Adam Aron, chief executive of Vail Resorts Inc., announced Monday that he plans to exercise 640,000 employee stock options and sell the acquired stock to pay for a new home in Vail.
Aron has reserved a $4.6 million unit in the Arrabelle at Vail Square, a $250 million luxury hotel and condo project in Lionshead Village being developed by the company, according to its annual report filed earlier this month. He put a $690,000 deposit on the property in April.
Aron is not selling his 145,000 Vail Resorts shares, which are worth $4.85 million. He also retains an additional 675,000 stock options worth more than $8.8 million.
It is the first time in Aron’s nine-year tenure with the company that he will exercise any of his options, and he stressed in a statement that he remains optimistic about the future of the company.
“I trust I am expressing both my strong confidence and commitment here, by retaining a sizeable personal investment in Vail Resorts, and also by using the proceeds of this envisioned option exercise to acquire a new residence in Vail for my long-term personal use,” he said.
The option exercises and stock sales are scheduled to take place between Dec. 12 and July 20, 2007. The stock options are set to expire between July 2006 and July 2008.
Vail Resorts’ stock closed at a record high Monday of $33.45, up 95 cents. The company owns Vail, Beaver Creek, Breckenridge and Keystone in Colorado, and Heavenly near Lake Tahoe.
Staff writer Julie Dunn can be reached at 303-820-1592 or at jdunn@denverpost.com.
Boss’ perks
In addition to giving Adam Aron first choice of units in the Arrabelle at Vail Square property, Vail Resorts Inc. has given him these real estate bonuses as part of his employment agreement:
A $659,750 bonus to pay for a lot in the company’s Bachelor Gulch development and associated closing costs and club memberships
A $600,000 bonus to pay for a lot in the Red Sky Ranch golf community and associated closing costs and club memberships
A $1.84 million bonus to buy Aron’s Vail Valley home and payment of estimated closing costs and associated club memberships
Source: Vail Resorts Inc.
