US Trustee Protests Borders' $8.3M Bonus Plan

Law360, New York (April 8, 2011, 7:25 PM EDT) -- The Office of the U.S. Trustee objected to a request from bankrupt Borders Group Inc. to pay executives and managers roughly $8.3 million in bonuses as an incentive to remain with the bookseller during its reorganization.

In a motion filed Thursday in the U.S. Bankruptcy Court for the Southern District of New York, U.S. Trustee Tracy Hope Davis called Borders' request premature and questioned the soundness of the company's business judgment.

Borders filed the motion on March 25, just six weeks after seeking Chapter 11 protection....
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