Ward’s Execs Get Bonus Packages

Montgomery Ward Holding Corp. won a judge’s approval for lucrative severance and bonus packages - as much as $3.9 million in one case - to keep top managers with the retailer during bankruptcy reorganization.

U.S. Bankruptcy Judge Peter Walsh approved the incentives to ensure that the company has stable leadership while it struggles to regain profitability. The 125-year-old chain filed for bankruptcy court protection from creditors in July after years of anemic earnings and dwindling sales. It has since closed 100 stores in an effort to stem losses.

Last month, Walsh approved a plan that could pay middle managers and salespeople as much as $124 million in bonuses and other compensation if they stay with the retailer through the end of 1998.