8-KOther Events

L3HARRIS TECHNOLOGIES, INC. /DE/ 8-K Report, Corporate Update (Aug 10, 2007)

Filed August 10, 2007For Securities:LHX

Summary

This Form 8-K filing from Harris Corporation, dated August 10, 2007, discloses a pre-arranged stock trading plan established by Gary L. McArthur, Vice President and Chief Financial Officer. The plan outlines the exercise of stock options and subsequent sale of up to 24,000 shares of Harris common stock over a period from November 2007 to June 2008. The primary purpose of this plan is for Mr. McArthur's long-term asset diversification, financial, estate, and tax planning. It's important to note that the plan was established in compliance with Rule 10b5-1 of the Securities Exchange Act of 1934, ensuring that trades are made when Mr. McArthur was not in possession of material non-public information. Additionally, the filing reports that Mr. McArthur immediately exercised options for 20,000 shares and sold them on August 10, 2007.

Key Highlights

  • 1CFO Gary L. McArthur established a pre-arranged stock trading plan under Rule 10b5-1.
  • 2The plan involves exercising stock options and selling up to 24,000 Harris Corporation shares.
  • 3The sales are scheduled to occur between November 2007 and June 2008.
  • 4The purpose of the plan is for personal asset diversification and financial/estate/tax planning.
  • 5The plan ensures trades are executed without the CFO possessing material non-public information.
  • 6Mr. McArthur exercised options for 20,000 shares and sold them on August 10, 2007.
  • 7Mr. McArthur's share ownership will remain in excess of company guidelines after these transactions.

Frequently Asked Questions

The main purpose of this 8-K filing is to disclose that Harris Corporation's CFO, Gary L. McArthur, has established a pre-arranged stock trading plan (under Rule 10b5-1) for the exercise of stock options and subsequent sale of company shares. It also reports an immediate exercise and sale of 20,000 shares by the CFO.

This plan is significant because it provides transparency regarding potential future sales of Harris Corporation stock by a key executive. Establishing the plan under Rule 10b5-1 is a mechanism to allow for orderly stock sales for personal financial planning without insider trading concerns. It indicates a planned diversification by the CFO, but also reassures that the CFO's ownership will remain substantial.

The pre-arranged plan allows for the sale of up to 24,000 shares acquired through option exercises, beginning in November 2007 and concluding by June 2008, subject to certain conditions.

No, the filing explicitly states that Mr. McArthur's ownership interest in Harris will remain in excess of the company's stock ownership guidelines after these transactions. The plan is for a specific number of shares (up to 24,000) and is for diversification purposes.