Apple CEO Tim Cook Receives First Major Stock Grant Since 2011
The grant, worth $114 million, ensures that the newly minted billionaire will be highly compensated through to 2025.
According to an SEC filing on Tuesday, Apple CEO Tim Cook has received his largest stock grant since 2011.
Apple Inc. granted Cook 333,987 restricted stock units that will vest in thirds annually from 2023 onwards, with the potential to earn up to 667,974 more should he hit performance targets. Should Apple continue to perform well, Cook will receive 1,001,961 shares in the company by 2025 – a figure similar to the 1 million share grant he received after becoming CEO in 2011.
With Tuesday’s closing price of $114.09 per share, Cook could potentially receive $114 million worth of Apple stock. That amount will obviously fluctuate depending on the stock’s performance in the coming years.
Cook is currently in the ninth year of his 10-year grant from 2011. Stock grants are his primary compensation for his role as CEO, though he also receives a salary and annual bonus. In 2019, he received a salary of $3 million and a $7.67 million bonus, though his overall compensation reached $125 million after adding stock.
“Tim has brought unparalleled innovation and focus to his role as CEO and demonstrated what it means to lead with values and integrity,” said Apple’s board of directors in a statement. “For the first time in nearly a decade, we are awarding Tim a new stock grant that will vest over time in recognition of his outstanding leadership and with great optimism for Apple’s future as he carries these efforts forward.”
Cook, who became a billionaire last month, has stated that he intends to use his wealth to pay for his nephew’s college education, then donate the rest to charitable enterprises.
