““CEOs go to their vacation homes just after companies report favorable news, and CEOs return to headquarters right before subsequent news is released. More good news is released when CEOs are back at work, and CEOs appear not to leave headquarters at all if a firm has adverse news to disclose. When CEOs are away from the office, stock prices behave quietly with sharply lower volatility. Volatility increases immediately when CEOs return to work.” —David Yermack, a New York University finance professor, whose recently released study shows a correlation between when CEOs take their private jets on vacation and movements in their companies’ stock price ”
ATG Javelin May Be Resurrected
Since suspending development of the two-seat Javelin very light jet program in late December, the board of directors at Aviation Technology Group of Englewood, Colo., has continued to negotiate with Israel Aerospace Industries (its strategic partner) and financial institutions. According to ATG, the board's efforts are now "focused on negotiations with interested parties pursuing a possible sale or a majority buyout of ATG." The company said several teams are seeking potential buyers, requesting their "best and final offer bids."