Hurmoth Posted February 11, 2007 Share Posted February 11, 2007 The smoldering controversy over the Apple chief's involvement in stock options reignited once again on Friday after curious timing in a Pixar stock option was discovered by the Wall Street Journal.Quoting an anonymous source, the financial paper placed Apple chief executive Steve Jobs in even deeper hot water than before by suggesting that he had signed a job contract for Pixar's chief creative officer John Lasseter which gave the premier film director a questionable stock option bonus. The ten-year contract, finalized in March 2001, saw Lasseter granted one million shares whose initial value was dishonestly backdated to a date three months before the deal had been completed -- coincidentally, the same day Pixar shares had been at their nadir in December of 2000. The terms effectively guaranteed that Lasseter would turn an immediate $6.4 million profit the day his new employment took effect, even before he received his first paycheck. Then the CEO of Pixar, Jobs was known to have helped work out the details of the contract and had to put his signature to the deal for it to take effect, the Journal's informant said. However, doubt exists as to how much conscious involvement the company head truly had in the agreement. While his name on the paper implies tacit endorsement of the dubious grant, Jobs himself may not have actually chosen the date. Still, an intense level of legal scrutiny is bound to follow the often controversial chief. Both the federal government and Pixar's parent company Disney (on whose board Jobs sits) are said to be actively investigating the studio's handling of stock options. And as always seems to be the case these days, Jobs is under the close watch of the government for irregularities in stocks at his very first company, Apple. It comes as little surprise that none of the involved parties were prepared to comment to the Journal on the day's news. Disney forwarded requests to speak to Jobs to Apple, which in turn said he was unavailable; a similar response followed in attempts to contact Lasseter. Disney itself chose not to comment on the matter. Shareholders were suitably unimpressed and thrashed Apple's stock value, which tumbled $2.91 to close at $83.27 by the end of trading on Friday evening. News Source: AppleInsider Link to comment https://www.neowin.net/forum/topic/537792-steve-jobs-implicated-in-pixar-stock-option-dust-up/ Share on other sites More sharing options...
Boz Posted February 11, 2007 Share Posted February 11, 2007 News Source: AppleInsider As I said many times before, if a person can do this to their shareholders and just look at it's own benefit, how do you expect this to be open and sincere with it's customers. You really can't. Link to comment https://www.neowin.net/forum/topic/537792-steve-jobs-implicated-in-pixar-stock-option-dust-up/#findComment-588310248 Share on other sites More sharing options...
goji Posted February 11, 2007 Share Posted February 11, 2007 I'm wondering how, short and long term this could affect public perception of the Apple brand. Though MS went through HOT waters in the late 90's, they haven't gone anywhere, but then again they were at the very top of the mountain. Apple on the other is seeing a new golden era so to speak. Do they just, fall backwards? Link to comment https://www.neowin.net/forum/topic/537792-steve-jobs-implicated-in-pixar-stock-option-dust-up/#findComment-588310249 Share on other sites More sharing options...
bangbang023 Veteran Posted February 11, 2007 Veteran Share Posted February 11, 2007 I'm wondering how, short and long term this could affect public perception of the Apple brand. Though MS went through HOT waters in the late 90's, they haven't gone anywhere, but then again they were at the very top of the mountain.Apple on the other is seeing a new golden era so to speak. Do they just, fall backwards? It's tough because the heat is going to fall on Steve, not the company. However, Steve is the face of the company so will the public tie the two together? To make it worse, after scandals like the Adelphia and Enron stories, the public is tired of this nonsense. Link to comment https://www.neowin.net/forum/topic/537792-steve-jobs-implicated-in-pixar-stock-option-dust-up/#findComment-588310342 Share on other sites More sharing options...
ToneKnee Posted February 11, 2007 Share Posted February 11, 2007 I haven't been keeping up on this, can someone explain what's been going on and what would this result in if this goes bad for Steve? Link to comment https://www.neowin.net/forum/topic/537792-steve-jobs-implicated-in-pixar-stock-option-dust-up/#findComment-588310388 Share on other sites More sharing options...
