Lehman executives get nice windfall

A recent change to the vesting schedule for some restricted stock grants will give top executives at Lehman Brothers a huge boost financially. CEO Richard Fuld's potential payout due to the change could hit $186 million. President and COO Joseph Gregory and Chief Legal Officer Thomas Russo will gain an extra $128 million and $34 million in stock, respectively. This is quite a gift. Originally, the terms of the grant way back in the late 1990s was that they would only vest if the company were bought during the executives' terms. The question is whether shareholders will object. I doubt it, though the exec comp gadflies may weigh in. It's hard to argue with the kind of performance Fuld has turned in.

For more on this:
- here's an update from the AP