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Northwest Exec Dumps Stock!  
User currently offlineAirTran737 From United States of America, joined Apr 2004, 3702 posts, RR: 12
Posted (9 years 1 month 1 day 12 hours ago) and read 2308 times:
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The title is self explanatory. It seems to me like he has a vision of the future and wants to get his money before NW enters Chapter 11. Link below.

http://www.msnbc.msn.com/id/8195360/

About Gary Wilson

http://www.nwa.com/corpinfo/peopl/board/board.shtml


Nice Trip Report!!! Great Pics, thanks for posting!!!! B747Forever
22 replies: All unread, jump to last
 
User currently offlineBill142 From Australia, joined Aug 2004, 8439 posts, RR: 9
Reply 1, posted (9 years 1 month 1 day 12 hours ago) and read 2265 times:

or from a personal investment standpoint something better has come along and the only way to get his cash for his new acqusition is to sell his NW stock. This may not be a precurser to NW entering Chapter 11. You havw to look at other aspects as well.

User currently offlineFLAIRPORT From , joined Dec 1969, posts, RR:
Reply 2, posted (9 years 1 month 1 day 12 hours ago) and read 2262 times:

Didn't Martha get in trouble for doing the same thing?


EDIT: My first post as an "adult"...18 years old woo! (post 2988 overall)

[Edited 2005-06-13 06:46:35]

User currently offlineAirTran737 From United States of America, joined Apr 2004, 3702 posts, RR: 12
Reply 3, posted (9 years 1 month 1 day 11 hours ago) and read 2243 times:
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Go get yourself a lap dance. Congrats on the big one eight.


Nice Trip Report!!! Great Pics, thanks for posting!!!! B747Forever
User currently offlineFriendlySkies From United States of America, joined Aug 2004, 4104 posts, RR: 5
Reply 4, posted (9 years 1 month 1 day 11 hours ago) and read 2179 times:

Well that probably isn't a good sign...good luck NW, hope they can get through this without Chap 11 (but don't be dumb like DL and avoid it until you have nothing to offer as leverage...).

FLAIRPORT, I just turned 18 (June 1) too...I feel old now for some reason...


User currently offlineM404 From United States of America, joined Nov 2003, 2222 posts, RR: 5
Reply 5, posted (9 years 1 month 1 day 11 hours ago) and read 2163 times:
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I think it would be a better idea to trace the rate of stock sales each of these men have made throughout their ownership lifetime before jumping to the usual A.net doomsday conclusions.


Less sarcasm and more thought equal better understanding
User currently offlineAussieItaliano From United Kingdom, joined Jan 2005, 442 posts, RR: 0
Reply 6, posted (9 years 1 month 1 day 9 hours ago) and read 2065 times:

First of all, congrats to those who just turned 18. I was there about 8 years ago.

Regarding NW execs dumping stock, this could pose a legal problem if the stock drops now (I am a lawyer, BTW). Anyone who is on the board of directors would be subject to SEC Rule 16b which imposes strict liability if the stock decreases after they sell it.

That means that they would be subject to a rule that is even more strict than the one Martha Stewart got busted for (which is 10(b)(5)).



LHR - The Capital of the World
User currently offlineTornado82 From , joined Dec 1969, posts, RR:
Reply 7, posted (9 years 1 month 1 day 2 hours ago) and read 1924 times:

Quoting AussieItaliano (Reply 6):
Anyone who is on the board of directors would be subject to SEC Rule 16b which imposes strict liability if the stock decreases after they sell it.

Then what's the point of having stock? Buy low, sell high. If he sold it due to privledged info (i.e. looming Ch 11) its one thing... but if he sold it because the airline industry as a whole is crap and he wants to cut his losses before they get worse... more power to him!


User currently offlinePSU.DTW.SCE From United States of America, joined Jan 2002, 7505 posts, RR: 28
Reply 8, posted (9 years 1 month 1 day 2 hours ago) and read 1866 times:

We've seen these posts time and time again, speculating on the Ch. 11's.

Just for the record, airline stocks are some of the worst to make money on. They used to be fairly constant, but there are many, many others that have a much better rate of return.


User currently offlineWobbles From United States of America, joined Feb 2005, 149 posts, RR: 0
Reply 9, posted (9 years 1 month 1 day 1 hour ago) and read 1822 times:

If it's Wilson, don't you mean: NW Exec. dumps pot?

User currently offlineIndy From United States of America, joined Jan 2005, 4535 posts, RR: 18
Reply 10, posted (9 years 1 month 1 day 1 hour ago) and read 1816 times:

Quoting PSU.DTW.SCE (Reply 8):

Just for the record, airline stocks are some of the worst to make money on. They used to be fairly constant, but there are many, many others that have a much better rate of return.

I'd have to agree. You'd be better off investing in some new fad exercise equipment program or the Carlton Sheets realestate kit  Smile



Indy = Indianapolis and not Independence Air
User currently offlineWunala From Australia, joined Mar 2005, 949 posts, RR: 0
Reply 11, posted (9 years 1 month 1 day 1 hour ago) and read 1789 times:

This is not an indication that NW is about to hit Chap 11. He probably needs the money for some other reason, like to buy another house, or diversify his holdings a bit. I've sold lots of shares to get cash for various reasons. Maybe not the same scale, but I have diversted from companies, not because I wanted to, but my money was needed elsewhere.

User currently offlineSsides From United States of America, joined Feb 2001, 4059 posts, RR: 21
Reply 12, posted (9 years 1 month 1 day 1 hour ago) and read 1748 times:

Quoting AussieItaliano (Reply 6):
Anyone who is on the board of directors would be subject to SEC Rule 16b which imposes strict liability if the stock decreases after they sell it.

