Sinclair Broadcasting Shareholders Demand Officers Return Profits From Ins

[unfrigginreal]

ider Trading

10/19/2004 10:53:00 AM

To: Assignment Desk, Daybook Editor

Contact: Julie Wolk or Alex Howe, 202 822-5200 News Advisory:

Telephone News Conference at 1 p.m. EDT Today

SINCLAIR BROADCASTING SHAREHOLDERS DEMAND OFFICERS RETURN PROFITS FROM INSIDER TRADING

Officers Who Ordered Stations to Show Anti-Kerry Film Also Sold Stocks at High Mark, then Drove Values Down

DETAILS:

Famed shareholder attorney William S. Lerach will hold a news conference at 1 p.m. today to discuss insider self-dealing by officers of Sinclair Broadcasting, the Baltimore-based television chain that is forcing its affiliates to show a propaganda film that attacks presidential candidate John Kerry. He will release a set of demands aimed at making Sinclair executives disgorge millions of dollars in unjustified profits taken out of the firm when stock prices were high during the past 12 months. Yesterday the company's stock fell a further 8 percent after being down more than 50 percent from the year's beginning, as advertisers pulled back to avoid the station's self-generated political controversy. Lerach and Patrick Daniels, San Diego-based partners in Lerach Coughlin Stoia Geller Rudman Robbins, the nation's most successful securities litigation firm, will discuss actions it will take against Sinclair. Lerach Coughlin is a 140-member firm with offices in nine cities that has prosecuted hundreds of shareholder class action and derivative lawsuits, recovering more than $25 billion for clients. (For more on the firm go to: http://www.lerachlaw.com)

http://releases.usnewswire.com/GetRelease.asp?id=38393

[aquart]

1. LOVELY! Fascist and indictable.

How is that stock doing today?

[Worst Username Ever]

10. I is at 6.47

down 2 cents (.31%)

[aquart]

17. Got the link?

[Worst Username Ever]

33. 6.40

http://finance.yahoo.com/q?s=sbgi

[gavodotcom]

37. $6.36 --> 50 minutes until press conference.

[Worst Username Ever]

39. What is this press conference you speak of?

[gavodotcom]

41. from first post (news release)

Famed shareholder attorney William S. Lerach will hold a news conference at 1 p.m. today to discuss insider self-dealing by officers of Sinclair Broadcasting,

[gavodotcom]

46. They've exceeded their ave. volume before lunch. Much like yesterday. :)

[gavodotcom]

57. Sinclair's stock has lost $90,552,848 since announcing plans.

[JuniorPlankton]

2. Wow

still not too late to short their stock :)

[Hawkeye-X]

3. That should drive the shares to another NEW low..

Hopefully it'll be diving towards to the $3.99 mark by the end of the trading day today.

David Smith must be kicking himself in the ass for doing something SO stupid and quite ILLEGAL.

Sinclair Broadcasting CO should sell all of its assets and eat its debt to Gore's network for a cool $0.01 and get out of business altogether before they are frogmarched to jail.

Hawkeye-X

[gavodotcom]

7. How poetic would that be?

[gatlingforme]

14. HAHA, that is the truth....you would think they would learn but then again

they are greedy little turds that will do anything for a buck.

[wicket]

4. Holy crap!!!

This is huge!!!! :wow:

[SOS]

5. Right-wing Republicans

ripping off their investors?!
Shocking!
The broadcast version of Enron.

[havocmom]

12. And Martha sits in jail for such a paltry amount of money, even with the

addmission that a government witenss against her lied on the stand. But she gave to the Democratic Party.

[treehuggnlibrul]

28. A Dem and a successful woman. How dare she?

My 68-year-old mother-in-law got into a huge row at her exercise class because another woman went off on Martha's "terrible crimes."

"Being a Democrat ISN'T a crime," my MIL informed her.

The woman later apologized and said, "Well, I get all my news on the internet because the media is so liberal."

My MIL said... "Oh, honey, let's not go there." And the woman clamped her mouth shut and marched away.

Sorry. Got a little sidetracked there. But These a$$s at Sinclair will never get indicted for anything. They should be slapped n irons and sent to fight in Iraq for what they are doing.

