NEW YORK, USA Merrill Lynch & Co chief executive John Thain has suggested to directors that he receive a 2008 bonus of as much as US$10 million (S$15 million), but the battered company's compensation board is resisting his request.

The Wall Street Journal, citing people familiar with the situation, said the compensation committee is leaning towards denying Mr Thain and other senior executives bonuses for this year.

Merrill was not available for comment.

Merrill's shareholders last Friday approved the firm's takeover by Bank of America in a risky deal that would create a giant with a lead position in almost all major areas of the financial system.

Merrill was saved from extinction when it agreed to merge on Sept 15, just before Lehman Brothers filed for bankruptcy.

Mr Thain has said he deserves a bonus because he helped avert what could have been a much larger crisis at the firm, sources told the WSJ.

The compensation board agrees with Mr Thain that the takeover is in shareholders' best interest, but believes it would be foolish to ignore strong public sentiment against large compensation packages.

The board is also weighing the fact that other Wall Street firms, including Goldman Sachs, which did better than Merrill this year, are not giving out bonuses to top executives, the newspaper said.

Mr Thain became Merrill's chief executive after losses in mortgage-related investments led to the October 2007 ouster of Mr Stanley O'Neal.