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Sarmad

04/19/08 12:24 PM

#61683 RE: Elmer Phud #61682

>> enjoying the ultimate of Insider Information

Companies buying their own shares are specifically exempted by law from the timely reporting requirement. I think their obligation is to announce a buy-back program when it is set up, then to announce specific amounts in the required quarterly filings (10-Q).

Also, public companies are specifically exempted from paying tax on profits from selling stock that was bought back cheaper. Including stock that is sold to employees through option plans.

These were the rules when I looked them up about 10 years ago. As far as I know they have not changed.

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wbmw

04/19/08 1:04 PM

#61687 RE: Elmer Phud #61682

Re: Considering that Intel is a buyer of INTC while enjoying the ultimate of Insider Information, how is it that Intel doesn't have to announce it's actions in a timely manner like the individual Insiders do?

Stock buybacks are raised to a vote, and all shareholders have the right to vote for or against. Once the money has been allocated - and you can see on the financial forms how much money has been allocated - Intel is able to spend those funds at their discretion.