After taking over Steve Jobs’ position last year, Apple’s new CEO Tim Cook gets an astounding compensation package of $380 million. But don’t get so overwhelmed just yet as the reported compensation package actually includes a stock award worth $376 million which is scheduled to vest within a 10-year period.
The one million Apple shares is regarded as a “promotion and retention award.” This means half of the shares will vest in 2016 and the remaining half in 2021 if Cook stays with Apple. So basically, the compensation isn’t only for 2011 as others might have misunderstood.
The rest of the package is made up of his salary and incentive bonus worth $900,000 each. Cook’s compensation package is arguably one of the highest given to a CEO. In contrast, although Steve Jobs received only a dollar for his annual salary, he owned 5.5 million shares in the company which amounts to over $2 billion.
Tim Cook succeeded Steve Jobs after the latter stepped down from his position in August last year due to his deteriorating health condition. Even before Cook became the CEO of the tech giant, he had been filling in for Jobs who had several medical leave of absences in the hope of overcoming pancreatic cancer. Steve Jobs died in October of the same year, just weeks after his resignation.[via CBS News]
- Former Apple employee writes an email to Tim Cook addressing a sensitive topic (macgasm.net)
- Steve Jobs’s Paycheck: $1. Tim Cook’s Paycheck: $378 Million. (allthingsd.com)