Apple chief executive Tim Cook has received a total compensation package amounting to almost $4.3 million in 2013. According to the regulatory filing, it includes a salary amount of $1.4 million and a bonus of $2.8 million.
Cook’s compensation, which has slightly increased as compared from 2012, also included $52,721 to his 401 (k) account from company contributions, vacation cash-out, and life insurance premiums.
According to the Wall Street Journal, Cook’s compensation for this year when compared with 2011 when he took over the company remained almost unchanged. Back then, a sign-on grant enabled him to earn a million shares, making his total compensation to reach $378 million. In 2012, his total compensation package was $4.25 million.
It cannot be denied that Apple had its share of challenges this year which made some question if he deserves the slight increase. The company’s market value was down by almost 25 percent or around $160 billion. On a positive note, Cook was able to maintain Apple as the most valued company in the world due to market capitalization.
Apple’s earnings together with its share of the tablet and smartphone market have been shrinking when it released the first iPhone in 2007 and introduced the iPad in 2010 which had reshaped the industry. Therefore, the company value has been declining even before Cook took seat.
However, under his management, Apple has not launched another breakthrough device in a different category. This has raised questions on the company’s innovative abilities after the death of Steve Jobs, its chief visionary and co-founder, occurred two years ago.
Apple will have its annual shareholder meeting February 28, 2014. According to USA Today, activist investor Carl Icahn would deliver a proposal that would cause the company to commit itself in repurchasing its stock by at least $50 billion during the 2014 fiscal year. With this in mind, the company highly recommends its shareholders to cast an anti-proposal vote.
