Sens. Warren, Booker Grill Bed Bath & Beyond on Severance Pay

Sens. Elizabeth Warren (D-Mass.) and Cory Booker (D-N.J.) grilled Bed Bath & Beyond executives on Wednesday about the company’s decision to pay millions of dollars in severance to its former CEO, Mark Tritton, even as the company was struggling financially.

The senators sent a letter to Bed Bath & Beyond’s board of directors asking for more information about the severance package, which included $16 million in cash and $22 million in stock awards.

“At a time when Bed Bath & Beyond is facing significant financial challenges, it is deeply concerning that the company is paying out millions of dollars in severance to its former CEO,” Warren and Booker wrote in the letter. “This decision raises serious questions about whether the company’s board is putting the interests of its shareholders first.”

In the letter, the senators also asked the board to provide information about Tritton’s performance as CEO and the reasons for his departure. They also asked for information about the company’s overall compensation practices.

Bed Bath & Beyond responded to the letter, saying that the severance package was “consistent with the terms of Mr. Tritton’s employment agreement.” The company also said that the board “acted in the best interests of the company and its shareholders” in approving the severance package.

The senators’ letter is the latest in a series of criticisms of Bed Bath & Beyond’s corporate governance. In recent months, the company has been under pressure from activist investors to make changes to its board and management team.

Bed Bath & Beyond is facing a number of challenges, including declining sales and a heavy debt load. The company has announced plans to close hundreds of stores and cut thousands of jobs.

The senators’ letter is a sign that they are concerned about the company’s financial situation and its corporate governance. They are likely to continue to pressure the company to make changes.