Summary
IDEXX Laboratories, Inc. (IDXX) announced that its Chairman and CEO, Jonathan W. Ayers, has adopted a Rule 10b5-1 trading plan. This plan is designed to allow Mr. Ayers to exercise stock options granted in January 2002, which are set to expire in January 2012. The core of the plan involves exercising options for up to 600,000 shares and then selling a portion of the acquired shares. Specifically, Mr. Ayers will retain shares valued at approximately 50% of the profit (spread between market price and exercise price), after taxes and expenses. The remaining shares will be sold to cover the exercise costs, taxes, and for asset diversification purposes. This pre-arranged plan ensures transactions occur during a defined period without concerns about possessing material nonpublic information at the time of execution.
Key Highlights
- 1CEO Jonathan W. Ayers has adopted a Rule 10b5-1 securities trading plan.
- 2The plan covers stock options granted in January 2002, expiring in January 2012.
- 3Up to 600,000 shares can be exercised under the plan.
- 4A portion of the exercised shares will be sold to cover exercise price, taxes, and for diversification.
- 5Mr. Ayers will retain approximately 50% of the profit (spread) after taxes and expenses.
- 6Transactions are expected to occur between February 2010 and January 2011.
- 7Transactions will be publicly disclosed via Form 144 and Form 4 filings.