image via Reuters
Tesla Inc. has had quite a notable year. While the electric vehicle manufacturer and solar energy provider has faced a number of challenges, they’ve also posted some remarkable progress. In the latest financial results from the company’s first quarter earnings call, they managed to turn a small profit. They also reported the largest order backlog to date. Due to some positive trends in the company’s standings, Tesla CEO Elon Musk is positioned to receive an exceptional pay day.
Because Elon Musk doesn’t receive salaried pay or bonus pay, he instead receives a stock compensation option. Under the conditions of this option, certain conditions must be met. The final condition, that the company reaches a market value of a $100 billion USD average over a six month period, has been satisfied.
With the condition met, Musk has access to massive discounts on Tesla stock. Under the provisions, the CEO has the ability to purchase up to 1.7 million shares at a price of just $350.02 each. With the stock price of Tesla currently sitting at $768.21 USD, Musk stands to profit around $715 million USD. It’s not clear whether Musk will act on the stock options right away. If he does, he just might become the richest man in the world.
