Tuesday, March 21, 2006

AMD's CEO reached his maximum rewards already

Accoding to this SEC filing, the number of restricted shares Dr. Ruiz can receive during the 2005-2007 period for meeting his target is 95,000 shares, the maximum he can receive is 210,000 shares. Then, according to this SEC filing on March 16, 2006, Dr. Ruiz received 210,000 restricted shares. Other AMD execs received similar rewards. Remember these incentive plans are like contracts, you don't get rewards unless you satisfy the conditions, or you get class action lawsuits from your own share holders.

You ask me what this means?

The answer: 25-30%.

Here is another hint.

4 Comments:

Blogger headzero said...

Bonuses topped out means a quarter that is sold out.

Just like they said earlier.

And the Intel warned - big time, and won't hit the lowered target.

Buckle up - the ride is going to get weird.

11:00 PM, March 21, 2006  
Anonymous Anonymous said...

someone is pumping up DELL's stock majorly.

i found this ad while surfing around.

http://img97.imageshack.us/img97/4336/dellstock2fx.jpg

12:33 AM, March 22, 2006  
Anonymous Anonymous said...

If his compensation is truly based on market share, which I highly doubt, and he is topped out then the goal was to break 20% not 25-30. Why? Because AMD had low 20s market share in Q4 and comp plans aren't paid out on a partial Q1 where share is not yet known. Amd has had a great run and Hector has met all of his comp goals, but I think you are off the mark with your conclusion.

5:59 AM, March 22, 2006  
Blogger Sharikou, Ph. D said...

Pay attention, the incentive plan is for the 2006-2007 period. Since Intel reported 500 million revenue fall on March 2, 2006, the only logical conclusion is that AMD already reached its goal in the first two months of the year. I may have to revise my AMD 1Q06 revenue target up significantly from my current estimate of $1.7 billion.

Intel is done. 2Q06 Operating loss for Intel is not impossible.

8:09 AM, March 22, 2006  

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