Citi insists two traders are exempt from pay limitations

Obama needs to insist that all bets are off unless those two traders want to be responsible for destroying Citi. If this goes through, it will be obvious who is running the show. This game about what their contracts say is getting old and should have been shut down months ago. Citi was insolvent so let's quit pretending as though that wasn't the case. They are alive only because of the generosity of the US taxpayer so to allow $130 million in bonus money to two individuals will be too insulting to everyone who is struggling to get by. It's a free job market so if the traders don't like it, let them find another company.

Quit the hand-wringing and bet wetting and show some executive leadership ability.

Senior Obama administration officials were wrestling on Friday with how to handle an explosive executive pay issue involving two traders’ compensation package of nearly $130 million that Citigroup says is exempt from government review.

Citigroup’s decision leaves top White House and Treasury Department officials unable to do much about some of the highest-paid employees at the deeply troubled bank just two months after the administration announced, with great fanfare, the appointment of an official to crack down on lucrative payouts at companies that have become wards of the state.

On Friday, Citigroup, which is facing a government deadline, submitted the pay packages for its 25 senior executives and highest-paid employees. People involved in that process said Citi advised the Treasury that an energy trader named Andrew J. Hall, due $98 million, was exempt from federal review, and so was a second unidentified trader who received more than $30 million.

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Credit card perks disappearing

If only the outrageous bonuses could go as quickly. But to be fair to the last two administrations, how much can you do when you own the bank and completely control their destiny? Washington Post:

Months before a new law takes effect restricting the credit card industry's ability to raise interest rates and charge fees, card issuers are scaling back programs that offer lucrative rewards such as frequent-flier miles and cash rebates. Now many customers have to pay additional fees or earn more points to redeem free plane tickets or claim cash-back perks.

"Consumers should understand that rewards programs are unstable right now, and a lot of the best programs are changing. And almost without exception they are changing to the benefit of the bank and the disadvantage of the cardholders," said Joe Ridout, a spokesman for Consumer Action.

On Sept. 1, American Express will increase to $99 from $75 the maximum fee customers in its Membership Rewards program pay to transfer points to any U.S. airline loyalty program. In June, the company decreased its rebate to Blue Cash cardholders for all purchases except everyday ones such as gas and groceries to 1.25 percent from 1.5 percent.

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Republican Senator Tom Coburn (OK) said government has "earned' threats of violence

I found this exchange on "Meet the Press" pretty disturbing. Instead of denouncing threats of violence against our elected government, Senator Tom Coburn (R-OK) seemed to rationalize it.

I don't get this argument from Coburn or those inciting violence. "The people" elected this government. Our side won. If Coburn's side isn't happy, they need to elect their own people. That's how it's done in the United States. The very fact that Coburn didn't immediately denounce the threats of violence is way beyond the pale.

And, I don't get the sense that Coburn is in the mood for any bipartisanship. Read the rest of this post...

White House willing to drop public option, say Sebelius and Gibbs

First, not that anyone at the White House necessarily cares about the liberal wing of the party (you know, the ones who do all the work to elect Democrats), but I think Rachel Maddow captured what many of us are thinking:



If someone from the White House went on the talk shows and said something like Rachel said this morning -- criticizing Senator Grassley for pushing the "death panel" story -- we'd be happy. But, no. the White House spokespeople were on the shows signaling that they're willing to compromise already -- that they're willing to drop the public option. Yes, the White House is caving because they want a win, any win, more than they want a good bill.

Too bad the White House ceded so much power to Max Baucus and Chuck Grassley. If, instead, the President had used his bully pulpit and his "massive" organization - you know, those 12 million email addresses we keep hearing about - we would have had a bill by now, and a good one too. But, no, the Rahm/Messina brain trust let Max Baucus and all of his former staffers in the insurance industry run the show. And look where it's gotten us.

First, Sebelius:

Health and Human Services Secretary Kathleen Sebelius downplayed the importance of a public insurance option on Sunday, saying it “is not the essential element” of a reform package.

“What is important is choice and competition, and I am convinced at the end of the day, the plan will have both of those, but (the public option) is not the essential element,” she said on CNN’s "State of the Union."

And, Gibbs:

Obama's spokesman refused to say a public option was a make-or-break choice.

"What I am saying is the bottom line for this for the president is, what we have to have is choice and competition in the insurance market," White House press secretary Robert Gibbs said Sunday.

Is anything make or break for Obama? I'm sure this is just the "bipartisan" breakthrough that will save the whole bill. Right.

I don't understand why Democrats are always so willing and desperate to compromise with themselves. The GOPers don't want any reform bill. Their base, comprised of the teabaggers, birthers and deathers, won't let them negotiate. So, Democrats compromise with themselves, again -- and sell out their principles, again. Just like they did on the stimulus package - they gave the GOP nearly 40% of the package in tax cuts, and how many votes did it get them in the entire Congress? Three.

See, to Rahm and his crew, a win is a win. They'll sacrifice good policy and principles for politics any day. But, they tell us that we're the bad guys for having the audacity to hope that Obama will some day live up to his campaign promises. Read the rest of this post...

NYT: Death Panel story started with conservative noise machine

It's the conservative noise machine, stupid.

But the rumor — which has come up at Congressional town-hall-style meetings this week in spite of an avalanche of reports laying out why it was false — was not born of anonymous e-mailers, partisan bloggers or stealthy cyberconspiracy theorists.

Rather, it has a far more mainstream provenance, openly emanating months ago from many of the same pundits and conservative media outlets that were central in defeating President Bill Clinton’s health care proposals 16 years ago, including the editorial board of The Washington Times, the American Spectator magazine and Betsy McCaughey, whose 1994 health care critique made her a star of the conservative movement (and ultimately, New York’s lieutenant governor).

