Coach Tells Outgoing Exec: If We Don't Sell Your Label, We're Cutting $3 Million From Your Bonus

Coach will slash the bonus of its soon-to-be-former chief creative director by $3 million if a binding agreement for the sale of his label doesn't happen by July 29, Bloomberg reports. The maximum bonus for creative director Reed Krakoff was 200 percent of salary under his employment agreement, Coach said in a regulatory filing with the U.S. Securities and Exchange Commission today, without disclosing its amount. In September, the handbag maker said his current salary was $2.85 million. Story