8-KOther Events

CARDINAL HEALTH INC 8-K Report, Temporary Suspension of Trading Under Employee Benefit Plans (Oct 29, 2004)

Filed October 29, 2004For Securities:CAH

Summary

This Form 8-K filing from Cardinal Health, Inc. (CAH) on October 29, 2004, provides an update on the temporary suspension of trading in the company's stock under its employee benefit plans. This "blackout period" began on September 27, 2004, and was initiated to comply with Regulation BTR. The company had previously announced this suspension in a Form 8-K filed on September 28, 2004. The primary purpose of this filing is to officially announce the termination of the blackout period. Cardinal Health has determined that the suspension ended effective October 26, 2004, coinciding with the company's filing of its Form 10-K. This means that participants in the company's employee benefit plans can now resume trading their company stock.

Key Highlights

  • 1Cardinal Health, Inc. (CAH) filed a Form 8-K on October 29, 2004.
  • 2The filing officially announces the end of a temporary suspension of trading in company stock under employee benefit plans.
  • 3The trading suspension, known as a 'blackout period,' began on September 27, 2004.
  • 4The blackout period was implemented in compliance with Regulation BTR.
  • 5The suspension officially ended on October 26, 2004.
  • 6The termination of the blackout period coincided with the company's filing of its Form 10-K on October 26, 2004.
  • 7Participants in employee benefit plans can now resume trading company stock.

Frequently Asked Questions

A 'blackout period' is a temporary suspension of trading in a company's stock under its employee benefit plans, such as 401(k) accounts. This is typically implemented to prevent insider trading and ensure fairness when the company is undergoing significant changes or has non-public information.

Cardinal Health implemented the blackout period to comply with Regulation BTR (Blackout Trading Restriction), a rule that restricts trading by participants in company stock funds within employee benefit plans during certain periods, usually around the filing of financial reports.

The blackout period began on September 27, 2004, and officially ended on October 26, 2004. The company had previously announced the start of the suspension on September 28, 2004.

The blackout period ended when Cardinal Health filed its Form 10-K for the relevant period on October 26, 2004. The filing of the 10-K signals that the company's financial information is now public and accessible, allowing the trading suspension to be lifted.