Helsinki: Apple Inc. chief executive Tim Cook will receive compensation for 2012 valued at $4.17 million after his salary was raised by 51% in his first full year in the job. He will get no stock awards.
The total includes $1.36 million salary and $2.8 million in incentive plan compensation, Cupertino, California-based Apple said on Thursday in a regulatory filing. Cook’s 2011 compensation of $378 million, one of the biggest pay packages on record, was boosted by $376.2 million in stock awards that he’ll get over a decade.
Shares of Apple, maker of the iPhone and iPad, have dropped 27% from a September record, building up pressure on Cook to introduce a new hit product to fend off rivals Google Inc. and Samsung Electronics Co Ltd. Apple co-founder Steve Jobs passed the reins to Cook before his death in October 2011.
Chief financial officer Peter Oppenheimer will receive 2012 compensation valued at $68.6 million, up from $1.42 million a year earlier. His 2012 stock awards are valued at $66.2 million.
Apple shares fell 1.4% to $513 at the close in New York on Wednesday. Even with the decline since September, the stock is up 27% for this year.
Cook’s base salary in 2011 was $900,000. His total compensation in 2011 put him ahead of the highest-paid CEOs at the time, according to Equilar Inc., which tracks executive compensation. Oracle Corp. CEO Larry Ellison received 2011 compensation valued at $77.6 million. At Microsoft Corp., Steve Ballmer’s pay package was worth $1.38 million.
Amazon.com Inc. paid CEO Jeffrey Bezos a salary of just $81,840 in 2011 and no stock awards, making him the lowest paid among large technology companies.
Cook faced a setback recently when users and critics faulted Apple’s map application, forcing the company to let Google’s map app back onto the iPad and iPhone devices.
At least five analysts have cut their price targets for Apple since 16 December, with some saying Apple’s purchases from suppliers indicate iPhone and iPad sales may not meet projections.
The reports from Citigroup Inc., Pacific Crest Securities, Mizuho Securities USA, BMO Capital Markets and Canaccord Genuity mark a reversal from earlier this year, when analysts were racing to issue upbeat predictions, with at least two saying Apple would top $1,000. BLOOMBERG