Nice work if you can get it.

pms laflame at aaahawk.com
Thu Apr 11 22:38:48 PDT 2002


Top Story

Troubled Global Pays Chief's $8.8 Million Tax Bill

April 11 (The Daily Telegraph London) - Global Crossing, the troubled telecoms company, is to pay an $8.8m (pounds 6.2m) tax bill for its chief executive, even as creditors scramble to salvage assets from one of the worst ever business collapses.

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The payment to John Legere must first be approved by a New York court that is overseeing Global's attempt to emerge from bankruptcy protection.

It is understood that investors have approved the deal, however, in return for securing a cut in the chief executive's salary and gaining approval over his future bonuses.

Mr Legere's pay has been a subject of controversy ever since he took the top job, moving from running Global's Asian arm.

He received a $3.5m signing on fee and was forgiven $10m in company loans - payments he argues were needed to compensate him for stock options he gave up at Dell, his previous employer.

The near $9m tax bill payment was revealed on the day Global said it would take a write-down of $8 billion, reflecting the plunge in the value of many of its assets.

Global filed for bankruptcy protection last year with debts of $12 billion - the telecom industry's most spectacular collapse.

(C) 2002 The Daily Telegraph London. via ProQuest Information and Learning Company; All Rights Reserved.

http://www.slb.com/ba.cfm?baid=3&storyid=535098



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