Business Services Industry
Colorado Telecommunications Executives Accepted Stock from Suppliers.
Knight Ridder/Tribune Business News, August, 2002
By Kris Hudson, The Denver Post Knight Ridder/Tribune Business News
Aug. 27--Top telecommunications executives, including those at three Colorado companies, reaped bounties in the late 1990s by accepting stock from their companies' suppliers.
The widespread practice unfolded as telecom companies raced to lace the globe with fiber-optic communications networks in the late '90s.
Upstart suppliers hoping to sell their equipment for installation in those networks offered telecom executives thousands of so-called friends-and-family shares -- private shares that could be converted to public stock when the supplier went public.
For some executives leading spend-happy companies, those grants amounted to dozens of thousands of shares....
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