Tim Cook Salary: Apple CEO Tim Cook Takes Huge Pay Cut in 2012

Page 1 of 2

Tim Cook Salary: On December 27, 2012, Apple Inc. (NASDAQ:AAPL) filed a preliminary proxy statement with the SEC. A copy of the 50+ page statement can be found here.

Tim CookWhile there is a lot of information to sift through, one of the most important findings is the compensation of CEO Tim Cook. Despite the fact that Apple Inc. (NASDAQ:AAPL) is one of the most valuable companies in the world, Cook took a huge pay cut in 2012.

When compared to compensation of $378 million in 2011, the $4.17 million earned by Cook in 2012 would seem to be an error. However, this is exactly how much the high-powered CEO earned over the past 12 months.

With all this in mind, there is one question that needs answered: why did Cook earn so much less in 2012? In short, this comes down to one thing and one thing only: stock option awards.

According to a breakdown on TechCrunch, “Cook was granted a number of in both 2010 ($52 million worth) and 2011 ($376 million), but which he received none of in 2012. Those stock awards include a large number, which will vest in 2014, 2016, and 2021 respectively, and which now total over $750 million at today’s current market value, according to the filing.”

On page 23 of the SEC filing, Apple Inc. (NASDAQ:AAPL) shares information on how the company determines compensation for the Chief Executive Officer. Here is the process, as far as the current employment of Cook is concerned:

Page 1 of 2
Comments
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months. Our beta is only 1.2 (don't click this link if beating the market isn't important to you).

Lists

Foods That Stain Your Teeth

Richest Doctors in the World

The Best Movie Sountracks Ever

The Highest Grossing Musicals on Broadway

The Most Successful Reality TV Stars

Cheapest Cities to Visit in the US

Most Expensive Summer Camps

Most Expensive Animals in the World

Most Expensive Specialty Crops in the World

Movies That Took Ages to Make

The Longest Hollywood Films Ever Made

Most Expensive Concert Stages

The Richest Bands of all Time

10 Most Corrupt Countries 2013 List

10 Countries with the Highest Quality of Life Index

Most Expensive Mattresses in the World

5 Smallest Countries by Land Area

The Ultimate Heartbreak Songs

Richest Teenagers in the World

10 Most Haunted Places in America

10 Best Places to Retire in Florida East Coast

Top 10 Places to See Before You Die

Top 8 Countries in the World Where Justice Prevails

10 Richest States in America

15 Wealthiest Countries in the World

Richest Singers in the World

Most Expensive Tasting Menu in New York City

Most Expensive Baby Items in the World

Most Expensive Hotel Suites in Vegas

Most Expensive Brunch in New York City

Most Expensive Beef Cuts in the World

25 Best Colleges to Get a Job

Top 10 US Supermarkets

The 25 Most Dangerous Cities in the World to Visit

Most Expensive Xbox Games

Top 11 Cities Where Billionaires Live

Top 10 Most Charitable Companies in America

Most Expensive Seafood in the World

The 10 Wildest Conspiracy Theories

The 10 Best Job Markets in the US

Top 10 Accounting Scandals of All Time

The 25 Biggest Cities in the World

Top 10 Best Paying Virtual Jobs

Most Expensive Leather Shoes in the World

Top 6 Things to Buy in March

The 10 Most Stressful Jobs in America – 2014 List

Top 10 Jobs for Introverted People

Top 10 Honeymoon Destinations in the World

Top 10 Highest Paying Jobs in the World

Most Expensive Day-Care in New York City

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!