Insider Trading Question

[TxSteve]

I'm not sure exactly what is illegal.

Let me give an example. I've owned a few shares of Tyco stock for over a year now. My company sells one of their products.

I heard a few months back that they were going to be selling one of their divisions. I know that division is a very low margin business..and essentially dead weight.

From my contacts at Tyco; I had heard maybe a month ago that a sale was going to be finalized in December. This was mentioned conversationally at a meeting by them.

If I had loaded up on their stock based on this info...would that be illegal? (just to be clear, I did not buy any more shares).