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Technology Stocks : WDC/Sandisk Corporation -- Ignore unavailable to you. Want to Upgrade?

To: Ausdauer who wrote (4398)	1/21/1999 3:00:00 AM
From: Craig Freeman	Read Replies (1) \| Respond to of 60323

Ausdauer, officers and boardmembers almost never buy shares. First because they can not trade them as freely as you or I. Second, it drives up the share price and thereby makes the exercise price higher on their next set of options. And thirdly, why buy shares for cash when you can vote yourself an almost unlimited number of free options? It is in the best interest of older insiders to maintain the lowest possible share price for as long as possible ... ideally up until the day of retirement. Which is one reason that venture capitalists often seek out companies headed by young sprouts who couldn't give a hoot about what happens twenty years from now. Craig