Hostess clarifies Rayburn’s compensation

by Eric Schroeder
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IRVING, TEXAS — Amid a flood of media reports that Gregory Rayburn, acting chief executive officer of Hostess Brands, Inc., will not take part in a company-wide pay cut or take bonuses, the Irving-based company issued the following statement today:

“Mr. Rayburn is a retained professional in the company's bankruptcy proceedings and, as such, his compensation is subject to the final approval of the Court. Since Mr. Rayburn is not a Hostess employee, he receives no health or other benefits. Similarly, he is not included in any incentive plans that have been approved by the Court for the wind down of the company.

“Mr. Rayburn remains committed to leading the wind-down efforts, including the marketing of the company’s assets, in order to maximize value for all stakeholders, including employees.”

Hostess’ wind-down plan was approved on Nov. 30 and includes $1.8 million in bonuses for executives. Mr. Rayburn was eligible for a bonus of between $375,000 and $1.125 million, but opted to forgo the money.

Mr. Rayburn was appointed by Hostess to act as c.e.o. after the company filed for bankruptcy for a second time. His monthly pay of $125,000, or $1.5 million a year, remains unchanged.
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READER COMMENTS (5)

By chite 2/12/2013 4:49:19 PM
ohhhhhhh poor greg raysluth no boner what a shame what`s next for the company killer. greg go look for chis donher i hear there`s a million dollar bonus for him. i just hope you ever run into an ex employee or there be a million dollar bonus on them

By Hostess bakers suck 12/10/2012 9:02:52 PM
The bakers took our jobs away from us. I'm glad they're unemployed, not eligible for unemployment, and now lost their pensions. They got what they deserved. Oh, but they claim they were going to find better jobs. Good luck on that. I hope they are all red flagged by all other unions.

By Hostess bakers suck 12/10/2012 9:00:23 PM
The bakers took our jobs away from us. I'm glad they're unemployed, not eligible for unemployment, and now lost their pensions. They got what they deserved. Oh, but they claim they were going to find better jobs. Good luck on that. I hope they are all red flagged by all other unions.

By Ex hostess 12/6/2012 11:56:11 AM
I hate the sound of these guys getting bonuses and glad that Mr. Rayburn opted out.We wouldn't be talking about this and I wouldn't be out of a job if the bakers had given a little more thought in their actions before they drew the line in the sand.I took my 8% pay cut (didn't like it at all)but was going to try and ride it out until I found some other empolyment.

By magpie58 12/6/2012 8:34:30 AM
wouldn't it be nice for the other ceo's to forgo their bonuses also. how many vacation days would that cover for those of us that were forgotton about?