Intel Corporation (NASDAQ: INTC) CEO Brian Krzanich sold off a total of $24 million worth of stocks through combinations of owned shares and exercising option contracts after it was reported that Intel’s processor chips had a serious security flaw.
Intel shares have fallen nearly 6 percent since the report was announced to when Krzanich selloff was made public.
In the report, the vulnerability flaw affects processors that could allow malicious content to steal passwords, information, and other private content from users. After the report was made public, Intel competitors, AMD and Microsoft saw their shares surge. AMD saw its shares jump by as much as 7 percent, after underperforming against Intel for most of 2017.
Google had informed Intel that vulnerability back in June, but the reports were not made public until reports were released this week, an Intel representative told Business Insider, which means that Krzanich was aware of the vulnerability issues prior to his selloff.
Krzanich sold off shares to meet the minimum of 250,000 shares required under his employment agreement.
Intel’s spokesperson said that, "Brian's sale is unrelated," and that Krzanich "continues to hold shares in line with corporate guidelines."
Intel released a statement on Thursday addressing the security concerns saying that it expects to update nearly 90 percent of its processor products manufactured in the past five years. Intel also said that operating system vendors, cloud services, device manufacturers and others have said they already updated their products and services.
Intel had not provided any additional comments. The Securities and Exchange Commission has also not provided any comments on Krzanich’s stock selloff.