Apple CEO and Paul O’Grady lookalike Tim Cook's package swelled to more than $10m in 2015 – but he still can’t take family members on work trips unless he coughs up himself.
According to an SEC filing, the company “significantly exceeded the maximum goals” set by the Compensation Committee, meaning that Cook and his generals bagged the biggest achievable payout.
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Net sales grew to $233.7bn, up 28 per cent year-on-year, operating profit bounced 36 per cent to $71.2bn and earnings per share was $9.22, up 43 per cent. Apple closed off 2015 with a market cap of $639.9bn.
Cook was paid $2m in base salary, up from $1.75m the prior year. This will rise to $3m for 2016. The exec was also awarded $8m under the non-equity incentive plan up from $6.7m, and given $281k in the “other” bracket.
This means Cook received 14.4 per cent more financial reward for his work than in 2014. Obscene? Maybe. But that’s what comes from running one of the largest tech firms out there.
Apple also stated in the filing that it still doesn’t have its own private plane and on occasions when Cook and other execs want to charter one and bring partners of family members they have to fork out.
“Accordingly, there is no incremental cost to Apple for family accompaniment on chartered business flights.”
Other Apple execs were also handsomely rewarded last year. CFO Luca Maestri got $25.3m in total; retail and online sales SVP Angela Ahrendts got $25.7m; while Eddue Cue, the SVP of Internet Software and Services, Dan Riccio, SVP of hardware engineering and Bruce Sewell, general counsel, all got a little over $25m.
It must be noted that Cook also has long-term stock options of one million shares if he stays at the helm until 2021, which, at the current share price of $98.90, are valued at $985.4m.
Apple’s share price has fallen below $100 for the first time since August, dropping 15 per cent in the last month alone.
iPhone sales helped counter falling demand for iPads last year but Apple is reportedly lowering orders of the Jesus Mobe to ODMs in the Far East.
Unless Apple monumentally crashes in the next five or so years, Cook is set to get enough money to build a robot army and take on North Korea, if he wanted to. Seems unlikely.
Cook has said that once he’s put some members of his family through college, he’ll give the rest of his riches away to charity at some point before he shuffles off this mortal coil. Presumably right before he does. ®