Discovery Communications founder and chairman John Hendricks reaped nearly $68 million in profits from cashing in stock options over the past six months, selling more than 1.2 million shares during that time period.
According to documents filed with the Securities and Exchange Commission, the sales were part of a 10b5-1 automatic trading program, a common practice for top executives at publicly traded companies. With 10b5-1 plans, trades are made automatically after a stock reaches a pre-determined level and are not under the control of the executive.
According to the SEC filings, Hendricks exercised 1.22 million options at a strike price of $14.53 per share and sold them in several transactions between June 5 and Dec. 23 at prices ranging from $73.23 per share to $88.90 per share for a total profit of $68.9 million. At the same time, Discovery’s stock rose about 16.5%. For the full year, Discovery stock has risen about 39.7%.