InterDigital Inc (IDCC)

[The_Net]

10b5-1 plan. I don’t think your post was totally out of context! We need to watch out for Insider sales regardless of what plan the sales were executed

I had posted a while back a really good article explained of the pre-plan sales. Here are the highlights that I remember:

The rules were designed primarily to beneficially protect the Executives from the Insider Trading issue with loaded loopholes.

Insiders can cancel the transactions on days leading to the pre-planned date. There’s no provision which dictated the transactions must go through as planned.

Statistics have revealed that the pre-planned sale transactions were executed at better (higher) prices than the non pre-planned sale transactions.

The sales usually occurred at the top (right before the SP drop)

Having said that, I personally don’t put too much weight in the 10b5-1 plan. I consider a sale is a sale regardless what protocol in which a sale was carried out. As for Kiernan sale, it is absolutely a non-event. I think his plan was to make fast money which perhaps might be used for a quick getaway vacation.


Btw, It’s tough for you to find a replacement especially a young blood. LOL. Olddog will definitely agree