MF Global U.K. Staff May Not Get Bonuses Pledged Before Failure
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MF Global Holdings Ltd.’s U.K. employees owed bonuses by the failed broker were placed behind most other creditors in the bankruptcy process and may never receive their money.
KPMG LLP, the administrator of MF Global’s U.K. unit, said cash bonuses would be treated as unsecured claims, near the bottom of the creditor pile. Unvested share awards and stock options for the unit’s 700 employees, valued at about $62 million for the year ending in March 2011, are virtually worthless with the stock trading at less than 8 cents yesterday.