PyX Posted February 11, 2007 Share Posted February 11, 2007 I didn't understand anything in this whole affair, but it looks like the "Scandale des commandites" that happened in the Liberal Party of Canad, just that almost the whole party had something to do with the scandal. Link to comment https://www.neowin.net/forum/topic/537792-steve-jobs-implicated-in-pixar-stock-option-dust-up/#findComment-588310393 Share on other sites More sharing options...
Mathachew Veteran Posted February 11, 2007 Veteran Share Posted February 11, 2007 It's tough because the heat is going to fall on Steve, not the company. However, Steve is the face of the company so will the public tie the two together? To make it worse, after scandals like the Adelphia and Enron stories, the public is tired of this nonsense. In the eyes of many, Apple is Steve Jobs and Steve Jobs is Apple. While Apple may come out clean, if Jobs goes down as a result, it could bode ill for Apple, which I wouldn't want to see. Maybe with all that money they'd save from paying Jobs, they could lower the price on their systems? Ha! One can dream :) Link to comment https://www.neowin.net/forum/topic/537792-steve-jobs-implicated-in-pixar-stock-option-dust-up/#findComment-588310405 Share on other sites More sharing options...
osirisX Posted February 11, 2007 Share Posted February 11, 2007 I haven't been keeping up on this, can someone explain what's been going on and what would this result in if this goes bad for Steve? Basically Steve or someone else in the company has backdated stock options to make them favourable for people. So that they make a huge amount of money out of the stock options. This is illegal and if found guilty he or the people who did it will go to jail. Apple's stock price would then plummet. Link to comment https://www.neowin.net/forum/topic/537792-steve-jobs-implicated-in-pixar-stock-option-dust-up/#findComment-588310422 Share on other sites More sharing options...
DreadBoat89 Posted February 11, 2007 Share Posted February 11, 2007 if a person can do this to their shareholders and just look at it's own benefit, how do you expect this to be open and sincere with it's customers. You really can't. well time and time again, our boy steve has proven that he is childish towards microsoft, overemphasizes a lot, and isn't trustworthy. Link to comment https://www.neowin.net/forum/topic/537792-steve-jobs-implicated-in-pixar-stock-option-dust-up/#findComment-588310488 Share on other sites More sharing options...
xxdesmus Posted February 11, 2007 Share Posted February 11, 2007 lol... can we just put him on trial already? Lock him up and move on. geez... :blink: Link to comment https://www.neowin.net/forum/topic/537792-steve-jobs-implicated-in-pixar-stock-option-dust-up/#findComment-588310645 Share on other sites More sharing options...
iwod Posted February 11, 2007 Share Posted February 11, 2007 Basically Steve or someone else in the company has backdated stock options to make them favourable for people. So that they make a huge amount of money out of the stock options. This is illegal and if found guilty he or the people who did it will go to jail. Apple's stock price would then plummet. From what i know so far. Steve has been using the backdating method to give favorable terms/ benefits to others that worked for him. Backdating method in itself is not illegal if it is properly accounted for in the Yearly Financial paper. Link to comment https://www.neowin.net/forum/topic/537792-steve-jobs-implicated-in-pixar-stock-option-dust-up/#findComment-588310676 Share on other sites More sharing options...
APH-Alex Posted February 11, 2007 Share Posted February 11, 2007 In the eyes of many, Apple is Steve Jobs and Steve Jobs is Apple. While Apple may come out clean, if Jobs goes down as a result, it could bode ill for Apple, which I wouldn't want to see.Maybe with all that money they'd save from paying Jobs, they could lower the price on their systems? Ha! One can dream :) Uhh... doesn't he get payed $1 USD a year though? Link to comment https://www.neowin.net/forum/topic/537792-steve-jobs-implicated-in-pixar-stock-option-dust-up/#findComment-588310680 Share on other sites More sharing options...
