WICHITA, Kan. (AP) — Hawker Beechcraft wants to pay eight senior executives more than $5.3 million in bonuses as it tries to emerge from bankruptcy, but the request was challenged Monday by the Justice Department’s bankruptcy watchdog agency and mocked by the company’s machinist union.
The Kansas-based airplane maker hasn’t shown that its proposed bonus plan is not a “disguised retention plan,” U.S. Trustee Tracy Hope Davis argued in documents filed in bankruptcy court in New York. Bonus plans are allowed but must do more than simply reward managers for staying during a bankruptcy reorganization.
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