According to press reports, a senior Microsoft exec dumped $9.2 million in shares shortly before the software giant announced its $1 billion warranty extension on faulty Xbox 360 consoles.
The stock sales by Robbie Bach, president of Microsoft’s Entertainment and Devices division, are spurring speculation of insider trading. The sales were not properly registered with the Securities and Exchange Commission.
The announcement did not in fact affect Microsoft stock severely; shares closed only 2% down the Monday following the announcement.
As many as 30% of the consoles may suffer fatal crashes due to a design flaw.
Via GamePolitics and Ars Technica.
