John Ternus has officially taken over as Apple’s chief executive, ending Tim Cook’s 15-year tenure as CEO. Cook will now serve as the company’s executive chairman.
Ternus assumed the CEO role on Sept. 1. While his base salary is relatively modest compared with the potential value of his compensation package, his performance-based awards could be worth tens of millions of dollars.
According to a report, Ternus will receive an annual salary of $3 million, along with $2.5 million in prorated restricted stock units.
Documents filed with the U.S. Securities and Exchange Commission show that Ternus could receive up to $55 million from Apple based largely on the company’s stock performance and financial growth.
The potential award will primarily be provided in Apple shares, with the final value depending on how strongly the company’s revenue and performance grow.
Meanwhile, Cook will receive an annual salary of $2 million as executive chairman, along with an equity award valued at $45 million.
Half of Cook’s $45 million equity award will be tied to performance, while the remaining portion will vest over the course of the fiscal year.