What Intel CEO Lip-Bu Tan could earn
Lip-Bu Tan’s baseline annual salary as CEO at Intel is US$1 million with a US$2 million on-target bonus, according to an Intel filing with the SEC. However, Tan could earn 20 or 25 times that in the next three years.
Tan is entitled to long-term equity awards, stock options and incentive payments valued at US$66 million over the next three years but some of which are subject to achieving performance metrics. If Intel’s incoming CEO achieves all the targets set he will be eligible to receive about US$75 million over the next three years.
If Tan loses his job under a “change in control” in the company’s ownership within 18 months of his joining Intel, he gets to keep two thirds of his stock awards.
The filing also said that Tan has also agreed to purchase US$25 million in Intel shares over the next 30 days. This “reflects his belief in Intel and commitment to creating shareholder value,” according to a statement.
In addition, Michelle Johnston Holthaus and David Zinsner will each get one-off payments of US$1.5 million at the end of March for having served as interim co-CEOs and for now standing down to continue in their roles as CEO of Intel Products and as CFO, respectively.
Related links and articles:
News articles:
Intel appoints Lip-Bu Tan as CEO – as TSMC pitches JV
Intel approaches Lip-Bu Tan, Marvell’s Murphy about CEO post
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