No, Activision CEO Bobby Kotick didn't get a $200 million bonus payout

Activision CEO Bobby Kotick received $41 million worth of shares for delivering record four-year performance, not $200 million.

1 minute & 20 seconds read time

Recent reports say Activision-Blizzard CEO Bobby Kotick received a huge $200 million performance bonus. This isn't entirely accurate; he received roughly $41 million worth of shares instead.

No, Activision CEO Bobby Kotick didn't get a $200 million bonus payout 64

A new SEC filing reveals Activision has doled out a substantial performance-based award or 1,335,440 common stock to its CEO, Bobby Kotick. Per Kotick's contract clause, the CEO can receive a significant common stock award if certain metrics are achieved across a four-year period.

During the four-year period from 1/1/17 through 12/31/20, Activision-Blizzard revenues hit their highest point in history, with Calendar 2020 delivering a record all-time high of $8.08 billion. As a result, Kotick received a whopping 1,335,440 common stock (worth over $131 million based on the $98.72 common stock value on March 1, 2021). Kotick didn't keep all of this stock; Activision reserved roughly 65% of the stock, or 878,877 shares, to pay for tax withholdings.

No, Activision CEO Bobby Kotick didn't get a $200 million bonus payout 35

Over the last 10 years, Activision-Blizzard CEO Bobby Kotick has led the company to new revenue highs.

In total, Kotick received 456,333 common stock as an award bonus. Remember, this isn't a payout of actual money. This is stock with fluctuating value. On March 1, Kotick's award was worth over $45 million. As of today, based on the $90.49 per share value, Kotick's award is worth $41.2 million.

The document also states that Kotick currently has 3,155,773 shares of Activision-Blizzard common stock, and 1,617,794 of performance-vested restricted stock.

At the time of writing, supposing a $90.41 per share price and assuming all of the performance-based stock is converted to common shares, Kotick's entire treasure trove would be worth over $431 million.

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Derek joined the TweakTown team in 2015 and has since reviewed and played 1000s of hours of new games. Derek is absorbed with the intersection of technology and gaming, and is always looking forward to new advancements. With over six years in games journalism under his belt, Derek aims to further engage the gaming sector while taking a peek under the tech that powers it. He hopes to one day explore the stars in No Man's Sky with the magic of VR.

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