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Intel boss sold stock before chip flaw disclosure

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Intel chief executive Brian Krzanich sold a large chunk of his shares in the company several months after it was alerted to a serious security flaw affecting its products, it has emerged.

Regulatory filings showed Mr Krzanich pocketed about $25m (£18.4m) before tax from the sale of stocks and options in late November.

It emerged earlier this week that Intel was notified by Google last June of a flaw in its processor chips that could leave memory and data vulnerable to theft – leaving the company, and its rivals, scrambling to mitigate the risk.
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Intel’s shares have tumbled by 5% since the hardware issue came to light – the two known bugs named Meltdown and Spectre affecting not only Intel’s processors but also those of AMD and ARM Holdings.

It is now understood that, following the sale of his shares in November, Mr Krzanich currently holds just above the minimum level of stock required of him by Intel.
Intel released a statement to insist there was no impropriety, saying the sale was “unrelated” and that he “continues to hold shares in line with corporate guidelines.”

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Market commentators said the activity mirrored a divestment path for Mr Krzanich that had been laid out in October.
GBH Insights chief strategy analyst Daniel Ives told the AP news agency the stock sale was “cookie cutter” and not of concern.

Source: SKY