On Sat, 7 Jan 2009, SA wrote:
> This is from the Treasury's fact sheet on the executive compensation
> restrictions. These provisions are among those that apply to all companies
> accessing TARP, not just those taking "exceptional assistance."
IIUC, when people say that these rules only apply to those taking exceptional assistance, what they mean is, in those cases, they can't be waived.
So technically, the rules apply in all cases, but practically, they can be easily waived in all normal cases. All the companies have to do is state their intention to waive the rules; make public all compensation paid; and allow a shareholder vote on this issue if requested by the shareholders. That's what "if requested" means. And as noted earlier, such votes are non-binding, just like they are now.
The front page article in Thursday's FT made this clear, I think.
Michael