DOLBY LABORATORIES, INC. (NYSE:DLB) Files An 8-K Other EventsITEM 8.01 Other Events
Dolby Laboratories, Inc. (the “Company”) announced that (i) Dagmar Dolby, as Trustee of the Dagmar Dolby Trust under the Dolby Family Trust Instrument dated May 7, 1999, and (ii) Dagmar Dolby, as Trustee of the Ray Dolby 2002 Trust B dated April 19, 2002 (collectively, the “Dolby Trusts”), adopted Rule 10b5-1 trading plans in the third quarter of fiscal 2017. Dagmar Dolby, the Company’s principal stockholder, is the widow of the Company’s founder, Ray Dolby, and mother of David Dolby, a Company director.
The trading plans were established as part of the Dolby Trusts’s investment strategies for asset diversification and liquidity over time. The trading plans were adopted during an “open window” in accordance with guidelines specified by Rule 10b5-1 under the Securities Exchange Act of 1934, as amended, and as permitted by the Company’s insider trading policy.
A total of up to 1,200,000 shares of the Company’s Class A Common Stock (or approximately 2.6% of Dagmar Dolby’s aggregate direct and indirect holdings as of May 24, 2017) could be sold under all of the Dolby Trusts’s trading plans collectively. Sales under the trading plans are permitted to commence in August 2017, will be based upon pre-established stock price thresholds, will be subject to daily volume limits, and will continue until the earlier of August 2018 or the sale of the maximum number of shares as set forth in each such trading plan. Actual sale transactions will be disclosed publicly through filings with the Securities and Exchange Commission, as required.
Rule 10b5-1 allows persons who may be considered insiders to adopt pre-arranged written plans for trading stock. Such a plan establishes predetermined trading parameters that, among other things, do not permit the person adopting the plan to exercise subsequent influence over how, when or whether to effect trades under the plan. Once a plan has been properly adopted, trades may be executed to the terms of the plan at times when the person would otherwise be restricted from trading by applicable insider trading laws and regulations. Trading plans are designed to allow persons to sell shares in an orderly fashion for asset diversification, liquidity, tax planning and other purposes when they might otherwise be restricted from doing so due to material, non-public information that they might possess at the time of the sale.
The Company does not undertake any obligation to report Rule 10b5-1 trading plans that may be adopted by any of its officers, directors or stockholders in the future, or to report any modifications or terminations of any publicly announced plan, except to the extent required by law.
About DOLBY LABORATORIES, INC. (NYSE:DLB)
Dolby Laboratories, Inc. designs and manufactures audio and imaging products for the cinema, television, broadcast and entertainment industries. Its products for cinema include Digital Cinema Servers and Cinema Audio Products, and broadcast and other include Dolby Conference Phone and Other Products. It offers services to support theatrical and television production for cinema exhibition, broadcast and home entertainment, including equipment training and maintenance, mixing room alignment and equalization, as well as audio, color and light image calibration. Its technologies include Advanced Audio Coding and High Efficiency Advanced Audio Coding, Dolby AC-4, Dolby Atmos, Dolby Digital, Dolby Digital Plus, Dolby TrueHD, Dolby Vision, Dolby Voice and High Efficiency Video Coding. It distributes its products in over 80 countries. Its technologies are incorporated in offerings in various end markets, such as the broadcast, Personal Computer, mobile, consumer electronics and other markets. DOLBY LABORATORIES, INC. (NYSE:DLB) Recent Trading Information
DOLBY LABORATORIES, INC. (NYSE:DLB) closed its last trading session up +0.62 at 51.00 with 334,450 shares trading hands.