As he lived in a tent and battled to provide for his family, Hussam al-Masri, a Reuters journalist killed by Israeli fire on Monday while running a live video feed at Gaza's Nasser Hospital, covered the suffering of civilians during the conflict. According to journalist colleagues, Masri, 49, was a seasoned cameraman who was well-liked by Gaza's close-knit community of reporters because of his upbeat demeanor in the most perilous circumstances. In the months before his death, he would say, "Tomorrow will be better," despite the fact that the Palestinian enclave was becoming increasingly desolate and hungry. That was the conclusion of his final discussion with Mohamed Salem, a senior Reuters visuals journalist who had collaborated with Masri in Rafah, in southern Gaza, last year and had known him since 2003. Salem, who left Gaza later in 2024 but stayed in daily contact with Masri until Monday morning, said he was a pleasure to work with because of his smiles and o...
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The "interim award" of the 96 million new shares was characterized by the company as a first-step, "good faith" payment to honor Musk's 2018 compensation package, which was over $50 billion and overturned by a Delaware court last year.
If Musk stays in a high-level executive position for two more years and the court does not reinstate the 2018 package that is currently being appealed, he is eligible to receive the new award.
The Delaware ruling on Musk's 2018 compensation package, which was the biggest in Corporate America, had pointed to unfairness to investors and problems with the board's approval procedure. In March, Musk filed an appeal against the order, arguing that the lower court judge had committed several legal mistakes in canceling the record compensation.
He has maintained that despite the package's remarkable growth for Tesla, the lower Court of Chancery found it to be unjust to shareholders, who approved the plan twice.
Over the last ten years, Tesla's stock has increased by almost 2,000%, outpacing the benchmark S&P 500 index's (.SPX) roughly 200% increase during the same time frame.
He can purchase the shares for $23.34 each, which is the same as the 2018 award's exercise price, and he must hold them for five years. At its annual investor meeting on November 6, Tesla will also vote on a longer-term CEO compensation plan.
The goal of the move is to keep Musk, who is the public face of Tesla and the creator of its robotaxi strategy, focused on the electric vehicle manufacturer as it manages the transition from its core auto business to cybercabs and robotics.
It also appears to put an end to any rumors that the board may be growing impatient with Musk as a result of the turbulent months that have been marked by the CEO's political involvement.
The goal of the move is to keep Musk, who is the public face of Tesla and the creator of its robotaxi strategy, focused on the electric vehicle manufacturer as it manages the transition from its core auto business to cybercabs and robotics.
It also appears to put an end to any rumors that the board may be growing impatient with Musk as a result of the turbulent months that have been marked by the CEO's political involvement.
The decision to give Musk more authority over the business indicates that the directors still believe he is the most qualified person to handle Tesla's mounting list of problems in the years to come.
Due to the company's aging car lineup, fierce competition, and Musk's right-wing political views that have damaged its reputation, sales have been declining.
Since Musk's endorsement of U.S. President Donald Trump last summer, Tesla's brand loyalty has drastically decreased, according to S&P Global Mobility data exclusively provided to Reuters on Monday.
Concerns concerning Musk's loyalty to Tesla, the primary source of his wealth, have also been raised by his political involvement and his larger business empire, which includes the AI startup xAI. If Musk doesn't gain more authority over Tesla, he has threatened to quit.
Due to the company's aging car lineup, fierce competition, and Musk's right-wing political views that have damaged its reputation, sales have been declining.
Since Musk's endorsement of U.S. President Donald Trump last summer, Tesla's brand loyalty has drastically decreased, according to S&P Global Mobility data exclusively provided to Reuters on Monday.
Concerns concerning Musk's loyalty to Tesla, the primary source of his wealth, have also been raised by his political involvement and his larger business empire, which includes the AI startup xAI. If Musk doesn't gain more authority over Tesla, he has threatened to quit.
According to sources calculations based on data compiled by LSEG, the new stock award will increase his already largest stake in Tesla from 12.7% to over 15%.
