Apple Revenue Prompts Company To Give Big Rewards To Executives

SAN FRANCISCO (Reuters) - Apple Inc gave six of its top executives $60 million in company stock after record revenue of $108.25 billion last fiscal year.

The executives, including software chief Scott Forstall, Chief Financial Officer Peter Oppenheimer, and marketing lead Phil Schiller, each received 150,000 restricted Apple shares that would fully vest in 2016.

The grant amounts to about $60 million based on the closing price of Apple shares on Friday. The shares closed down $2.83 at $400.24.

An Apple spokesman said the stock grant was meant to ''reward them down the road'' for their continued work in keeping Apple innovative. (Reporting by Poornima Gupta)
Copyright 2011 Thomson Reuters. Click for Restrictions.

Comments

[chuckl4826]

08:00 PM on 11/07/2011

Did any of the 99% ers protest this on their i pads?

[kinogod]

11:48 PM on 11/07/2011

hahahahaha

[KarateKid]

11:39 AM on 11/08/2011

They can't afford it so they did it on HP's firesale tablets.

[robwandrew]

07:47 PM on 11/07/2011

Imagine what Apple could do by investing some of that incredible profit in America, by investing a billion or so a year for the next ten years, in four regional, state of the art manufacturing facilities that could bring home 5,000 or so of the 50,000 jobs they have developed off shore. They could help balance the trade deficit, create primary jobs, control their technology, and control their inventory, and in doing so enhance profits. Where are their priorities, it's certainly not to develop a socially responsible corporate culture. When is enough enough? Was $643.6 mil. in 2009 enough for Steve Jobs? When does it become incumbent upon U.S. firms to support America. If only more companies followed the lead set by David MacNeil, the CEO of the MacNeil Automotive group, and our congress encouraged investment rather than looting the corporate treasury, we wouldn't have 9% unemployment. Google "What Matters to You", by Davis MacNeil. He is a true American hero. I don't own anything manufactured by Apple and I won't. Those of you that will criticize my observations also believe President Obama is responsible for the national deficit, so keep your ignorance to yourself.

[teryflwr4u]

05:59 PM on 11/07/2011

60 million is a lot of incentive! I wonder how much bonus the rank and file employees received?

[bartandyc]

05:32 PM on 11/07/2011

WHY THE HELL IS HUFFPOST CONTROLLING AOL COMMENTS ? AOL HAS POO FOR BRAINS

[debbydrutz]

05:15 PM on 11/07/2011

RIP genius Steve Jobs.
We miss you and thank you for all you gave us.

[vietnamvet1967]

04:49 PM on 11/07/2011

WOW, you mean they made a PROFIT and gave out Bonus's , WHERE ARE THE PROTESTORS AT, Why is not Obama on TV trashing them too

[themacway]

05:12 PM on 11/07/2011

exactly. hey, i'm a big apple (product) fan, having been an apple dealer in the 90's, but i've also been in the oil business, and when an oil exec. gets a pittance of that amount there's practically rioting in the streets over it - at the very least the media shreds the exec. i'm sick to death of all of this hypocrisy!

[pwih1987]

07:53 PM on 11/07/2011

Well thats cause oil is gotten through blood in most peoples eyes. Apple just makes computers. But who knows. Everyone has their evils. But oil is worthless. There are far more efficient ways to fuel human civilization. Industrial Hemp(not a drug.....the ANTI marijuana), and geothermal energy are the main two. But there would be no money for those who invest in it. But it would result in a cleaner and more healthier planet. Oil is just for profit for a few at the cost of the planet that keeps us alive. Kind of illogical.

[darth geekboy]

10:25 PM on 11/07/2011

i'm getting tired of this inane argument.

i'm for incentives and rewards for a good job being done by someone in the company. but judging by these rewards, ON ONLY A SELECT FEW, don't tell me that these clowns' contribution to the company's profitability were worth a 250 times more than the lowly programmer who's probably getting a 3% bump in his salary.

so what's to stop the board handing out 300 times next year......500 the next..........1000 in 5 years? there's only enough money in the whole economic system to provide for such avarice.

[Jay from Ottawa]

03:10 PM on 11/07/2011

And with Jobs gone here I thought they were going to finally re-start making charitable donations. Ends up the only money they were willing to spend was on themselves.

[vietnamvet1967]

04:52 PM on 11/07/2011

AND JUST WHY should we demand that they give to Charitable donations
That is UP to them PERIOD

[Jay from Ottawa]

05:05 PM on 11/07/2011

It sure is. Big caps there buddy, is not doing good for the world that passionate a subject for you ?

It was a commentary on the fact that Steve Jobs cut all of apples charitable donations when he became CEO. When asked about it, he said "wait until apple becomes profitable". Despite apple swimming in profits since the release of the iPhone, it has never restarted charitable donations. Even Jobs, (the "Zen buddhist") never contributed to charitable organizations.

So when I read "Apple Revenue Prompts Company To Give Big ...", knowing Jobs is out of the picture, I thought they might have used a pittance of their profits to help make the world a better place. I was quickly proven wrong, they used it to pay themselves big bonuses.

[gobibabi]

06:51 PM on 11/07/2011

okay idiots . . . here goes . . .
They received STOCK OPTIONS as bonuses.

If the company (them) continues to perform well, produce quality and innovative items, their stock shares are worth more.
It is not a cash bonus that they tuck into their waistbands as they go off to shoot pool for the day.
If all of our bosses gave us a stock option in the places we worked, we would probably try harder and do better because it would come back to benefit us AND benefit our clients/cu­stomers
Of course, this is rocket science to some of you

[Artamentous]

05:16 AM on 11/08/2011

Stock Bonus' are a disaster as a bonus. It rewards short term risk, since most of these "Bonus'" are converted into cash when that exec leaves the company.

