“Tim Cook, who marked his five-year anniversary as Apple Inc.’s chief executive officer on Wednesday, received shares valued at $373 million during that period as the iPhone maker’s stock doubled on his watch,” Bloomberg reports.
“When Cook took the helm in 2011, he was granted 1 million shares. Originally, 50 percent of those were scheduled to vest on his five-year anniversary, with the rest coming due after a decade with the company,” Bloomberg reports. “That changed in 2013, when Cook voluntarily tied one-third of the award to outperforming the S&P 500 Index and the shares began vesting annually.”
“That hasn’t slowed him down much. He’s received 98.6 percent of the units available to him in his first five years, according to data compiled by Bloomberg,” Bloomberg reports. “Those were valued at $373 million at Wednesday’s close — and he can still earn the same number of shares over the next half decade.”
Read more in the full article here.
MacDailyNews Take: As Bloomberg notes, Cook has smartly used buybacks and dividend increases to help ensure that Apple stock outperformed the S&P 500 which, of course, serves the long-term interests of Apple shareholders.
SEE ALSO:
Tim Cook set to receive over $100 million on 5th anniversary as Apple CEO – August 24, 2016
Pretty good wages for not doing much of anything for Apple.
Years ago when the succession plan was announced and then Cook received the restricted AAPL stock grants, I was bashed for suggesting that they were far too generous – that no one should be pulling that kind of equity out of a publicly owned and traded company. I liked Cook, but was questioning why he (or anyone else) is worth hundreds of millions, and why this pay disparity is tolerated by shareholders.
I still support Tim Cook, although I have noted some things that could have been handled better. But I maintain my argument that no one is worth that kind of money. I might be willing to make an exception for Steve Jobs, though, because he lived for the company.
While that is a fairly obscene amount of money, it was performance based and Apple’s stock price doubled during his tenure.
One man’s “obscene” another man’s “peanuts.”
CNN: Bill Gates is now worth $90 billion – August 23, 2016
It’s been about 10 years since Bill Gates pledged to give all his money away to charities. I guess he means after he dies.
Only person in history worth a $373m paycheck was Mariano Rivera. 🙂
“Mariano Rivera” is spanish for “another blown save against the Red Sox.”
For your enjoyment, fan of the most overpaid underperforming assholes in the MLB:
• MLB Saves Champion: Mariano Rivera
• NY Yankees World Series Championships: 27
•Boston Blow-Sux: 8.
The defense rests.
World Series Championships this millennium:
Boston Red Sox: 3
NY Yankees: 1
3:1.
Give my regards to Hal and Hank. Great ownership, really beneficial (for the Red Sox).
Hint: Everybody with a brain hates the fscking Stankees. It’s like cheering for Microsoft back in the day. The Stanks are a bandwagon for losers who have nothing going on in their own lives and need to glom onto an outfit that b̶u̶y̶s̶ used to buy championships, so they can feel better about their loser lives.
World Series Championships:
New York Yankees: 27
The Whore Of Babylon: 8
(just in case you missed that stat above.)
World Series Championships this millennium:
Boston Red Sox: 3
NY Stankees: 1
3:1.
(just in case you missed that stat above.)
Speaking of millennia, it was nearly a century between 1918 and 2004…I guess you’re proud of that great “tradition” too.
Well, let’s have the smashing end of that game while we’re at it.
I like Big Papi too…and Pedroia.
“A monkey could’ve babysat Apple for a lot less.”
So you’re available?
Mac Moron is totally incompetent, lazy, childish and an embarrassment to the entire tech posting industry!
Tech posting industry? You get paid for posting your insults?
Notice I said HE is an embarrassment to the entire tech posting industry. Naturally he gets paid for his drivel. What else explains it? No self-respecting poster would post the infantile way he does otherwise unless he’s a complete and utter asshole… oh wait.
Worth every penny:
https://ca.finance.yahoo.com/echarts?s=AAPL#symbol=AAPL;range=5y
That fundraiser for Hillary is already paying off.
Got to keep your cronies well paid and in office.
True dat, hrc is the best politician money can buy!
Except he bought a NBA team and I think he’s still on the board for microsoft 😉
Stop being jealous guys, Tim Cook will donate all of his money when he retires. TC is diligently working hard along with his teams, on top of hearing you guys, the press, analysts, CNBC bashing him constantly. If not for that so much cash hoarding and huge profits, TC would already be in big trouble like Marisa Mayer of Yahoo by now. The big powerful guy in Wall Street punishes TC by pushing down AAPL undervalued.
TC has endured so much, however; in the end he will donate all of his money for a good causes. so stop being so envious people.
Poor assumption, iSmile. I am not envious at all. I simply feel that the upper management and Boards of Directors of large corporations are taking advantage of the power given to them to extract much more wealth from the system than is reasonable or fair. They play by an entirely different set of rules compared to the rank and file worker. There is a myth that only a handful of elite people can handle the upper management jobs and, thus, they should be paid like elite athletes. This type of thinking is both a cause and a symptom of the growing disparity of wealth and power in this country.
While I tend to agree that Tim Cook will be highly charitable with his money, thst is no excuse for showering him with corporate assets – assets owned by the *shareholders* of Apple, and assets for which the BoD and corporate management have fiduciary responsibility. Sure, AAPL doubled under Tim Cook. But there are plenty of examples in which companies plummeted or even failed under CEOs who were also paid richly. Many are given the boot with golden parachutes worth tens of millions of dollars. If an ordinary worker does a poor job and gets the boot, he or she likely gets little to nothing. Different rules, again.
Looking back five years and saying that Tim is worth it is false logic. You did not know the outcome five years ago, nor can you predict with any certainty the future five years from now as Tim Cook receives the other half of his shares. And this is bigger than Tim Cook…much bigger. This is a cancer spread across corporations, in general.
And tying CEO compensation to stock performance is not necessarily a great idea, either. There are plenty of cases in which a stock will rise or fall regardless of what the CEO might do. And there are also financial steps that can be taken to boost a stock, at least for a while, that are not necessarily beneficial to a corporation over the long term. For example, some CEOs come in, institute draconian cost-cutting measures, ride the short term stock boost, and then receive even more wealth when the comepoany starts tanks a couple of years later and he/she is kicked out. There are many other scenarios that follow the same basic pattern. I am not saying that Tim Cook is doing this, but his level of compensation is unreasonably high, IMO.
Still way less than Zuckerberg or Page at Google, guess that’s what you get when you’re just an employee.