John Thain's $1.2 Million Redecoration: Obama Decorator, $87,000 Rug

The Daily Beast:

In early 2008, just as Merrill Lynch CEO John Thain was preparing to slash expenses, cut thousands of jobs and exit businesses to fix the ailing securities firm, he was also spending company money on himself, senior people at the firm say.

According to documents reviewed by The Daily Beast, Thain spent $1.22 million of company money to refurbish his office at Merrill Lynch headquarters in lower Manhattan. The biggest piece of the spending spree: $800,000 to hire famed celebrity designer Michael Smith, who is currently redesigning the White House for the Obama family for just $100,000.

The other big ticket items Thain purchased include: $87,000 for an area rug in Thain's conference room and another area rug for $44,000; a "mahogany pedestal table" for $25,000; a "19th Century Credenza" in Thain's office for $68,000; a sofa for $15,000; four pairs curtains for $28,000; a pair of guest chairs for $87,000; a "George IV Desk" for $18,000; 6 wall sconces for $2,700; six chairs in his private dining room for $37,000; a mirror in his private dining room for $5,000; a chandelier in the private dining room for $13,000; fabric for a "Roman Shade" for $11,000; a "custom coffee table" for $16,000; something called a "commode on legs" for $35,000; a "Regency Chairs" for $24,000; "40 yards of farbric for wall panels," for $5,000 and a "parchment waste can" for $1,400.

Read the whole story: The Daily Beast

Comments

[solarian]

12:52 PM on 01/26/2009

if we the people want anything done we have to do It the government won't the courts won't its all up to us

[levelshot]

09:29 PM on 01/25/2009

Oh you know the rightwingnuts like Limbaugh & Hannity are frothing at the $*&#hole to concoct some cockamamy story to tie Michael Smith and O together into this story.

[partyofone]

07:42 PM on 01/25/2009

John Thain has consistently shown that he is the PERSONIFICATION of Wall Street Sense of Entitlement and GREED.

The Finanical industry needs the equivalent of malpractice or disbarment. John Thain should be BANNED for life from any professional position in which he would have a role in managing other peoples' money. True Justice would freeze his mega-million dollar ill-gotten assets and make him live on unemployment insurance. Maybe that would be the dose of reality he needs.

[DubiousVoter]

01:07 PM on 01/24/2009

Thain is a prime example of how the ostensibly rich families in this country spend their wealth. An absolutely outrageous waste of $1million! -- just to decorate an office!!

Let's break this down by the numbers:

With ~100 million families in the U.S., the wealthiest 1% represents 1 million families. And, at the rate they spend cash, $1-10 million bucks is chump change to them.

1 million X $10 million = $10 TRILLION -- U.S. economic crisis solved!!!!

Tax them ALL and let THEM eat cake.

[ManwithaParachute]

01:03 PM on 01/24/2009

Share holders need a revolution which leads to CEO execution.

[lunchlady]

01:09 PM on 01/24/2009

Yeah! Let's start making that guillotine!

[DubiousVoter]

01:15 PM on 01/24/2009

I've got the torches and pitch forks ready!

[sonoffestus]

12:28 PM on 01/24/2009

I'm off topic on this one, but I am really frosted over the banks that took bailout money and are sitting on it waiting to pick up "good buys after the recession sorts itself out".

How about asking for the bailout money back ? If they don't, nationalize the bank. If "WE" are the financing these banks why shouldn't we have some say on how this money is being used? Why don't "WE" have someone representing "US" on the board of these banks? WTF!

[noblechaos]

11:24 AM on 01/24/2009

When times are tough, nothing cheers up a CEO like a new $87,000 rug...

[LeighAnnes]

09:14 PM on 01/24/2009

Or a $35,000 commode. I wonder what features a 35K commode has?

[sonoffestus]

12:20 AM on 01/25/2009

A flashlight and mirror so they can see where their head is located.

[ElkoJohn]

11:20 AM on 01/24/2009

what does Congress expect
if they throw Trillions at the Robber Barons
without conditions or oversight ??

[mtwocents]

02:31 AM on 01/24/2009

is Merrill Lynch still dealing in commode-ities?

[SharonWantsToTalk]

12:02 AM on 01/24/2009

He should be in jail.

[LeighAnnes]

09:15 PM on 01/24/2009

Yes. The commode won't be quite as nice though.

[Egalitare]

08:51 PM on 01/23/2009

They fired Stan O'Neil for making risky business decisions that it now appears most of his peers did.

That pales in comparison to this dispicable behavior. A footed toilet? A parchment wastebasket?

[lancpa]

07:29 PM on 01/23/2009

This is from the same person who requested a $10 million dollar bonus while Merrill was being bailed out. No concern for his employees who can barely make ends.

[totalliberal]

07:24 PM on 01/23/2009

This is what happens when you get Board of Directors inbreeding. They just keep shoveling money back and forth between each other. Screw the stock-holders.

I wonder why stocks are dropping like stones. Only suckers buy them.

[partyofone]

07:45 PM on 01/25/2009

only taxpayers are buying them.

[dhosebag]

07:22 PM on 01/23/2009

Isn't this an "infrastructure" upgrade? $1.2M ? That is mice nuts compared to what Obama and Congress are spending every day on redundant programs, wasteful bureaucracy and the like.

Compared to the $850B in so called "economic stimulus" spending that is coming, Merrill and Thain look like pikers.

[pewty]

08:54 PM on 01/24/2009

your justifying this? The problem is not so much the dollar amount, but the mindset. If this goes unreported and just looked at as a business necessity then whats next? Gold-plyed toilet paper? As for the 850 billion, what do you suggest to get things going?

[Yikes10036]

07:01 PM on 01/23/2009

A person who could fire employees as he's purchasing $87,000 area rugs? This guy is America's anti-hero.

[LeighAnnes]

09:17 PM on 01/24/2009

He is a typical executive. We've been having our "resource actions" this week. They will continue next week. 16K people will lose their jobs but the executives still make millions.