Simon Veteran Posted February 11, 2007 Veteran Share Posted February 11, 2007 This is going to end badly... Hopefully he will be able to come back some day. And keep the flamewar out of this, please, I'm tired of that. Link to comment https://www.neowin.net/forum/topic/537792-steve-jobs-implicated-in-pixar-stock-option-dust-up/#findComment-588310683 Share on other sites More sharing options...
whitebread Posted February 11, 2007 Share Posted February 11, 2007 I hope Jobs gets his pompous *** handed to him on a platter, served at meal time in jail. :ninja: I like Apple, I loathe Jobs. Link to comment https://www.neowin.net/forum/topic/537792-steve-jobs-implicated-in-pixar-stock-option-dust-up/#findComment-588310706 Share on other sites More sharing options...
I am Reid Posted February 11, 2007 Share Posted February 11, 2007 Well, from now on he is going to be known as $teve Jobs. You people are such hypocrites. Link to comment https://www.neowin.net/forum/topic/537792-steve-jobs-implicated-in-pixar-stock-option-dust-up/#findComment-588310724 Share on other sites More sharing options...
osirisX Posted February 11, 2007 Share Posted February 11, 2007 Uhh... doesn't he get payed $1 USD a year though? Yes, but he also has those lovely stock options :p Link to comment https://www.neowin.net/forum/topic/537792-steve-jobs-implicated-in-pixar-stock-option-dust-up/#findComment-588310725 Share on other sites More sharing options...
L3thal Veteran Posted February 11, 2007 Veteran Share Posted February 11, 2007 You actually believe Jobs is humble enough to earn $1? He portrayed and still portrays that image to the public (maybe why he has so many loyal fanatics) and behind their back, he is embezzling millions of dollars worth of stock to his personal account. Lets face it, if this were "Bill Gates implicated in Microsoft stock option dust-up", this thread would be at 56 pages with 55 pages full of anti-Bill Gates and anti-Microsoft slander. This is ridiculous and as much as everyone wants to defend Jobs, he is a corporate buffoon and he has stolen loads of money and has to be held accountable regardless of his status. Link to comment https://www.neowin.net/forum/topic/537792-steve-jobs-implicated-in-pixar-stock-option-dust-up/#findComment-588310740 Share on other sites More sharing options...
grimreaper Posted February 11, 2007 Share Posted February 11, 2007 You actually believe Jobs is humble enough to earn $1? He portrayed and still portrays that image to the public (maybe why he has so many loyal fanatics) and behind their back, he is embezzling millions of dollars worth of stock to his personal account.Lets face it, if this were "Bill Gates implicated in Microsoft stock option dust-up", this thread would be at 56 pages with 55 pages full of anti-Bill Gates and anti-Microsoft slander. This is ridiculous and as much as everyone wants to defend Jobs, he is a corporate buffoon and he has stolen loads of money and has to be held accountable regardless of his status. you sounded like as if steve stole money from your IRA. Link to comment https://www.neowin.net/forum/topic/537792-steve-jobs-implicated-in-pixar-stock-option-dust-up/#findComment-588310747 Share on other sites More sharing options...
L3thal Veteran Posted February 11, 2007 Veteran Share Posted February 11, 2007 you sounded like as if steve stole money from your IRA. I don't care where he stole the money from. The point, which you apparently missed, is that the embezzling of stocks/money for personal gain and to the deceit of others is a crime and crimes have to be dealt with. I find it despicable that corporate moguls in general embezzle money and do so without any consequences. At the end, the people that suffer are the employees when they realize all they money they put in to their retirement fund is now gone and they are jobless. Link to comment https://www.neowin.net/forum/topic/537792-steve-jobs-implicated-in-pixar-stock-option-dust-up/#findComment-588310777 Share on other sites More sharing options...
Marshalus Veteran Posted February 11, 2007 Veteran Share Posted February 11, 2007 You actually believe Jobs is humble enough to earn $1? He portrayed and still portrays that image to the public (maybe why he has so many loyal fanatics) and behind their back, he is embezzling millions of dollars worth of stock to his personal account.Lets face it, if this were "Bill Gates implicated in Microsoft stock option dust-up", this thread would be at 56 pages with 55 pages full of anti-Bill Gates and anti-Microsoft slander. This is ridiculous and as much as everyone wants to defend Jobs, he is a corporate buffoon and he has stolen loads of money and has to be held accountable regardless of his status. I don't care where he stole the money from. The point, which you apparently missed, is that the embezzling of stocks/money for personal gain and to the deceit of others is a crime and crimes have to be dealt with. I find it despicable that corporate moguls in general embezzle money and do so without any consequences. At the end, the people that suffer are the employees when they realize all they money they put in to their retirement fund is now gone and they are jobless. Amen Link to comment https://www.neowin.net/forum/topic/537792-steve-jobs-implicated-in-pixar-stock-option-dust-up/#findComment-588310804 Share on other sites More sharing options...
