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SCO Stock Sales

Following up on yesterday's blog entry, are SCO executives dumping stock? Via Slashdot, this from the Salt Lake Tribune:

SCO Group executives have sold about 119,000 shares of their company since it filed a lawsuit against IBM in March and the stock price increased more than fourfold.

Chief Financial Officer Robert Bench began the $1.2 million in executive share sales four days after Lindon -based SCO filed its lawsuit against Armonk, N.Y.-based IBM on March 6. Before Bench's sale, SCO insiders had not sold shares in more than a year, according to the Washington Service, a firm that tracks insider transactions...

SCO spokesman Blake Stowell declined to comment on the share sales. The company will comment on the sales when it announces fiscal third-quarter results Thursday, he said. The company has a market value of about $120 million and had 13.7 million shares outstanding at the end of April...

Bench has sold 17,151 shares in three separate sales since March 10, reducing his holdings to 228,043 shares, according to the Washington Service and regulatory filings. Vice President Michael Wilson sold his entire stake of 12,000 shares between July 14 and July 18, the Washington Service said.

For the CFO to have sold 6.9 percent of his stake over five months is probably defensible -- at that rate, it would take him a little over six years to sell his entire holdings. But for a VP to have sold his entire stake in that same five months? That doesn't look good.

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