The directors and executive officers of Fiserv will be prohibited from trading the common shares or related securities of the company from March 26, 2020 to April 8, 2020.
Financial services technology solutions provider Fiserv, Inc. (NASDAQ: FISV) has sent a notice to its directors and officers notifying them that they will be prohibited from trading in the common shares or related securities of the company during a " blackout period 'which last from March 26, 2020 at 4:00 p.m. (Eastern Time) until April 8, 2020 at 8:00 a.m. (Eastern Time).
The blackout period is necessary to comply with the Sarbanes-Oxley Act of 2002 and the BTR regulations as part of the merger of the 401 (k) savings plan of Fiserv, Inc. and its subsidiaries participants with the Fiserv 401 (k) savings plan. The regulations prohibit the directors and officers of an issuer from buying, selling or acquiring or transferring equity securities of the issuer directly or indirectly during a blackout period relating to the pension plans of the transmitter.
In this regard, during the blackout period, plan members will not be permitted to contract loans or distributions from the plan accounts or change the plan investments. In addition, directors and executive officers may not enter into any other transaction, inside or outside of the plans, involving Fiserv equity securities, including under the terms of stock options or other derivative securities.
Although certain types of transactions are permitted under the BTR regulations, including bona fide gifts or any purchase or sale made in accordance with written plans meeting the requirements of rule 10b5-1 under the Securities Exchange Act of 1934 , as amended, the directors and officers of Fiserv are advised to avoid any discretionary change in their beneficial ownership of the company's common shares or other equity securities during the blackout period due to the limited duration of the blackout period.
In any event, directors and executive officers may not trade Fiserv securities unless they have obtained written permission to do so from Lynn S. McCreary, Chief Executive Officer, in advance. legal services and secretary of the Company.
Notwithstanding the expiration of the retirement ban period, directors and executive officers will also be subject to the company's regular quarterly trading ban.