Apple Cuts CEO Tim Cook's Salary Following Dip In iPhone Sales
By MEHER ONISA : 07-Jan-2017
On Friday, Apple Inc revealed about the diminishing rate of the annual earnings which had disabled the company to book profit for the first time since 2009.
The company could not meet the targets and could only push fewer units of iPhones first time since the device emerged into the market in 2007.
Apple’s fiscal revenue has also decreased earlier in 2001 just before the company’s late co-founder and CEO Steve Jobs set the stage to float the iPod, iPhone and iPad.
APPLE’S FISCAL EARNINGS FACED A DOWNTURN:
The Cupertino, California, conglomerate tracked a slump in the revenue that had dropped 8 percent to $216 billion, while its operating profit had skid 16 percent to $60 billion.
The compensation committee for Apple’s board of directors had set a profit goal of $224 billion for 2016 but had registered 4 percent of loss.
APPLE’S CEO REMITTANCE RIP OFF BY 15 PERCENT:
According to the regulatory filing, Tim Cook’s remuneration would be cut to an extant of 15 percent. His pay band was nearly $10.3 million in the prior year. Never the less, Cook was still credited with a coolest compensation package of $8.7 million for the company’s fiscal year which was closed on Sept. 24, 2016.
APPLE’S TOP CADRE FACES SALARY & PERKS CUT BACKS:
The fail in the annual sales cycle of the iPhones went up to affect the Chief Executive Tim Cook’s annual pay check along with many other top executives who had missed out on part of cash incentives.
APPLE ENJOYED BRAND IMAGE:
The iPhone had remained a high-priced status symbol in the society. Apple Inc had become the biggest money maker in the market and had triggered a revolution in mobile computing.
CONSUMERS BEHAVIOR BECOMES THE CONCERN OF THE INVESTORS:
The consumers are reluctant to purchase a newer model of iPhone. They are holding on to their existing iPhones for longer periods instead of upgrading to another series.