Fairways $12.1M Board Payday Tops Apple as Shares Plunge

Fairways $12.1M Board Payday Tops Apple as Shares Plunge

Assessment

Interactive Video

Business

University

Hard

Created by

Quizizz Content

FREE Resource

The video discusses Fairway, a small grocery chain in New York City, which paid its board of directors more than major companies like Apple, AT&T, and Google combined. Despite its low market cap of $150 million, Fairway's board received $12.1 million in stock awards. This unusual practice is linked to its private equity ownership, where board members are partners at the equity firm. The video explores how private equity firms typically don't pay directors' fees and contrasts this with Fairway's approach. It also highlights the lack of compensation analysis due to the JOBS Act and the company's significant stock decline.

Read more

2 questions

Show all answers

1.

OPEN ENDED QUESTION

3 mins • 1 pt

Why might Fairway's compensation discussions be less transparent than those of larger publicly traded companies?

Evaluate responses using AI:

OFF

2.

OPEN ENDED QUESTION

3 mins • 1 pt

What was the reaction of analysts regarding Fairway's stock performance?

Evaluate responses using AI:

OFF