[havocmom]

38. Hey there, Secmom4Kerry, welcome to the DU!

:hi: Glad to have you aboard as we prepare to take back the ship of state ;)

Thanks for the story. We need those around here. Helps keep our spirits up when we get reports of discussions refuting the RW megaphone BS out there in the nation.

You must have some spunky, brassy MIL! Give her a big ol hug from your fellow evilDUers.

One for you :toast:

Another for you MIL :toast:

One to victory against liars and cheats :toast:

[treehuggnlibrul]

44. Thanks -- been lurking

for months (addicted to the point that my house is a mess and I'm way behind on deadlines for work, but DU has kept me going through the last few months!)

I'm looking forward to celebrating with ya'll on Nov. 3 :-)

Yep -- my MIL is one tough Norwegian. You betcha.

[henslee]

50. No worries, after Nov. 3, we'll all clean house. If its any consolation,

the late Quentin Crisp once remarked on housecleaing... "I haven't cleaned my house in 10 years. The good thing, is though is after two months, it doesn't get any dirtier."

Welcome to DU.

[Blue Gardener]

67. It is addictive isn't it?

I get very anxious if I can't check in a least once or twice a day, if not more.
Welcome to DU!

[Bozita]

6. You could see this one coming -- Lerach is bigtime bad news...

... for corporate assholes.

[proReality]

8. Watch it happen here...

http://ichart.finance.yahoo.com/b?s=SBGI

Refresh now and again.

[gavodotcom]

16. Yeah, it's been fun this morning. Guess the % loss today, win a prize.

I can't believe the stock opened at $6.66, oddly enough.

Prices have been fairly stable since the open, then I see a .5% loss, refresh DU, and I guess I know the reason now.

I'm guessing Sinclair loses 6% today (from prev. close), at $6.10 a share.

Remember folks, for every 0.1% drop in the share price, Sinclair's value drops $85,426. :)

[Laelth]

29. Cool tool!

Thanks for the link. :toast:

-Laelth

[debatepro]

9. Mess with the bull

you get the horns. We have not begun to FIGHT. One by one the facists in Corporate america will crumble.

[Ganja Ninja]

11. That's kicking the GOP loving bastards where it hurts.

The bottom line for these a-holes is money. Taking money away from them is the best way to put them in their place. That's a lesson to remember when it's time to go after the rest of the BFEE.

[splat]

13. Sinclair stock fight: price go up&down, the messages explain it

Real time quotes
http://finance.yahoo.com/q/ecn?s=SBGI&b=isld

Message board
http://finance.yahoo.com/q/mb?s=SBGI

[Iceburg]

51. P&G (a sinclairite) stock is down for the last 5 days in a row

http://messages.yahoo.com/bbs?.mm=FN&action=l&board=7078736&tid=pg&sid=7078736&mid=56063

My broker is dumping all stocks and mutal funds holding P&G and Sinclair. I hope you don't mind a little support from your buds up in Canada.

[gavodotcom]

52. Thanks, Iceburg, that's mighty American of ya. ;)

[Iceburg]

53. Let's just say that election tampering doesn't pass the global test

Our country and 33 others stand on the side of the good American patriots who demand free and fair elections.

[Eloriel]

63. I think I love you

:loveya:

[Iceburg]

66. But wait the day justs gets better ...

I had to buy a new car today as my lease on my Ford SUV was up. It felt so good to say to the sales manager --"I'm sorry but I won't be going with Ford anymore since they have chosen to be participants in the sinclair disgrace of attempted electioneering. ". Of course, I had to explain the whole ugly mess to him.
Onward...Since Subaru and Hyundai are also off my list for the same reason, I drove down to the KIA dealer and said to first salesman I saw -- "could you wrap one of those Sorento EX-Luxury for me?". Once he got over the shock, we had a most pleasant Bush-bashing session. In less than 10 minutes I had a triple play -- a new vehicle, a bargain price, and a new brother of the revolution. Thank you Mr. Sinclair!!!!! He makes it all so easy.

PS I love you too ;-)

[unfrigginreal]

15. And DOWN she goes - $6.37 and dropping like a rock - HAHAHAHAHAHAHA

[aquart]

20. 6.33.

[gavodotcom]

24. 5.76 bid offers, nothing like rubbing their faces in it.

I really wanna see a huge selloff soooo baaaadddd. Do I have to wait until 1?

