Fund for Toys 'R' Us Workers Is 'Bold and Exciting,' Ken Feinberg Says

The transcript discusses the bankruptcy of Toys R Us and the establishment of a fund by Bain and KKR to compensate former employees. The fund aims to distribute $20 million to over 19,000 employees, with potential for additional contributions. The discussion includes reactions from investors, the setup of the fund, and the importance of managing expectations. The initiative is seen as a potential precedent for future cases involving financial distress in retail companies.

What is the range of compensation that former Toys R Us employees might receive from the fund?

• $1,000 to $20,000

• $500 to $15,000

• $200 to $13,000

• $100 to $10,000

Who are the two companies responsible for setting up the compensation fund for Toys R Us employees?

• Toys R Us and Solus

• Bain and KKR

• Solus and Bain

• KKR and Solus

What is the role of Ken and Camille Biros in the compensation fund?

• They are responsible for funding the program.

• They are tasked with designing and administering the fund.

• They are former employees receiving compensation.

• They are investors in Toys R Us.

What is the potential impact of the Toys R Us fund on future cases like Sears?

• It sets a legal requirement for all companies.

• It guarantees compensation for all retail employees.

• It might serve as a model for future hardship funds.

• It has no impact on future cases.

What is the main challenge in designing the compensation fund according to Ken?

• Avoiding legal issues with the fund.

• Raising false expectations about the fund's impact.

• Ensuring all employees receive equal amounts.

• Finding enough donors to contribute.

Why is it important to manage expectations about the fund's impact?

• To ensure all employees are satisfied.

• To prevent misunderstandings about what the fund can achieve.

• To increase the amount of donations.

• To comply with legal requirements.

What is the total amount of money that Bain and KKR have committed to the fund?

• $10 million

• $75 million

• $50 million

• $20 million