It was the Reuters news agency that announced the results of the sentence. There was talk that Tim Cook and other senior officials at the company were receiving huge salaries, exceeding tens of millions of dollars, as it was said that “the value of performance-based stock incentives was being miscalculated«. But this has been dismissed, meaning that Apple no longer has to face this new case in court.
Everything was correct, according to the judge
There have been no irregularities regarding the remuneration that the different directors and shareholders were receiving. In addition, he also said that Apple was carrying out accounting “precisely as securities laws and the rules of the United States Securities and Exchange Commission require,” they explain from Reuters.
And who was the plaintiff? In this case, he was not an individual person or a company. But, according to what they report, It is a pension fund affiliated with the International Brotherhood of Teamsters. And what did they say? Basically that, “Apple between 2021 and 2022 paid a respective $92.7 million and another $94 million in restricted stock, based on performance to Tim Cook and four other executives.” In this case, The pension fund said that Apple should only grant, at most, $77.5 million per year.
A calculation error was attributed, presumably, when delivering these figures. The plaintiff entity even said that shareholders were deceived. But the judge who ruled in favor of Apple “did not find evidence that Apple’s board of directors acted improperly when making payments,” they explain. Furthermore, once this first observation was made known, Reuters reported that the plaintiff entity’s team of lawyers did not respond in time to what the judge said at the time.
Tim Cook’s multimillion-dollar fortune
As of 2023, Tim Cook’s profits were reduced to $63.2 million, while the other executives earned. profits of “more than $26 million in each of the three years,” Reuters reports. This figure could be considered the net, after paying taxes.
The real figures, published and open, of what Tim Cook pocketed during 2021 and 2022, were $99 million in those two years. In addition to 82 million in shares, due to the CEO’s performance.
Given all this panorama, the District Judge, Jennifer Rochon, of Manhattan, describes that the company’s actions have been correct, and that therefore, the case should not be pursued any further, since it has been dismissed.