[gavodotcom]

25. Lookit that S-Car Go!

[tridim]

27. You read my mind with the 'Trading Places' reference

Margin call gentlemen. :)

[wicket]

30. heh heh such an awesome movie

:D

[AlCzervik]

18. Holy shyte! was it really worth it for them

in the end to run this attack on Kerry? It sure doesnt look it, i think they were expecting huge ratings, i dont think they saw this much oppostion coming.

[tridim]

32. This is just beautiful

It's grass roots anti-fascism and it's proving that it works! I find it amazing that ordinary people can use the market and the Internet to slay a Goliath.

[joeunderdog]

48. This is phenomenol on SO MANY levels!

It is generating HUGE bad news for Sinclair--they look like pricks who are trying to get over on people because of their "might makes right" approach.

Voters are pissed because of all the exposure of their fake "news" story.

Shareholders are pissed because Sinclair exec's knew they would lose money over this and they decided they'd rather lose other people's money--the shareholder's.

At this point, they are in damage control mode and the Show might be anti-climactic. I don't think they thought the fanfare would turn out like this. They originally were stoking the flames with that Fake Email story, now I think they wish all this would go away.

[gavodotcom]

54. Firing your DC Bureau Chief is not a good way to lay low.

Journalists don't like to see their own go down for telling the truth.

[DoveTurnedHawk]

19. Lerach Is Going to Kick Sinclair's ASS!

Most defense attorneys can't stand him, but he is one of the best!

:bounce:

DTH

[gavodotcom]

22. Lerach was the first lawsuit v. Enron, no?

[Robbien]

34. Enron yes, and WorldCom and all the big corporate frauds

He is even now going after Fannie Mae.

Going after Sinclair is huuuuuge!

[Robbien]

26. Lerach is one scary sonofabeech, , , to money grabbing corporatists

This is great!

Doing a Snoopy happy dance.

:party:

[Peachhead22]

21. Could we have an Enron-lite scandal?

Insiders pumping up the stock, then divesting just before the stock tanks. Where have we heard that before?

Can we have an Enron-like scandal by a heavily Republican company this close to the election? Oh please, please, please. Man, I hope this gets some TV airplay. Kerry's camp can really make some hay of this (and remind everyone of "Kenny-Boy") if they play their cards right.

[gavodotcom]

23. No worries, this is huge. Tape all the networks if you'd like.

[Mister K]

31. On yahoo...Please kick it to the top.

http://news.yahoo.com/news?tmpl=story&u=/usnw/20041019/pl_usnw/sinclair_broadcasting_shareholders_demand_officers_return_profits_from_insider_trading__conf__call_today_1_pm_et123_xml

[Mister K]

35. Nevermind...not rated story for some reason

[lakeguy]

36. ratings open

i was the fist one so it's at 5!

[Tropez]

42. I just said I was the first one as well. Is it borked?

[psychopomp]

40. Aww

edit: I thougt I was the first to vote, but now I realize the same thing happens to everyone who votes:P

[Laelth]

43. Democracy in action!

This is truly impressive, and this is a clear indication of how we must face the growing rise of fascism in America. We must stay informed, stay connected, and wield the power of 2 million + e-mails every time a big company threatens democracy!

Bully for us! We rock! :yourock:

-Laelth

[wishlist]

45. Money talks and Bushit walks (to jail I hope)

Fantastic news. This plus the anti-war vet's lawsuit against Sinclair are just making my day.

[Supersedeas]

47. when Sinclair does HARKIN--* brand conservatism-corp responsibility

[gavodotcom]

49. Welcome to your October surprise, fellow Democrats. :)

I promise this is gonna get LOTS AND LOTS of air time.

[unfrigginreal]

55. 6.31 eom

[Iceburg]

56. And look at this -- P&G (Sinclairite) lines the BushInc pockets

$500k not including their respective "HOMEMAKER" contributions

99% of the P&G PAC goes to you know who....

[PassingFair]

70. NOT good news for P & G

I used to feel so sorry for them, what with religious wackos boycotting them for their "satanic" logo.

Now they'll have religious wackos AND us liberal wackos boycotting 'em!

I'm so broke now that I get all my suds n stuff at BigLots. Boycotting
P & G will literally be no skin off my nose!

