Tuesday , November 12 2019
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Musk’s mega-bucks don’t require mega profits

Summary:
If you think Tesla’s new ten-year, eye-watering ~bn share option scheme for Elon Musk is about driving the electric car maker’s profitability higher, think again.Tesla, which saw its share price rise more than 40 per cent last year, has outlined targets that the chief executive must hit to reap the rewards of the scheme.These are:Revenues of 5bnAdjusted ebitda of bnMarket cap of 0bnThe idea is if he hits the targets, he gets the windfall. But miss them, and he doesn’t get a dime.The company said:Elon will receive no guaranteed compensation of any kind – no salary, no cash bonuses, and no equity that vests simply by the passage of time. Instead, Elon’s only compensation will be a 100% at-risk performance award, which ensures that he will be compensated only if Tesla and all of

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If you think Tesla’s new ten-year, eye-watering ~$50bn share option scheme for Elon Musk is...

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