10 million for his fine work.
Today 5/3 announced that it was cutting its dividend and raising $1 billion in new capital to offset losses in its loan portfolio. The stock, which was selling for $43 a year ago is now offered at $10.50. And what happens to Kabat? He get promoted to Chairman. This is what happens in modern corporations (or the Bush Administration); you screw up completely, fuck your employees and your shareholders and then get a promotion (or a medal).
Old Kent Bank was a great Grand Rapids institution before Fifth Third bought it and ran it into the ground. The executives made out like bandits and the community ends up with a piece of garbage.