Boeing Director Makes First Stock Purchase
A Boeing insider snapped up several thousand shares of the aerospace firm, marking the first purchase of its kind during his time as a director.
Mortimer Buckley, former chairman and CEO of The Vanguard Group, purchased 2,200 shares of common stock for $226.10 each on Aug. 19, for a total of $497,420, according to a Form 4 filed with the Securities and Exchange Commission. The purchase represents Buckley’s first time buying securities since becoming a Boeing director earlier this year.
Shares have gained 4.5% since Aug. 19. As of Thursday afternoon, Buckley’s holdings were valued at $517,352.
Earlier SEC filings show Buckley has been awarded so-called phantom stock in lieu of cash compensation on several occasions. The phantom stock units will be converted into common stock and distributed following Buckley’s departure from the board.
Boeing referred Barron’s to the SEC filing when asked about the transaction.
Buckley’s purchase comes as labor contract negotiations continue at the plane maker. On Monday, Boeing Defense halted discussions with representatives of the International Association of Machinists and Aerospace Workers. More than 3,000 members of the machinists union have been on strike since Aug. 4. It is unclear when talks between the parties will resume.
The machinists’ strike is the only the latest for the jet maker. A seven-week strike that halted most commercial jet production in Washington state came to a close in November when workers accepted a new contract.
Shares are up 33% this year, buoyed by higher production rates and a warm reception to management’s turnaround efforts. The stock popped on Tuesday after Boeing announced a 103-plane order from Korean Air, which already operates 108 Boeing jets.
Inside Scoop is a regular Barron’s feature covering stock transactions by corporate executives and board members—so-called insiders—as well as large shareholders, politicians, and other prominent figures. Due to their insider status, these investors are required to disclose stock trades with the Securities and Exchange Commission or other regulatory groups.
Write to Mackenzie Tatananni at mackenzie.tatananni@barrons.com
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