Citadel Investment Group
said an affiliate has terminated a Rule 10b5-1 trading plan it entered into earlier this month in connection with its holdings of
The plan was to begin Monday, but no sale of E*Trade common shares has been made under the plan, Citadel said in a statement Monday. Citadel had
as much as 120 million shares of E*Trade it owns, slightly more than 10% of Citadel's holdings on an "if and as converted" basis.
Citadel said it "believes that the termination of the plan at this time is in the best interests of E*Trade and all of its stakeholders." Citadel said its founder and CEO, Ken Griffin, has consulted with the board of E*Trade on the investment group's decision.
A 10b5-1 trading plans allow individuals and firms who aren't at the time in possession of material non-public information regarding the company to establish pre-arranged automatic plans to buy or sell stock, Citadel explained when it first entered the agreement on Aug. 11. The plans are typically entered into by management and directors of public companies, Citadel said.
-- Reported by Joseph Woelfel in New York
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