Apple will pay new retail chief $68m in restricted stock units
The appointment of Angela Ahrendts was announced in October 2013 and the ex chief executive of UK luxury retailer Burberry started her new job on 1 May 2014, she is the first woman for a decade to join the board of the tech giant and her golden welcome pay award came to light after a regulatory filing to the Securities and Exchanges Commission (SEC).
The generous pay package amounts to 113,334 restricted stock units and, providing Ms Ahrendts stays in the employ of Apple, she will receive 85% of those shares – whatever her achievements for the company amount to, however the remainder will be performance based. The shares Ms Ahrendts receives will be distributed in tranches over an amount of vesting periods, starting June 1st 2014 and finishing June 14th 2018. The first tranche to be vested on June 1st 2014 will be worth $9.8m (valued at Apple’s current share price). Her next tranche will vest May 1st 2015.
Born and raised in the midwestern state of Indiana, Angela Ahrendts attended Ball State University in Muncie, Indiana where she earned an undergraduate degree in Merchandising and Marketing. She was awarded an Honorary Doctor of Humane Letters degree from the same university in 2010.
Ms Adrendts became chief executive of UK luxury retailer and fashion label Burberry in 2006, whilst under her tenure the company doubled its sales with its share price rising by 250%, mainly due to expanding into the overseas markets and taking the brand upmarket. Kate Middleton became a fan of Burberry whilst engaged to Prince William and her Burberry trench coat was an instant fashion trend. Apple will be expecting the 53 year old to work her magic in the same way for them as she will be in charge of its stores worldwide, both retail and online. Chief executive at Apple, Tim Cook, has described Angela Ahrendts as “wicked smart”.
Although this pay package will make Ms Ahrendts one of the most highly paid female executives worldwide, she had already earned the 2012 title of highest paid chief executive in the FTSE 350 after her total salary and stock awards of £16.9m – according to a 2012 survey carried out by pay consultancy MM&K and corporate governance group Manifest. Her pay for her final year with Burberry amounted to just over £9m. The Forbes 2013 list of the 100 most powerful women in the world ranks Angela Ahrendts in 53rd position.
Special thanks Fortune Live Media for providing the image