Germany’s ‘dumbest bankers’ to receive bonus

Germany’s 'dumbest bankers' to receive bonus
photo: DPA
The state-owned development bank has had a terrible year thanks to to the finance crisis and management missteps. Now, the bank’s CEO is set to receive a bonus of at least €160,000, the daily Bild reported Saturday.

Bild christened KfW, “Germany’s dumbest bankers” after bank officials signed off on the transfer of €319 million Euros to Lehman Brothers shortly before the investment bank went broke. Two members of the bank’s board were fired after the scandal broke. So far, the bank has losses of at least €1.8 billion in 2008.

Despite the losses and management fumbles, KfW boss Ulrich Schröder is set to receive at least €160,000 in bonuses on top of his €660,000 salary, reports Bild.

According to a Finance Ministry letter, written to FDP finance expert Frank Schäffler, the value of the bonus “depends on achieving annual targeted goals based on the yearly results of KfW.”

Schäffler told Bild, “A bonus payment in KfW’s current situation is outrageous.”