Intel submits documents to the SEC detailing additional compensation for CEO, Lip-Bu Tan. Tan will receive a yearly cash compensation of $1 million and is entitled to a bonus based on performance up to 200% of his annual compensation, totaling $2 million. The stock-based compensation includes shares granted over a 5-year period, comprising direct shares worth $14.4 million and performance-based allocated shares worth $17 million. The performance guarantee for the first 2 years is assured, while years 3-5 depend on business results. Additionally, Tan holds options to purchase Intel stock worth $9.6 million and options for a $25 million bonus for serving as the new CEO. Tan has agreed to purchase these Intel stocks within 30 days. The total compensation over 5 years could reach a maximum of $66 million.
Intel states that this compensation aligns with Tan’s past experience and contributions. The majority of the compensation is in stock, tied to company performance that benefits shareholders as well.
Source: CNBC
TLDR: Intel discloses substantial compensation package for CEO Lip-Bu Tan, including cash, stock, and bonus options, reaching up to $66 million over 5 years. Performance-based and aligns with company success.
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