Michael Milken isn't going to let a little thing like prison stop him from cutting deals. The convicted felon on Feb. 14 reached a tentative $1.3 billion settlement of civil suits filed by his former employer, Drexel Burnham Lambert, regulators, and individuals.
While the final agreement must still be signed, the pact requires Milken to throw in $500 million--$190 million in cash and $310 million from his stake in partnerships set up for Drexel employees. As now proposed, the former junk-bond king will have three years to sell partnership assets while serving the remainder of his sentence in a California federal prison. The deal leaves Milken with millions of dollars in personal and family assets.