EMC Officers Sell $15 Million in Shares (EMC)

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Insiders of EMC Corp. (NYSE:EMC) have sold more than 750,000 shares of the company stock for gross proceeds of more than $15 million before the cost basis was considered.  These aren’t a signal of a mass exodus or anything of the sort as this is part of a diversification and gradual divesting strategy under a planned share sale under the 10b5-1 filings.

  • EMC’s Joe Tucci, Chairman/President/CEO, sold 400,000 shares at $20.9979 as part of a 10b5-1 trading plan with an average cost basis price of $5.42.
  • David Goulden, CFO, sold 100,000 shares at $21.05 as part of a 10b5-1 trading plan with an average cost basis price of $7.70.
  • Elias Howard, President of EMC Global Services, sold 50,000 shares at $21.05 as part of a 10b5-1 trading plan with an average cost basis price of $13.18.
  • Arthur Coviello, President of RSA unit, sold 200,000 shares at $20.78 as part of a 10b5-1 trading plan with an average cost basis price of $7.65.
  • Paul Dacier, General Counsel, (by spouse) sold 6,676 shares at $20.78 as part of a 10b5-1 trading plan.  An average cost basis was not seen.

So it appears that if these are the only insiders selling under a previous 105b-1 trading plan, a planned share sale for diversifying out of total company exposure, that some 756,676 shares were sold by the company officers.  Keep in mind these are all relatively small percentages of the respective holdings and this is not out of the ordinary.  As you can tell by the 1% gain to a new multi-year high of $22.00 this morning, Wall Street is not taking this to be anything other than the obvious.

Jon C. Ogg
October 10, 2007