They added about $13 million to the company's market cap -- an amazing return on a total of $400,000 worth of buys by insiders -- a "creation of value" equaling a return of about 3,200%. Warren Buffett, eat your heart out!Well now that CEO who was buying, Steven Lightman, has been pushed out in favor of Robert Conway of Conway, Del Genio, Gries & Co, LLC. According to the press release, "Mr. Conway has over 25 years of experience advising companies on financial and operational issues as a banker, consultant and senior executive officer. The Company also retained a team of specialists from Conway, Del Genio, Gries & Co., LLC to assist Mr. Conway in addressing business improvements and help implement necessary operational changes."
Folks, here's the thing: Insider trading is illegal. If you think that this "vote of confidence" is indicative of anything material, then you just bought stock in a company where 6 executives, including the Chairman and the CEO, should be under SEC investigation.
It's interesting timing given that last week two directors announced their resignation from the company's board effective immediately.
The SEC filing detailing the change at the top isn't out yet but, if it's like the contracts I've seen for other turnaround firms being brought in to run companies, it will be pretty rich. And the company can say whatever it wants in its press release about "operational changes" but on its website, the firm describes itself this way: "Conway Del Genio Gries & Co., LLC is a financial advisory firm providing restructuring, crisis and turnaround management, and merger and acquisition services."
I'll be watching this "turnaround" from the sidelines.
Retailers can't wait for Black Friday, open Thursday
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Cramer on BloggingStocks: This bullish retail story looks like a good fit 
Reader Comments (Page 1 of 1)
2-16-2008 @ 5:22PM
Ed Henrich said...
Check out the limited changes Lightman made to their website at
http://thisweekinetail.blogspot.com/2008/02/sharper-image-past-year-on-web.html