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GM executives sell their shares
12 May 2009
Six General Motors executives have sold almost $315,000 (£206,000) in stock and liquidated their remaining direct holdings in the struggling automaker.
The GM officials, including former Vice Chairman and product chief Bob Lutz, detailed stock sales in filings with US securities regulators during a trading window for such transactions.
The rush to sell the shares comes as the company faces its deadline to restructure or enter Chapter 11 bankruptcy protection. Both options are likely to wipe out the value of the shares to below 2 cents per unit.
Lutz, who is now an adviser to the automaker, sold $130,989 (£85,700) worth of GM stock at the closing price of $1.61 (£1) on Friday.
That sale of the 81,360 shares cleared out all of Lutz's direct holdings of GM stock, according to his filing with the Securities and Exchange Commission.
According to the filings, the five other executives who sold all of their GM stock holdings were: Lutz's successor, Thomas Stephens; GM North America president Troy Clarke; chief information officer Ralph Szygenda; manufacturing chief Gary Cowger; and head of European operations Carl-Peter Forster.
Insider trading restrictions have prevented GM's senior executives from selling stock holdings for most of this year, as the automaker has scrambled to restructure.
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