Apple's New Leaders Pocket Massive Pay Packages
Apple's new CEO, John Ternus, will receive a compensation package worth approximately $58 million. This includes a $3 million salary and an equity award targeting $55 million, which is performance-based.
The equity award will vest if Apple beats the wider market, specifically the S&P 500 index. Three-quarters of Ternus's equity award is tied to this performance metric, while the remaining quarter vests semiannually over four years.
Tim Cook, the outgoing CEO and new executive chairman, will receive a $2 million salary and an equity target worth around $47 million. This award is split 50-50 between performance-based and time-vesting components.
Cook's compensation package is notable for its relatively high value compared to his equity holdings in Apple. According to April filings, he owns approximately 3.28 million shares, representing only 0.02 percent of the company. The majority of his fortune is accumulated pay rather than ownership.