Estate planning
accessatlanta.com
INSIDER TRADING: 16 exercise options at Scientific-Atlanta
Robert Luke - Staff
Sunday, September 24, 2000
Despite a recent decline in their shares, officers and directors at several Georgia-based technology companies have reaped millions of dollars by exercising stock options and selling the shares.
It's difficult to ignore a windfall when a company's stock price has surged well above the exercise prices of the options.
That's particularly so with insiders at Scientific-Atlanta, whose shares are still up about 110 percent this year, even though they are 38 percent off their 52-week peak of $94 on Aug. 11.
It was around that time that 16 insiders sold a total 1,079,356 shares, raising $91,793,939. The average sales price: $85.05.
James F. McDonald, president and chief executive, accounted for just over 40 percent of the shares sold.
McDonald sold 435,000 shares from Aug. 3-14 at between $77 and $93.88 each, totaling $37,591,706. That's after he exercised options for the same number of shares at between $8.94 and $10.97 each, totaling $4,078,200. He now holds 201,874 shares directly and indirectly, worth $11,874,480 at Friday's closing price of $58.69 on the New York Stock Exchange.
As previously reported, McDonald had sold 300,000 shares through Aug. 10. At the time, the company said the sales were part of McDonald's estate planning.
So far this year, McDonald has exercised options for 660,000 shares at between 94 cents and $17.88 each, totaling $6,209,700. He's sold a total 680,000 shares, raising $57,642,086. Average sale price: $84.77.
Last year, McDonald exercised options for 375,000 shares at between $13.50 and $15.56 each, totaling $5,589,000. He sold a total 415,000 shares for $20,368,551. Average sale price: $49.08.
All told, this year and last, McDonald has sold $78,010,637 worth of stock, according to data compiled by First Call/Thomson Financial from company filings with the Securities and Exchange Commission. |