I like my idea better. I think we would all work a heck of a lot harder if we operated the boards collectively.

[AndrewBrisman]

01:30 PM on 11/07/2011

Apple knows how to spend its revenue, that's for sure. But have you seen their offices? It's so cool. And you can have one like that any time!! See how

http://www.coldscoop.com/2011/11/07/10-creative-office-gadgets-to-make-your-job-more-fun/

[ZeroCoke]

12:38 PM on 11/07/2011

and they just barely buried the guy

[cowtownab]

05:59 AM on 11/07/2011

I suspect many of the "Occupy" protestors in various cities are Apple users. I wonder how they're feeling about the 'Social Justice' of these Apple execs' joining the 1% club?

[Eileenla]

05:53 AM on 11/07/2011

Here's the trouble with this - Apple's stockholders receive no benefit from Apple's performance unless they SELL their interest in fthe company, forfeiting their ownership rights. That's because Apple doesn't pay it's owners even a tiny dividend. Meanwhile, management rewards itself with huge bonuses. Why don't the people who support and fund Apple - the refugees, the 401k owners, the pension funds and the small investors - get a piece of the action? Because nobody looks out for the little guy anymore. The average individual is getting screwed from every direction...and is then being told it's all his own fault, so buck up and try harder, lazy sacks. Amazing more people can't see through this insanity.

[mrpell]

07:29 PM on 11/07/2011

Stock bonuses were less than one tenth of one percent of revenues - a pittance to insure the wildly successful team stays on board. Thousands of investors have become rich owning and selling Apple - growth stocks like Apple rarely pay meaningful dividends if any at all. You want dividends - look for income stocks. Not sure what your complaint is - maybe you sold your APL too soon.

[Eileenla]

08:32 AM on 11/09/2011

My complaint - as a former stockbroker - is this: when a person wants to realize a "gain" in Apple, they have to SELL their INTEREST in it. They are then no longer an owner of the company. They are, in other words, required to shed their position in order to benefit from it. That's not how ownership is supposed to work when a company is this highly profitable. Dividends are the key, not capital gains as a result of surrendering your investment.

What if you hold a company for 40 years in order to "capitalize" on its success, and then it goes out of business because some new technology comes along? You wind up with nothing for all that commitment of time and money.

[Eileenla]

08:34 AM on 11/09/2011

By the way, it benefits the financial services business to have companies not pay dividends, because they make money through high volume trading. It benefits the PUBLIC to earn dividends instead of having to sell for capital gains.

One is a genuine investment; the other is more like rolling the dice in a casino. VERY different approaches.

[Joshua Kaanaana]

04:21 AM on 11/07/2011

I have no problem with this whatsoever. They totally deserve that money. As for it being taxed fairly, that's a whole other issue :P Wall street stocks need to be reformed.

[inguatu]

05:09 AM on 11/07/2011

so you're sitting on both sides of the argument. Typical sheep move.

[Charismatron]

07:38 AM on 11/07/2011

Wait--what? How is saying that people should be financially compensated AND have that compensation taxed properly a "sheep move"? That doesn't make any sense at all.

[tyrant510]

02:50 AM on 11/07/2011

it makes me giggle to see people so bitter about apple's success. it's simple: they make things people want, so people buy them. you should be angry about credit default swaps, not mobile phones.

[inguatu]

05:10 AM on 11/07/2011

it's funny to see sheep post random comments hoping they'll get blessed by $teve Job$ in the here-after. So cute.

[mrpell]

07:30 PM on 11/07/2011

Seems you have a thing for sheep. Careful - you know what Bieber is going through.

[henriette and hube]

05:55 AM on 11/07/2011

I have to agree with you. I love my apple products and wouldn't consider any other product.

By the way, the camera results from the iphone are incredible. I'm sorry I bought my new professional digital camera, well almost but still the photos are hard to believe from a phone and the color is superb. A friend just bought one and said the camera was the main reason she bought it.

[Sonah007]

02:39 AM on 11/07/2011

And the 1% rolls on, with the loyal blind support of the 99%. Keep buying up those shinny gadgets peasants

[gobibabi]

07:00 PM on 11/07/2011

sonah007
Perhaps those 99% are smart enough to get a computer with spell check--you know, one of those SHINNY gadgets (or is that hitting below the knee . . .?)

[Sonah007]

03:45 AM on 11/09/2011

Below the ankle is more appropriate ;-) but cummon u were living well and happy before those shinny expensive things and u can still live well and happy without them.

[mrpell]

07:34 PM on 11/07/2011

So we shouldn't purchase products that are inifinitely useful, entertain us, make us more productive, inform us, educate us, keep us safe etc etc etc because someone else might make a buck off of our purchase is that about right?

[Sonah007]

03:47 AM on 11/09/2011

Keep shipping more jobs out of china and reward those doing it even more in the process. Thats what am saying

[crparke]

12:15 AM on 11/07/2011

Keep buying those ipads. The 1% thanks you all.

[mrpell]

07:35 PM on 11/07/2011

And we thank the 1% for having the creativity, ability, brainpower, and technical know how to have produced the ipad. See - it comes out even.

[Artamentous]

05:21 AM on 11/08/2011

Huh? The 1% are no different than you and I when it comes to creativity. In fact I bet not a single Apple exec would have any idea how to operate or do any of the processes that actually make the products they make. They simply exploit the workers who make all this surplus, and distribute it to themselves. It's totally injust, and will never last in the long view of history. A system that allows a select few to make ungodly amounts while the rest of the workers make pennies is doomed once the world catches up to it.