Bankrupt Toys 'R' Us wants to pay out millions of dollars in executive bonuses.
Toys "R" Us has asked the bankruptcy court for permission to pay $16 million in bonuses to its top executives if the company is able to hit some financial targets during the upcoming holiday shopping season. Toys "R" Us filed for bankruptcy in September, and now must get court approval for many of its basic business decisions. The court will have the final say on its incentive plan. In the filing made with the court Wednesday the company argues the bonuses are necessary to get executives to perform at a high level during its bankruptcy.
The holiday bonus plan could actually pay out $32 million.
While the company asked for $16 million, the bonus plan could actually pay out $32 million if the company reaches much better than expected profit targets. The filing says that's a result the company "will find very difficult to achieve."