Apple CEO Tim Cook has approved up about $75 million in dividend payments he would be due when his huge compilation of more than 1 million shares vests in the subsequently decade, according to a filing with the US Securities and Exchange Commission (SEC).
The company’s obedience Thursday announced that Apple will praise executives who have received “limited store unit” awards with what it called “bonus equivalents” equivalent to the dividends it will pay holders of ordinary stock starting afterward this year.
In March, Apple bowed to saver force and said it would use various $45 billion of its enormous cash holdings to, in part; pay periodical dividends, a break from past perform when Steve Jobs led the corporation.
The dividend payments will sum to $2.65 per contribute to per quarter, or $10.60 per share yearly. The program will cost Apple about $10 billion the 1st year.
Cook has declined the dividend correspondents.
Mister Cook’s requested that none of his limited stock units will contribute in dividend equivalents told the Apple SEC filing. Presumptuous a periodical dividend of $2.65 per share over the vesting periods of his 1.125 million outstanding restricted stockpile units, Mister Cook will forego approximately $75 million in dividend equal worth.
Cook received the immensity of his restricted stockpile unit, or RSU, holding previous year in a one million RSU grant given him in late August 2011 by the Apple plank of directors. The funding was announced just after Cook was promoted to CEO, but before the bereavement of former CEO Steve Jobs.
Half-a-million RSUs will be awarded to Cook in coming August 2015 if he is still with Apple, while the subsequent 500,000 will be given to him in August 2021, again only if he is still employed by the corporation.
Apple’s SEC filing did not provide a cause for Cook’s decision to relinquish the dividend equivalents.