Scandal-hit US cable company Adelphia Communications has won judicial permission to pay its new bosses nearly $41 million (€37.3m; £25.6m).
Bankruptcy judge Robert Gerber approved the controversial package Tuesday. New chairman/ceo William Schleyer will receive up to $24.6m in salary, bonuses and stock options over the next three years, while president/chief operating officer Ronald Cooper will get $16.2m.
Former AT&T Broadband executives Schleyer and Cooper will restructure Adelphia as it struggles with $20 billion of debt, the prospect of investor lawsuits and accusations that it was looted by the Rigas founding clan.
The duo’s arrival has been heavily criticised by shareholders, not least because of their eye-watering pay deals. Judge Gerber acquiesced to one of investors’ demands, ordering the removal of a term in Schleyer’s contract under which he would be paid $7.6m if the board dismissed him for “good reason”.
Data sourced from: The Wall Street Journal Online; additional content by WARC staff