Kmart Ceo Invests Bonus In Stock

Kmart Corp.’s top executive says he will invest his $1 million bonus in the company’s stock in anticipation that he will turn the struggling discount retailer around.

Floyd Hall, Kmart’s chairman and chief executive, already owns 500 shares of the company’s stock.

He has a $1 million base salary and a guaranteed first-year bonus of $1 million. He plans to buy the stock in March.

Kmart has endured 11 consecutive quarters of disappointing earnings or losses, which with rumors of bankruptcy have contributed to a 50 percent drop in its stock price since June.

Hall has been criticized on Wall Street for not being more aggressive and forthcoming in dealing with Kmart’s troubles.

“We have a strategic plan,” he told the Detroit Free Press. “We weren’t talking about the strategic plan because we weren’t ready.”