Apple Inc. (NASDAQ:AAPL) Chief Executive Officer Tim Cook will be given compensation for 2011 worth $378 million, boosted by restricted stock awards that are payable over the next 10 years, including $376.2 million in shares that will vest starting in five years. Cook’s base salary was $900,000 in 2011.
Apple’s board led by Chairman Art Levinson presented the stock options to Cook to help guarantee he doesn’t pursue other job prospects. “No formula or peer group benchmark” was used to determine the amount, the company said. Steve Jobs, prior to his death in October, had given input about the pay package.
Cook isn’t the first to receive millions of dollars worth of stock option grants. In November, software executive Scott Forstall, hardware manager Bob Mansfield, Chief Financial Officer Peter Oppenheimer, marketing chief Phil Schiller, General Counsel Bruce Sewell and operation manager Jeff Williams were each given 150,000 restricted shares, which vest between 2013 and 2016, according to regulatory filings. Eddy Cue, who handles Internet software, was also given 100,000 shares subsequent to receiving 100,000 when he was promoted to senior vice president last year.
CEO Jobs’ compensation was $1 every year, although the board awarded him stock grants. He owned 5.5 million shares at the time of his death. The Apple co-founder took three medical leaves before stepping down as CEO in August, with Cook filling in for him each time.
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