ANZ has funny spending prioities

The MSM here has been pretty soft on banks, I guess we haven’t see quite the excesses that have been occurring overseas and that might have something to do with it.

The main trading banks here have, however, been laying staff off quietly.

And as almost all the banks here are owned offshore you’d think these lay offs would be accompanying by a bit more investigation of the behaviour of the parent companies.

ANZ (who also owns National Bank) has been laying staff of here and in Australia. But given the behaviour of it’s executives you’d think nothing much had changed in the last 12 months in the banking sector.

420mikesmith-420x0

Have my jet on standby, I think we need to visit Fiji this afternoon.

ANZ CEO Mike Smith recently visited the Cook Islands – Rarotonga. He flew in on ANZ’s private jet, wrangled a state welcome with fire engines putting on a water display – a welcome fit for a King. He stayed for a few days and disappeared. Nothing much important was achieved, apart from some dedicated R&R at huge expense.

And that’s aside from the other things he and his fellow executives have been getting up too.

If Mr Smith needed to visit Rarotonga so urgently, you’d have thought a business class flight would have been appropriate given the circumstances. Gadding about in corporate jets is ostentatious and silly, and it’s a waste of money.

Had he forgone his junket to Rarotonga, I’d imagine a few staff might have been able to keep their jobs for another year. I guess also shareholders will be wondering what happened to their dividend payments that just vaporised… well possibly Mike has been busy jetting around living it up when he should have been paying more attention to improving shareholder value, your dividends were being vaporised out the back of Mike’s Jet ANZ’s corporate Jet.

Next time ANZ or National Bank put up their fees, lays off some staff, or tells you it’s going tyo have to cut it’s dividend payments, think of Mike Smith landing at Rarotonga Airport in a corporate jet and being greeted like a visiting King – because that’s what they are spending your money on.

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  1. April 6th, 2009

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