« Netflix Has 70,000 Titles, Blockbuster 60,000 | Main | How Many DVDs Do You Really Want? »

Comments

Becky

I used to get the Netflix investors' email notices, and every single executive with stock options sold stock every month, including Reed Hastings. It's a routine thing. Doesn't mean anything.

mikek

I asked Reed Hastings this summer why he's selling stock on a regular basis, and he said that he was diversifying his assets (he's heavy on Netflix, obviously).

It is interesting that Antioco is buying at this point. Did he do it because he expects a big recovery or BB Oline to become profitable?

- Mike

Aron

Reed Hastings has at least half his net worth in a single company. Any investment advisor would describe this as irrationally risky. Selling stock means very little about his expectations for Netflix. However, when the stock tanked in 2004 he did stop selling for a time.

Antioco has a 50M$ parachute clause if he were to be fired. When he got kicked off the board of directors in 2005 by shareholders led by the Icahn coup, he threatened to leave the company and take the money through a stipulation in his contract. Icahn immediately led the board to appoint him chairman to avoid this scenario. Antioco still sold a very large proportion of his stock at that time.

His buying of shares definately suggests optimism from him for Blockbuster.

Becky

Maybe Antioco wants to sell BBO.

Edward R Murrow

From the WIKI, Antioco has responsibility for Blockbuster locations in twenty-nine countries, including the United States, Canada, Mexico, Argentina, Uruguay, Ireland, Puerto Rico, Australia, the UK, New Zealand, Israel, Brazil, Chile, Taiwan, Italy, Colombia, and formerly, Spain and Thailand.

Selling a corporate jet and going chartered is financially prudent since he has to travel to as far away as Australia.

Plus, if he turns Blockbuster around and the stock price returns to its former glory then he's proven his worth.

If Hastings needs to go to a distribution center in Los Angeles, he can simply jump aboard the next Greyhound.

Antioco has much more responsibility than Hastings, therefore he gets more $$$. That's capitalism and that's great.

To put it in the form of a logic question on the GRE's:

The responsibility that Antioco has compared to Hastings is that of the President of the US compared to a 7-11 clerk.

Lamarr Wilson

I'm surprised that they even take salaries. Most opt for the $1/year salary and get paid in dividends, as well as having a board approved expense account. Steve Jobs does it as well as other CEOs. I'd be interested to find out why Hastings or Antioco opts for the salary.

greg

ANTIOCO is buying and selling. Believe me, is is selling plenty. look at the tracking of his stock. B= buy. S = sell:

11/21/2006 ANTIOCO JOHN F Chief Executive Officer B 220,000 4.66 $1,025,200

12/23/2005 ANTIOCO JOHN F Chief Executive Officer S 20,316 3.63 $73,747

12/23/2005 ANTIOCO JOHN F Chief Executive Officer S 65,029 3.57 $231,893

12/23/2005 ANTIOCO JOHN F Officer and Director IS 202,000 NA $763,560

12/21/2005 ANTIOCO JOHN F Chief Executive Officer S 124,865 3.67 $457,659

5/27/2005 ANTIOCO JOHN F Chief Executive Officer S 37,300 9.41 $350,928

5/25/2005 ANTIOCO JOHN F Chief Executive Officer S 50,000 9.38 $468,946

Edward R Murrow

His last sale was on 12/23/2005, over a year ago. His last transaction was on 11/21/2006 when he took $1,025,200 of his own money, stepped up and purchased 220,000 shares on the open market to show he's a believer in himself and his turn around strategy.

I can't find Reed Hasting's last stock purchase of Netflix on the open market. Can someone help me with that information?

Aron

Compensation should be proportionate to performance as much or moreso than 'responsibility'. On that front, I'd give it to a man that took their company from 0 to 2B$ over a man who has taken his company from 6B$ to 1B$.

gir

"The responsibility that Antioco has compared to Hastings is that of the President of the US compared to a 7-11 clerk."

Um, yeah.

corey3rd

the 7-11 clerk has to work for a living. if he doesn't keep that coffee pot full, there will be hell to pay.

type-cast

A CEO could live the rest of their lives on one year's paycheck - which is at least 100 times what the average worker makes. Do you think Tom Cruise has to worry about whether his next movie flops? What, he'll be out on the street if he can't keep making $20 mil. What's irrational is spending like there is no tomorrow, which is of course very common among CEOs, athletes, and celebrities. They would never need to worry about money again if they just put the money in the bank, and lived modestly.

American CEOs are paid much more than other countries, but they're all overpaid. Rather than live modestly, they try to spend it as fast as they can to fill the void inside of them. That's pathetic and insane.

The comments to this entry are closed.

Sponsors

Third-Party Netflix Sites