(The Associated Press circulated the following on May 6.)
NEW YORK — The chairman and chief executive of railroad operator Kansas City Southern exercised options for 36,000 shares of common stock under a prearranged trading plan, according to a Securities and Exchange Commission filing.
In two Form 4s filed with the SEC Monday, Michael R. Haverty reported he exercised the options Thursday for $5.75 apiece and then sold all the shares on the same day for $45.40 to $47.26 apiece.
The stock sale was conducted under a prearranged 10b5-1 trading plan which allows company insiders to set up a program in advance for such transactions and proceed even if they come into possession of material nonpublic information.
Insiders file Form 4s with the SEC to report transactions in their companies’ shares. Open market purchases and sales must be reported within two business days of the transaction.