Snap's outgoing CFO reportedly went around Evan Spiegel's back to ask for more money but failed
- Snap's CFO Tim Stone is leaving the company after trying to ask for more money behind CEO Evan Spiegel's back, Bloomberg reports.
- People familiar with the matter told Bloomberg that Stone appealed directly to the board for a raise, which he was denied.
- Stone was only in the job for eight months, but will stay on until Snap's Q4 earnings call in February.
Snap, the parent company behind Snapchat, revealed on Tuesday that it was losing its chief financial officer Tim Stone after just eight months. In an SEC filing, Snap said that Stone's exit was because he wanted, "to pursue other opportunities," and news of his departure sent Snap's stock spiralling.
Now Bloomberg reports that Stone's departure comes after he went behind CEO Evan Spiegel's back to ask for more money.
Sources told Bloomberg that Stone appealed directly to the board for a "significant raise." Bloomberg and the FT report that his salary when he joined the company just eight months ago was $500,000 a year plus restricted stock units initially worth $20 million.
Read more: Here are 20 senior executives who have abandoned Snap since its IPO less than 2 years ago
The board reportedly rejected Stone's request, but Bloomberg notes that it would have had little power to give him a raise, since Spiegel and his cofounder Bobby Murphy hold the majority of voting power at the company.
The move reportedly fostered animosity between Spiegel and Stone, and prompted Stone's departure. In an earlier statement to Business Insider, Snap said that Stone will stay on until the company's fourth quarter and full-year earnings call on February 5 to help ease the transition.
Bloomberg and the FT also reported that after chief financial officer Imran Khan left Snap, Stone hoped to move into his job. Instead Spiegel hired two outsiders, Jeremi Gorman and Jared Grusd as chief business officer and chief strategy officer to share Khan's duties.
Business Insider contacted Snap for comment.