Menu Foods CFO sold shares right before pet food recall

[LynneSin]

http://www.canada.com/nationalpost/financialpost/story.html?id=e1a0d227-2393-49f0-a4eb-efb921f0df4f&k=8594

Menu Foods CFO sold shares right before pet food recall
Reuters
Published: Tuesday, April 10, 2007
TORONTO -- The chief financial officer of Menu Foods Income Fund (TSX:MEW.UN) sold nearly half his units in the pet food maker less than three weeks before it announced a massive product recall, according to insider trading reports.

The reports show that Mark Wiens sold 14,000 units for $102,900 (US$89,700) on February 26 and February 27. As of Monday's close of $4.46, the units would be worth $62,440.

After the sale, Wiens owned 17,193 units and had options to buy 101,812, the trading reports show.

On March 16, the Mississauga, Ontario, pet food maker recalled 60 million containers of "cuts and gravy" style pet food amid reports of pet deaths due to contamination.

The U.S. Food and Drug Administration has identified an industrial chemical called melamine in wheat gluten it said was shipped by a Chinese company to ChemNutra Inc. of Las Vegas. ChemNutra then sold the ingredient to Menu Foods and a few other companies that have since recalled pet products.

[Junkdrawer]

1. Didn't the pet food industry sit on the bad news for a month or so...

Well, now we know why...

[no_hypocrisy]

2. SEC should open a new file on this one.

[LynneSin]

4. He's Canadian - can the US do anything about him

:shrug:

[no_hypocrisy]

6. There could be standing just by the fact that he has stock traded

in the NYSE.

Don't know, just speculating.

[wicket]

3. Cue the Church Lady:

"How conveeeeeeeenient!"

[samplegirl]

5. Dumping stock

is a dead give away. Just like the CEO of Circuit City.

[no_hypocrisy]

7. You can't forget Martha Stewart.