Who is John Thain and What Happened at Merrill Lynch

John Thain was the CEO of Merrill Lynch from 2007 to 2008, a tumultuous period in the company's history. He was a former CEO of NYSE Euronext and a senior executive at Goldman Sachs.

Thain's tenure at Merrill Lynch was marked by significant losses due to the subprime mortgage crisis. The company's exposure to subprime mortgages resulted in a $15 billion write-down in the third quarter of 2007.

Thain's leadership during this time was criticized for being ineffective, and he was ultimately forced to resign in October 2008.

John Thain's career is a testament to his dedication and hard work. He joined Goldman Sachs in 1979, fresh out of Harvard.

Thain started out in corporate finance, then transitioned to investment banking. His rise at Goldman accelerated when he helped launch a mortgage-backed securities division.

Thain worked at Goldman Sachs from 1979 to 1990, and again from 1999 to 2004, serving as head of its mortgage securities division and president and co-chief operating officer.

John Thain had a long and distinguished career in finance, with a notable stint as CEO of Merrill Lynch from 2007 to 2009.

He joined the New York Stock Exchange in 2004, succeeding John Reed. Thain brought electronic trading to the NYSE and transformed it into a public company before overseeing the acquisition of Euronext.

Thain was a key player at Goldman Sachs, where he joined in 1979 after graduating from Harvard. He started out in corporate finance, then moved to investment banking.

Thain's rise at Goldman accelerated when he helped launch a mortgage-backed securities division, reporting to Jon Corzine. He became treasurer at Goldman by 1990 and chief financial officer four years later.

Thain eventually became president and co-chief operating officer of Goldman Sachs from 1999 to 2003, and later president and chief operating officer from 2003 to 2007.

Thain's educational background is impressive, with an undergraduate degree in Electrical Engineering from the prestigious Massachusetts Institute of Technology.

He also holds an MBA from Harvard, a renowned institution for business education.

Growing up in Antioch, Illinois, north of Chicago, likely had a significant influence on his early interests and career aspirations.

Thain's academic achievements demonstrate his strong foundation in both technical and business fields.

Merrill Lynch and Bank of America were in a bind after the subprime mortgage crisis of 2007. Thain was brought in to lead Merrill Lynch and was one of the runners-up to head Citigroup.

Thain arranged the sale of Merrill to Bank of America at $29 per share, a 70 percent premium over the market price. The deal valued the brokerage at $50 billion.

Thain received a $15 million signing bonus when he joined Merrill Lynch and was expected to be president of global banking, securities and wealth management at Bank of America.

Merrill Lynch was in a bind after the subprime mortgage crisis caused disappointing performance in the third quarter of 2007.

John Thain, a highly sought-after executive, was brought in to lead the company. He received a $15 million signing bonus upon joining Merrill Lynch.

Thain arranged the sale of Merrill to Bank of America at $29 per share, a 70 percent premium over the market price. The deal valued the brokerage at $50 billion.

Thain's total compensation in 2007 was $83,785,021, making him one of the best paid executives of S&P 500 companies that year. This included a base salary of $750,000, a cash bonus of $15 million, stock grant of $33,013,151, and options grant of $35,017,421.

Thain suggested to the directors that he receive a bonus in 2008 of as much as $10 million, because he "saved Merrill" by selling it off to Bank of America.

John Thain, the CEO of Merrill Lynch, faced intense scrutiny after a massive $15 billion loss was announced in January 2009. The loss was a major factor in the strained relationship between Thain and Bank of America CEO Ken Lewis.

Thain's future at Bank of America was in doubt, with some analysts predicting he would be leaving the company. However, Thain ultimately agreed to resign after a 15-minute conversation with Lewis on January 22, 2009.

Nelson Chai, Merrill's last CFO prior to its merger, departed from Bank of America in February, just two weeks after Thain's ouster, and was replaced by Ki-Myung Hong. This marked a significant departure of key members of Merrill's management team from the combined company.

Thain's lavish spending habits were also under scrutiny, with reports emerging that he spent $1.22 million of corporate funds to renovate his office in early 2008.

President Obama publicly criticized John Thain's large bonuses in January 2009, calling it the "height of irresponsibility" and "shameful".

Thain's bonuses were part of a $20 billion payout to Wall Street bankers at a time when their institutions were teetering on collapse.

The American people were outraged by the bonuses, and Vice President Joe Biden even joked about throwing the bankers in the brig.

New York Attorney General Andrew Cuomo took action, issuing a subpoena to Thain on January 27, 2009, to investigate the bonuses he received just days before the Bank of America takeover.

John Thain's career in finance has been marked by his time at Citigroup. He served as President and Chief Operating Officer of the Global Markets and Banking group from 2002 to 2007.

Thain's experience at Citigroup laid the groundwork for his future roles, including his tenure as CEO of Merrill Lynch. He joined Merrill Lynch in 2007 and led the company until 2008.

Citigroup's influence on Thain's career is undeniable, and his experience at the company helped shape his approach to leadership.

John Thain's financial and political activities are worth noting. He was a key figure in the 2008 financial crisis, serving as the CEO of Merrill Lynch from 2007 to 2008.

Thain's tenure at Merrill Lynch was marked by significant financial losses, including a $15 billion write-down in the fourth quarter of 2007. This write-down was a major contributor to the company's financial struggles.

Thain's relationships with politicians were also significant. He was a major donor to the Democratic Party, contributing $500,000 to the Democratic National Committee in 2008.

John Thain is a member of several influential organizations. He serves on the North American Executive Board of the MIT Sloan School of Management.

Thain is also a member of the Board of Managers at The New York Botanical Garden, where he and his wife, Carmen, are actively involved. They've even contributed to the restoration and preservation of the 50-acre Thain Family Forest.

The Thains have a strong connection to Yale University, where they established the "Thain Family Café" in the Anne T. and Robert M. Bass Library. This café offers organic and local refreshments, sourced through the Yale Sustainable Food Project.

Thain's involvement with the Republican Party is notable, and he was a personal friend of Senator John McCain. He even served as a senior economic policy adviser to McCain during his 2008 presidential bid.

Here are some of the organizations John Thain is a part of:

Thain made a significant contribution to the pro-Jeb Bush Super PAC Right to Rise in 2015, donating $205,000.

The only other political contribution he made that year was to Rob Portman, amounting to $5,400.

In the past, Thain has contributed substantial amounts to both Democratic and Republican candidates.

John Thain's departure from Bank of America was a dramatic turn of events. He was forced to resign on January 22, 2009, after a 15-minute conversation with Bank of America CEO Ken Lewis.

The tension between Thain and Lewis had been building since mid-December, and Thain's future at the bank was in doubt. Lewis faced criticism for rushing to buy Merrill for $28 billion after less than two days of due diligence.

Thain's lavish spending habits also raised eyebrows, particularly his decision to spend $1.22 million to refurbish his office shortly after being named CEO of Merrill in January 2008. This move was seen as tone-deaf given the financial struggles of the company.

The Merrill deal was a costly one, with the bank suffering an unexpected loss of $15 billion for the fourth quarter of 2008. Without $138 billion in government assistance, including the infusion of $20 billion from the federal government, Lewis would have pulled out of the deal.

Thain's resignation marked the end of an era at Merrill, with Nelson Chai, the bank's last CFO prior to its merger, departing from Bank of America in February just two weeks after Thain's ouster.