30 August, 2017
San Francisco - Apple CEO Tim Cook has collected $89.6 million as part of a 10-year deal that he signed as an incentive to keep the iPhone maker at the forefront of the technology industry after he took over the reins in 2011 from company co-founder Steve Jobs.
The proceeds will be held in Cook's trust and more than half of the stock were withheld by Apple for tax purposes. Cook only gets the shares in fixed amounts as they vest over a period of years.
About a third of the shares that Cook receives each year are tied to Apple's relative stock performance against the S&P 500 - an index of 500 large USA companies listed on the New York Stock Exchange or the Nasdaq stock market. Because Apple outperformed more than two-thirds of the companies in the index over the past three years, Cook received the full payout, the filing said.
Cook plans to give most of his wealth to charity, according to comments he made in 2015.
Cook is still in line to receive 2.94 million shares of Apple stock now valued at $479 million, based on Tuesday's closing price of $162.91. But Apple's share price gains since then mean the almost 3 million shares that are yet to vest are worth about $484 million at current prices.
Cook yesterday sold $43 million worth of his stock, according to a U.S. Securities and Exchange Commission filing.
The company's stock is up almost 40% so far this year.
