Apple’s CEO received a bit of a pay cut thanks to a policy tying some executive compensation to company performance.
Apple CEO Tim Cook, along with other named company executives, saw a bit of a pay cut in 2016 as a result of Apple underperforming financially throughout the year. Cook, along with other executives like Luca Maestri, Angela Ahrendts, and Eddy Cue, has part of his compensation directly tied to Apple’s performance, so the cut was triggered automatically by company policy.
From the Securities and Exchange Commission:
In 2016, Apple was below its target performance goals for both net sales and operating income, resulting in a payout of each named executive officer’s annual cash incentive at 89.5% of target. The Compensation Committee determined that no downward adjustments would be made based on Apple’s or an individual’s performance and approved the payout for each named executive officer for 2016.
In 2016, Cook took home $8,747,719 in compensation, compared to $10,281,327 in 2015. Cook was also the only named executive at Apple not to take home any stock awards, with Luca Maestri, Angela Ahrendts, Eddy Cue, Dan Riccio, and Bruce Sewell all receiving stock awards in excess of $20,000,000.
The company also announced the date for its annual shareholders meeting, which will take place on February 28 in Cupertino.
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