Intel CEO sold $39 million in company shares prior to disclosure of CPU security flaws

Intel CEO sold $39 million in company shares prior to disclosure of CPU security flaws

6 years ago
Anonymous $1bh8zaeyQS

http://www.pcgamer.com/intel-ceo-sold-39-million-in-company-shares-prior-to-disclosure-of-cpu-security-flaws/

A security flaw in Intel CPUs recently came to light that the company did its best to downplay, even as it put off releasing a comprehensive statement amid rising concerns about the possible performance impact of a fix. It's impossible to quantify how bad the situation actually is at this early point, although obviously it's not ideal.   

What may be worse, however, is news that Intel CEO Bryan Krzanich unloaded millions of dollars of Intel shares—the maximum amount he was allowed to sell, in fact—after security researchers revealed the flaw to Intel, but before it became widely known to the public. An Intel representative told MarketWatch that the sale was unrelated to the security vulnerabilities, and the sale was made as part of a 10b5-1 plan, which as Investopedia explains is a mechanism that helps corporate insiders avoid accusations of insider trading by setting up plans to sell predetermined numbers of shares at a predetermined time.