Gaylord Entertainment's top two executives this week booked a combined profit of more than $900,000 after exercising batches of options that would have expired next year.
The trading plan set up by Chairman and CEO Colin Reed on Monday exercised options to buy about 112,000 shares at $25.25. The Rule 10b5-1 plan – which lets executives and directors trade their company shares at times when they do not have material, non-public information – then sold those shares at about $32, generating $3.6 million in gross proceeds and a profit of about $761,000.
On the same day, President and COO David Kloeppel's trading plan exercised more than 41,000 options at about $28 each and then sold the shares at $32. His profit from those transactions was about $160,000.
The sales by Reed and Kloeppel came as Gaylord shares (Ticker: GET) have almost completely recovered the losses they took after the May floods cost it more than $500 million in market capitalization. Since bottoming in late June at about $22, the stock has steadily climbed back above $32.
Their sales also are part of a widespread trend of insiders selling into the recent market gains. Locally, executives at Corrections Corp. of America, Tractor Supply and Clarcor also have been actively trimming their holdings.