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1,000,000 shares to stay at Apple

Apple’s board of directors has given the new CEO of Apple; Tim Cook 1,000,000 restricted stock units of Apple. Restricted stock units (RSU) are a form of equity compensation used in stock compensation programs. The RSU does not take into effect until the person is awarded them at a given time. The person who is awarded the RSU’s has the right to cash them or stock them. The board of directors did this to in order to have Tim Cook stay until at least 2021. Tim Cook will not get all of the shares at once though. He will receive the first half in August 2015. Then he will get the other half in 2021. Tim Cook will only get these shares if he stays with Apple. If Tim Cook stays with Apple and gets his 1,000,000 shares, he could possibly make over $383 million. With the market at where it’s at right now, it is uncertain if that number goes up or down.

 

Even though Steve Jobs’ has stepped down from CEO, he will still be an employee of Apple. Steve Jobs’ resignation last week was not unexpected. Jobs’ has had many health issues since he was CEO of Apple and while Steve Jobs’ was on medical leave, Tim Cook filled in for him. The suggestion that Apple will falter without Jobs’ is absurd.  When Jobs’ was gone in the beginning of the year, Apple was still going strong. Also, Jobs’ is still with Apple as chairman of the board of directors. Jobs’ has also set Apple up for the next decade or so to be a great company. I believe that just because Jobs’ is not CEO, this does not mean Apple will fall. Tim Cook will do an excellent job as the new CEO. I would also bet that Jobs’ will help Tim Cook if he asks for it.