Richard Parsons votes Time Warner (TWX) confidence with his own money

Posted Aug 7th 2007 10:20AM by Jon Ogg
Filed under: SEC Filings, Management, Insiders, Time Warner (TWX)

If you review the Liveblogging of the earnings conference call, CEO Richard Parsons did say he feels Time Warner Inc. (NYSE: TWX) shares are undervalued. In a Form-4 SEC filing after yesterday's close, it shows that Parson purchased $500,000 worth of shares with the earliest transaction date of August 3.

Richard Parsons bought 26,867.276 shares at $18.61 as part of a deferred compensation plan. While it's not quite the same as buying shares completely out of pocket in after-tax paycheck dollars for a total show of force or a call to arms, it is the next best thing -- it's certainly better than not buying shares at all. It is certainly better than a mere exercise and immediate sale of options.

Jon Ogg can be reached at jonogg@247wallst.com; he does not own securities in the companies he covers.

Tags: insider buying, management, Richard Parsons, RichardParsons, time warner

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Reader Comments (Page 1 of 1)

8-07-2007 @ 11:01AM

ed said...

This is a man who annually is awarded $25 million in performance bonuses despite a stock price that hasn't budged in four years. He takes the company jet to Italy twice a year (without compensating shareholders) to check on his vineyards in Montalcino. Parsons can afford this token payment 1000 times over. It means nothing.

8-07-2007 @ 1:34PM

Lew said...

Agreed. Could not have said it better. This "vote" of confidence means nothing from the mangement team that has run the company over the past 4 years poorly and was involved with the earlier AOL debacle.It gives me pause and I wonder if we should now consider it a good short given his track record.