A. Well, the executive team consists of the
senior most senior managers at Apple who all work
for me. Generally, a group ranging in size from
seven co ten people.
Q. And this term "executive team," was that
generally the same thing back in 2DOl?
A. It didn't have the same members, but it had
the same concept, yes, same function.
Q. And, again, focusing more on generalities,
and we'll get more specific as we go, what was the
impetus or the origins of this grant of about 4.8
million shares to the executive team?
A. Well, as you know, many companies have
converted to using RSU grants, restricted stock unit
grants, to their senior employees in the present
day, but back then option grants were the norm. And
Apple was in a precarious situation in that we'd,
you know, had the internet bubble bursting, and I
thought that Apple's executive team and the
stability of Apple's executive team was one of its
core strengths. And I was very concerned because
Michael Dell, one of our chief competitors, had
flown Fred Anderson, our CFO, down to Austin, I
guess, him and his wife, I think, to try to recruit
him. And I was also concerned that
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