This is normal activity and some of the proceeds from these sales are usually used to pay taxes. According to The Farlex Financial Dictionary, SEC Rule 10b5-1 allows an employee of a publicly-traded company to create a plan of when and how to sell shares in that company. The employee writes and files this plan while he/she has no nonpublic knowledge about the company. Following this plan and selling shares according to it allows the employee to sell shares without fear of being accused of insider trading, regardless of what nonpublic knowledge he/she may later come to possess.
Apple COO Tim Cook, was recently awarded $17 million in stock options. He sold 300,000 shares, each worth $72.01 when granted, for $230 per share, generating $68.8 million, $32 million of which will be paid in taxes.
Chief Financial Officer Peter Oppenheimer sold 200,000 shares for $45.98 million, retail senior VP Ron Johnson sold 200,000 for $45.95 million, and marketing senior VP Phil Schiller sold 150,000 shares for $34.47 million.
Senior VP’s Bertrand Serlet, Robert Mansfield, and Scott Forstall also exercised their options.
The SEC Form 4 documents hve been posted online by Apple here.
Good for them. They worked their butts off to make Apple successful, and I am happy to see them realize the reward for their hard work. Better to do that before Obama and the SEIU take it all away. Don’t believe me? See this link:
http://boortz.com/nealz_nuze/2010/03/here-they-come-for-your-retire.html
Consider this your warning.
thats a lot of tax coming out of cook’s wallet.
He’ll need an offshore account for that… foxconn can arrange that too from what i hear
This will never happen. This goes way beyond anything the healthcare initiative does. It will be political suicide for anyone to vote for this.
I don’t think they are paying enough in taxes!!!! I’m a democrat and not interested in employment. I think our Great President Barack Obama needs to tax these evil rich people some more and give me free housing to go with my free health care… I’d also like a free car with free gas…. And of course, a free iPad!
It works so much better when you “spread it around”!!!!!
hey polinoodniks!
take it to the Huffington Post or Drudge!
thanks in advance
Screw all these taxes. It’s bloody disgusting.
This forum is about Apple and its products, NOT POLITICS!. Please restrain yourself here and take your political comments to the appropriate places!! Thanks in advance!
AAPL has had all-time highs four days in a row. Just wait until it becomes obvious how hot iPads are selling. And then the new iPhone comes out this summer. Steve jobs said it’s an “A+ update”. The next iPhone will gather even more converts, not to mention all the current users who will upgrade.
I also expect to see more cool ways to have your iPhone interact with your iPad in the next iPhone OS releases. It will be cool to see what they come up with.
On top of all that, it sounds like Mac sales are up too. The iPhone halo effect is getting more and more people to buy Macs now that they’ve experienced the quality of Apple products (iPhones). And that’s just going to grow as more iPhones and iPads are sold.
To sum it up, this stock is making me smile!
Naturally…
So the geniuses at the SEC think that if they make senior executives tell them well in advance that they intend to vest and sell large quantities of stock there is no chance of insider trading.
We if I was an executive with knowledge of when my shares were to be sold, I would time cretin announcements to coincide with those dates, to maximize my profit!
I think they should also have to disclose these dates to the general public so we can all get in on the action.
Obama Care will just need to create taxes on top of taxes to pay for it. The US Debt is shooting skyward out of control. Obama Care does nothing to help the economy and put people back to work. It’s just slowing down the recovery and put tens of Millions of people out of work permanently.
Socialism is great to a point and that point is when the other peoples money your spending to support it runs out. Obama Care is all well and good to a point but, it misses the point. You can’t force free Americans to spend and buy services that they do not want or can’t afford. Obama, Polosi and the Democrats and Republicans should just ram a law through that forces each American to buy a new car every year to help out the Auto Industry and drive car prices down. At least that would also help the unemployment and the economy. Auto sales are interstate commerce so the Federal government has broad powers to enact laws that effect interstate commerce. Insurance on the other hand is regulated at the State level and has always been regulated on the state level, The Insurance you purchase in State X is not always 100% applicable in State Y and with health Insurance you might be covered under an out of plan provision when out of the State that the Insurance Plan was sold in. This makes the Insurance Intrastate State Commerce and not Interstate Commerce. That is way a major part of Obama Care sets up Interstate Insurance Pools regulated by the Federal Government. So, the Obama Care Law admits and confirms that Insurance Companies operate on an intrastate commerce basis, in doing so, the law itself makes Obama Care Unconstitutional because the Federal Government has no power to regulate intrastate commerce only Interstate Commerce.
When you sign an Insurance contract it is alway <insurance company name> of <State> making Insurance an intrastate commerce transaction only. (look it up there is more then enough case law to support the argument).
Obama Care is wrong for American and the economy! As an Independent Voter I strong urge all fellow Americans to oppose and Law makers that supported and voted for the passage of Obama Care in any form and at any time. And if Obama Care is still the law when the forced Insurance provision is enacted I recommend protesting the law by dropping your insurance and changing your religion so, you can claim and get a religious exemption to the law. I’ll even use my own money to start a new religion for the cause, any one interested in joining?
stfu with your political babbling…. take it somewhere else. There are plenty of political blogs that are interested in discussing your bull shit.
I don’t need people taking their dumps in my swimming pool.
The taxes these execs paid are more than ALL the ACORN employees will pay in all of their lifetimes.
Ship your royalty income thru the Netherlands, and it’s only taxed at like 1 or 2%. Ask Bono, U2 does it.
hey Demon,
could you get a bit more boring and off topic?
Your attempts to educate me fall fallen upon deaf ears.
Tell it to the Teabugs!
Demon is correct.
Damn, two thread hijacks in one day! I’m going to quit reading MDN on Fridays….
Plea to MDN.
Can’t you arrange a reject button, and every time someone starts whining on about politics instead of the item in question, simply push the button anr rid the site of this political garbage.
Like most people I appreciate a bit of humerous banter between bloggers but if the politics continue I for one will end up removing The MDN app from my phone.
@macduff
i agree with you. The cons crybabies have made mdn into their foxnews outlet spewing hate lies and threats.
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