Apple CEO Tim Cook earned $10.3M in 2015, Angela Ahrendts highest paid exec

AppleInsiderAppleInsider
Posted:
in General Discussion edited January 2016
Executive salaries are among the tastier tidbits in Apple's annual proxy statement, and this year's filing revealed CEO Tim Cook to have received $10.3M in cash and stock for 2015, while SVP of retail Angela Ahrendts was paid $25.8 million.




Cook's compensation is actually up from 2014, when the Apple chief was paid $9.2 million in salary and stock incentives. For 2015, Cook's salary was bumped to $2 million, according to Apple's 2016 proxy statement.

In addition to his yearly wages, Cook currently owns $57.7 million in stock and restricted stock units currently worth about $479 million. The performance-based RSUs are set to vest in incremental installments from August 2015 to August 2021.

Ahrendts led all reporting Apple executives with a $1 million base salary, $20 million in stock, $4 million stock incentive and relocation expenses in the amount of $474,981, among other considerations. The final tally is down from Ahrendts' massive 2014 compensation of $73.4 million, paid out to woo her away from Burberry.

Apple's other reporting execs each earned $1 million in base salary and $20 million in stock awards. CFO Luca Maestri took home $25.3 million, SVP of Internet Software and Services Eddy Cue netted$25.1 million, while SVP of Hardware Engineering Dan Riccio and General Counsel Bruce Sewell were paid an identical $25 million.

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Comments

  • Reply 1 of 55
    dickprinterdickprinter Posts: 1,060member
    And I lost money on AAPL.  :(


    /s
    yojimbo007asdasd
  • Reply 2 of 55
    mac_128mac_128 Posts: 3,454member
    Well so much for the "glass ceiling" at Apple. And she definitely earned her keep in 2015. Those in store product launches were an awesome spectacle to behold!
    yojimbo007
  • Reply 3 of 55
    rogifan_oldrogifan_old Posts: 725member
    As I said in another thread, I noticed in the proxy statement Jony Ive's promotion still doesn't require him to be a named officer of the company or have his salary reported. He's never had to publicly report his salary. I's be curious to know how Apple gets around that. Even if he has very few if any direct reports there's no way Apple can claim his position doesn't have a material impact on the company.

    Edit: interesting too that Jeff Williams as COO isn't on this list. When Steve Jobs was CEO Tim Cook's salary was reported every year. Also looking back at previous proxy statements the only named executive officer that hasn't had salary info reported is Craig Federighi. I find that a bit interesting considering he's the top software guy at Apple. Honestly I'd take Craig over Eddy Cue any day of the week. IMO Cue is the weakest link on the executive team.
    edited January 2016
  • Reply 4 of 55
    ac1234ac1234 Posts: 138member
    mac_128 said:
    Well so much for the "glass ceiling" at Apple. And she definitely earned her keep in 2015. Those in store product launches were an awesome spectacle to behold!
    You have to be kidding - a waaaaaay overpaid empty skirt.
    edited January 2016
  • Reply 5 of 55
    b1ng0b1ng0 Posts: 5member
    As I said in another thread, I noticed in the proxy statement Jony Ive's promotion still doesn't require him to be a named officer of the company or have his salary reported. He's never had to publicly report his salary. I's be curious to know how Apple gets around that. Even if he has very few if any direct reports there's no way Apple can claim his position doesn't have a material impact on the company.

    Edit: interesting too that Jeff Williams as COO isn't on this list. When Steve Jobs was CEO Tim Cook's salary was reported every year. Also looking back at previous proxy statements the only named executive officer that hasn't had salary info reported is Craig Federighi. I find that a bit interesting considering he's the top software guy at Apple. Honestly I'd take Craig over Eddy Cue any day of the week. IMO Cue is the weakest link on the executive team.
    Because this: http://www.forbes.com/sites/ericjackson/2015/03/02/why-apple-doesnt-report-jony-ives-compensation/

  • Reply 6 of 55
    512ke512ke Posts: 782member
    As a longtime user of Apple products, I think they deserve it. As an Apple shareholder... meh.
  • Reply 7 of 55
    fallenjtfallenjt Posts: 4,054member
    Give Sog35 some he'll whine more until AAPL is back to $130.
  • Reply 8 of 55
    rogifan_oldrogifan_old Posts: 725member
    b1ng0 said:
    As I said in another thread, I noticed in the proxy statement Jony Ive's promotion still doesn't require him to be a named officer of the company or have his salary reported. He's never had to publicly report his salary. I's be curious to know how Apple gets around that. Even if he has very few if any direct reports there's no way Apple can claim his position doesn't have a material impact on the company.

    Edit: interesting too that Jeff Williams as COO isn't on this list. When Steve Jobs was CEO Tim Cook's salary was reported every year. Also looking back at previous proxy statements the only named executive officer that hasn't had salary info reported is Craig Federighi. I find that a bit interesting considering he's the top software guy at Apple. Honestly I'd take Craig over Eddy Cue any day of the week. IMO Cue is the weakest link on the executive team.
    Because this: http://www.forbes.com/sites/ericjackson/2015/03/02/why-apple-doesnt-report-jony-ives-compensation/

    So basically he's paid a lot of money and Apple doesn't want to disclose it. Still doesn't explain how they get away with it, especially if he's paid more than others, though of course we don't know if that's the case.
  • Reply 9 of 55
    Prof_PeabodyProf_Peabody Posts: 114member
    Seems like a definite misnomer to say he "earned" it.  More accurate would be just to say that "this is what he is/was paid."  

