» As for the stocks affected: Some of the smaller stocks, like Wizzard Software (which made a dramatic leap from $3.50 to $14 as a result of the trading glitch) had their trades cancelled, with no penalties for the steep increases. Other bigger stocks, like Abercrombie & Fitch, are still being investigated. Glitches in complex software like this could be spooking smaller investors, already weary of the stock market after the financial crisis and the 2010 Flash Crash.
Maybe I shouldn’t do these things, but I’ve worked my life building this company and it’s been successful. I want to enjoy it. Whether it’s living lavishly, I think that’s all relative.Green Mountain Coffee founder Robert Stiller • Discussing the stock sale which cost him the chairmanship of his company earlier this week. Stiller, who founded the company in the 1980s and has seen its fortunes rise with its popular K-Cup machines, abruptly sold 5 million shares last week while the stock was in the midst of a sharp decline. The sale was in violation of company policy. Stiller, who still owns 8 million shares of the company’s stock, also dumped a $50 million stake in Krispy Kreme at roughly the same time. Stiller and another person will remain on the board for now, but had his pay suspended and his leadership role removed.
» Why? Zuck plans to sell some of his shares: Back in 2005, Facebook founder Mark Zuckerberg received a set of new stock options for his company. With said company looking to go public, Zuckerberg will exercise those shares before the IPO, effectively buying them at the price they were worth back then, and sell them after the IPO, effectively setting himself up for a windfall of nearly $5 billion … and one of the largest tax bills in history. It’s not like he’s gonna be broke, though — in fact, he’ll still be worth $24 billion by the end of it, much of that invested in his company. So hard for him, gotta tell you guys.