Comment by bottom999mottob | Hacker News Reader

Comment by bottom999mottob | Hacker News Reader

Parent Full thread

bottom999mottob

Actually I think you're mischaracterizing and spreading misinformation about how Larry's stock sales work. Let's look at the ACTUAL SEC Filings on their website [0]. These filings show this is the "LAWRENCE J. ELLISON REVOCABLE TRUST", but being revocable doesn't automatically mean it's not a blind trust. However, several details from the filings indicate this was NOT operating as a blind trust:

1. These were planned exercises of stock options that were expiring on July 24, 2024 [1]

2. Two transactions of 1,125,000 options each were exercised at $40.47 [1]

3. The shares were then sold in declining price blocks to minimize market impact

4. All forms are signed by either Paul T. Marinelli (trustee) [2][3] or Aimee Weast (Attorney in fact for Ellison) [1]

5. Ellison is explicitly listed as "Officer" and "10% Owner" [1]

Go to page 4 to see these documents: [0] https://investor.oracle.com/sec-filings/default.aspx

July 17, 2024 - Form4 - Statement of Changes in Beneficial Ownership

[1] https://d18rn0p25nwr6d.cloudfront.net/CIK-0001341439/1c6945f...

July 16, 2024 - Form144 - Report of proposed sale of securities

[2] https://d18rn0p25nwr6d.cloudfront.net/CIK-0001341439/3bc4831...

July 15, 2024 - Form144 - Report of proposed sale of securities

[3] https://d18rn0p25nwr6d.cloudfront.net/CIK-0001341439/0b76c30...

While you're correct that Ellison isn't hurting for cash, the evidence suggests these were scheduled options exercises ahead of expiration, not discretionary blind trust trading.

I'd encourage you to review the actual SEC filings before making claims about how Larry handles his investments...

Officers of company's schedule the sale of their stock to signal in advance their sales to preempt insider trading concerns.

And as you found, it's managed by a trust.

So I don't understand the point you're trying to make.

Are you suggesting someone should let their stock expire ($0) that's worth $322M?

It seems like you have an axe to grind and I don't understand why.

That's all I'll say on this topic.

The point isn't about whether he should let the options expire - of course he shouldn't. The point is about accuracy in discussing Oracle's corporate governance.

You specifically claimed "Larry has a Blind Trust that sells his stock as they see best fit without his influence." The SEC filings directly contradict this:

1. This is a Revocable Trust, and while technically a blind trust can be revocable, the filings show this trust is actively managed with Ellison's involvement:

- The transactions were specifically timed around options expiration

- The sales were carefully structured in declining price blocks

- The trust uses Ellison's authority as Officer/10% Owner

- Forms are signed by his Attorney

2. These weren't discretionary sales by trustees "as they see best fit" - they were planned options exercises with a clear purpose and strategy.

I don't have an axe to grind. I'm just correcting a mischaracterization about how Larry manages his Oracle holdings. Accuracy matters when discussing corporate governance and SEC filings, especially for a company as significant as Oracle.

If this were a true blind trust they would've exercised the options at $40.47, immediately sell at market (~$143), and net ~$100 profit per share. Instead they did price stepping, and used Larry's Officer status under the pretense of independence.

> revocable doesn't automatically mean it's not a blind trust

That is correct, but it also means that this trust is not tax-advantaged.

Reply on news.ycombinator.com