Loehmann's Holdings Inc.’s top executive is in line to collect a bonus from the discount retailer, which filed for bankruptcy and plans to begin shutting down its 39 stores next month, Dow Jones Newswires reported yesterday. The Bronx, N.Y.-based company has proposed to pay Chief Operating Officer William Thayer and another employee up to $650,000 in bonuses, according to court papers filed Monday in U.S. Bankruptcy Court in New York. In court papers, bankruptcy lawyers said that Thayer has been "working the equivalent of three jobs" as the company prepares to hold a Jan. 3 auction for the right to liquidate Loehmann's stores, which employs about 1,600 people. The company has already received $19 million bid from a team of three liquidators: SB Capital Group LLC, Tiger Capital Group LLC and A&G Realty Partners LLC. Under the proposed bonus pay-out plan, the amount that Thayer collects would grow with the amount of money that the liquidation sales bring in. In addition, he would be required to provide "transition services," according to court papers.
