Bankers\' Spouses Deprived Of Luxury Items During Downturn

Bankers' Spouses Deprived Of Luxury Items During Downturn

New York Post   |  KRISTINA COOKE, CHELSEA EMERY   |   March 27, 2008 08:00 AM


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From Wednesday's New York Post, with the oh-so-packed headline "Execs Bear-ly $urviving":

Less than 48 hours after news broke that Bear Stearns & Co. Inc. would be bought for a fire-sale price, the wives of two of the firm's senior investment bankers called their high-end interior designer to cancel their contracts.


It's yet another sign that some bankers are slashing spending on luxury items as they fear for their jobs and the value of their firms' shares.


"We only had about $50,000 worth of final touches [to go], and the wife called me last week and said stop," said interior designer Darren Henault, whose work has been featured in Vanity Fair and Elle Decor.

The authors note bankers and their wives are also refraining from spending on yachts, jets, watches, and luxury apparel, not to mention putting summer homes up for sale.


Read more....


-- OR --

Read Silicon Alley Insider's take on slowed conspicuous consumption.


 
 

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- robinhood1 See Profile I'm a Fan of robinhood1 permalink

I guess rentals in the Hamptons should be easier to come by this year.

Maybe the young unemployed investment bankers could go volunteer to fight in Iraq.

    Favorite    Flag as abusive Posted 12:20 AM on 03/28/2008
- Bobzmcishl See Profile I'm a Fan of Bobzmcishl permalink

Jeez, how are they going to make the payments on their condo in Manhatten and their summer home in the Hamptons? I guess we should take some of our $ 600.00 rebate and send it to a rich person of our choice. Can you provide me with a list of the needy recipients? This would be reverse trickle down economics.

    Favorite    Flag as abusive Posted 10:57 PM on 03/27/2008
- ProudNeoCon See Profile I'm a Fan of ProudNeoCon permalink

Are you all that happy that bankers lost money? If you read the article none of the bankers or their wives complained or asked for help. I am one of those "bad" bankers. This downturn means that my family will cut some spending. But we will not go hungry or count last dollar. However, I REFUSE to apologize for being successful. I worked damn hard for it. Before all you start screaming at me, these are a few answers to your questions:

Yes, I do know what it means to be hungry. I have spend a few years as a teenager not knowing if my family will be able to buy food by the end of the month

No, I was not born in to the rich family

Yes I work 80-90 hours per week

Yes I do spend a portion of my income to help less fortunate. And yes I refuse to help ones who are want handouts rather than a hand up...

No, I do not lie and cheat to make my money.


So once again, why should I feel bad about my success...

    Favorite    Flag as abusive Posted 10:54 PM on 03/27/2008
- maggiemae656 See Profile I'm a Fan of maggiemae656 permalink

Perhaps you don't lie and cheat to make your money ProudNeoCon, but what about your co-workers, what about your management? How does this allow you to sleep any better at night...especially since you "have been there"?

You say you grew up poor..surely you haven't forgotten that people can work 80-90 hours per week and still not have enough to pay their bills? That there are people who work hard and who are not frivilous and throwing their money to the wind? True compassion would normally be expected to be a trait inherent in those who are testimony to the fact that bad things can happen to good people.

I would expect those who have found the means to become successful after a life of hardship to be champions to the "little people". However, life and the opportunities available are not the same now as they were in the past...so you really can't relate at all, can you?

You have no reason to feel bad about success, if you truly achieved it without walking over someone else to get it. However, successful people have to reach into their souls and remember where they came from. Compassion based on real experiences can be put to good use in our society--these people are in a position to effect change based on what they know about reality, as opposed to standing by some governmental representative who is implementing regulation/legistation based on the information received from lobbyists.

    Favorite    Flag as abusive Posted 08:57 AM on 03/30/2008
- dhfsfc See Profile I'm a Fan of dhfsfc permalink

It never fails to amaze me when people who claim to come from nothing have no empathy for other human beings, as if becoming successful somehow makes them so special, so hard-working, and so much better than other people. I came from the same place, and I am in the same place as you, although not a banker. I recognize that others work hard as well, and maybe were not as fortunate as me, for various reasons.

However, the reason that people are feeling smug about bankers losing their income is that the sub-prime products were extremely risky, the banks knew that they were risky, and yet they aggressively invested in them. Furthermore, the loans were marketed very aggressively to lower-income people wanting to own a home. Why? So that banks could make money from them.

I feel sorry for the homeowners who took out these loans, even if they were partly responsible for their current situation. But the bankers? Nope.

    Favorite    Flag as abusive Posted 12:44 PM on 03/29/2008
- ProudNeoCon See Profile I'm a Fan of ProudNeoCon permalink

I guess the fact that less than 2% of the bankers had anything to do with sub-prime gets lost on people.

Nobody ask you to feel sorry for bankers. But to celebrate others misfortune just because they were successfull is pathetic.

As for empathy - you do not know anything about me to make that statement.

    Favorite    Flag as abusive Posted 12:23 AM on 03/30/2008
- BobSF94117 See Profile I'm a Fan of BobSF94117 permalink

Because it's so drastically out of proportion to the compensation given to others who work just as hard as you do, some of whom risk their lives every day. Oh, and their careers don't depend on packaging cr@p loans as "high value" investments....

    Favorite    Flag as abusive Posted 07:56 PM on 03/28/2008
- dhfsfc See Profile I'm a Fan of dhfsfc permalink

Because much of the money made by the banks, and the bankers, was earned on the backs of others. The subprime was not just risky, it was also profitable because the risk was so great. Was it fraudulent? Some of the ways that it was marketed, to keep it profitable, was. So before you get all self-satisfied at your hard work, let me remind you that others, who were victimized by the banks and bankers, were working just as hard at careers that did not depend on victimizing people.