Just please, please, please don't tell me I gotta stop shopping at BigLots! I wrote them over their advertising with Sinclair. I SURE hope they cut it out!

[mumon]

58. stock down 15% in 5 days

http://finance.yahoo.com/q/ao?s=SBGI

analyst opinion almost 10% more bearish.

Cool.

[unfrigginreal]

59. My oh my! 6.27

[Iceburg]

60. Heavy trading-double daily volume and its only 1:39pm

that's bad.

[DODI]

61. $6.16!

[Chicago Democrat]

62. This is Wonderful News!

:)

[private_ryan]

64. they should be sued

now for their stock losing value. The execs knew this would effect shareholders.

[BlueNomad]

65. Update from Today's Press Conference

Investors Demand Top Sinclair Execs Disgorge Proceeds from Insider Trading That Occurred Months Before Stock Plummeted; Pension Funds Say Misuse of Company Assets for Private Political Agenda Hurting Shareholder Value

10/19/2004 4:05:00 PM


I was just told this was not breaking news so I am placing it here. It is the followup and the news from the actual press conference if readers are interesting in reading the outcome from this morning's announcement).

WASHINGTON, Oct. 19 /U.S. Newswire/ -- Three members of the Smith family that controls Sinclair Broadcasting, the 62-station firm based in Baltimore that is embroiled in a controversy over its open advocacy of President Bush's re-election, appear to have engaged in insider trading of the company's stock, reaping millions of dollars before the stock's value collapsed on surprise revenue shortfalls.

William S. Lerach, famed California-based securities attorney and partner in Lerach Coughlin Stoia Geller Rudman Robbins LLP, told a news conference today that self-dealing by officers of Sinclair at the expense of shareholders must be stopped and the profits taken by Sinclair Vice Presidents Frederick Smith, J. Duncan Smith and director Robert E. Smith and that profits taken from insider trading must be disgorged.

The three Smiths have sold more than $18.5 million worth of Sinclair stock, most of it near the stock's 52-week high of nearly $15.50 per share. .....
Lerach told the news conference: "There is insider trading at a time when the company is experiencing troubles. The board and officers should be focusing on creating shareholder value -- not pressing a controversial personal political agenda at shareholders' expense."

.....

Lerach said the political controversy, while not the catalyst for the lawsuit, certainly affects share value. "The decision by senior executives of Sinclair to pursue a personal political agenda that harms Sinclair's business is directly against the interest of company stockholders," he said.

<http://releases.usnewswire.com/GetRelease.asp?id=38448 >

[louis-t]

68. Sold Stocks at High Mark, then Drove Values Down

Now we KNOW they're neo-cons.

[demokatgurrl]

69. Sue the bastards!!!!!! n/t

[drb]

71. But Smith can't give the money back!

He spent it all on hookers!

[nedbal]

72. GTC 10,000 shares at $1.00

I'm no wiz at playing the market but one indicator among hundreds is how many open orders there are on each side of the current price. It may not make a difference in the long haul but here's what I did.

I put in an order to buy 10,000 shares at $1.00 and the order will stay in place till I cancel it (Good To Cancel)
Since it would take a major event beyond all our letters and calls to drive it down to that price I don't expect it to happen in the next 2 weeks. But if enough orders are placed at this level it may be noticed that many out there believe the stock will go way lower than it is.

Trying everything

[symbolman]

73. PLEASE get this Sinclair Flash ad out to as many people as possible

PLEASE Get my flash attack ad out to as many people as possible - it stresses the fact that THEY Would not allow the Nightline program to HONOR the fallen troops -- THIS IS AS IMPORTANT as spamming advertisers..

THIS is what will piss off even freepers.. Regular Americans will be livid if they know Sinclair WON'T support the troops, and DIDN'T BEFORE!

All the links are clickable easy to use and helpful, the more people that get it the more damage we can do to those bastards!

Turn up your speakers and get the word out with MEDIA as well..

Don't forget to WRITE to the Advertisers that have folded and THANK THEM -- when we did our Limbaugh Boycott we found that that is what helps them feel like they did the right thing..

Here's "Our Media is Broken"

http://web.takebackthemedia.com/geeklog/public_html/staticpages/index.php?page=20041013042650709



Skinner was kind enough to post this flash on the main page but it sort of got chopped due to the debates and DU having to rig for heavy traffic..