Gericht und Worldcom einigen sich über Capellas Lohn. Außerdem will Capellas im Januar 100 Tage Plan zur Rettung vorstellen.
Das sind doch endlich mal wieder gzte news.
— NEW YORK (Reuters) - A federal court on Monday approved a pay package for the new chairman and chief executive of bankrupt WorldCom Inc. that was almost a quarter less than an initial proposal criticized as excessive.
Appearing in court, WorldCom CEO Michael Capellas, a longtime computer industry executive who helped broker Compaq Computer's acquisition by Hewlett-Packard Co. , said he would announce a 100-day turnaround plan for the No. 2 U.S. long-distance telephone carrier in early January.
At a joint hearing conducted by U.S. District Court Judge Jed Rakoff, with Bankruptcy Court Judge Arthur Gonzalez in attendance, WorldCom received authorization to pay Capellas $8 million over three years.
In addition, Capellas will receive $12 million in restricted stock once the company emerges from bankruptcy, with the potential for another $6 million if he demonstrates "exemplary" performance as chief executive during the bankruptcy process.
Under the plan, Capellas will also be required to hold any shares he receives for 12 months before selling them. If he leaves the company, he will be required to hold on to at least 75 percent of his net equity for at least six months.
The plan represented a 23 percent reduction from the initial guaranteed pay package planned for Capellas, which court-appointed corporate monitor Richard Breeden characterized as "grossly excessive" last week.
WorldCom said last week Capellas' compensation would be "comfortably within the range of compensation paid for executives of companies comparable in size and complexity to WorldCom."
Last year, the phone company paid its former CEO Bernie Ebbers, who resigned in April as the company's financial and legal problems escalated, a $1 million salary. In 2000, WorldCom gave Ebbers a $10 million bonus.
He currently owes the company more than $400 million for various loans and guarantees.
Clinton, Mississippi-based WorldCom filed for the largest bankruptcy in U.S. history in July, with some $40 billion in liabilities. The company is the No. 2 U.S. long-distance telephone carrier and one of the world's largest movers of Internet traffic.
Four former WorldCom executives have pleaded guilty to securities fraud and have agreed to cooperate with authorities probing the case. Former Chief Financial Officer Scott Sullivan, who the company fired in June, has been indicted on seven counts of fraud. Sullivan pleaded not guilty.
Copyright 2002 Reuters News Service. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed
Das sind doch endlich mal wieder gzte news.
— NEW YORK (Reuters) - A federal court on Monday approved a pay package for the new chairman and chief executive of bankrupt WorldCom Inc. that was almost a quarter less than an initial proposal criticized as excessive.
Appearing in court, WorldCom CEO Michael Capellas, a longtime computer industry executive who helped broker Compaq Computer's acquisition by Hewlett-Packard Co. , said he would announce a 100-day turnaround plan for the No. 2 U.S. long-distance telephone carrier in early January.
At a joint hearing conducted by U.S. District Court Judge Jed Rakoff, with Bankruptcy Court Judge Arthur Gonzalez in attendance, WorldCom received authorization to pay Capellas $8 million over three years.
In addition, Capellas will receive $12 million in restricted stock once the company emerges from bankruptcy, with the potential for another $6 million if he demonstrates "exemplary" performance as chief executive during the bankruptcy process.
Under the plan, Capellas will also be required to hold any shares he receives for 12 months before selling them. If he leaves the company, he will be required to hold on to at least 75 percent of his net equity for at least six months.
The plan represented a 23 percent reduction from the initial guaranteed pay package planned for Capellas, which court-appointed corporate monitor Richard Breeden characterized as "grossly excessive" last week.
WorldCom said last week Capellas' compensation would be "comfortably within the range of compensation paid for executives of companies comparable in size and complexity to WorldCom."
Last year, the phone company paid its former CEO Bernie Ebbers, who resigned in April as the company's financial and legal problems escalated, a $1 million salary. In 2000, WorldCom gave Ebbers a $10 million bonus.
He currently owes the company more than $400 million for various loans and guarantees.
Clinton, Mississippi-based WorldCom filed for the largest bankruptcy in U.S. history in July, with some $40 billion in liabilities. The company is the No. 2 U.S. long-distance telephone carrier and one of the world's largest movers of Internet traffic.
Four former WorldCom executives have pleaded guilty to securities fraud and have agreed to cooperate with authorities probing the case. Former Chief Financial Officer Scott Sullivan, who the company fired in June, has been indicted on seven counts of fraud. Sullivan pleaded not guilty.
Copyright 2002 Reuters News Service. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed
