Tesla Inc.’s board of directors has proposed that the company’s shareholders approve a new compensation package for CEO Elon Musk, which includes $1 trillion in compensation over ten years. This is stated in a Tesla press release.<\/p>\n
The plan proposed by the board of directors includes phased payments to Musk in the form of company shares if it achieves certain milestones in terms of both capitalisation and operating performance.<\/p>\n
The maximum payments are provided for if the company achieves a market capitalisation of $8.5 trillion by 2035 and increases its adjusted EBITDA to $400 billion. In this case, Musk will receive about 12% of Tesla’s shares worth $1.03 trillion.<\/p>\n
According to Robin Denholm, chair of the company’s board of directors, \u2018retaining Elon and incentivising him is fundamental to Tesla becoming the most valuable company in history.\u2019<\/p>\n
Musk will only be able to receive the first tranche of remuneration from the new package when Tesla’s capitalisation reaches $2 trillion and one of the operating performance conditions is met. For example, when annual sales of electric vehicles reach 20 million units or adjusted EBITDA increases to $50 billion.<\/p>\n
Access to each subsequent tranche of compensation is linked to an increase in Tesla’s market capitalisation of $500 billion.<\/p>\n
A shareholders’ meeting to consider this and other issues is scheduled for 6 November.<\/p>\n","protected":false},"featured_media":150239,"menu_order":0,"template":"","newscat":[9],"newstag":[31529,31527,31528],"issues":[],"class_list":["post-150238","news","type-news","status-publish","has-post-thumbnail","hentry","newscat-novosti","newstag-companynewsbusinessnewscorporateupdatesleadershipchangesmergersandacquisitionsmarketmovements","newstag-novynykompanijbiznesnovynyrynkytransformacziyabiznesu","newstag-novostykompanyjbyznesnovostykorporatyvnenovostysmenarukovodstvaslyyanyyaypogloshhenyyarnkyykompanyy"],"_links":{"self":[{"href":"https:\/\/ldaily.ua\/en\/wp-json\/wp\/v2\/news\/150238","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/ldaily.ua\/en\/wp-json\/wp\/v2\/news"}],"about":[{"href":"https:\/\/ldaily.ua\/en\/wp-json\/wp\/v2\/types\/news"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/ldaily.ua\/en\/wp-json\/wp\/v2\/media\/150239"}],"wp:attachment":[{"href":"https:\/\/ldaily.ua\/en\/wp-json\/wp\/v2\/media?parent=150238"}],"wp:term":[{"taxonomy":"newscat","embeddable":true,"href":"https:\/\/ldaily.ua\/en\/wp-json\/wp\/v2\/newscat?post=150238"},{"taxonomy":"newstag","embeddable":true,"href":"https:\/\/ldaily.ua\/en\/wp-json\/wp\/v2\/newstag?post=150238"},{"taxonomy":"issues","embeddable":true,"href":"https:\/\/ldaily.ua\/en\/wp-json\/wp\/v2\/issues?post=150238"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}