Testing the New Landscape: Strategies for Maintaining the Management Team
by William I. Kohn
Benesch, Friedlander, Coplan & Aronoff LLP; Ohio
Key Employee Incentives, Retention Plans and Severance: Pre- and Post-BAPCPA
Attached as Appendix A is the original form of Motion or Order Authorizing the Debtor to Pay Retention Bonuses to Certain key Employees (KERP) filed in the PAC Holding company Proceeding Pending in the District of Delaware in March, 2004. The proceeding involved a holding company (PAC Holding) and its four operating subsidiaries: Pace-Edwards Company, Go Rhino!, Wings West, Inc. and Trenz.
Read the full article. (Materials from the 2006 Central States Bankruptcy Workshop)
Minutes from 2006 Annual Spring Meeting
The Business Reorganization, Public Companies & Claims Trading and Financial Advisors Committees held a joint meeting at ABI’s 24th Annual Spring Meeting this April in Washington, D.C.
The meeting began with an introduction of the Committee co-chairs:
Public Companies & Claims Trading:
Glenn Siegel
Dechert, LLP
New York
Geoffrey Groshong
Miller Nash LLP
Seattle
Financial Advisors:
David M. Powlen
Western Reserve Partners
Philadelphia
Rebecca A. Roof
AlixPartners LLC
New York
Business Reorganization:
Jo Ann J. Brighton (New Co-Chair)
Kennedy Covington Lobdell & Hickman, LLP
Charlotte, N.C.
Bradley Sharp
Development Specialists, Inc.
Los Angeles
Ms. Brighton is replacing Bob Keach as co-chair of the Business Reorganization Committee, as Bob has assumed the role of ABI’s Vice President Education.
After the introductions, the Committees attended a panel presentation titled “The Power of Information: Who Gets What and How Can They Use It?,” which focused on dissemination and control of information during a chapter 11 case. The panel was moderated by Mr. Sharp and included William Weintraub of Pachulski, Stang, Ziehl, Young, Jones & Weintraub LLP in New York and Daniel Golden of Akin Gump Strauss Hauer & Feld LLP, also in New York. The panel discussed a wide range of issues but focused on the intent of the new code §1102(b)(3) and its practical implications. The panel essentially agreed that most new cases are looking to establish communication protocols to limit the sharing of sensitive information.
The panel also discussed the efficacy of trading walls and the appropriateness of Committee members trading in securities of the debtor.
The Committees would like to thank the panelists and attendees for an interesting and informative presentation.