News Brief


Google said in a regulatory filing today it was awarding chairman Eric Schmidt $100 million worth of stock that will vest over the next four years, plus a $6 million cash bonus. Schmidt is three-quarters of the way through vesting his last $100 million stock grant, which was doled out in January 2011 right after the announcement that Schmidt would hand over the CEO role to co-founder Larry Page.




4 comments
ronenmendez
ronenmendez

Wondering if there's a comprehensive comparison table that matches the value of such important people within big Tech companies to their annual salaries. 

Ken Esq
Ken Esq

What is that first $100M of stock worth today? 

adam222green
adam222green

@Ken Esq  

About $10,000 per hour plus salary and other stock vesting, grants, and salary.

If the previous $100M (probably not the first, since Schmidt has already received something like $8B) started vesting three years ago, that's say 2010 and GOOG was around $500 to $600 trading all through 2010 and 2011, so that's the cost basis and GOOG is now around $1100-$1200 so neatly a 100% gain and could easily be taken as long term capital gains at say 20% tax.  That's about $80M after tax for four years at this level.

To keep the math simple, let's say that's a 40 hour week or 2000 hours per year and about $20M after tax per year, so a neat $10,000 per hour after tax.  But who cares -- this tiny part of his total take from Google is not something being justified, it's just the kind of unreal nonsense that goes on when people lose their grip on reality and start justifying to themselves how one person is worth what he can influence, not what he can produce.

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