Musk had no active compensation plan prior to Monday's award, and Tesla claimed that he hadn't received significant compensation since 2017. The board stated that it took action to keep Musk's "extraordinary talent" in light of the anticipated ongoing legal battle over his 2018 package.
Musk had no active compensation plan prior to Monday's award, and Tesla claimed that he hadn't received significant compensation since 2017. The board stated that it took action to keep Musk's "extraordinary talent" in light of the anticipated ongoing legal battle over his 2018 package.
The special committee Tesla established this year to examine Musk's compensation stated, "Although we acknowledge Elon's business endeavors, interests, and other potential demands on his time and attention are extensive and wide-ranging... we are confident this award will incentivize Elon to remain at Tesla." Robyn Denholm is its chair, and Kathleen Wilson-Thompson is its independent director.
Since it does not currently anticipate that the performance condition will be "probable of being met," the company stated that it would not record compensation expense for the award. If it concludes that the award is likely to be fulfilled, even after the two-year vesting period, it will reevaluate and recognize the expense.
Since it does not currently anticipate that the performance condition will be "probable of being met," the company stated that it would not record compensation expense for the award. If it concludes that the award is likely to be fulfilled, even after the two-year vesting period, it will reevaluate and recognize the expense.
The company stated last year that an accounting charge of over $25 billion would be incurred if Musk were to receive a new compensation package comparable to the 2018 plan. The share price has nearly doubled in the last year, raising the potential cost even though the plan that was unveiled Monday is only about one-third as large as the 2018 plan.
According to Lawrence Fossi, who runs a newsletter that criticizes Tesla, "The compensation expense to Tesla here is going to be ferocious."
To prevent a "double dip," the special committee stated that if the Delaware courts fully reinstate the 2018 stock award, the new shares will also be forfeited or offset.
According to Lawrence Fossi, who runs a newsletter that criticizes Tesla, "The compensation expense to Tesla here is going to be ferocious."
To prevent a "double dip," the special committee stated that if the Delaware courts fully reinstate the 2018 stock award, the new shares will also be forfeited or offset.
The news was well received by analysts and investors, as evidenced by the nearly 2% increase in Tesla shares during early trading. As of the most recent close, the stock has lost 25% of its value this year.
"Normally, a compensation package worth billions would cause some people to take notice. However, it is evident that investors have profited from Musk's management of Tesla," stated Shawn Campbell, an adviser at Camelthorn Investments and a Tesla shareholder. "For the next two years, Musk will be bound by this stock grant to Tesla."
"Normally, a compensation package worth billions would cause some people to take notice. However, it is evident that investors have profited from Musk's management of Tesla," stated Shawn Campbell, an adviser at Camelthorn Investments and a Tesla shareholder. "For the next two years, Musk will be bound by this stock grant to Tesla."
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The Delaware ruling on Musk's 2018 compensation package, which was the biggest in Corporate America, had pointed to unfairness to investors and problems with the board's approval procedure. In March, Musk filed an appeal against the order, arguing that the lower court judge had committed several legal mistakes in canceling the record compensation.
He has maintained that despite the package's remarkable growth for Tesla, the lower Court of Chancery found it to be unjust to shareholders, who approved the plan twice.
Over the last ten years, Tesla's stock has increased by almost 2,000%, outpacing the benchmark S&P 500 index's (.SPX) roughly 200% increase during the same time frame.
"This is just a repackaged version of what was done years ago and was judged to be improper. According to Charles Elson, founding director of the University of Delaware's Weinberg Center for Corporate Governance, "It effectively renders the Delaware court decision meaningless."
"You don't need to give him incentives to stay. Elson, who had submitted amicus briefs in favor of the court's ruling to nullify Musk's 2018 award, stated that if he departs, he forfeits 13% of the business, which still represents a sizable portion of his wealth.
"You don't need to give him incentives to stay. Elson, who had submitted amicus briefs in favor of the court's ruling to nullify Musk's 2018 award, stated that if he departs, he forfeits 13% of the business, which still represents a sizable portion of his wealth.
SOURCE : NEWS AGENCIES