Summary
This Form 8-K filing from Cummins Inc. (CMI) on February 10, 2011, primarily reports on the adoption of a pre-arranged stock trading plan (the "Solso 10b5-1 Plan") by Theodore M. Solso, the Chairman of the Board and Chief Executive Officer. The plan allows Mr. Solso to sell a maximum of 150,000 shares of the company's common stock. This plan was established in compliance with insider trading policies and Rule 10b5-1 of the Securities Exchange Act of 1934, ensuring sales occur at a time when the executive is not in possession of material, non-public information. The sales under the Solso 10b5-1 Plan are scheduled to begin sixty days after adoption and will continue until all 150,000 shares are sold or by February 4, 2012. Even if all shares are sold, Mr. Solso would retain approximately 296,719 shares and would remain compliant with the company's stock ownership guidelines. All transactions executed under this plan will be publicly disclosed through SEC filings.
Key Highlights
- 1CEO Theodore M. Solso adopted a pre-arranged stock trading plan (10b5-1 Plan) on February 4, 2011.
- 2The plan allows for the sale of up to 150,000 shares of Cummins Inc. common stock.
- 3Sales are permitted at specified market prices and will commence sixty days after adoption.
- 4The plan is designed to comply with insider trading policies and Rule 10b5-1.
- 5The plan has a duration of up to February 4, 2012, or until all shares are sold.
- 6Mr. Solso will retain approximately 296,719 shares if the maximum number of shares are sold, remaining compliant with stock ownership guidelines.
- 7All sales will be publicly disclosed through SEC filings.