I am an attorney as well, and I know of no such "strict liability" standard, assuming the stock has been held for 6 months and the director in question filed the appropriate forms and notices with the SEC.

Is there another basis for such liability?



"Lose" is not spelled with two o's!!!!
User currently offlineIndy From United States of America, joined Jan 2005, 4535 posts, RR: 18
Reply 13, posted (9 years 1 month 23 hours ago) and read 1625 times:

Quoting Ssides (Reply 12):
I am an attorney as well, and I know of no such "strict liability" standard, assuming the stock has been held for 6 months and the director in question filed the appropriate forms and notices with the SEC.

It has been a while since I have worked with this kind of thing but I believe he is talking about insider trading rules. He may be refering to the seller having inside knowledge that the stock was going to tank so the seller unloads just in time. IF a person of power in a company unloads the stock and shortly after the price crashes the first assumption is that the person had inside knowledge that the general public was not privileged to and that is where the liability comes in. Correct me if I am wrong.



Indy = Indianapolis and not Independence Air
User currently offlineAa777jr From , joined Dec 1969, posts, RR:
Reply 14, posted (9 years 1 month 23 hours ago) and read 1615 times:

This guy is dating Martha Stewart.

Losses for all last year total $800+ mil and this 1Q are already at $450 mil!

Scary stuff for NW. They are a great airline, wish the best for them.

Regards.


User currently offlineLuv2fly From United States of America, joined May 2003, 12090 posts, RR: 49
Reply 15, posted (9 years 1 month 23 hours ago) and read 1595 times:

Quoting Ssides (Reply 12):
I am an attorney as well, and I know of no such "strict liability" standard, assuming the stock has been held for 6 months and the director in question filed the appropriate forms and notices with the SEC.

He did all is above board!

Quoting Aa777jr (Reply 14):
This guy is dating Martha Stewart.

Losses for all last year total $800+ mil and this 1Q are already at $450 mil!

Scary stuff for NW. They are a great airline, wish the best for them.

Regards.

This from an attorney? Scary stuff!



You can cut the irony with a knife
User currently offlineTango-Bravo From United States of America, joined Jun 2001, 3802 posts, RR: 29
Reply 16, posted (9 years 1 month 23 hours ago) and read 1583 times:

Reply To: Northwest Exec Dumps Stock!

Put any spin on it you choose, but at the end of the day it sure has the sound of the proverbial rat scurrying to abandon the ship it innately senses to be sinking.


User currently offlineDAYflyer From United States of America, joined Sep 2004, 3807 posts, RR: 3
Reply 17, posted (9 years 1 month 23 hours ago) and read 1542 times:

Quoting PSU.DTW.SCE (Reply 8):
Just for the record, airline stocks are some of the worst to make money on. They used to be fairly constant, but there are many, many others that have a much better rate of return.

Try Southwest...116 qaurters of consecutive profit.



One Nation Under God
User currently offlineSlider From United States of America, joined Feb 2004, 6774 posts, RR: 35
Reply 18, posted (9 years 1 month 23 hours ago) and read 1535 times:

Hey, what Wilson did made perfect sense. Gives him some dough in his pocket, protects his interests in the event of a BK filing and/or massive labor unrest which makes the stock questionable at best.

He's no dummy.

Some of you proferring these conspiracy theories need to relax--it's totally natural for him to do what he did.


User currently offlineBurnsie28 From United States of America, joined Aug 2004, 7526 posts, RR: 8
Reply 19, posted (9 years 1 month 23 hours ago) and read 1516 times:

Quoting DAYflyer (Reply 17):
Quoting PSU.DTW.SCE (Reply 8):
Just for the record, airline stocks are some of the worst to make money on. They used to be fairly constant, but there are many, many others that have a much better rate of return.

Try Southwest...116 qaurters of consecutive profit.

And even their stock is not worth very much anymore.



"Some People Just Know How To Fly"- Best slogan ever, RIP NW 1926-2009
User currently offlineAussieItaliano From United Kingdom, joined Jan 2005, 442 posts, RR: 0
Reply 20, posted (9 years 1 month 22 hours ago) and read 1502 times:

Quoting Ssides (Reply 12):
I am an attorney as well, and I know of no such "strict liability" standard, assuming the stock has been held for 6 months and the director in question filed the appropriate forms and notices with the SEC.

Is there another basis for such liability?

No, I was referring to the basis you described (Rule 16b). Purchase + sale within six months = strict liability.

I think (but don't hold me to it) that I recently saw that NW board members received a good portion of their compensation in securities.



LHR - The Capital of the World
User currently offlineTango-Bravo From United States of America, joined Jun 2001, 3802 posts, RR: 29
Reply 21, posted (9 years 1 month 20 hours ago) and read 1427 times:

Quoting Burnsie28 (Reply 19):
Try Southwest...116 qaurters of consecutive profit.

And even their stock is not worth very much anymore.

Neither has it "tanked" anything even remotely like the stocks of the legacies. In view of the fact that Southwest has a market capitalization now valued at more than all of the legacies combined (as of April 2005 according to Forbes magazine), where does that leave the stock values of the legacies?


User currently offlineSsides From United States of America, joined Feb 2001, 4059 posts, RR: 21
Reply 22, posted (9 years 1 month 18 hours ago) and read 1351 times:

Quoting AussieItaliano (Reply 20):
No, I was referring to the basis you described (Rule 16b). Purchase + sale within six months = strict liability.

I think (but don't hold me to it) that I recently saw that NW board members received a good portion of their compensation in securities.

OK, I understand. I knew about the 6 month purchase-and-sale window under 16(b), but wasn't aware it was a strict liability standard.

I would assume his stock compensation was deferred so that he could fall within the 6-month windows.



"Lose" is not spelled with two o's!!!!
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