The U.S. Bankruptcy Court approved AgFeed Industries’ motion for entry of an order: (i) authorizing the Debtors to honor obligations in connection with certain key executive employment and incentive agreements with Edward Pazdro and Gerard R. Daignault; (ii) approving the Debtors’ key executive incentive plan (KEIP) and key manager incentive plan (KMIP) and (iii) authorizing payment of earned bonus program holdbacks to certain key executives. As previously reported, “In addition to their existing and ordinary course responsibilities, the KEIP Participants are also actively engaged in identifying, providing information to, and negotiating with potential purchasers, and in furtherance thereof, the KEIP Participants play a significant role in ongoing negotiations with such interested parties, the analysis of any potential bids, and the due diligence production that will be made in connection therewith….The Debtors believe that the KMIP Participants are critical to realizing maximum value from the Sale or series of sales. Such individuals are responsible during the sale period for maintaining the Debtor’s employment base, running certain key aspects of the Debtors’ business on a day-to-day basis, assisting Debtor’s counsel in the preparation of essential reporting and bankruptcy-related documents, responding to diligence request from potential buyers, and seamlessly transitioning the AgFeed USA assets (and related contracts, agreements and leases) to the ultimate purchaser of such assets. Specifically, upon the successful consummation and closing of the Sale or series of sales of the AgFeed USA assets, the KMIP Participant would be entitled to a one-time payment of $10,000.”
About Brandy Chetsas
Brandy L. Chetsas is editor in chief at Bankrupt Company News. She joined New Generation Research, Inc. in 1998. As Director of Strategic Content, she leverages 20+ years of communications and project management experience for the distressed investing sector--with particular expertise on corporate restructurings via Chapter 11. Brandy began her career writing for a law enforcement-related publication and teaching English courses at numerous colleges in the U.S. and abroad.