America's No. 1 financial conglomerate

Chapter 622 Good Boss Ernst

Bel Air, a super mansion spanning over two acres.

In his study on the second floor, Robert Iger leaned back in a custom-made Italian leather chair, his gaze fixed intently on a stack of MGM Resorts' annual reports spread out on the table.

The end of the year and the beginning of the new year are undoubtedly the busiest times of the year for multinational entertainment giants like MGM.

Various year-end summary reports, financial audit data, project review analyses, and strategic planning proposals for the coming year are piling up on the desks of senior executives. Every document is related to the company's future development direction and cannot be overlooked.

The solid wood door to the study was gently pushed open, and Robert Iger subconsciously looked up. When he saw his wife Savannah standing in the doorway, the tense lines on his face instantly softened, and a warm smile appeared on his lips.

"Aren't you going to sleep yet?" she asked softly, her voice as gentle as a feather brushing against your heart.

Robert Iger is an extremely disciplined person who maintains a consistent sleep schedule every day.

The clock has struck 11:30, but he is still engrossed in his work. Savannah last saw this scene ten years ago.

Robert Iger sighed softly, a bitter smile on his face, his voice slightly hoarse, "Can't sleep."

Savannah walked slowly into the study, sat down in the lounge area, her gaze sweeping over the unfamiliar yet luxurious room, and replied softly, "Is it because you're not used to the new house? Me neither."

Robert Iger paused for a moment upon hearing this, then realized his wife was looking for an excuse to spend time with him. He chuckled and joked, "Or should I return this house?"

"No!" Savannah quickly stopped him, but as soon as she finished speaking, she saw a fleeting smile in her husband's eyes, and her cheeks instantly flushed red. She muttered softly, "I think I'll get used to it quickly."

Seeing his wife's coquettish expression, Robert Iger's annoyance dissipated considerably.

He simply closed the report in his hand, got up and walked to the sofa, gently pulling his wife into his arms.

"Let's sell the house in Montreal when we have time," Robert Iger said softly, stroking his wife's long hair.

That was their original home, which was in an affluent area, but it couldn't be called a mansion. Compared to this place, it was worlds apart in terms of scale, quality, and location.

The old house was more like a warm home, while this mansion is a testament to the pinnacle of his career achievements.

Bel Air, along with Beverly Hills and Holmby Hills, is known as the Platinum Triangle of Los Angeles, representing the absolute top tier of wealthy neighborhoods in Los Angeles.

Unlike Beverly Hills, which is home to many movie stars and is a glittering constellation of celebrities, Bel Air and Holmby Hills are more frequented by entrepreneurs with huge amounts of capital, tech upstarts, and top elites from all walks of life.

"What if you leave MGM and this house is taken back?" Savannah hesitated about selling the old house.

Robert Iger laughed again, "This mansion was a reward for me, not a company-provided property."

"Give it to you?" Savannah sat up straight in surprise, somewhat incredulous.

"This mansion is worth twenty million US dollars, are you sure?"

"Of course," Robert Iger said with a smile, but a hint of schadenfreude flashed in his eyes.

MGM's growth momentum this year is remarkable. From being at the bottom of the Big Seven studios, it has now achieved leapfrog development by flourishing in multiple fields.

Ernst played a crucial role in this, but Robert Iger, as the group's CEO, also made significant contributions.

In recognition of Robert Iger's outstanding contributions, Ernst proposed awarding him company stock worth approximately $1300 million as an incentive for him to continue serving the company.

However, the proposal was strongly rejected by the board of directors. Other directors rejected the stock award proposal on the grounds that MGM was not yet a public company, and instead proposed a huge year-end bonus of five million US dollars as an alternative.

Ernst couldn't be bothered to argue with these guys because of their stinginess and greed.

Five million dollars?

Ernst said yes.

But then he turned around and had Robert Iger choose a mansion he liked, bought it with MGM's funds, and gave it to him directly.

In the United States, company-provided housing, housing subsidies, and home purchase support programs are common.

Company-provided housing is typically targeted at senior executives of multinational corporations. For example, when an executive in the Asia-Pacific region is transferred to the European region, the company will provide him with a high-end residence in the local area to facilitate his work.

