Starbucks is giving incoming CEO Brian Niccol $85 million in cash and stock as he departs Chipotle (2024)

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Starbucks is giving incoming CEO Brian Niccol $85 million in cash and stock as he departs Chipotle? ›

Starbucks is giving incoming CEO Brian Niccol $85 million in cash and stock as he departs Chipotle. Starbucks plans to pay incoming CEO Brian Niccol $10 million in cash and $75 million in equity awards when he joins the company from Chipotle.

Starbucks, burdened by slowing sales, will be welcoming new CEO Brian Niccol in September with a very generous pay package. Niccol, who has been leading Chipotle since 2018, will be paid a base salary of $1.6 million and a cash signing bonus of $10 million, according to Starbucks' 8K filing Wednesday night.

In his new role, Niccol will be getting paid a base salary of $1.6 million annually and supercommuting from his home in Newport Beach, California to Starbucks' Seattle headquarters on a corporate jet.

New Starbucks CEO Brian Niccol is outlining a plan to bring the company back to its roots, acknowledging that the chain has lost its way.

Niccol's annual salary will be $1.6m and he has the opportunity to earn up to $23m worth of share-based bonuses each year, as well as a cash bonus worth nearly $3.6m depending on the company's performance. The contract, if paid out in full, would bring Niccol's pay to $113.2m.

Starbucks announced on Wednesday that it would offer new CEO Brian Niccol, 50, roughly $113 million in total compensation including a $10 million sign-on bonus, a $75 million equity grant, and, starting in fiscal 2025, a grant that could be worth $23 million per year.

Some of the highest wages a worker can make at Starbucks are in the job titles Store Manager ($69,912), and title Shift Manager ($46,700) which are the highest paying jobs at Starbucks.

The ownership structure of Chipotle (CMG) stock is a mix of institutional, retail and individual investors. Approximately 56.97% of the company's stock is owned by Institutional Investors, 1.01% is owned by Insiders and 42.02% is owned by Public Companies and Individual Investors.

Here are the highest-paid CEOs in the US , some of whom have 9-figure compensation packages. TPG's Jon Winkelried tops a list of highly paid CEOs. His comp was valued at $198.7 million in 2023.

Topping the fast-food CEO pay (and stock performance) charts is Chipotle Mexican Grill's Brian Niccol. Niccol's pay package hit $33.5 million last fiscal year, or $17,458 an hour. Niccol, named CEO in March 2018, was paid 2,400 times more than the median $13,779 Chipotle worker.

Who runs Starbucks now? ›

SEATTLE – Starbucks (NASDAQ: SBUX) today announced that Brian Niccol has been appointed chairman and chief executive officer. Niccol will start in his new role on September 9, 2024. Starbucks chief financial officer, Rachel Ruggeri, will serve as interim ceo until that time.

Schultz was the first CEO of Starbucks. He held the role three different times through his long involvement with the company. After joining Starbucks' team as the director of operations and marketing in 1982, he took a trip to Italy in 1983, where he became enamored with how coffee was sold and enjoyed.

On October 1, 2022, Howard Schultz stepped down as CEO, with Laxman Narasimhan becoming Starbucks's next CEO. On March 23, 2023, Narasimhan told employees that he would work a half-day behind a store counter each month, and he trained as a barista to immerse himself in the brand and stay close to customers.

As of July 2022, Schultz's net worth is US$3.9 billion.

Starbucks' top individual shareholders are Mellody Hobson, Michael Aaron Conway, and Rachel Ruggeri as of 2024. The top institutional shareholders are Vanguard Group Inc., BlackRock Inc. (BLK), and State Street Corporation. Starbucks posted a 12-month trailing net income of more than $5.56 billion in July 2024.

Starbucks sells beverages, food, and other items in 84 global markets. The company gets the vast majority of sales from beverages and from its North America segment, comprised of the U.S. and Canada.

Niccol's compensation package includes a $10 million signing bonus in cash that will be fully paid six months from his start, a $75 million stock award and a $1.6 million annual salary, according to a financial filing Wednesday.

The average licensing cost required to open a Starbucks is a $315,000 licensing fee and a net worth requirement of at least $700,000.

Schultz was named the 209th-richest person in the U.S. by Forbes with a net worth of $4.3 billion (October 2020). Schultz started the Schultz Family Foundation to help military veterans and fight youth unemployment.

Laxman Narasimhan took the helm of Starbucks as the new chief executive officer on Monday, but before that, he spent almost six months being mentored by Howard Schultz, meeting with hundreds of partners (employees) around the world, earning his barista certification, and diving into the world of coffee.