Few days ago, Steve Jobs’ resigned as Apple’s CEO and became the chairman of board. Today, Apple has filed a form 8-K with the SEC due to the recent corporate changes at the company. An 8-K is the report companies must file with the SEC to announce major events that shareholders should know about.
This filing notifies investors of the resignation of Steve Jobs as CEO Jobs’; appointment as Chairman of the Board; COO Tim Cook’s promotion to CEO; and the appointment of Cook to the Board. In addition, Tim Cook will receive 1,000,000 shares of Apple. Fifty percent of Cook’s restricted stock units are scheduled to vest on each of August 24, 2016 and August 24, 2021. Cook is receiving 500,000 shares of Apple stock in 2016, and 500,000 more shares in 2021, but as long as he stays employed at the company.
In connection with Mr. Cook’s appointment as Chief Executive Officer, the Board awarded Mr. Cook 1,000,000 restricted stock units. Fifty percent of the restricted stock units are scheduled to vest on each of August 24, 2016 and August 24, 2021, subject to Mr. Cook’s continued employment with Apple through each such date.
At today’s closing stock valuation, one million shares of Apple would be worth $383.6 million. A restricted stock unit (RSU), is a form of compensation valued in terms of company stock, but the stock is not issued at the time of the grant.