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00:02Tesla CEO Elon Musk's unresolved 2018 pay package poses a larger threat to Tesla's future profits
00:07than his new trillion-dollar compensation plan, according to Reuters.
00:11The pending Delaware Supreme Court ruling could leave Tesla facing a $26 billion profit in over
00:16two years if its appeal of Musk's voided 2018 pay package fails. The charge reflects the higher
00:21value of Musk's replacement package at today's stock price. Even if Tesla wins the case,
00:26Musk's enormous pay plan could still strain profits for years, underscoring the unusual
00:30risks of a compensation package worth more than the typical CEO package. Cornell's University's
00:35Brian Dunn, born resulting hit to net income, shows Tesla's board is enabling a large transfer of
00:41wealth from shareholders to Musk. Tesla says Musk's new pay plan depends on ambitious profit milestones,
00:47but even its easiest goals could still trigger tens of billions in payouts with a maximum value of
00:51$878 billion. For all things money, visit Benzinga.com.
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