City of Los Angeles Objects to Compensation Plan for Adelphia's Top Executives
The City of Los Angeles has asked the U.S. bankruptcy court overseeing the reorganization of Adelphia Communications to deny the company’s motion to approve the compensation packages that Adelphia’s board negotiated with the company’s two top executives.
Last month, Adelphia’s board approved compensation packages valued at more than $45 million for its choices to become the company’s chief executive officer, William Schleyer, and chief operating officer, Ronald Cooper. Before being tapped by the Adelphia board to head the troubled company, Schleyer and Cooper had been the top executives at AT&T Broadband, now Comcast.
In the filing, the City of Los Angeles described the compensation packages as “excessive”, “unjustified” and “irresponsible,” and asked the court to deny the company’s motion to approve the deals.
In related action, Schleyer said that he might not accept the job as Adelphia’s CEO if the bankruptcy judge decides that his compensation package, valued at nearly $25 million over three years, should be reduced. Schleyer said that he deserves the amount he negotiated with the board in order to head a company that is an much in debt as Adelphia.
On February 15, CWA also filed objections to the executives’ compensation packages. Like the City of Los Angeles, CWA said the pay plans should be cut back to reasonable levels considering the cutbacks affecting the company and its employees.
Click here to read the article on CWA’s website for cable workers.
Click here to read the company’s filing in an Adobe Acrobat (PDF) file.
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