The thing is, we don't support the liberal noise machine. The blogs, the larger netroots, and talk radio are our noise machine. But who supports us? Who tries to get us involved in the health care debate? Sure we get administration talking points occasionally, and talking points from the health care groups, but actually coordinating a strategy with us? Please. Actually supporting our growth? Supporting us during a time of the collapse of ad prices, and thus our revenue? Not a lick. The Democratic party, and the liberal non-profits in town, do not support the blogs - they refuse to buy ads (strike that, sometimes they buy one ad, one, and think that that's supposed to show how much they care, and that that will get us through the year) - nor do they involve us, consider us, in any serious strategy discussion. And we wonder why the right is able to still so effectively use their noise machine against ours. Because they embrace theirs, they use theirs, they financially support theirs - and we ignore ours.

The White House, the DNC, the party organs, and the liberal non-profits have only themselves to blame for health care reform getting hijacked by the right wing noise machine. They were they smartest people in the world, and they wanted to go it alone. How's that going for you? Read the rest of this post...

Dying with Dignity

I love Cynthia Tucker:

To the extent possible, I’d like to make my own choices about my final days. So I have assigned to my brother, a physician, medical power of attorney. My mother has given him her living will.

Why are we so squeamish about discussing something that will happen to each of us eventually? Would you rather your family be left with the kind of ugly controversy that engulfed the family of Terri Schivo?

Have any of you given family members such orders or documents? I haven't - it does make me squeamish, not in the abstract but in the personal. Read the rest of this post...

MoDo on Obama's need to get visceral

In other words, what is needed in the health care debate is the opposite of an ongoing Kitty Dukakis moment:

Just as [Sarah Palin] was able to stir up the mob against Barack Obama on the trail, now she is fanning the flames against another Harvard smarty-pants — Dr. Zeke Emanuel, a White House health care adviser and the older brother of Rahmbo.

She took a forum, Facebook, more commonly used by kids hooking up and cyberstalking, and with one catchy phrase, several footnotes and a zesty disregard for facts, managed to hijack the health care debate from Mr. Obama.

Sarahcuda knows, from her brush with Barry on the campaign trail, that he is vulnerable on matters that demand a visceral and muscular response rather than a logical and book-learned one. Mr. Obama was charming and informed at his town hall in Montana on Friday, but he’s going to need some sustained passion, a clear plan and a narrative as gripping as Palin’s I-see-dead-people scenario.

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Sunday Talk Shows Open Thread

Health insurance reform. Health insurance reform. And, health insurance reform. That pretty much sums up the discussion on the shows today. HHS Secretary Kathleen Sebelius and Robert Gibbs are representing the Obama administration.

Dick Armey, the head of Freedworks, is speaking for the GOP on "Meet the Press." He's allied with the teabaggers and organized the town hall intimidation campaign. So, actually, he's the perfect representative for the GOP.

Full line up after the break.

Here's the lineup:

ABC's "This Week" — Health and Human Services Secretary Kathleen Sebelius; Sens. Arlen Specter, D-Pa., and Orrin Hatch, R-Utah.

___

CBS' "Face the Nation" — White House press secretary Robert Gibbs; former Sen. Chuck Hagel, R-Neb.; former Rep. Lee Hamilton, D-Ind.

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NBC's "Meet the Press" — FreedomWorks chairman and former Rep. Dick Armey, R-Texas; Sen. Tom Coburn, R-Okla.; former Sen. Tom Daschle, D-S.D.; R. Bruce Josten, executive vice president of the U.S. Chamber of Commerce; Rep. Charles Rangel, D-N.Y.; Gov. Bill Ritter, D-Colo.

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CNN's "State of the Union" — Sebelius; Sen. John Barrasso, R-Wyo.; Reps. Mike Ross, D-Ark., Tom Price, R-Ga., and Eddie Bernice Johnson, D-Texas.

"Fox News Sunday" _ Sens. Kent Conrad, D-N.D., and Richard Shelby, R-Ala.; J. James Rohack, president of the American Medical Association; John Rother, executive vice president for policy and strategy at AARP.

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Cat friend in Le Drôme

Before heading over to Switzerland to meet friends, we met a bunch of friends in one of favorite parts of France, Le Drôme, where we stayed at a relative's house while they were along the coast. Few tourists, beautiful countryside, interesting villages and lots of olives. (For olive fans, this is where the tasty Nyons olives are grown.) It's also the one of the major regions in France for apricots. I used to be neutral on apricots until I discovered the type that are not shipped to Paris. This other type tends to look less beautiful but instead of the mealy consistency, they are juicy beyond belief and bursting with flavor.

While visiting the Sunday market in Nyons Jane's son Evan found the friendliest cat ever. Evan loves our two cats in Paris but they're a bit afraid of kids so tend to run away. This guy was affectionate and even allowed Evan to pick him up. The pressure is now on for his parents to find him a cat like this back home in Paris. Read the rest of this post...

Man involved in Suu Kyi's conviction leaves for US

It's likely that anything or anyone could have triggered the arrest and conviction of Suu Kyi (again) but since this was not his first time attempting such action, he's not going to have much sympathy nor will the people of Myanmar be thrilled with his release.

The U.S. Embassy says an American man imprisoned for sneaking into the home of Myanmar's democracy leader has been flown out of the country.

John Yettaw, 53, was arrested after swimming to Aung San Suu Kyi's home and staying two days.

The embassy says Yettaw of Falcon, Missouri is headed to Bangkok, Thailand on Sunday on a military plane with U.S. Sen. Jim Webb of Virginia. The senator secured his release Saturday with a plea to Myanmar's ruling junta.

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