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Apple chief executive Tim Cook gets $750m payout

bbc.com

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Re: Apple chief executive Tim Cook gets $750m payout

#21

Post by danpalmer »

Bud wrote: post #16
danpalmer wrote: post #10

This is a lot any way you look at it, but before everyone jumps in to compare to other things, it's worth noting that this was agreed 10 years ago, and the value is down to two things: 1) hitting targets that earned him this amount, and 2) the amount being in terms of shares, not dollar value, which he has essentially 10x'd the value of in his tenure. If Apple had not roughly 10x'd in value over the last decade this…

"Roughly doubled"? You might want to double-check your research. Apple is worth about 11x what it was worth 10 years ago.

Thanks, misread the 3 years in the article. Have edited.

Re: Apple chief executive Tim Cook gets $750m payout

#22

Post by djbebs »

R0b0t1 wrote: post #8
unmole wrote: post #7

Earlier quoted context omitted.

> I thought that CEOs of American companies were legally required to maximize profit. They are not. Management of companies has the fiduciary responsibility to act in the best interests of shareholders. That does not imply a legal requirement to maximize profit.

A judge is also unlikely to assume the randos on a board are better at upholding fiduciary duty than the company executive. The case that created this BS is one where Henry Ford said literally nothing in his defense and lost.

What are yoy talking about? The "randos" on the board are the ones representing the shareholders...

Re: Apple chief executive Tim Cook gets $750m payout

#23

Post by blunte »

Ecstatify wrote: post #9
Hokusai wrote: post #3

I thought that CEOs of American companies were legally required to maximize profit. Reducing Cook's salary sure whould increase profits.

You have to pay for talent. How many people in the world have the talent to run a $2.4 trillion company effectively.

No doubt he's done a good job, but he also inherited a great company which was obviously already full of great people.

He has done surprisingly well during his time there, but Apple has shifted more into a monopolistic, protectionist company with declining software/hardware quality compared to when Steve Jobs was running it.

From an investor standpoint, he's done quite well. And since his reward is based on stock value, I'd say he's earned it. But I wouldn't say he's 100X or more talented than an average experienced business leader.

Re: Apple chief executive Tim Cook gets $750m payout

#25

Post by amelius »

blunte wrote: post #19
amelius wrote: post #6

Earlier quoted context omitted.

How do you know that for sure? With less compensation perhaps he wouldn't work as hard.

I'm not arguing for or against his payment amount, but I find it hard to believe someone would work less hard if they were told, "You'll only receive an extra $200 million in 10 years, in addition to your normal salary, instead of an extra $750 million." Who would say, "Nah, sounds like a lot of work for only $200 million extra. I'll just coast, thank you."

If this were the free market, then you were right.

But it isn't. The free market is inherently non-free.

Re: Apple chief executive Tim Cook gets $750m payout

#26

Post by user-the-name »

danpalmer wrote: post #10

This is a lot any way you look at it, but before everyone jumps in to compare to other things, it's worth noting that this was agreed 10 years ago, and the value is down to two things: 1) hitting targets that earned him this amount, and 2) the amount being in terms of shares, not dollar value, which he has essentially 10x'd the value of in his tenure. If Apple had not roughly 10x'd in value over the last decade this…

> which he has essentially 10x'd the value of in his tenure

Think there might have been one or two other people involved in that. Maybe even a few more than that.

Re: Apple chief executive Tim Cook gets $750m payout

#27

Post by consp »

amelius wrote: post #17
lexapro wrote: post #14

Earlier quoted context omitted.

Probably not just this one guy?

It's easy to find 10x programmers in comparison. 10x CEOs are much harder to find.

> 10x CEOs are much harder to find

Considering how much CEOs who lose massive a mounts at companies get rehired elsewhere I seriously doubt that in most cases a monkey with a typewriter would do worse. Plenty of possible CEOs to hire and easy to find, they just don't have the connections to get hired because they are in the Zoo. (/s if sarcasm was not effectively implied)

Re: Apple chief executive Tim Cook gets $750m payout

#28

Post by danpalmer »

user-the-name wrote: post #26
danpalmer wrote: post #10

This is a lot any way you look at it, but before everyone jumps in to compare to other things, it's worth noting that this was agreed 10 years ago, and the value is down to two things: 1) hitting targets that earned him this amount, and 2) the amount being in terms of shares, not dollar value, which he has essentially 10x'd the value of in his tenure. If Apple had not roughly 10x'd in value over the last decade this…

> which he has essentially 10x'd the value of in his tenure Think there might have been one or two other people involved in that. Maybe even a few more than that.

I think you can say that about anyone who makes anything based on work from anyone else. While it's important to recognise those others (as those at Apple with stock based compensation have been), I don't think it nullifies the point because they didn't do all the work themselves.
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