Tim Cook Collects $89.6 Million From Long-Term Deal With Apple

By Hannah Fleming  |  August 30, 2017 | 3:50pm
Photos by Drew Angerer/Getty
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Tim Cook Collects $89.6 Million From Long-Term Deal With Apple
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Apple CEO Tim Cook has collected nearly $90 million from the incentive deal of the decade, a 10-year agreement that was drawn up in order to to keep Apple at the forefront of tech after Cook took over for Steve Jobs in 2011.

With the iPhone 8 reveal set for Sept. 12 at Apple’s new “Spaceship” campus (iPhone 8 prices are expected to start from $850) and new ProMotion technology that will perfect display quality, it’s no wonder Apple’s stock had the hype. It delivered shareholder returns in the top third of the S&P 500 index during the past three years—Cook was awarded half the $89.6 million as a result of that, per CNBC. He was awarded the other half by simply standing in as the greying, glasses-wearing, health-conscious head of Silicon sovereignty.

Here’s a breakdown of some numbers:

– Apple shares are priced at $162.91, according to Tuesday’s closing price.
– The stock package awarded to Cook in 2011 was originally valued at $376 million, but is now worth much more because Apple shares have increased six times over since he signed the deal.
– If he remains CEO, Cook will receive 560,000 shares of stock annually from August 2018 through August 2020. Then he’ll get 1.26 million shares in August 2021 as the final payment under the original contact.

What giving back has meant for Cook is cultivating growth—everywhere, for everyone. He appeared recently at an Austin community college where an Apple coding curriculum will be implemented, and told The New York Times, “I think we have a moral responsibility to help grow the economy, to help grow jobs, to contribute to this country and to contribute to the other countries that we do business in.”

There is Swift coding curriculum at community colleges, which tend to be more diverse than four-year universities, that will diversify tech hiring structures, according to Cook. There is solar and wind energy in data centers. Otherwise, the effects of growth outside of growing a plutocratic state remain to be seen. And the rich get richer.

 
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