“Kodak? *takes drag of cigarette* I haven’t heard that name in years.” – Jeff
WFH stocks mounted a comeback yesterday.
Today we’re talking about Kodak shooting itself in the foot again.
You can’t do that
The Eastman Kodak Company, pride of Rochester, NY, said today that five former execs were able to rake in millions of dollars by selling stock options they didn’t actually own. What?
You can’t make this stuff up, folks…
Around 300k previously forfeited stock options were exercised by former executives of the firm back in July. As a result, Kodak incurred around $5.1M in compensation expenses related to the options in the Q3.
And Kodak is a company that can’t afford those kinds of mistakes.
So, how does this happen?
Kodak CFO David Bullwinkle (seriously, that’s his name) said that the company had uncovered shortcomings in its controls which failed to stop “unauthorized issuance” of Kodak stock.
Bullwinkle continued throwing others under the bus at an alarming pace, indicating that Kodak’s maintenance and tracking of grant activity was done by a third-party administrator. Has Bullwinkle considered corporate espionage on the part of Polaroid?
This is getting old, you guys
Kodak shares fell to $6.63. Not ideal, considering that in July the shares jumped to $60 on news that the company would receive a federal loan to manufacture pharmaceutical chemicals. Of course, the stock almost immediately crashed following the SEC’s investigation into the firm announcing the loan a little too early. We’ve all been a little premature, amirite fellas?
The bottom line…
All the bad news couldn’t keep Kodak down, however. CEO Jim Continenza has been steadfast in the company’s vision to produce pharmaceutical chemicals, whether it gets a government loan or not. But a loan… and links to YouTube videos on how to make generic drugs, would really, really help.
Kodak will take what it can get. It announced on Tuesday that losses widened to $445M for the quarter, up from $5M last year.
Pfizer’s CEO Albert Bourla sold a majority of his Pfizer shares on Monday via a pre-scheduled 10b5-1 trading plan. He enrolled in the plan in August, and the plan triggered a sale of 132.5k shares to rake in $5.6M.
But it’s not as if Al has wiped his hands clean of the company stock (although he should at least wash his hands for 20 seconds), as he still owns 81.8k shares of $PFE.
He’s also not the first biopharma exec to sell shares after big gains this year. Five top execs at Moderna sold over $80M in company stock this year. Of course, Pzifer is down 1.6% on the year, whereas Moderna is up 330% YTD. But who’s counting?
Remember watches? Ya know, those things you’d wear on your wrist when you put on pants and left the house?
Watchmaker to the masses, Fossil, gained 30% after announcing quarterly earnings that crushed estimates. Revenue fell 19%, which admittedly doesn’t sound great, but is a lot better than the forecasted decline of 35% to 45%.
EPS of negative 31 cents eclipsed the estimated negative $1.71 and was an improvement vs. the loss of 51 cents per share posted in the same period last year. CEO Kosta Kartsotis also indicated that the company was on track to meet its cost savings goal of $100M in 2020.
So, we doing this thing?
TikTok is starting to think it got ghosted…
You may remember that it was given a November 12th deadline *checks calendar* (that’s today) to sell to a US based technology company, or else it’d be banned. A deal was announced with Oracle and Walmart, which hasn’t been completed, and yet TikTok is still on app stores…
For weeks, ByteDance has not had “meaningful dialogue” with the CFIUS (The Committee of Foreign Investment in the United States), and is left to sit around wondering “should I text him or just give him his space?” The company did however state that it’s still interested in partnering with Oracle to satisfy national security concerns.