Washington: Google is giving outgoing chief executive Eric Schmidt, who is set to step down in April for co-founder Larry Page, USD 100 million in stock and stock options.
Google announced the compensation for Schmidt, who has served as chief executive of the Internet search and advertising giant for a decade, in a filing today with the US Securities and Exchange Commission (SEC).
The Mountain View, California-based company said the equity awards approved by Google`s board of directors will be granted to Schmidt, who has been earning a token salary of USD 1, on February 2 and will vest over a four-year period.Google shares were down 0.73 percent at USD 607.36 in early trading on Wall Street today.
In a surprise announcement on Thursday, Google said Page, 37, would replace the 55-year-old Schmidt as CEO on April 4. Schmidt will remain with the company as executive chairman.
Last week, Google outlined a pre-arranged one-year trading plan for stock in the company held by Schmidt.
Google said Schmidt intends to sell approximately 534,000 shares of Class A common stock, worth some USD 327 million at Friday`s closing price, over the next year taking his holding in the company down to 2.7 percent. Google said that as of December 31, Schmidt held approximately 9.2 million shares of Class A and Class B common stock, 2.9 percent of Google`s outstanding stock and 9.6 percent of voting rights.
According to Google, co-founders Page and Sergey Brin held 57.7 million shares of Class B common stock as of January 22, 18 percent of Google`s outstanding stock and 59 percent of the voting power.
First Published: Tuesday, January 25, 2011, 00:43