Goldman Sachs went public in 1999, and the 30 executives from back in that day and age just got paid $22 million for it, the Wall Street Journal reports.
The group, which includes current CEO Lloyd Blankfein, made this money by exercising options and selling the underlying shares after the firm’s 3Q report last month according to regulatory filings.
The options expire at the end of November, and cashing in produced instant profits because Goldman’s share price is more than 50% higher than when the options were awarded in 2002.
“By exercising 10-year-old options before they expired later this year, executives captured some of the value we have built for shareholders over that period,” said a spokesman for the securities firm.
In contrast, many of the executives’ remaining options are worthless, at least for now, because they were granted from 2005 to 2008. The stock peaked in October 2007 at about $239, or 89% higher than Tuesday’s closing price of $126.25 in New York Stock Exchange composite trading at 4 p.m.
So you’re probably wondering who the big winners in this one were. The WSJ has that for you too:
- Michael S. Sherwood, a Goldman vice chairman and the firm’s top executive in Europe received $5.2 million
- Chief Executive Officer Lloyd Blankfein got $3.1 million
- Chief Financial Officer David A. Viniar got $2.3 million
A professor quoted in the article said that it looked like “the end of an era.” And while these numbers may be large outside Wall Street standards, we can’t help to agree.
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