§ 229.408. (Item 408) Insider trading arrangements and policies.
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/us/cfr/t17/s§ 229.408·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
(a)(1) Disclose whether, during the registrant's last fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report), any director or officer (as defined in § 240.16a-1(f) of this chapter) adopted or terminated:
(i)Any contract, instruction or written plan for the purchase or sale of securities of the registrant intended to satisfy the affirmative defense conditions of Rule 10b5-1(c) (§ 240.10b5-1(c) of this chapter) (a "Rule 10b5-1 trading arrangement"); and/or
(ii)Any "non-Rule 10b5-1 trading arrangement" as defined in paragraph
(c)of this section.
(2)Identify whether the trading arrangement is intended to satisfy the affirmative defense of Rule 10b5-1(c), and provide a description of the material terms, other than terms with respect to the price at which the individual executing the Rule 10b5-1 trading arrangement or non-Rule 10b5-1 trading arrangement is authorized to trade, such as:
(A)The name and title of the director or officer;
(B)The date on which the director or officer adopted or terminated the trading arrangement;
(C)The duration of the trading arrangement; and
(D)The aggregate number of securities to be purchased or sold pursuant to the trading arrangement.
(3)The disclosure provided pursuant to paragraphs (a)(1) and
(2)of this section must be provided in an Interactive Data File as required by 17 CFR 232.405 (Rule 405 of Regulation S-T) in accordance with the EDGAR Filer Manual. (b)(1) Disclose whether the registrant has adopted insider trading policies and procedures governing the purchase, sale, and/or other dispositions of the registrant's securities by directors, officers and employees, or the registrant itself, that are reasonably designed to promote compliance with insider trading laws, rules and regulations, and any listing standards applicable to the registrant. If the registrant has not adopted such policies and procedures, explain why it has not done so.
(2)If the registrant has adopted insider trading policies and procedures, the registrant must file such policies and procedures as an exhibit. If all of the registrant's insider trading policies and procedures are included in its code of ethics (as defined in 17 CFR 229.406(b)) and the code of ethics is filed as an exhibit pursuant to 17 CFR 229.406(c)(1), that would satisfy the exhibit requirement of this paragraph.
(3)The disclosure provided pursuant to paragraph (b)(1) of this section must be provided in an Interactive Data File as required by 17 CFR 232.405 in accordance with the EDGAR Filer Manual.
(c)For purposes of this Item 408, a director or officer (as defined in § 240.16a-1(f) of this chapter) (each a "covered person") has entered into a non-Rule 10b5-1 trading arrangement where:
(1)The covered person asserts that at a time when they were not aware of material nonpublic information about the security or the issuer of the security they had adopted a written arrangement for trading the securities; and
(2)The trading arrangement:
(i)Specified the amount of securities to be purchased or sold and the price at which and the date on which the securities were to be purchased or sold;
(ii)Included a written formula or algorithm, or computer program, for determining the amount of securities to be purchased or sold and the price at which and the date on which the securities were to be purchased or sold; or
(iii)Did not permit the covered person to exercise any subsequent influence over how, when, or whether to effect purchases or sales; provided, in addition, that any other person who, pursuant to the trading arrangement, did exercise such influence must not have been aware of material nonpublic information when doing so.
(d)\[Reserved\] \[87 FR 80428, Dec. 29, 2022, as amended at 88 FR 36054, June 1, 2023; 89 FR 24373, Apr. 9, 2024\]
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§ 229.408
(Item 408) Insider trading arrangements and policies.
Fed. Reg.×8
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