Apple certainly isn’t a company that’s hurting for money right now, and the board decided to issue dividends to all employees holding stock back in March. The dividend will be issued at a value of $2.65 per share and is available to those who hold restricted stock units, typically issued to appease employees and keep them with the company for years to come. In an interesting twist, Tim Cook has declined his dividend, turning down $75 million in the process.
Tim Cook currently takes a $1 salary, the same as Steve Jobs used to, and was given one million shares in Apple upon his promotion to CEO last year. Half of those shares will be vested in five years, and the other half in ten years. Apple’s board decided in March to pau out a $2.65 dividend on each share, but Tim Cook has declined:
At Mr. Cook’s request, none of his restricted stock units will participate in dividend equivalents. Assuming a quarterly dividend of $2.65 per share over the vesting periods of his 1.125 million outstanding restricted stock units, Mr. Cook will forego approximately $75 million in dividend equivalent value.
Apple’s share price currently sit at around $558, and with Cook’s combined 1.125 million shares puts their total value at around $627 million. This is also the first time that Apple has issued a dividend since Steve Jobs’ return to the company in 1997.