Although Kevin Rollins is no longer the CEO of Dell, he will
be receiving very large sums of money for his time with the computer maker.
According to an August 8 filing with the Securities and Exchange Commission
(SEC), Rollins will receive more than $48 million in cash from his stock
As detailed by the SEC, "7,370,000 unexercised options
that were vested at the time of [Rollins’] retirement expired 90 days after
this retirement date." Specifically, Dell will pay Rollins $48,462,495 for
the unexercised stock options 45 days after it files its 2007 Annual Report
with the SEC, reports eWeek.
Rollins replaced Michael Dell as CEO of the company in 2004
and helped the firm to expand into many areas such as professional services.
Dell also put its hands into the enthusiast level gaming market, buying
customized gaming computer manufacturer Alienware in early 2006. Since then
Dell has marketed its own line of gaming desktops and notebooks as well as kept
the Alienware brand alive and operating independently. All wasn’t always
beer and Skittles for Rollins, as in 2006 Dell lost
its title as the largest PC shipment champion to Hewlett-Packard.
Since Rollins’ retirement from the company on May 4, 2007,
Michael Dell has taken over the reigns as both CEO and Chairman of the Board.
Rollins recently joined private investment firm TGP Capital Partners as a
Dell has had quite a turbulent 2007 thus far. In February, Dell was accused of secretly receiving illegal rebate
kickback payments from Intel in return for exclusive deals. Then in March, Dell
had to delay its
10-K filing with the SEC due to accounting inconsistencies. Just two
months later, Dell was sued for allegedly deceiving customers
by using "bait and switch" advertising practices to lure in new