[SAN FRANCISCO] Incoming Intel chief executive officer Tan Lip-Bu, who was named to the position this week, will receive compensation valued at about US$69 million if he reaches targets over the coming years.
The package includes a salary of US$1 million, plus a 200 per cent performance-based bonus, the chipmaker said in a filing on Friday (Mar 14). It also includes US$66 million in long-term equity awards and stock options and new-hire incentives.
Separately, Tan agreed to buy US$25 million in Intel shares in the first 30 days of taking the job. “Lip-Bu’s purchase reflects his belief in Intel and commitment to creating shareholder value,” the company said.
Earlier this week, Intel announced Tan was filling the role left vacant when the board ousted his predecessor, Pat Gelsinger. The semiconductor industry veteran, who previously served as an Intel board member, is tasked with trying to return the company to the forefront of an industry that it dominated for decades.
Tan, 65, will assume the role on Mar 18, the company said on Wednesday. He will rejoin the board as well after stepping down in August 2024.
Intel’s stock has rallied this year, gaining 20 per cent, including a surge of 15 per cent on Thursday following the announcement of Tan’s appointment. BLOOMBERG
Share with us your feedback on BT’s products and services
