Friday, August 25, 2006

Massive disconnect............

One of the many areas of much-needed reform in corporate America is to get the interests of common stockholders aligned with the performance of management.

Here's a flagrant example. The options back-dating scandal that is the focus of so much SEC scrutiny seems to have landed at the housing firm of KB Homes. The honcho running the company was awarded compensation of $155,900,000 in 2005. Nice to see the SEC involved there.

Where there's smoke, there is usually fire. I bet this fire reeks.

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