Friday, February 6, 2009

Caisse de Depot's Losses Staggerring

It is being reported that the Caisse de Depot et Placement du Quebec had a C$38 billion loss on its investments last year, which represents a 26% drop in value in our collective pension fund. The average decline last year for similar pension funds in Canada is 16 percent .
It's hard to get your head around a number like 38 billion, so consider this; the Caisse lost over $4,ooo dollars for every citizen of Quebec.

It's no wonder that the Caisse's chief executive abandoned ship abruptly last summer. Seeing the writing on the wall, Henri-Paul Rousseau took a job with Power corporation, but not before cashing in a $400,000 severance package. One has to question how he got a severance package, when he quit his job.

His successor, Richard Guay took one look at the books and promptly took sick leave. He's been at home ever since and finally resigned at the beginning Of January. His severance package, if any hasn't been made public.
Fernand Perreault has been chosen as interim CEO, but a hunt is on to find an outside replacement. Don't bother sending in your resume if you're an anglophone.

Premier Charest has promised to name a new board of directors soon.

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