Google announced in its second quarter earnings that its chief business officer, Nikesh Arora, is leaving the company to join SoftBank as the CEO of its Internet and Media division.
Arora, the company’s chief business officer since 2011, became Google’s highest paid executive in 2012. His $US51 million compensation package included an $US8 million cash bonus that he would have to return if he left the company before April 2015.
Turns out, Google decided to let him keep the money even though he’s leaving early.
Here’s the snippet from the 2012 SEC filing saying he’d have to return it:
If Nikesh’s employment with Google terminates for any reason after the Payment Date and prior to April 25, 2015, then Nikesh will be required to repay to Google the full value of the Cash Awards either before or after applicable tax withholdings, depending on when the termination occurs.
And here’s the key line from the 2014 filing:
On July 17, 2014, the Leadership Development and Compensation Committee of the Board of Directors of Google approved a waiver of the tenure-based repayment requirement in the cash award made by Google to Nikesh in April 2012.
It’s good to be Nikesh Arora!