Don’t Feel Sorry for Apple CEO’s ‘Pay Cut’

by Christopher Freeburn | December 28, 2012 12:05 pm

Don’t Feel Sorry for Apple CEO’s ‘Pay Cut’

Tim Cook 2009 cropped 242x300 Dont Feel Sorry for Apple CEOs Pay Cut[1]For fiscal 2012, which ended in September, Apple (NASDAQ:AAPL[2]) paid its CEO, Tim Cook, a relatively tame $4.2 million[3].

That included $1.4 million in salary, $17,000 in contributions to his retirement plan, and a $2.8 million bonus. But it’s a far cry from fiscal 2011, when Apple’s board awarded him 1 million company shares, half of which vest in 2016 and the remainder in 2021. Those shares are currently worth $510 million, the Associated Press noted.

The board didn’t award Cook any additional shares this year. However, he did manage to vest $140 million in previously awarded shares during 2012. Earlier this year, Cook declined a $75 million dividend payout on his shares[4].

While Cook didn’t get more shares, a number of other senior executives, including CFO Peter Oppenheimer, engineer Robert Mansfield and General Counsel Bruce Sewell got awards worth tens of millions of dollars.

Cook, formerly Apple’s chief operating officer, succeeded Steve Jobs as CEO in 2011, after the company’s iconic co-founder lost a long-running battle with cancer[5].

Endnotes:
  1. [Image]: http://investorplace.com/wp-content/uploads/2012/05/Tim_Cook_2009_cropped.jpg
  2. AAPL: http://studio-5.financialcontent.com/investplace/quote?Symbol=AAPL
  3. a relatively tame $4.2 million: http://hosted.ap.org/dynamic/stories/U/US_APPLE_EXECUTIVE_COMPENSATION?SITE=AP&SECTION=HOME&TEMPLATE=DEFAULT&CTIME=2012-12-27-13-16-53
  4. dividend payout on his shares: http://investorplace.com/2012/05/apple-ceo-declines-75m-dividend-payout/
  5. lost a long-running battle with cancer: http://investorplace.com/2012/10/apple-after-a-year-without-steve-jobs/

Source URL: http://investorplace.com/2012/12/dont-feel-sorry-for-apple-ceos-pay-cut/
Short URL: http://invstplc.com/1fwAfyJ