Replies to post #107870 on Savvy Trades and Investments

[jtomm]

Ah yes, I think you're right. I'm coming back from vacation and have no idea what day it is, when I scrolled across my chart the days were bunched up and it looked like the 6th not the 10th. Hopefully a long term investor bought them

[jtomm]

BUKS - I suppose the other possibility is he bought directly from the Stewarts in some sort of off-market transaction. With CEO being a lawyer and John Edgar being a lawyer, seems kind of odd that this wasn't labeled as an option grant.

Update: My guess now is they just granted him shares (which still should be footnoted as a stock grant). Checked the proxy and when all the re-shuffling was going on, he was granted shares:

"On July 21, 2022, Mr. John M. Edgar, a director, was granted 400,000 shares of Butler National Stock as an other stock-based award pursuant to the Company 2016 Equity Incentive Plan. The award was for work related to Corporate financing and public relations. These shares were fully vested on the date of grant and were expensed in the July 31, 2022 financial statements".

If you click on his name on this latest Form 4, it will take you to the other Form 4's and looks like they did that 400k shares the same way (with no notation that this was a grant). I would certainly like to know that it was a grant rather than someone putting up their own after-tax dollars.

https://www.sec.gov/Archives/edgar/data/1810126/000001584722000008/xslF345X03/primary_doc.xml

[jtomm]

BUKS - Form 4 filings should be better, imo. I actually wrote to the Board of Directors to ask them to footnote Form 4's in the future, to clearly distinguish when something is a purchase vs a stock grant. I said I don't know the laws, but even if it's not legally required, for purposes of transparency and clarity, and out of fairness to us shareholders, it should be made clear if this is a grant from the Company vs a purchase by someone with their after-tax savings.

The 300k shares were indeed a straight share grant, as I was guessing in my last updated post. This is from the 8-K of 10/05/23:

Item 8.01 Other Events.

On September 29, 2023, the Compensation Committee, with Mr. Edgar abstaining and taking no part in the discussion, approved an award of 300,000 shares of Company common stock to John M. Edgar, a director, to be issued on October 6, 2023 as an “other stock-based award” pursuant to the Company’s 2016 Equity Incentive Plan. The award was compensation for Mr. Edgar’s work in providing investor relations to the Company following the departure of Craig D Stewart in January 2023. These shares will be fully vested on the date of grant.

https://www.sec.gov/Archives/edgar/data/15847/000143774923027765/buks20231005_8k.htm