8-KMaterial Agreements

COPART INC 8-K Report, Material Agreement (Jun 13, 2011)

Filed June 13, 2011For Securities:CPRT

Summary

Copart, Inc. (CPRT) filed an 8-K on June 13, 2011, to disclose a material definitive agreement. The company's Audit and Compensation Committees authorized the repurchase of up to 10,000 shares of its common stock from Robert H. Vannuccini, a Senior Vice President and Chief Sales Officer. The repurchase terms stipulate that the price per share will be set at the closing price on the NASDAQ on the day Mr. Vannuccini provides written notice of his intent to sell. This notice must be delivered on a trading day and can be given through July 15, 2011. This transaction represents a share buyback from a key executive, which is important for investors to note regarding insider transactions and potential changes in share ownership.

Key Highlights

  • 1Copart, Inc. entered into a material definitive agreement for a share repurchase.
  • 2The company will buy back up to 10,000 shares of its common stock.
  • 3The seller is Robert H. Vannuccini, Senior Vice President and Chief Sales Officer.
  • 4The purchase price will be based on the NASDAQ closing price on the date of Mr. Vannuccini's notice.
  • 5Mr. Vannuccini has until July 15, 2011, to provide notice of sale.
  • 6The Audit and Compensation Committees authorized this transaction.
  • 7This filing indicates a planned insider share transaction.

Frequently Asked Questions

The primary purpose of this 8-K filing is to report a material definitive agreement, specifically the company's authorization to repurchase shares from a key executive.

Robert H. Vannuccini, who holds the position of Senior Vice President and Chief Sales Officer at Copart, is selling up to 10,000 shares back to the company.

The price per share will be equal to the closing price of Copart's common stock on the NASDAQ Stock Market on the day Mr. Vannuccini provides written notice of his intent to sell the shares.

Yes, Mr. Vannuccini must provide written notice to the company of his intention to sell shares on a trading day on the NASDAQ through July 15, 2011. Notices received after 5 p.m. PT will be treated as if received the following trading day.