Report: Before accepting bailout billions, Merrill Lynch CEO sent over $1M to redecorate office.

Less than one month into his new gig at the Bank of America, Merrill Lynch CEO John Thain resigned yesterday after it was revealed that he doled out executive bonuses a month ahead of schedule and just days before his struggling Merrill Lynch firm was acquired by the BofA.

Although no reason was given for his resignation, a spokesman for Bank of America, which acquired Merrill Lynch at the beginning of this year in a government-negotiated deal to save it from collapse, issued a statement saying: "(BofA Chairman and CEO) Ken Lewis flew to New York today to talk to John Thain. And it was mutually agreed that his situation was not working out and he would resign."

The amount in bonuses paid out was between $3 and $4 billion, according to the Financial Times. Exorbitant Wall St. bonuses have garnered increased attention since the economic collapse and subsequent billions in bailout funds have gone to help companies stay afloat.
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A recap:

- 9/14/08: Bank of America buys Merrill. Over the previous four quarters, Merrill had posted losses of more than $17 billion.

- 10/14/08: Bank of America gets $25 billion in bailout funds, largely in order to help it take on Merrill's losses.

- Fall 08: A proposal is made to Merrill's compensation committee that Thain receive a $10 million bonus.

- 12/05/08 - Merrill and Bank of America shareholders vote to approve the takeover.

- 12/08/08 - Merrill's compensation committee declines to approve the proposal on Thain's bonus, but nonetheless approves payouts to staff totaling $3-4 billion.

- Days later: Bank of America learns that Merrill's fourth-quarter losses were greater than expected. B of A begins lobbying the federal government for more TARP money to ease the takeover.

- 12/29/08 - Merrill pays bonuses paid, at least a month ahead of the usual schedule.

- 1/16/09 Treasury says it will give Bank of America another $20 billion in TARP money, to help it absorb the larger-than-expected Merrill losses.

- 1/16/09: Merrill reports a $15.3 billion fourth quarter loss.