$58M Pay Package for Apple's New CEO Ternus Comes with Performance Conditions
Apple's incoming CEO John Ternus is set to receive a hefty compensation package worth $58 million for fiscal 2027. The company has disclosed its pay structure, which ties his earnings closely to performance and tenure.
Ternus' package includes a base salary of $3 million and a $55 million equity award. However, the majority of this equity award - about 75% - will be performance-based, with payments contingent on Apple's results relative to other S&P 500 companies.
The remaining portion of Ternus' equity award will vest over four years based on his continued service. This means that a significant portion of his earnings is directly tied to the company's success and stability under his leadership.
Interestingly, Tim Cook, who has moved into the executive chairman role, will receive about $47 million for fiscal 2027, including a $2 million salary and $45 million in stock. This highlights the significant change in compensation structure that Apple is adopting with Ternus' appointment.