Interviewed prior to his meeting with a CNN television crew today at his Short Hills, N.J. headquarters, Mr. Windolf mused that, perhaps if his action "could be repeated thousands of times it could help the economy."

Reaction has been so overwhelming, he thinks because reports of his move "came in the midst of all this bad [economic] news."

Mr. Windolf related that he put the surprise March bonus in the works last year when Bollinger arranged to sell a 51 percent interest to another company, and the agreement included $500,000 in deferred compensation for the CEO. Mr. Windolf arranged for contract language that provided he could direct the cash to other employees.

Bollinger, he said, "has always shared with employees and employees get a bonus at year end." The firm, he explained gave ownership to all employees, "so when we sold out every employee benefitted in a big way.

"We've always shared our success and with the economy like it is…" he remarked. Mr. Windolf took note of the acrimony that has followed the payments to executives at taxpayer-supported American International Group.

"Bonuses are becoming a pejorative. I'm trying to put it in a good light," he said, and joked that Congress might now pursue the Bollinger bonus money the way it has gone after the AIG $160 million payments.

For his company, Mr. Windolf said, there has already been a payback for his payout. He told how one of the firm's producers, who had been trying unsuccessfully for months to reach a customer was able to get an appointment today. The client after hearing news of the Bollinger bonuses said "that's the kind of company we want to do business with," explained Mr. Windolf.

"I know I'm going to be paid back here in many different ways," he said, and noted that customers who e-mailed, said it made them feel good to hear what the firm had done.

In giving the money Mr. Windolf said he had encouraged employees to indulge themselves with a luxury, but "as it turns out, people are spending money on necessities," like repairs to a car their daughter smashed up or fixups to their home that they had delayed.

Some others, he said, were taking trips. "Now that's the kind of thing I had in mind," he said.