8-KOther EventsExhibits & Filings

AFLAC INC 8-K Report, Temporary Suspension of Trading Under Employee Benefit Plans (Jun 15, 2020)

Filed June 15, 2020For Securities:AFL

Summary

Aflac Incorporated (AFL) has filed an 8-K report on June 15, 2020, to announce a temporary suspension of trading under its employee benefit plans. This "blackout period" is necessitated by a change in the recordkeeper for the Aflac Incorporated 401(k) Savings and Profit Sharing Plan. The blackout is scheduled to commence on June 23, 2020, at 3:00 p.m. Eastern Time and is expected to conclude during the week of July 19, 2020. During this period, participants in the 401(k) plan will be unable to access their accounts. This restriction includes the inability to direct or diversify investments, make withdrawals, request distributions, or obtain loans. Notably, these limitations apply to all assets within the plan, including Aflac common stock. Furthermore, executive officers and directors are prohibited from trading Aflac common stock, including exercising stock options or engaging in derivative transactions, during the blackout period, as per Sarbanes-Oxley Act regulations.

Key Highlights

  • 1Temporary "blackout period" affecting Aflac's 401(k) plan participants is scheduled from June 23, 2020, to the week of July 19, 2020.
  • 2The blackout is due to a change in the 401(k) plan's recordkeeper, requiring a transition of account records.
  • 3During the blackout, 401(k) plan participants cannot access accounts for investment direction, diversification, withdrawals, distributions, or loans.
  • 4Restrictions apply to all plan assets, including Aflac common stock.
  • 5Executive officers and directors are prohibited from trading Aflac common stock during the blackout period.
  • 6This trading restriction for insiders aligns with Sarbanes-Oxley Act (SOX) Section 306(a) and Regulation BTR.
  • 7Information regarding the actual start and end dates of the blackout can be obtained from Aflac's Corporate Secretary.

Frequently Asked Questions

The blackout period is necessary to facilitate a change in the recordkeeper for Aflac's 401(k) Savings and Profit Sharing Plan. This transition requires a temporary suspension of access to participant accounts to ensure a smooth and accurate transfer of records.

The blackout period directly affects participants in the Aflac Incorporated 401(k) Savings and Profit Sharing Plan, as they will not be able to access their accounts. Additionally, Aflac's executive officers and directors are subject to trading restrictions on Aflac common stock during this period.

During the blackout period, participants will be unable to direct or diversify their investments, request a withdrawal or distribution, or take out a loan from their 401(k) plan accounts. This restriction includes any investments made in Aflac's common stock.

While this 8-K filing concerns internal administrative changes and trading restrictions for plan participants and insiders, it does not directly indicate any fundamental changes to Aflac's business operations or financial performance that would inherently impact its stock price. Investors should consider this alongside broader market conditions and company-specific financial results.