By: E&P Staff
With potential buyers facing a reported Halloween deadline to make their interest in Tribune Co. known, the Chicago-based media giant has provided to make a quick payout to top executives if all or part of the company is sold.
In a filing Tuesday with the U.S. Securities and Exchange Commission (SEC), Tribune said that on Oct. 18 its board of directors amended its bonus deferral, defined contribution and supplemental retirement plans to allow for quick lump-sum payments due top executives under the plans in the event of a “change in ownership or effective control of the company, or in the ownership of a substantial portion of the assets of the company.”
A special committee of independent directors was appointed last month to explore “alternatives for creating additional value for shareholders,” including the sale of all or parts of the company.
Tribune management has also hired an investment banker to come up with its own plan, which according to a person familiar with management thinking includes selling off several television and newspaper properties and taking the remainder of Tribune private.