Apple's New CEO Takes the Helm with a Hefty but Performance-Based Pay Package

John Ternus has taken over as Apple's new CEO, replacing Tim Cook who transitions to executive chairman. The SEC filing revealed that Ternus' target compensation for fiscal 2027 is $58 million, significantly lower than Cook's previous annual pay of $74 million.

Ternus' package includes a base salary of $3 million and an equity award worth $55 million. A quarter of this equity is time-based, vesting over four years, while the remaining three-quarters is tied to Apple's total shareholder return relative to the S&P 500.

Cook will receive a $2 million salary and an equity award targeting $45 million in fiscal 2027. His compensation is split evenly between time-based and performance-based equity, with half vesting over four years and the other half based on Apple's stock performance.