Introductory paragraph:
"Based upon the information set forth in the KEIP Motion, the KEIP plan does not satisfy the requirements of Section 503(c) of the Bankruptcy Code. The Debtors seek to implement an alleged incentive plan to pay up to $20.1 million to a mere five admitted insiders. The KEIP Motion, however, fails to demonstrate that the threshold levels needed to pay bonuses is a difficult target. Incredibly, the underlying documentation reveals that the threshold bonus metrics are well below the Debtors’ current projections. The KEIP, therefore, is primarily for retentive purposes. As primarily a retention plan it cannot be approved unless the Court finds evidence in the record that each insider has a bona fide job offer from another business at the same or greater rate of compensation, the services of the insider are essential to the survival of the business, and the proposed bonus meets certain monetary benchmarks. See Section 503(c)(1). None of these factors have been addressed by the Debtors. The KEIP Motion must therefore be denied on the grounds that the Debtors have failed to meet their evidentiary burden of proof to show that the proposed bonus payments comply with Section 503(c) of the Bankruptcy Code."
http://www.kccllc.net/windstream/document/1922312190503000000000015