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Tuesday, 30 October 2012 - Sandy foils Facebook staffers' long-awaited stock sales |
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Credit: Reuters/Brendan McDermid By Alexei Oreskovic SAN FRANCISCO | Mon Oct 29, 2012 3:50pm EDT SAN FRANCISCO (Reuters) - Facebook Inc's Silicon Valley headquarters are far away from the eye of Hurricane Sandy, yet for employees of the social networking company, the storm hit home. After nearly six months of watching helplessly as the value of Facebook's stock crumbled, Facebook employees finally got the greenlight to cash in some of their stock on Monday as the "lock-up" on trading them expired. Unfortunately, any would-be sellers will have to wait a little longer, as the New York Stock Exchange and Nasdaq were both closed on Monday because of Sandy, the exchanges' first weather-related shutdown in 27 years. Both exchanges said they would remain closed on Tuesday as well, pending confirmation. Roughly 234 million shares of Facebook stock owned by company employees were eligible for trading on Monday. Facebook had moved up the lock-up expiration date for employees by a few weeks, a move that analysts said could help bolster morale among the company's rank-and-file who have been unable to sell shares even as other insiders and early investors have sold. The end of the employee lock-up also comes as Facebook's stock has been on the rise, gaining more than 12 percent last week after the company reported better-than-expected quarterly results. Facebook shares closed Friday's regular session at $21.94. The world's No. 1 online social network became the first U.S. company to debut on the public markets with a valuation of more than $100 billion. But Facebook's May initial public offering has been marked by a series of setbacks, including a glitch with the Nasdaq on its first day of trading and controversial revelations that the company had pre-briefed analysts for its underwriters ahead of the IPO, advising them to reduce their profit and revenue forecasts. Shares of Facebook, which were priced at $38 in the IPO, declined to as low of $17.55 in September as investors fretted about its slowing revenue growth and limited mobile advertising revenue. (Reporting by Alexei Oreskovic; Editing by Richard Chang) Investing Simplified Tech Media Facebook Related Quotes and News Company Price Related News Tweet this Link this Share this Digg this Email Reprints   We welcome comments that advance the story through relevant opinion, anecdotes, links and data. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. For more information on our comment policy, see http://blogs.reuters.com/fulldisclosure/2010/09/27/toward-a-more-thoughtful-conversation-on-stories/ Comments (0) Be the first to comment on reuters.com. Add yours using the box above.   Edition: U.S. Africa Arabic Argentina Brazil Canada China France Germany India Italy Japan Latin America Mexico Russia Spain United Kingdom Back to top Reuters.com Business Markets World Politics Technology Opinion Money Pictures Videos Site Index Legal Bankruptcy Law California Legal New York Legal Securities Law Support & Contact Support Corrections Connect with Reuters Twitter   Facebook   LinkedIn   RSS   Podcast   Newsletters   Mobile About Privacy Policy Terms of Use AdChoices Copyright Our Flagship financial information platform incorporating Reuters Insider An ultra-low latency infrastructure for electronic trading and data distribution A connected approach to governance, risk and compliance Our next generation legal research platform Our global tax workstation Thomsonreuters.com About Thomson Reuters Investor Relations Careers Contact Us   Thomson Reuters is the world's largest international multimedia news agency, providing investing news, world news, business news, technology news, headline news, small business news, news alerts, personal finance, stock market, and mutual funds information available on Reuters.com, video, mobile, and interactive television platforms. Thomson Reuters journalists are subject to an Editorial Handbook which requires fair presentation and disclosure of relevant interests. NYSE and AMEX quotes delayed by at least 20 minutes. Nasdaq delayed by at least 15 minutes. For a complete list of exchanges and delays, please click here.

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