By Becky Yerak

 

Revlon Inc. received bankruptcy court approval to pay a total of between $14.5 million and $36 million in potential bonuses to eight insiders.

The beauty-products business, which sought protection from creditors in June, could make the variable payments over 18 months to keep the top senior executives on board as it reorganizes in chapter 11.

The only party objecting to the compensation program was the Justice Department's bankruptcy watchdog, which questioned whether the financial targets were "layups."

Judge David Jones ruled at a hearing Wednesday in the U.S. Bankruptcy Court in New York that the goals are "tall orders" since Revlon must overcome supply-chain problems and must get its products on retail shelves in time for the holiday season. Rising interest rates are another challenge, he said.

Judge Jones also said he was also reassured by the fact that Revlon's unsecured creditors committee also supports the incentive program.

 

Write to Becky Yerak at becky.yerak@wsj.com

 

(END) Dow Jones Newswires

September 14, 2022 13:22 ET (17:22 GMT)

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