Hard to wrap your head around a $55 billon comp package
Almost as if he wants to extort Tesla to cover his Twitter losses.
They’d have to sell over 1.2 million model 3s just to break even on the compensation they’re paying this crook. What a crazy, obvious shell game
I know some will call this anti-democratic or communistic but the board was stacked with friends and family. It really wasn’t in the shareholders best interest even though they voted for it. It’s absurd sum as the judge said.
55 Billion is a little more than Tesla’s gross profit from 2023, 2022, 2021 combined.
https://www.macrotrends.net/stocks/charts/TSLA/tesla/gross-profit
“They say you should spend 3 years salary.”
This is a wild story.
Analysis from 2018 here:
https://corpgov.law.harvard.edu/2018/05/22/elon-musks-compensation/
So when they gave him this, Tesla was worth about 60 Billion. They said if you ~10x the company, well give you what amounts to roughly 10% of the company in stock. Regardless of what part he played, or what stock price says about company value, at it’s height in 2021 Tesla was worth 1 trillion, overshooting the most ridiculous targets by almost 70% (the worth at that point would have been 17x what it was in 2018).
On the one hand, it’s just all so ridiculous that I don’t think anyone saw that actually happening, which is probably why they voted for it. On the other hand, I’m glad he lost it because the sooner Tesla != Musk the better and this feels like a decent wedge for driving that separation. I wonder if this means they have to adopt a revised compensation plan or something.
He should have his eyebrows transplanted down to his upper lip. It wouldn’t look good, but it would be something…
Maybe he’s going to quit and take his talents to another company? As a Tesla owner and stockholder I think I’d prefer it.
