Delivery Agent Inc., which helps entertainment and sports operations sell products online, is seeking to pay top executives up to $3 million in bonuses during its bankruptcy proceedings, the Wall Street Journal reported on Friday. The e-commerce company outlined a plan to reward six executives, including Chief Executive Mike Fitzsimmons, with bonuses tied to the success of its pending sale, according to court papers filed on Thursday with the U.S. Bankruptcy Court in Wilmington, Del. Delivery Agent said in a court filing that the bonuses will be granted “only upon the successful closing of a sale or sales of Delivery Agent’s assets, and, therefore, are directly linked to results.” At next month’s auction, Hillair Capital Investments LP will start the bidding for Delivery Agent’s assets with its offer to forgive nearly $19 million in debt through a so-called credit bid. At a minimum, executives, such as Chief Financial Officer Jeff Hagan and President of E-Commerce Peter Lai, will be eligible for bonuses if a winning bidder pays enough to satisfy Hillair’s debts plus an extra $2 million. If winning bidders offer more than that, the bonus payments will increase, for a maximum payout of $3 million. The U.S. Bankruptcy Court in Wilmington, Del. is expected to review the bonuses at a Nov. 17 hearing. Any objection to the pay proposal plan must be filed with the court by Nov. 10.
