3 GM execs sell 204,000 shares
5/21/2009NEW YORK - Three top executives at General Motors Corp. recently sold more than 200,000 shares of the automaker just days ahead of a government-posed restructuring deadline.
The three executives sold nearly 204,000 shares on Tuesday at prices ranging between $1.09 and $1.25 per share, according to a filing yesterday with the Securities and Exchange Commission. The sale marks the second time this month that top executives have unloaded a stake in the automaker. Less than two weeks ago, six GM executives - including two who sold shares Tuesday - unloaded almost 205,000 shares.
GM is facing a deadline at the end of the month to clear several hurdles in its restructuring, including a new labor agreement with its union and an equity exchange with its bondholders. If it does not meet its obligations, its government aid will end and it likely will be forced to seek bankruptcy protection. If GM files for bankruptcy, shareholders almost certainly would be wiped out.
Among the executives who disposed the shares on Tuesday was departing Vice Chairman Bob Lutz, who sold 133,859 shares. Vice Chairman Thomas Stephens sold 49,011 shares, while Group Vice President Maureen Kempston Darkes sold 20,745 shares.
Mr. Lutz and Mr. Stephens were among the six executives who unloaded GM shares earlier this month.
Yesterday, shares of GM rallied 18 cents, or 14.2 percent, to close at $1.45. The stock has been trading at historic lows in recent months amid uncertainty over its future. On May 13, shares hit a low of $1, a level not seen since 1933.