/// After Stock Slide, Apple Puts 40 Percent of Tim Cook’s Pay Package At Risk
Asa Mathat / AllThingsD.com Are you an investor who feel bummed out about Apple’s 41 percent stock slide in the last year? Tim Cook feels your pain. And if Apple doesn’t perform in the future, he might lose some money, too. Apple’s board has changed its pay package for its CEO, in a way that puts a big chunk of his future payouts at risk. Short version: If Apple’s stock outperforms the market over the next 8 years, Cook will be able to keep all of the 1 million Apple shares the company promised him back in 2011 , which he was previously set to get no matter how Apple’s stock fared. But if Apple’s stock does a lot worse than the market, Cook could lose up to 40 percent of those shares. At the time Apple granted Cook his original package, those million shares would have been worth $376 million, and when Apple’s stock peaked in the fall of 2012, they were worth $705 million.
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After Stock Slide, Apple Puts 40 Percent of Tim Cook’s Pay Package At Risk