The pizza giant’s founder and CEO, John Schnatter, notified the Securities and Exchange Commission that he’d adopted a stock trading plan today under which he may sell up to 480,000 company shares, a block worth $36.4 million at today’s closing price of $75.75.
In a late-afternoon filing with the SEC disclosing the plan, Schnatter didn’t provide any more details, such as a timetable for when he would sell and in what amounts.
Company executives often adopt these “10b5-1” plans, named for the SEC rule that governs insider trading. The plans are often approved by a company’s board of directors, and require an executive to sell a certain number of shares at fixed intervals to avoid any appearance they’re trading on inside information.
Today’s filing came after stock markets closed. In extended trading, PZZA shares hardly fluttered, indicating Wall Street wasn’t concerned. That’s not surprising. Even if Schnatter had sold all 480,000 shares today, he’d still own about 10 million, including those subject to options — a stake equal to 26.3% of all outstanding shares. He would still be the company’s single-biggest stockholder, with a total stake worth $758 million.
The filing was noteworthy for another reason. Without explaining why, Papa John’s said it would not disclose any future 10b5-1 plans that might be adopted by other officers or directors. Nor will it report any changes or termination of any publicly announced trading plan, including Schnatter’s, except to the extent required by law.
Schnatter’s plan follows an especially busy month of trading for the executive. Since Aug. 5, he’s sold more than 138,000 shares for $10.5 million; chart, below.
Today’s the Brown-Forman founder’s birthday. Born in Munfordville, Ky., on Sept. 2, 1846, Brown moved to Louisville in 1862, where he attended Male High School. He worked as a pharmaceuticals salesman until starting the future whiskey giant in 1870 with the original Old Forester brand, when he was 24 years old. Brown married Amelia Bryant Owsley in 1876, and they had two children, Owsley and Robinson. George died Jan. 24, 1917 and is buried in Cave Hill Cemetery.
His death at age 70 was front-page news the following day in The Courier-Journal:
Related: With this year’s batch of commemorative Birthday Bourbon, there’s more to celebrate than ever.
A news summary focused on 10 big employers; updated 8:41 a.m.
YUM has agreed to an advance sale of a $464 million slice of its China operations to a prominent Chinese deal maker and the financial affiliate of Chinese Internet giant Alibaba. The deal announced this morning is with Primavera Capital and Ant Financial Services Group. They will buy the shares at an 8% discount to the average price at which Yum China’s shares trade between 31 and 60 days after they’re distributed to Yum shareholders in a spinoff expected by Oct. 31. Yum China will start trading on the New York Stock Exchange as an independent company on Nov. 1 under the ticker symbol “YUMC.”
Louisville-based Yum also announced Primavera founder Dr. Fred Hu, former chairman of Greater China at Goldman Sachs, will become Yum China’s non-executive board chairman. In a statement, Yum CEO Greg Creed said: “The investments from Primavera and Ant Financial in Yum China mark another important milestone in our plans to separate the China business and create a solid foundation for Yum China” (Wall Street Journal and press release).
GE APPLIANCES owner Haier is filling a hole in its product lineup: It will begin to sell Haier-branded gas cooktops, induction cooktops and ovens in the U.K., beginning next year. China-based Haier hasn’t yet released prices or dates when they might appear in other countries, however. Haier bought Louisville-based GE Appliances for $5.6 billion in June, in a bid to gain a stronger presence in the U.S., where it has only 1.1% of the appliance market. The Louisville company employs 6,000 workers at Appliance Park in the south end (CNET).
KFC: YouTube vlogger Hellthy Junk Food has done a blind taste taste of real KFC fried chicken vs. that purportedly leaked super-secret recipe of 11 herbs and spaces founder Harlan Sanders created. Posted Tuesday, the video’d results have already drawn 75,000 views — and they don’t bode well for the chain:
BROWN-FORMAN: Financial news site Seeking Alpha Continue reading “Yum agrees to sell $464M stake in China unit ahead of spinoff; Haier to brand cooktops and ovens in U.K.; plus more (possibly) bad news about the (allegedly) leaked KFC recipe”