Jobs pays $296M in taxes on stock gift

[Ken Sp.]

Ouch!!!
http://www.macnn.com/articles/06/03/24/j....in.taxes/
Looks like my guess was correct
http://forums.macresource.com/read/1/689...#msg-68986

[Tofer]

I thought you meant that Jobs gave the proceeds as a "gift" (donation, in a philanthropy sense), but he just cashed it in. Actually, I don't know if he gave any of it away, but it definitely would make me happy knowing he gave it to a deserving cause.

-Tofer

[spearmint]

He just paid the equivalent taxes of about 23,000 average Americans based on 42,000 in income. He's going to end up like Bill Gates with his own IRS office.

[davester]

The main point to that article is that Jobs sold all those shares on the 19th to pay the taxes on the larger amount of stock that he is vesting in, and that apple repurchased all of the "tax payment" stock to stabilize the amount of open stock on the market. When a company repurchases its own stock it is generally good for investors.

[ztirffritz]

I like this sentence..."In 2003, Apple gave Jobs the 10 million share restricted stock grant in 2003 in exchange for then worthless options--about 55 million shares on a split-adjusted basis."

I can't begrudge the man his money. He is almost single-handedly the reason those "then worthless options" are now not so worthless. There is a really good article at Ars about Apple's rise from the ashes.
http://arstechnica.com/reviews/os/osx-fiveyears.ars
What I find interesting is that the only place in the Apple line-up that has me worried is the iPod. When you're on top, there is no place to go but down. For the computer segment, Microsoft seems to be taking random stray shots at their own foot. The reviews of Vista that I've read have been less than flattering, and they're trying to reorganize the management team to get it back on track. Apple and Linux stand to make huge gains if they can keep up the momentum for the next 6-8 months. I think that Apple's stock will hold its ground for awhile then start to climb again.

[IronMac]

davester Wrote:
-------------------------------------------------------
> When a company repurchases
> its own stock it is generally good for investors.
>

Not necessarily. Apple, in this case, simply wanted to make sure that the number of shares in the market stayed the same. If they had purchased more than the number mentioned, then, that might be taken as a good sign..or not.

[Dick Moore]

Those taxes just paid for two days of the war in Iraq....