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What has surprised me the most is that Apple's stock hasnt tanked with all this news. It's currently up over $8/share.

It's not surprising if you know what numbers to look at in their financials. The stock should have been much higher, but the resignation was already factored into the price well before he resigned.

They've had seven years to prepare shareholders for that news.
 
Restricted Stock Units (RSUs) that vest and are only paid after a period of time ensure that the person is highly motivated to stay. They want Tim Cook to stick around and ensure the continued success of the company. After that, he is likely to sell only portions and even then, as CEO, he has only a few short windows of opportunity when he can sell stock and he must provide notice well in advance since he is subject to insider trading rules.
 
In connection with Mr. Cook's appointment as Chief Executive Officer, the Board awarded Mr. Cook 1,000,000 restricted stock units. Fifty percent of the restricted stock units are scheduled to vest on each of August 24, 2016 and August 24, 2021, subject to Mr. Cook's continued employment with Apple through each such date.

Mr. Cook, meet Mr. Incentive. Mr. Incentive, meet Mr. Cook.
 
Cook deserves every penny of this bonus.

He's done more behind the scenes, than many are aware of. Highly intelligent, experienced, and consistent, this man will make a stellar CEO.

Just what Apple needs, and the timing is perfect.

Tim Cook is very highly regarded within the ranks of Apple employees. That in and of itself is a very critical advantage.

This move bodes very well for Apple today, tomorrow and well into the future.

The powers to be (not just Steve) have shown great wisdom with this choice.
 
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Great gesture from Steve et al! Tim Will keep working hard with a smile, he he
 
What has surprised me the most is that Apple's stock hasnt tanked with all this news. It's currently up over $8/share.

Because Apple is the only company on the stock market that is organized and has a plan. I think people are smarter than that and realize that Apple is not Steve Jobs. Apple is 10,000 plus employees that make amazing products. Stock would have tanked if employees left and Steve was still there.
 
A signing bonus of $383,000,000.
That's ridiculous.
No, it's contingent. It is a motivation on a personal level to keep Apple stock high or higher. It is contingent on continued employment. Further, based on today's cost it works out to about $38.3 million per year for the 10 years covered. His salary was already $59m as acting CEO and that will likely not change. Kinda small for the largest cap company in the US and the fastest growing large cap on the stock market.

If he resigns or is fired before those dates arrive he does not get it. If the stock price drops for whatever reason, even a second recession caused by political intrusion in the economy and money, he makes less than expected.

To come out ahead everything has to go right, which is precisely why they gave that to him under those terms.

For those who want "1%", I take it to mean free as in gift, beer, with no labor or risk. :D Ummmm, no thanks.

Rocketman
 
They gave him that much so that he wouldn't think to read the terms and conditions. Think how many of us they've got with the iTunes service agreement already.
 
Tim Cook seems like he has good business sense, but he'll never replace Steve when it comes to understanding where the market needs to go and how to push it there.
 
If we could only all be so lucky to receive a bonus like that. :eek:

Luck has nothing to do with it. Apple CEO isn't chosen by lottery -- unlike how it may appear at other companies. Cook will earn every dime especially since by 2014 and especially 2021 his fingerprints will firmly be on Apple's product line and marketing. Today's stock price is really irrelevant since he can't cash it in today. He is the master of his own potential fortune whichever way Apple's stock price swings this decade.
 
Maybe Al Gore can shame him into donating some money for
new suicide nets at Foxconn or a 5 cent an hour raise for Apple store drones.
 
Can't blame the stock market for responding strongly to this news. It really shows Apple is ****ing serious about Tim Cook. Jobs' recommendation carried a lot of weight.

Side note: After the stock prices went up almost $10 today, AAPL is once again edging out XOM. Bragging rights restored (however temporarily).
 
Nice work

Nice work if you can get it. Note that he doesn't get it all at once...so it could be worth a few million, a it could be worth a billion if he does his job well.

Th reason Apple stock didn't fall on the resignation news is because Jobs' health was already built into the price. Had Jobs been healthy, Apple would be $425 now. But investors are relieved that instead of a sudden shock of Jobs dying, there is a clear succession (see Game of Thrones for what can happen when succession is not clear) and Jobs isn't gone completely...
 
Hey... I hear Microsoft is offering Ballmer $365 Million to leave immediately! :p

Good for Tim... if he can keep Apple strong he'll deserve every penny.
 
Tim Cook seems like he has good business sense, but he'll never replace Steve when it comes to understanding where the market needs to go and how to push it there.

Fortunately, Tim Cook isn't doing this all by himself, just the way that Steve Jobs had help. Ultimately, yes, the buck stops with Cook, just as it did with Jobs. But Jobs had a lot of help. Cook, Schiller, Forstall, Ive: they've all helped create the company we know today. And I don't want to belittle what Jobs has done; he has/had a fantastic vision for Apple, but without these guys, we never would have seen a fraction of his percentage.

John Gruber at daringfireball.net nailed it when he said

daringfireball.net said:
Jobs’s greatest creation isn’t any Apple product. It is Apple itself.

Cook himself understands that.
 
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Mord said:
their shares are worth about 383 bucks, is it just me or is 1,000,000 x 383 not 383 odd million?

The math is correct. 1 share is $383 dollars. 1 million shares = $383 million dollars


James
 
I wonder if he plans to take Steve's $1 salary?

He took that when he took over after Amelio got the boot. I think he was mostly trying to prove a point that Apple needed him more than he needed Apple. But you're right, I don't see Cook taking that. Would be cool if he did though.
 
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