Tim Cook Turns Down $75 Million Dividend
In early 2012, Tim Cook was awarded compensation of 1 million shares, vesting in 2012, by Apple’s Board of Directors. As of April this year, the shares are valued at $600 million, making him the world’s highest paid CEO.
In Glassdoor’s list of the Top 25 Highest Rated CEOs based on a survey from employees, Tim Cook received a 97% approval rating, naming him the top CEO of 2012. One of the comments by an Apple employee in Cupertino said “I think leadership is doing an amazing job. We have the best management team anywhere.”
Now, Cook has made another move for which he will most likely prop his approval rating. Tim Cook said he is voluntarily giving up a potential $75 million in dividend payments over the next decade – dividends to which he’s entitled, according to an article published by AllThingsD early Friday.
In a Thursday SEC filing, Apple announced plans to award a $2.65-a-share quarterly dividend on restricted stock units held by its employees. Cook is reportedly passing it up according to the report.
Apple issued an informational report (8-K) announcing Cook’s request:
“At Mr. Cook’s request, none of his restricted stock units will participate in dividend equivalents. Assuming a quarterly dividend of $2.65 per share over the vesting periods of his 1.125 million outstanding restricted stock units, Mr. Cook will forego approximately $75 million in dividend equivalent value.”