- Apple CEO Tim Cook was granted 333,987 restricted stock units by Apple recently, worth approximately $38 million based on the current Apple stock price.
- Those units, which vest annually starting in 2023, are intended to keep Cook with Apple until at least 2025.
- Cook could earn an additional 333,987 shares in Apple stock — which could vest at 200% of their value — depending on Apple's performance across that period.
- In total, based on current Apple stock value, Cook has over $110 million in Apple stock.
- Visit Business Insider's homepage for more stories.
Apple CEO and billionaire Tim Cook was just granted tens of millions of dollars worth of Apple stock as an incentive to stay on with the company through 2025.
According to a Securities and Exchange Commission filing published this week, Cook received 333,987 restricted stock units in Apple — shares in the company that will vest across three years, starting in 2023. At the current market value, the shares would be worth nearly $40 million.
Apple's board of directors characterized the stock grant as a "recognition of his outstanding leadership" in a statement, but the role of granting restricted stock units to employees is retention — if Cook were to leave Apple before those shares vest, he wouldn't receive them.
In addition to the retention-based stock grant, Apple's board of directors also issued a performance-based grant: Should he meet certain goals tied to his performance as CEO, Cook would receive another 333,987 stock units — and they could vest at up to 200% of their value.
In total, should Cook stay with Apple through the end of 2025 and meet his performance targets, he could receive approximately $115 million in stock based on current market value. And given Apple's stock history, it's likely that the value when these units vest will actually be much higher than it currently is.
Cook became a billionaire earlier this year, primarily based on his salary at Apple, stock he owns in the company, and earnings from shares he's sold.
Got a tip? Contact Business Insider senior correspondent Ben Gilbert via email ([email protected]), or Twitter DM (@realbengilbert). We can keep sources anonymous. Use a non-work device to reach out. PR pitches by email only, please.
Source: Read Full Article