Smigit Posted February 11, 2007 Share Posted February 11, 2007 I don't care where he stole the money from. The point, which you apparently missed, is that the embezzling of stocks/money for personal gain and to the deceit of others is a crime and crimes have to be dealt with. I find it despicable that corporate moguls in general embezzle money and do so without any consequences. At the end, the people that suffer are the employees when they realize all they money they put in to their retirement fund is now gone and they are jobless. I agree and if he was responsible as is ever incresingly looking like the case if the exact same thing has happened at Pixar then he should be jailed. Corporate fraud should be dealt with. It's not good news for Apple I agree but thats the price you pay. Link to comment https://www.neowin.net/forum/topic/537792-steve-jobs-implicated-in-pixar-stock-option-dust-up/#findComment-588310982 Share on other sites More sharing options...
david13lt Posted February 11, 2007 Share Posted February 11, 2007 As I remember there was some news saying that Google CEO could change Steve Jobs for some time. If Steve is guilty, yeah I agree with jail. Link to comment https://www.neowin.net/forum/topic/537792-steve-jobs-implicated-in-pixar-stock-option-dust-up/#findComment-588310991 Share on other sites More sharing options...
ToneKnee Posted February 11, 2007 Share Posted February 11, 2007 I feel Apple will collapse if Steve goes to jail, not only will it look bad on him and Apple, but him leaving the company would make the company fall back to the way it was back in the 90's before they went bust. :\ Link to comment https://www.neowin.net/forum/topic/537792-steve-jobs-implicated-in-pixar-stock-option-dust-up/#findComment-588311241 Share on other sites More sharing options...
Smigit Posted February 11, 2007 Share Posted February 11, 2007 I doubt Apple would collapse at all like it did in the 90's. The market is alot different and MS has in many ways peaked unlike the up hill engine it was durring the 90's. IT bust is gone ect ect, its a different world. I think Apple would get by just dandy without Jobs, all they would loose is a face but I dont think the consumers, the general users, that bought those millions of iPods will know or care about jobs if hes there or if hes not. Apple have plenty of talented engineers and its them who have built Apple into what it is now through the iPod and other products. Steves a face that pushes products to tech enthusiast that watch his presentations but beyond that the consumers would likely connect to the silhouette dancing in iPods ads more than they do their CEO. Dont get me wrong he does a good job for apple but in the big scheme of things I can see Apple surviving without him. For the time being Apple does have a fair bit of momentum behind them but. In the long run if the company was mis managed they might collapse again into obscurity but not only do I think its unlikely I think it would be alot more of a drawn out decline than it was in the 90's. Link to comment https://www.neowin.net/forum/topic/537792-steve-jobs-implicated-in-pixar-stock-option-dust-up/#findComment-588311262 Share on other sites More sharing options...
Chicane-UK Veteran Posted February 11, 2007 Veteran Share Posted February 11, 2007 No matter how much Steve has done for Apple, this sort of stuff is just not acceptable. I'm rapidly falling "out" of love with Apple and starting to look on Steve as someone with a bit of a hidden agenda. I hope he can get this all cleared up and clear his name.. or, if it he is indeed guilty of some shady dealing, hope he gets made an example of. I think Apple has the talent and the people to manage without him now.. I refuse to believe that without him they couldn't continue to innovate like they have done in the past 5+ years. Link to comment https://www.neowin.net/forum/topic/537792-steve-jobs-implicated-in-pixar-stock-option-dust-up/#findComment-588311287 Share on other sites More sharing options...
Recommended Posts