Google CEO Eric Schmidt Worked For Free As Apple Board Director

BusinessWeek is reporting that Google CEO Eric Schmidt only received Apple gear and gifts while he was on Apple’s Board of Directors. Schmidt has recently made headlines after resigning from his post at Apple citing “conflict of interest” between Apple and Google. Google and Apple have become direct competitors with Google releasing a phone operating system, web browser, and an upcoming computer operating system. BusinessWeek says Schmidt willingness to accept his position without pay is not the policy Apple has in place since Steve Jobs took over Apple again in 2007.

Schmidt’s decision not to be paid for his Apple service differs from the compensation plan Apple put in place for directors in 1997, around the time Steve Jobs returned as CEO. Under the plan, Apple grants outside directors the option to acquire 30,000 Apple shares. The options vest over three years. For every year after that, directors are granted options to purchase an additional 10,000 shares, which vest immediately

Additionally, Apple pays directors an annual fee of $50,000, in quarterly increments of $12,500. Apple filings show that Schmidt, from the beginning of his service as a director in 2006, declined both the retainer fee and the stock options.

Schmidt has declined stock options at both Apple and Google for the past few years and works for $1 a year at Google. While he working for Apple, he did receive Apple gear which were valued at a few thousand per fiscal year. In 2008, Schmidt received $8,712 in gear from Apple as well as discounts on products. The gear is are a part of program Apple has for its board members in which they one new product launched.

On top of the Apple gear, he also received an unknown “commemorative gift” for his services. That’s also included for all board directors. His “commemorative gift” was valued at $14,631, which includes payment to cover tax liability. Only Al Gore and Author Levinson, received got more gear than Eric Schmidt.

(Via BusinessWeek)