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Comment by foolswisdom | Hacker News Reader

I think the point was about the wasting, not the loan (for which the GP helpfully provided a link).

This and the fact that the point is obvious that Intel is already behind schedule based on the fact there are cost overruns. Then let's ask if, because Intel is behind, are the executives still being paid as if Intel is on a positive outlook in the short term? They are. Gelsinger, for example, took no hit even though is salary was reduced. [0]

And even though there were cost cuts they're still off by $1.8B.

Also $8.5B is in direct funding and access to up to $11B in federally backed (and discounted) loans. [1]

[0] https://archive.is/nfURY [1] https://www.intel.com/content/www/us/en/newsroom/news/us-chi...

Executive comp and performance is interesting largely because it entirely depends on the counterfactual alternative, not actual outlook. There is bulletproof measure of impact, and it is subjective in the assessment of the BOD.

A CEO that oversees a loss of $1B could be doing a great job if you think the counterfactual was a loss of $2B.

A CEO that oversees a profit of $3B could be terrible if you think the counterfactual was a profit of $4B.

For the most part it is irrelevant to 3rd parties, because CEO compensation comes out of shareholder compensation, so it is their money to spend or throw away based on their assessment.

Intel's highest year of top-line revenue and gross profit was in 2018 @ at $22B. Their lowest, comparatively, was 2022 @ $11B. Most players of their size don't have that type of volatility. Your argument doesn't make much sense with imaginary numbers.

Gelsinger destroyed VMWare's focus and market prowess. His time at Intel looks unsurprisingly very similar.

My point is that is your opinion, and the opinion that matters is the BOD.

In my opinion, the interesting question and the only one with relevance is what the BOD thinks and why.

Does the board think Gelsinger is destroying the company?

Top line revenue and gross profit aren't my opinion.

You really think the BoD cares much about anything other than their profits? The board is the last place to look for an honest opinion. They're all friendlies of Gelsinger.

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