Two years ago when General Motors
embarked on its latest turnaround plan, the company instated a two-year stock trade ban on its top 20 executives. The group included well-known names such as Chief Executive Rick Wagoner, and Vice Chairman of Global Product Development Bob Lutz
. Until today, none of them were allowed to buy or sell General Motors stock
. At the time of this posting, none of the them had filed plans with the SEC to purchase or sell their holdings, but they have until May 31 to do so.
Sarah Gilbert, editor at Blogging Stocks
tells us that the unusual ban was probably a way to keep investors from implying too much about the state of the company from inside trades. It was a move, Gilbert says, that went hand-in-hand with GM's
decision to stop issuing forecasts during the turnaround period. She says lifting the ban could indicate GM is nearing completion of its turnaround plan.
GM shares closed at 29.65 Wednesday afternoon, down 8 cents.
[Source: CNN Money]