Following their appointments to Apple's senior executive team, Craig Federighi and Dan Riccio have each been granted 75,000 restricted stock units by Apple. The grants, which were revealed in filings with the U.S. Securities and Exchange Commission covering Federighi and Riccio, are worth roughly $50 million apiece at today's stock price, although they do not convert into actual shares for some time.
According to the vesting schedule, Federighi and Riccio will each see 25,000 of their restricted stock units convert into actual shares on December 23, 2013, with another 25,000 following on April 23, 2015 and the final batch of 25,000 converting August 23, 2016.
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Including actual shares as well as previous restricted stock unit grants that are converting to shares over time, Federighi holds roughly $97 million worth of stock rights at Apple's present share price, while Riccio's holdings would be worth about $89 million.
Grants of restricted stock units are typically issued both as bonuses for previous work as well as incentives to remain with the company. With the units vesting over time, recipients are generally required to remain employed with the company through each vesting date in order for those units to convert into redeemable shares.
Top Rated Comments
You don't have to be extreme to observe that they probably aren't worth $50M. There is a lot of talent in this world.
Yes there is a lot of talent. But it's a matter of useful and unique talent worth flipping the bill for. The $50M isn't just for the amount of money they have and will generate for Apple: it's more the opportunity cost of losing them to a competitor.
If they are happy they will stay, if not they will either retire or go somewhere they feel they will be happier. If they are happy and just looking to shake down Apple with threats of leaving I'd rather see them go. Everyone can be replaced, and some fresh blood would be nice there at this point.
In B4 all of the "Occupy" folk show up and say "No one deserves to make that much money!!!!1111"
You don't have to be extreme to observe that they probably aren't worth $50M. There is a lot of talent in this world.You don't have to be extreme to observe that they probably aren't worth $50M. There is a lot of talent in this world.
And there is a lot of competition for the top talent that has the right drive and skills and is in the right area. So how do you say they aren't worth $50 Million? They could easily impact the bottom line or market capitalization over time for that amount. (Positively or Negatively)
Talent alone only gets you so far - ask Jamarcus Russell, Adam 'Pacman' Jones, Ralph Sampson, and many, many starving artists.
Bottom line is that none of us has a real say in what Apple is paying them but I don't begrudge them their 'opportunity' to succeed, nor does it impact my opportunities to succeed in my chosen endeavors.
In B4 all of the "Occupy" folk show up and say "No one deserves to make that much money!!!!1111"
The "occupiers" are just jealous whiners who want what others have.