Apple’s executives each awarded stock worth US$19 million

Madeleine Swain
7 March, 2014
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Anybody out there wondering how Apple’s outgoing chief financial officer, Peter Oppenheimer felt comfortable heading for retirement at the age of just 51, will be nodding sagely at the news today of another generous handout to the company’s top executives.

Remember it was only December last year that Oppenheimer was among a group of four who received bonuses of US$1.75 million on top of their US$866,000 annual salaries, for a total of around US$2.6 million each.

This time, of course, Oppenheimer misses out, but his workmates have been granted 35,780 restricted stock units (RSUs), which as prices stand would net them each over US$19 million.

The six people in the list were awarded the RSUs, scheduled to vest in three intervals over the next four years.

“Each executive received a first batch of 22,738 RSUs that will vest in equal parts on the first day of April in 2016, 2017 and 2018,” reports AppleInsider. “The second and third award chunks are more performance-driven and will vest depending on Apple’s relative total shareholder returns. A set of 6626 RSUs is dependent on performance from 29 September 2013 through to 29 September 2015, and between 0 to 200 percent of the reported ‘target’ number may vest on 1 October 2015. A batch of 6416 units are to vest under the same conditions on 1 October 2016 with performance shareholder return gauged from 29 September 2013 to 26 September 2016.”

The half-dozen lucky recipients were Apple senior vice president of Operations Jeffrey E Williams, general counsel and senior vice president of Legal and Government Affairs Bruce Sewell, senior vice president of Worldwide Marketing Phil Schiller, senior vice president of Hardware Engineering Dan Riccio, senior vice president of Software Engineering Craig Federighi and senior vice president of Internet Software and Services, Eddy Cue.

When you look at the profiles page of Apple’s top executives, there are actually nine names listed – the above six plus Sir Jonathan Ive, CEO Tim Cook and the aforementioned Oppenheimer.

If we discount Oppenheimer as he’s leaving and Cook because he is, after all, the boss, and presumably on a different planet, salary-wise, that just leaves Ive out in the cold. Why no love for Jony? After that little fluttering of ‘has he been pushed?’ when his profile briefly disappeared from the executive line-up in February, perhaps there is something in the air after all?

AppleInsider suggests, “As it has in the past, the company is likely issuing the restricted units as an incentive to keep production levels high.” So maybe it’s simply that Ive is such a Trojan he needs no incentive to keep doing what he does, or the powers that be simply don’t think he can get any higher…

 

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