Fedders' Bonus Plan Takes Some Heat

Law360, New York (October 18, 2007, 12:00 AM EDT) -- A proposed executive bonus plan for top officials at Fedders Corp. has triggered the ire of the unsecured creditors committee, which says that the plan rewards management for helping to drive the bankrupt air conditioning company into the ground.

On Tuesday, the group blasted Fedders' plan in the U.S. Bankruptcy Court for the District of Delaware, arguing the executive bonus payments should not be approved in light of the group's lackluster performance, among other things.

Under the program, seven “key” officers would be able to receive...
To view the full article, register now.