    Favorite    Flag as abusive Posted 02:46 PM on 03/28/2008
- stargazer13 See Profile I'm a Fan of stargazer13 permalink

motel 6 baby ?no more 2600 dollar a nites stays welcome to the real world
the american people are speaking with there lack of spending there money .AKA
consumer confidence.it,s the only power we have left in our republic of these United States

    Favorite    Flag as abusive Posted 10:36 PM on 03/27/2008
- totaldisbelief See Profile I'm a Fan of totaldisbelief permalink

Let them eat cake.

    Favorite    Flag as abusive Posted 09:20 PM on 03/27/2008
- NoahVail See Profile I'm a Fan of NoahVail permalink

"...$50,000 dollars worth of final touches.."? Isn't that what Eliot Spitzer got?

    Favorite    Flag as abusive Posted 08:07 PM on 03/27/2008
- MetalCanuck See Profile I'm a Fan of MetalCanuck permalink

Good one:)

    Favorite    Flag as abusive Posted 09:45 PM on 03/28/2008
- escapee See Profile I'm a Fan of escapee permalink

OMG! NoahVail! That was hilarious!!

    Favorite    Flag as abusive Posted 02:32 AM on 03/28/2008
- ColoradoAngryRU See Profile I'm a Fan of ColoradoAngryRU permalink

I feel their pain. Poor things. Will they have to visit the pawn shop? As the new fashion season hits the runways, they will be forced to shop in the handmedown shops. Oh the inhumanity of it all is just more than I can bear.

    Favorite    Flag as abusive Posted 06:29 PM on 03/27/2008
- NoSillyName See Profile I'm a Fan of NoSillyName permalink

Oh, the poor dears. My heart is just breaking for them. Whatever will they do? How will they survive? I'm happy to be poor; I'll never have such awful problems.

    Favorite    Flag as abusive Posted 06:15 PM on 03/27/2008
- blfaul See Profile I'm a Fan of blfaul permalink

Now do you see what happens if you don't extend tax breaks for the wealthy? Now do you understand why it's so important to get rid of the death tax? Can you now in good conscience object to the government bailout of banking interests? This is what happens when bankruptcy reform doesn't go far enough and allows bankrupt people to walk away with their world possessions while they still owe 24.99% interest on their credit card debt.

Please don't make the wealthy cancel any more updates to their kitchens you thoughtless trashy poor folk!

    Favorite    Flag as abusive Posted 05:42 PM on 03/27/2008
- hopeless277 See Profile I'm a Fan of hopeless277 permalink

Something must be done!!! Call out the Republican Guard to cut their taxes and subsidize their redecorating!! HURRY FOR GOD'S SAKE!!!

    Favorite    Flag as abusive Posted 05:08 PM on 03/27/2008
- escapee See Profile I'm a Fan of escapee permalink

But what about the wealthy home decorators??? Oh please, does the Fed have something in their black bag for them, too?

    Favorite    Flag as abusive Posted 02:36 AM on 03/28/2008
- HippieChick See Profile I'm a Fan of HippieChick permalink

"We only had about $50,000 worth of final touches [to go], and the wife called me last week and said stop"

$50,000 in "final touches?" How much must have the completed "touches" cost? Cry me a river.

    Favorite    Flag as abusive Posted 04:53 PM on 03/27/2008
- MetalCanuck See Profile I'm a Fan of MetalCanuck permalink

I wish I made 50,000 in a year..even 2.

    Favorite    Flag as abusive Posted 09:45 PM on 03/28/2008
- joelaf See Profile I'm a Fan of joelaf permalink

I apologize for my previous comment. I have since realized I have something in common with these wives. After 20 years of paying on the mortgage for my modest home, I too am within $50,000 of paying it off. Having almost paid all the interest, I can now start paying on the principal. Sadly, I may have to stop that now. So yes, there really isn't a "dime's worth of difference" between me and them.

Someone get me a Hermes hanky.

    Favorite    Flag as abusive Posted 02:44 PM on 03/27/2008
- ZingoBonMot See Profile I'm a Fan of ZingoBonMot permalink

ROFL

    Favorite    Flag as abusive Posted 06:40 PM on 03/27/2008
- WIpatriot See Profile I'm a Fan of WIpatriot permalink

Got vapors, too, joe?

    Favorite    Flag as abusive Posted 05:11 PM on 03/27/2008
- SouthernYankeeBelle See Profile I'm a Fan of SouthernYankeeBelle permalink

Hell its about time the rich see how the real people who live on less than $50,000 dollars a yr live.

    Favorite    Flag as abusive Posted 03:20 PM on 03/27/2008
- superrobot See Profile I'm a Fan of superrobot permalink

Off with their fucking heads.

    Favorite    Flag as abusive Posted 02:37 PM on 03/27/2008
- joelaf See Profile I'm a Fan of joelaf permalink

Champagne spewed out of my nose as I read this. If we don't save the rich, who will? Once my silk slacks come back from the cleaner, I'm going to finish my cigar and go out and hand out jobs on the street.

I have a large box of velcro bootstraps that I will issue to anyone who asks me for a handout. ; )

    Favorite    Flag as abusive Posted 02:36 PM on 03/27/2008
- Mr Grey See Profile I'm a Fan of Mr Grey permalink

Just he headline had me tearing up. I know what it's like to do without those little perks of life. For me it's just health insurance and a living wage.

    Favorite    Flag as abusive Posted 02:35 PM on 03/27/2008
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