Not only do they provide free accommodation, but they also cover all daily expenses, including property management fees, utilities, and housekeeping services. Some well-established companies even provide additional services such as private cars, dedicated security, and private jets.

The housing subsidy, on the other hand, is aimed at core employees who do not own a home locally.

Monthly subsidies are provided at different rates based on employees' job level, years of service, and contributions to help alleviate their housing pressure.

As for the housing support program, it is more targeted at technical backbone groups. In order to attract and retain core technical talents, the company will encourage them to buy a house and provide a certain percentage of housing subsidies. The subsidy amount is usually around 50% of the total house price. For individual technical talents who have made special contributions to the company, the subsidy ratio can even reach 80%.

While it's not unheard of for companies like MGM to directly gift their employees super mansions worth $20 million, it's extremely rare.

There are usually only two extreme situations where this might happen: one is when a family business gifts a house to its heir or a veteran employee, and the other is when a large company tries to retain irreplaceable core talent, such as a scientist who has mastered core technologies or a CEO who has led the company out of a major crisis.

Ernst's reasoning is the second one.

What was MGM like in the past?

The seven at the bottom are simply living off their past achievements.

Even some of Hollywood's second-tier studios dare to bully MGM.

But now?

MGM embarked on a diversified development strategy, with its business scope covering multiple fields such as film and television production, television media, traditional print media, and record companies, resulting in a qualitative leap in the company's valuation.

Today, MGM has long since shaken off its past decline and has even surpassed the seven major Hollywood studios, truly developing into a media empire.

As for how much credit Ernst deserved for this, not a single director dared to bring it up.

They all knew that if anyone dared to make a fuss about this issue, Ernst would definitely use this opportunity to demand a higher reward from the board of directors, and then present that reward to Robert Iger in a more lucrative form.

Rather than having Ernst deliver this favor, it would be better for MGM to do it directly, which would also demonstrate the company's emphasis on key talent.

So Robert Iger didn't get the $13 million worth of stock, but he did get a $20 million mansion and a $5 million bonus.

Thinking of the scornful faces of those directors, he found it amusing; he had tried to steal a chicken but lost the rice instead.

"Are you sure?" Savannah was still somewhat incredulous and asked her husband again for confirmation.

In her opinion, such a reward was far too generous, making her feel somewhat overwhelmed with gratitude.

"It's alright, you'll believe it once the property handover is completed in a few days," Robert Iger reassured with a smile.

Looking into his earnest eyes, Savannah finally believed him, rested her head on his shoulder again, and sincerely said, "He really is a great boss."

Indeed, when it comes to employees, Ernst is never stingy with rewards as long as you can contribute your value.

However, Robert's expression changed again, because this generosity was not so easy to accept.

Compared to other bosses, Ernst's ability to handle things is definitely number one.

He understood; after all, rapid expansion inevitably encroached on other people's interests.

But he took away other people's share of the pie, and it's these people who suffer the consequences.

Staring at the phone on his desk was what kept him awake.

In the past hour, he has received six phone calls, all of which were related to Long-Term Capital Management.

They have business clients and company shareholders.

There was even someone he didn't expect: Oracle's president, Larry Ellison.

Some of these people inquired about the truth of the report, while others threatened him to take it down.

"Ring ring ring".

Just then, the phone rang again.

Robert Iger smiled wryly, helped his wife sit up, and said softly, "You go to sleep first, I may have to work for a while longer."

Seeing that the other person spoke, he knew that the other person wanted to stay and keep him company, and he advised again, "Your presence here will only distract me."

"Alright." Savannah nodded, got up, and left the study.

After seeing the door close, Robert Iger went to his desk and answered the phone.

To his surprise, it was Ernst who called, and he started with a sarcastic remark.

"I knew it, you were definitely going to break your routine and not be able to sleep tonight."

Robert Iger rolled his eyes in annoyance, really wanting to yell at the other person, but he held back.

"So, you called so late just to tell me this?"

"No." Ernst paused for a moment.

"I was just telling you that you can take the message down now and get a good night's sleep."