AIG’s bonus encore, The New York Times’ online subscription gamble
Good day for chutzpah; Bad day for free news
GOOD DAY FOR: Chutzpah, as floundering insurance giant AIG is seeking White House permission to dole out $2.4 million in bonuses next week for some 40 high-ranking executives. AIG, which has received $180 billion in federal rescue funds to keep it afloat, sparked a national furor earlier in the year for giving bonuses at a unit blamed for much of our current economic problems. AIG doesn’t really need federal permission, but is hoping for political cover. (The Washington Post)
BAD DAY FOR: Free news, after The New York Times Co. floated the idea of charging a monthly $5 subscription fee for reading its flagship newspaper. NYTimes.com is the most-visted news site on the Web, but it is hurting along with the wider media industry from a drop in advertising. The Times said it will probably start charging for access on mobile devices before its website. (Bloomberg)
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