According to a filing with the Securities and Exchange Commission on Tuesday, Gelsinger will receive 18 months of his base annual salary, which is $1.25 million, along with 1.5 times his current target bonus of $3.4 million, distributed over the same 18-month period. Additionally, he is entitled to a pro-rata payment of 11/12ths of his 2024 bonus, contingent on the company's performance.
Intel announced Gelsinger's retirement on Monday, three years after he assumed leadership of the company. Reports from Bloomberg indicate that the board presented him with the option to retire or face removal, leading him to choose retirement.
As of November 4, Gelsinger held approximately 646,000 shares of Intel, valued at around $15 million, according to a regulatory filing. This year, Intel's stock has declined by more than 50%.
Pat Gelsinger, who took on the role of CEO at Intel in February 2021, officially stepped down on December 1, 2024. The board reportedly offered him the choice to retire or be removed through a board vote, and he opted for retirement.
During Gelsinger's nearly three-year tenure, Intel faced significant challenges, losing market share to competitors like Nvidia, which adapted more swiftly to the AI trends that have propelled much of the semiconductor sector to new heights.
Throughout his leadership, Intel's stock plummeted by approximately 61% and was subsequently removed from the Dow Jones Industrial Average, one of the most recognized and closely monitored stock indices.
Following Gelsinger's exit, interim Board Chairman Frank Yeary remarked, "While we have made significant progress in regaining manufacturing competitiveness and building the capabilities to be a world-class foundry, we know that we have much more work to do at the company and are committed to restoring investor confidence."