State Street's 'Fat Cat': "Thanks for the money!"
While the big banks rake in bailouts and tax breaks, tough budgets have forced governments to slash vital services we all rely on. Massachusetts citizens have had enough, and dozens took the streets today to protest State Street’s annual shareholders’ meeting.
Why are they so upset? Here are the facts: Just two years after State Street received $22 billion in federal bailouts and guarantees, the company reported nearly $1.6 billion in profits. The windfall comes after State Street laid off 1,800 workers – with 1,400 more expecting pink slips this year.
And yet State Street is slated to receive an $885 million federal tax refund for 2010 while the rest of Massachusetts families continue to pay into the system.
Unfortunately, not everyone sided with the people of Massachusetts at today’s meeting. Taunting the crowd was a corporate ‘Fat Cat’ who thanked the taxpayers for all the bailouts and refunds he received at their expense. We had a minute to catch up to the Chief Fat Cat, himself, to hear what we had to say.
“I think it’s important the consumers and taxpayers of Massachusetts know how grateful we all are,” the Fat Cat said, polishing his gold-plated monocle. “Thanks to their generous bailouts and tax refunds, we’re raking in money to pay for all the great executive perks, not the least of which is the new diamond-studded litter box we’ll have delivered today.”
Though the Chief Fat Cat may find this all to be fun and games, but we knew it was no joke. If State Street paid their taxes, we could have prevented cuts to vital services in Massachusetts. In fact, if State Street had just paid its fair share like the rest of us do, the commonwealth could have seen almost $5 million in additional federal aid. That’s enough to hire 86 teachers, 88 police officers, 99 firefighters, or 170 nursing assistants at the Soldiers Homes in Chelsea and Holyoke.
No matter what the Fat Cats may say, we’re calling on State Street to pay its fair share in taxes, just like we do. We bailed State Street out when they were in trouble – now they must do their part to sustain the critical programs Massachusetts citizens depend on.
Stay tuned for more photos, videos and news about State Street and their shareholders’ meeting. And we’re sure we haven’t heard the last from the Chief Fat Cat, either.