In the news this morning, the probe into battery fires on Boeing's Dreamliner expands, Disney's CEO got a big pay raise in 2012, Research in Motion could consider selling its hardware production unit or licensing its software, and workers and pensions hire their own advisor to represent them in Hostess's bankruptcy negotiations.
Investigators looking into problems with Boeing's (BA) Dreamliner have ruled out excessive voltage as a cause of recent battery fires on the jets. The search for a cause will now expand to consider the battery-charging system and the auxiliary power unit on the plane.
Bob Iger, the CEO of Disney (DIS), got an 18% pay raise in 2012, rising to $37.1 million. The biggest part of the increase was in the value of new stock option awards, which rose to $7.8 million from $4.8 million in 2011. Iger also received stock valued at $9.5 million, up from $8.1 million in 2011. Incentive pay was $16.5 million in 2012, compared to $15.5 million in 2011. Iger's salary was $2.5 million, up from $2 million, while security and air travel compensation was $800,700, down from $962,932 in 2011.
Research in Motion
Thorsten Heins, Research in Motion's (RIMM) CEO, told German newspaper Die Walt that the company could consider selling its hardware production business, or selling software licenses after it launches the Blackberry 10. Heins said the company would wait to see how successful the BlackBerry 10 is before deciding on a course of action.
Bankrupt Twinkie-maker Hostess is reportedly being advised by Gordian Group as it tries to sell its assets. Gordian Group was hired by union and pension funds to help keep jobs and benefits intact as the company talks with potential buyers. Gordian has no loyalties to the hedge funds or bondholders that control the company. The company is believed to be talking with Grupo Bimbo and a group led by Apollo Global Management (APO). The company has already agreed to sell its Wonder Bread and other bread brands to Flowers Foods (FLO) for $390 million. That sales is still subject to a court-supervised auction.