We have all heard about Angela Ahrendts’ job offer by Apple, but for those of you who haven’t – the now ex-Burberry CEO Angela Ahrendt has just accepted a job with Apple with a starting bonus of 113,334 AAPL shares worth a whopping $68 million. She will obviously have to wait a few years to get the full payout but still, it’s insane. With such a story we wonder – how does one wind up in such a phenomenal executive position? So after a bit of research on this influential executive I have found out what kind of experience leads to such an offer.
Ahrendts started out as a Marketing and Merchandising graduate at Indiana’s Ball State University. She first worked briefly for Henry Bendel, before moving on to Donna Karen. It wasn’t long before she became the President of Donna Karen International, moving onto being the VP of Liz Claiborne. For those who don’t know – Liz Claiborne includes 22 different brands. One of their brands that was boosted to become a worldwide label by Ms. Ahrendts was Juicy Couture. While happily succeeding in this company Ahrendt was offered a job at Burberry, and worked her way up to CEO.
Angela Ahrendts is said to be the influence Burberry needed to overcome its – sorry to say- trashy reputation that it acquired with all the fake copies and overuse of the traditional plaid pattern. Vogue Magazine said of Burberry that Ahrendts “brought it back to its heritage.”
From one success to the next…
Though Angela is regarded as the ‘highest paid person in British business,’ her success just skyrocketed. To break it down, the accepted offer from Apple includes up to $68 million in shares that will pay out over several different vesting periods. The first one being June 1 this year - and final payout coming sometime around June 14, 2018. This contract by Apple exists under the condition that Ahrendts stays with the company throughout and for some time after the 2018 final vesting date. Basically, if she decides to quit, she can forget about that 68 million!
Despite this ‘restriction’, even the $9 million she is said to receive June 1 is close enough to the $11 million her salary was reduced to at Burberry last year. Hopefully she sticks it out unlike Apple’s previous retail manager who walked away from his 100,000 shares amounting to $61 million if he had stayed.
Ms. Ahrendts need not worry, after all, she turned around Liz Claiborne, blew up Juicy Couture, and re-established the class of Burberry. So while there is said to be pressure on her shoulders to help Apple become as globally established as Burberry is, her experience in retail will see her succeed.
Also – random fact I learned from Vogue which I doubt has a huge influence on her success (but you never know) – Ahdrents drinks 6 glasses of Coca Cola a day! Or maybe Coke paid her to say that? She is a business woman after all! Anyway, back to the point - do you think Angela will have a huge influence on the future success of Apple? Comment below and give us your opinion.