Apple awards new Retail Chief Angela Ahrendts $68m in shares
Angela Ahrendts is awarded two share bonuses as she leaves Burberry for prestigious position at Apple
Angela Ahrendts, Apple's new Retail Chief, has been awarded $68m in shares by the company. Burberry, who she was CEO for, has also offered Ahrendts a generous farewell package
Apple has awarded incoming Retail Chief Angela Ahrendts stock compensation potentially worth $68.1m. The golden handshake is in keeping with Apple’s tradition of rewarding executives well in order to retain top talent. According to a 2013 proxy data review by Equilar, four of the six top paid tech executives have worked at the company.
Ahrendts has finally debuted in her role of Retail Chief at the tech giant, after her departure from Burberry was announced last October. She has replaced John Browett, who left the position after just six months. Ahrendts is now the only woman in Apple’s ten-strong executive team, under the leadership of CEO Tim Cook.
Ahrendts is now the only woman in Apple’s ten-strong executive team
In addition to the generous welcome package offered by Apple, Ahrendts has also been awarded a generous farewell package from her previous employer. Burberry has revealed in a statement that the former CEO will receive her annual salary of £1m, as well a cash bonus worth up to £2.1m, though she will miss out on a series of other share bonuses which might have netted her as much as £17m, if taken at current share prices. She will, however, walk away with 112,500 shares relating to her performance since 2009, and a further number of shares relating to her performance from 2011 onwards – neither of which will be vesting before June.
Ahrendts left Burberry after orchestrating a revival of the traditional British brand. Christopher Bailey, who has held a creative role at the company since 2001, but has never exercised an executive position, has replaced her at Burberry.
The majority Ahrendts’ Apple stock will vest over four years, so long as she remains with the company, though a portion of it, worth $10.3m today, is tied to her performance, measured by relative total shareholder return.
Since Browett’s departure in October 2013, the position of Retail Chief at Apple has remained vacant, which has impacted the performance of its stores. Average revenue per location has dropped from $29.4m in the first six months of 2013, to $29.1m over the same period this year. Close to 11 percent of Apple’s revenues come from its stores.
