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TSLA Market Action: 2018 Investor Roundtable

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Additional details from the SEC: SEC.gov | Elon Musk Settles SEC Fraud Charges; Tesla Charged With and Resolves Securities Law Charge
  • Musk will step down as Tesla’s Chairman and be replaced by an independent Chairman. Musk will be ineligible to be re-elected Chairman for three years;
  • Tesla will appoint a total of two new independent directors to its board;
  • Tesla will establish a new committee of independent directors and put in place additional controls and procedures to oversee Musk’s communications;
  • Musk and Tesla will each pay a separate $20 million penalty. The $40 million in penalties will be distributed to harmed investors under a court-approved process.
I wonder who qualifies as a "harmed investor" to be eligible to get part of that $40 million dollars.

Woo, I should be in line for a buck 50 out of this.
 
Additional details from the SEC:
  • Musk will step down as Tesla’s Chairman and be replaced by an independent Chairman. Musk will be ineligible to be re-elected Chairman for three years;
  • Tesla will appoint a total of two new independent directors to its board;
  • Tesla will establish a new committee of independent directors and put in place additional controls and procedures to oversee Musk’s communications;
  • Musk and Tesla will each pay a separate $20 million penalty. The $40 million in penalties will be distributed to harmed investors under a court-approved process.
I wonder who qualifies as a "harmed investor" to be eligible to get part of that $40 million dollars.
Jim Chanos and Mark Spiegel getting a $40 million payday maybe. I hope they've lost much more than that though.
 
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I'm seriously confused? Musk rejected a deal that seems to be less bad 1 day ago, and now he suddenly accepted this deal. What has changed to change his mind or am I just bad at seeing the differences?

We don't have all of the details of the original settlement offer, it could have had a small but really bad detail in it that was never shared publicly.
 
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Interesting that the CNBC article has details not included in that settlement agreement. Also, that Elon signed the agreement yesterday. I wonder if Tesla signed another agreement about them paying $20 million and appointing two independent board members.

Additional details straight from the SEC: SEC.gov | Elon Musk Settles SEC Fraud Charges; Tesla Charged With and Resolves Securities Law Charge
Yes I just read the settlement and it doesn’t say anything about new directors.

Edited to state: But the SEC press release does refer to new directors. It also refers to resolution of the lawsuit against “them”, Musk and Tesla. Thought this was only against Musk!
 
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Sounds like sentiment is positive for this? Does it bother anyone that Musk will no longer be chairman of the company?

Talk about a roller coaster for all sides. I'll be sticking to my short position obviously. I do expect a rally in the SP monday.
This is a huge positive catalyst. Not just us longs here, the big guys on wall street have been calling for a chairman and more independent directors. might be wise to take your whatever profit left while you can and run before it's too late!
 
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Let me elaborate. This quarter they deliver upto an estimated 80k cars and this is described as “logistics hell” and leaves customers with a bad taste after surviving a chaotic mess of an unorganized process.
Failed attempt at elaborating. Are you saying you personally know thousands of Tesla customers who left after receiving their car, and that they personally informed you they had a “bad taste” in their mouths due to the chaos, as you’ve described the delivery process? Or, is your source of information due to some random person on the internet posting, perhaps even their very first post, of a problem? Exaggerate much?
 
Most interesting part to me is that he has to submit to tweet supervision. Good long term IMO.

Not only supervision on twitter is great, I hope going forward Elon will stop giving predictions. The company publishes one official forward looking statement at each quarter end, add the standard "risk, uncertainty" verbiage. That's it. Learn a little bit how other CEOs dance around questions. There are valid reasons why they don't answer questions straight. Also give too much details about your plan will hurt competition. Keep your competitors and enemies in the dark. Apple never discloses details about their new products under development, it's a good approach.
 
Good thing is it forced Board to oversee Musk's communications, which is good news as we don't want the reckless tweets of the past. $20M fine is nothing. Wall Street will love this.
Exactly. Wall Street has been calling for this. this is really huge. hedge fund managers have been calling for this and more independent directors/new chairman (CNBC fast money clowns discussed these over and over). Mini-squeeze comes Monday, above $300 is possible.
 
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