Apple executive chair and former CEO Tim Cook sold nearly 200,000 Apple shares on October 2, one day after more than 374,000 restricted stock units vested as part of his compensation package. As reported by Investing.com (via Mac Magazine), Cook sold 191,753 Apple shares on October 2, following the settlement of 374,541 restricted stock units (RSUs) on October 1.
RSUs are a form of stock-based compensation that entitle an employee to receive company shares once certain conditions are met. In Cook’s case, the number of shares that vested was determined by Apple’s total shareholder return relative to other S&P 500 companies over a three-year period.
According to the filing, Cook’s shares were sold across multiple transactions at prices ranging from $330.66 to $334.50 per share. At the time of publication, Apple stock was trading at $333.84 per share. Apple withheld 199,038 shares, valued at $65,746,232, to cover tax withholding requirements related to the RSU vesting.
Investing.com notes that the sale was carried out under a Rule 10b5-1 trading plan that Cook adopted in May. Cook also transferred 26,325 Apple shares as a gift on October 2. Even after the sale, tax withholding, and gifted shares, Cook still holds more than 3.2 million Apple shares through his trust.
Source: 9to5Mac · Summarized by HeadlinesBriefing