Eric Schmidt Lost $300 Million in Google CEO Shake-Up and He's Still Richer Than You
When Eric Schmidt arrived at Google in 2001, the company was pulling in about $100 million a year. And under his “adult supervision,” that revenue grew to upward of $29 billion. So it’s not surprising to learn that Google has granted him a $100 million equity award as his term as CEO comes to a close, though it is unusual. Payouts like this are typically given to new CEOs, not to sitting ones or, as in Schmidt’s case, to ones who are stepping down. That this award, which will vest over four years, follows Google’s announcement that Schmidt is ceding his role as CEO to Google co-founder Larry Page makes it seem almost like…severance, though of course Schmidt will remain with the company as executive chairman.
And with 9.2 million Google shares, it’s not like he needs the money, though his stake has suffered a significant decline in value since the company’s executive office shake-up. Prior to the announcement, Google shares were trading at around $641, making Schmidt’s stake worth about $5.9 billion. Today, they’re hovering around $608, making that stake worth $5.6 billion–down $300 million on news he’s stepping down as CEO. That’s a nasty little drop any way you look at it, though I’m sure the obscene size of the remaining sum makes it a bit easier to stomach. Perhaps the residuals from that new Eric Schmidt talk show reportedly in the offing will make up for it….