Dow
     -89.23
12801.23
-0.69%
 |
S&P 500
     -9.31
1342.64
-0.69%
 |
Wil 5K
     -108.90
14000.51
-0.77%
 |
Nasdaq
     -23.35
2903.88
-0.80%
 |
EAFE
     -1.03
53.27
-1.90%
 |
OPEC Oil
     +1.09
116.27
+0.95%
 |
10Y Yield
     +0.01
2.01
+0.42%
April 30, 2009 10:50 AM

Crispin Porter & Bogusky and Kirshenbaum Bond Owed $47 Million by MDC Partners

By
Jim Edwards
(MoneyWatch)  It's not feeling much like a recession for the founders of Crispin Porter & Bogusky and Kirshenbaum Bond & Partners: their corporate parent, MDC Partners, owes them an estimated $47 million in earnout payments and stock between now and the end of 2010.

The news came in the slideshow that accompanied MDC's Q1 2009 earnings call. Slide 12 shows "Estimated Earnout Impact" but doesn't mention the agencies (click on image to enlarge).

In MDC CFO David Doft's commentary, he said:
Slide 12 summarizes estimated outstanding earnout obligations. The significant commitments coming due in 2010 relate to estimated earnout payments due to Crispin, Porter & Bogusky and Kirshenbaum Bond & Partners in the early part of the year.

These estimates could change depending on the performance of these entities in 2009.
He also noted that just over $2 million in earnout payments were paid to MDC agencies during Q1.

So if Richard Kirshenbaum, Jon Bond and Alex Bogusky have been walking around the office with big smiles on their faces, this would be why.

© 2009 CBS Interactive Inc.. All Rights Reserved.
.
Scroll Left
Scroll Right More »
CBS News on Facebook
  • Building You a Better Morning

  • CBS This Morning

    "CBS This Morning," anchored by Charlie Rose, Gayle King and Erica Hill, airs weekdays from 7 to 9 a.m. ET and at the same time in other time zones.
    Learn more...