    Executive salaries are typically affected by many factors, but almost none of them relate to the person's actual, material contributions to the company.  A ditch digger "earns" their wages, an executive ... not so much. 
    braderunnercnocbui
  • Reply 10 of 55
    SpamSandwichSpamSandwich Posts: 33,407member
    rogifan_old said:
    b1ng0 said:
    Because this: http://www.forbes.com/sites/ericjackson/2015/03/02/why-apple-doesnt-report-jony-ives-compensation/

    So basically he's paid a lot of money and Apple doesn't want to disclose it. Still doesn't explain how they get away with it, especially if he's paid more than others, though of course we don't know if that's the case.
    If he's considered a "permanent consultant" (with limitless godlike powers) instead of an officer, that might do it.
    latifbp
  • Reply 11 of 55
    rogifan_oldrogifan_old Posts: 725member
    SpamSandwich said:
    rogifan_old said:
    So basically he's paid a lot of money and Apple doesn't want to disclose it. Still doesn't explain how they get away with it, especially if he's paid more than others, though of course we don't know if that's the case.
    If he's considered a "permanent consultant" (with limitless godlike powers) instead of an officer, that might do it.
    Makes me wonder if that's how they're treating Bob Mansfield. As far as we know he's still working for the company.
    cornchiplatifbp
  • Reply 12 of 55
    mjtomlinmjtomlin Posts: 2,673member
    Typical AAPL people here... $234 Billion in revenue in Fiscal 2015, a $50 Billion gain in a single year... They EARNED it. Screw what the stock value is, what the hell does that have to do with an employee compensation?
  • Reply 13 of 55
    SpamSandwichSpamSandwich Posts: 33,407member
    mjtomlin said:
    Typical AAPL people here... $234 Billion in revenue in Fiscal 2015, a $50 Billion gain in a single year... They EARNED it. Screw what the stock value is, what the hell does that have to do with an employee compensation?
    People who own a lot of AAPL stock tend to be interested in the stock price.
    slprescottcornchipasdasdanantksundarampalomine
  • Reply 14 of 55
    mjtomlinmjtomlin Posts: 2,673member
    SpamSandwich said:
    mjtomlin said:
    Typical AAPL people here... $234 Billion in revenue in Fiscal 2015, a $50 Billion gain in a single year... They EARNED it. Screw what the stock value is, what the hell does that have to do with an employee compensation?
    People who own a lot of AAPL stock tend to be interested in the stock price.

    Of course they do! But so what? How does that apply within the context of this subject? Employee compensation should be based on the company's financial performance. Not Wall Street's delusional valuation of a company.
  • Reply 15 of 55
    radarthekatradarthekat Posts: 3,842moderator
    Seems like a definite misnomer to say he "earned" it.  More accurate would be just to say that "this is what he is/was paid."  

    Executive salaries are typically affected by many factors, but almost none of them relate to the person's actual, material contributions to the company.  A ditch digger "earns" their wages, an executive ... not so much. 
    I have this simple notion of how to explain employee compensation. People are generally paid according to the impact any one decision or action they take can have on the overall company. A line worker has very little impact as an individual, and if he does come up with some important impactful idea, typically it's his path to promotion. Like the proverbial CEO who started out in the mailroom. Combine this notion with market forces, which implies how easily any given employee can be replaced, and you start to get a sense of why management and corporate leaders are paid out of context of merely the calories they burn during working hours.  If I, as VP of Product Development (my last role during my working career) dream up a new product that expands the company's addressable market by 50%, how much is that one idea worth?  Should I get compensated no more than each of the 20 software engineers who implement my detailed designs that bring that new product into existence?  How much would the company lose if any one of the software developers decided to take his skills elsewhere?  How much if I decided to take my groundbreaking ideas elsewhere?  
    edited January 2016 brucemc
  • Reply 16 of 55
    braderunnerbraderunner Posts: 53member
    mac_128 said:
    Well so much for the "glass ceiling" at Apple. And she definitely earned her keep in 2015. Those in store product launches were an awesome spectacle to behold!
    I hope you're being sarcastic. 
  • Reply 17 of 55
    bravadubravadu Posts: 37member
    I found the title kinda misleading.  After reading that and the first few paragraphs, I was under the impression that she was being paid significantly more than everyone else, including Cook.

    And then the 4th paragraph says that the SVPs were all being paid about the same amount and that her pay was only about 2-3% more than the other SVPs
    edited January 2016
  • Reply 18 of 55
    aaronjaaronj Posts: 1,595member
    Angela made as much last year as Miguel Cabrera.  Wow. :)

    Anyways, I couldn't care less about Apple executive compensation.  It's nothing compared to what the company pulls in in revenues.  It's irrelevant.  Good for Angela.  I wish I made that much last year.  Heh.
  • Reply 19 of 55
    bravadubravadu Posts: 37member

    Honestly I'd take Craig over Eddy Cue any day of the week. IMO Cue is the weakest link on the executive team.
    Eddy Cue is Apple's dealmaker while Craig works in house.  I would say that both are pretty important.  You can credit Eddy with Apple's first iPhone deal with AT&T for example.  As well as the iBooks and Apple Music deals
    edited January 2016 aaronj
  • Reply 20 of 55
    rogifan_oldrogifan_old Posts: 725member
    bravadu said:

    Honestly I'd take Craig over Eddy Cue any day of the week. IMO Cue is the weakest link on the executive team.
    Eddy Cue is Apple's dealmaker while Craig works in house.  I would say that both are pretty important.  You can credit Eddy with Apple's first iPhone deal with AT&T for example.  As well as the iBooks and Apple Music deals
    What has Cue done recently? Apple's cloud services need a ton of work, we have yet to see anything good come from the $3B Beats acquisition, Apple Music is still not that great,  Wall Street doesn't give a shit about Apple Pay (that announcement with China Union pay did nothing for the stock), no streaming TV service and App Store was recently given to Phil Schiller. In the last 4 years or so I can't think of one thing out of Eddy Cue's org that could be considered best in class.
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