Goldman's Bonuses

Wall Street is buzzing about the Goldman Sachs year-end bonuses.  The total is $16.5 billion, yes billion, worth an average of $623,500 per employee (although the payments will not be evenly distributed -- rumor has it that some traders are receiving $100 million apiece).   The payments raise several questions:  First, this money is coming out of the pockets of shareholders allocation of firm profits.  Why not issue a special dividend to shareholders with the cash.  The answer has to be in a need to keep good employees.  Are Goldman's employees that good?  Second, the money is coming out of revenue that seems excessive.  Does Goldman's investment bank make super-competitive returns in, say, underwriting fees.  I have long wondered by Wall Street can charge a 7 percent underwriting fee on all major stock offerings.  Customary underwriting syndication, with the blessing of the SEC, may retard fee competition.