Their jobs are safe…

Late last week, Zhone Technologies (TELM) announced that it was acquiring Paradyne Networks (PDYN) in a $150 million deal and it didn’t take long for papers to note that many of Paradyne’s 375 employees are likely to lose their jobs in the deal.

But Paradyne’s top two execs — CEO Sean Belanger, 49, and CFO Patrick Murphy, 48, — have managed to secure future income streams for themselves. Post-merger, both will be well-paid consultants, and will receive the equivalent of their salaries plus annual bonus, even though as consultants, they’re unlikely to be putting in full days at the office. But wait..that’s not all. Belanger and Murphy also entered into “restrictive covenenat agreements” that will see them collecting $255K and $240K respectively for the next four years. There’s also oodles of Zhone options — 931,962 for Belanger — and gross-up payments. The deal seems particularly rich given Paradyne’s performance since Belanger and Murphy have been running the show.