What you need to know
- Tim Cook is being rewarded for the performance of Apple.
- He received $115 million worth of Apple stock as a result of meeting performance requirements.
- In total, he sold 265,160 Apple vested stocks.
Tim Cook just got a sweet bonus for the performance of Apple. According to a new filing with the Securities and Exchange Commission (via 9to5Mac), Tim Cook received $115 million worth of vested Apple stock for exceeding performance requirements.
Here's how the SEC breakdown the performance requirements.
The number of performance-based RSUs that vested was determined based on Apple's total shareholder return (TSR), relative to the other companies in the S&P 500 over a three-year period from August 25, 2016 through August 24, 2019.
Apple's beginning value was calculated to be $108.01 (adjusted for dividends). Similarly, the ending value used for calculating TSR is the average closing price for the 20 trading days ending on August 24, 2019. Apple's ending value was calculated to be $216.24 (adjusted for dividends).
As part of his performance, Cook had 280,000 Apple shares set for his continued employment at the company and 280,000 shares for meeting certain performance goals. He checked off those two points, leading to the pay out of the vested Apple stock.
According to the report, 294,840 shares were withheld for tax purposes while the remaining 265,160 stocks were passed along to Cook, who sold them in three rounds this past Monday. The total pay out was $115 million.
That's not a bad reward for overseeing the performance of Apple.