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Rivian Rewrites CEO Pay With Up to $4.6 Billion in Performance Options, Scraps 2021 Grant

Rivian says vesting depends on demanding stock milestones alongside profit targets to keep RJ Scaringe focused on long‑term value.

Overview

  • RJ Scaringe receives options for up to 36.5 million Class A shares at a $15.22 exercise price, vesting on stock hurdles from $40 to $140 over 10 years plus multi‑year operating income and cash‑flow goals.
  • Rivian canceled Scaringe’s 2021 performance award covering about 20.4 million shares after concluding its $110 to $295 price targets were unlikely to be met.
  • The board doubled Scaringe’s base salary to $2 million following a review with an independent compensation consultant to align pay with shareholder returns.
  • Scaringe was granted 1 million common units in Mind Robotics that could yield up to a 10% economic interest, and he will serve as chairman of the spinoff.
  • The company projects $153 billion in shareholder value if all milestones are achieved, with Scaringe gaining roughly an additional 3% ownership at maximum vesting.