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News > Companies
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Enron execs sold $1.3B in stock
graphic January 22, 2002: 8:20 p.m. ET

CEO sold $201.6M in stock, made $119M in profit in last three years.
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  • Duncan firing back at Andersen -- Jan. 18, 2002
  • Special report: Enron’s collapse
  • Loans, not Enron finances, said to drive Lay stock sales -- Jan. 21, 2002
  • FBI talks to Enron employees at Houston headquarters -- Jan. 22, 2002
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    WASHINGTON (CNN) - Enron Corp.'s executives and directors sold about $1.3 billion worth of stock in the last three years, with CEO Ken Lay booking $119 million in profit, according to a study from Thomson Financial commissioned by CNN.

    Lay sold $201.6 million in stock since October 1998 with his profit -- at about $119 million -- less than various published reports suggest. Enron's former CEO, Jeff Skilling, sold about $190.4 million in stock and netted a profit of $112 million.

    Enron Chief Financial Officer Andrew Fastow sold nearly $32 million in Enron shares and received $18.5 million in profit, according to data from Thomson Financial.

    The comprehensive study commissioned by CNN shows that executives of the humbled energy trader made less than previously suggested but still netted millions on the stock sales.

    However, the study does not reflect shares used by executives to repay loans. Corporate stock sales must be disclosed by the tenth of the month in which the sale takes place, unless the shares are turned over to the company to repay a loan, according to the U.S. Securities and Exchange Commission.

    Enron made a number of loans to Lay from Feb. 2001 through the end of October, an attorney for Lay revealed last week. As Enron's stock and collateral dropped, Lay, to avoid margin calls, borrowed under his line of credit and then used Enron stock to repay the loans.

    From February through October, Lay exercised his options, buying shares and then immediately selling them to repay loans. Most of the transactions related to the loans occurred before August but Lay did return Enron shares to the company after Aug. 20-21, Lay's attorney said. graphic

      RELATED STORIES

    Duncan firing back at Andersen -- Jan. 18, 2002

    Special report: Enron’s collapse

    Loans, not Enron finances, said to drive Lay stock sales -- Jan. 21, 2002

    FBI talks to Enron employees at Houston headquarters -- Jan. 22, 2002





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    Most stock quote data provided by BATS. Market indices are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer. Morningstar: © 2018 Morningstar, Inc. All Rights Reserved. Factset: FactSet Research Systems Inc. 2018. All rights reserved. Chicago Mercantile Association: Certain market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. Dow Jones: The Dow Jones branded indices are proprietary to and are calculated, distributed and marketed by DJI Opco, a subsidiary of S&P Dow Jones Indices LLC and have been licensed for use to S&P Opco, LLC and CNN. Standard & Poor's and S&P are registered trademarks of Standard & Poor's Financial Services LLC and Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC. All content of the Dow Jones branded indices © S&P Dow Jones Indices LLC 2018 and/or its affiliates.

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