I joined in 2001 right out of college. I left after 10 years, but I have always defended Intel against outsider criticism during the cycles of VSP, VTOP (remember that creative and respectful cost-cutting strategy?), and redeployments. Barrett and Otellini had modest compensation (in the low end of CEO pay, actually), and they especially did not get extra bonuses during down times; not over-the-top ridiculous like BK today (um, why did he get a raise again???). I always thought the management did their best to preserve talent with long-term planning and respect, and never to resort to panic-induced mass layoffs. I thought Intel was better than other companies. I am very disappointed. I will never, ever defend Intel again.
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BK got lucky a couple years back. Just by happenstance Microsoft went Windows 10 which forced a hardware change for most customers. That was it for revenue. Four months later he rolled out that ridiculous focal change to begin the 2015 layoffs after a record year of revenue. 2015 was a complete disaster in him meeting revenue goals so he should have received an IR.
I believe the CEO has stated that this is not a cost cutting layoff, but a total restructuring of Intel. Don't be too surprised if this company splits in two in the near future.
His reasoning was that his raise put him at about 50% what others in his position make (other CEOs at competing companies). He also had no say in the matter. The board discusses/decides his compensation without him in the room.
Otellini got a severance package of 92 Million.... sorry but I dont consider that low end.
I got an exceeds and 3.0 % bump this year. I would give BK an IR for 2015 and he got 10% cash and 45% stock increase. I dont in the least bit feel sorry for him. Read the executive compensation part of your stock proxy or at the investors relations page and look at the total compensation. he gets CIO salary and board salary and deferred compensation way in excess of what you think he makes.....
Otellini was making $19M right before he left, which is more than BK post-raise. Still absurd though.