Borden Dairy looks to implement employee retention, incentive plans

By Caroline Salls

Pittsburgh, May 11 – Borden Dairy Co. requested court approval to implement a key employee retention plan and a key employee incentive plan, according to a motion filed Friday with the U.S. Bankruptcy Court for the District of Delaware.

“The KERP and KEIP plan is designed to (i) encourage the retention of certain valuable, hard-to-replace, non-senior management and non-insider employees; and (ii) provide performance incentives to certain senior management,” the motion said.

Borden said there are currently 44 KERP participants, who will receive a total potential payout of $2.03 million. Of that amount, a $250,000 discretionary pool will be distributed among roughly 400 staff employees at management’s discretion. The company said the discretionary pool will not be used for the 44 KERP participants.

Meanwhile, there are eight KEIP participants, with a maximum bonus payout of $2.02 million.

A hearing is scheduled for May 27.

Borden is a Dallas-based dairy company. The company filed bankruptcy on Jan. 5 under Chapter 11 case number 20-10010.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.