Eastman Kodak has asked regulators to let it pay $13.5 million worth of bonuses to executives in an effort to retain talent as it undergoes bankruptcy procedures, according to the Associated Press.
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The Rochester-based company, which filed for bankruptcy protection at the end of January, said the money would go to some 300 executives and other employees that have knowledge and skills critical to the company’s overhaul.
More than half of the money, about $8.5 million, would go to 119 middle managers whose names were shielded from the filing, according to the report. Kodak said they would receive bonuses equivalent to 25% to 50% of their base salaries.
The remaining 200 employees in the bonus pool would share about $5 million of the sum, which would amount to about 25% or less of their base salary.
The company, which thrived for some 130 years before struggling to adapt to sweeping digital technology and falling to competition, said it could not pay out any other bonuses due to a lack of funds.
Meanwhile, Kodak recently told retirees that it has temporarily withdrawn its motion to end supplemental healthcare benefits for about 16,000 Medicare-eligible retirees and instead create a committee dedicated to examining the issue.
The company is required to produce a turnaround plan by Feb. 15, 2013.