Stryker Hip: Rhonda Stryker Does It Again | Levin Papantonio - Personal Injury Lawyers

Stryker Hip: Rhonda Stryker Does It Again

It was less than a year ago – just before Thanksgiving Day of 2013 – that company director Rhonda Stryker, granddaughter of the company's founder, sold 14,000 shares of her company stock. This happened just as a number of Stryker hip lawsuits were moving forward – and shortly after her company was required to pay over $13 million in order to settle charges by the federal government over allegations of violating the Foreign Corrupt Practices Act. It was predicted at that time that Stryker hip lawsuits would cost her firm up to $1 billion.

Coincidence?

Early in October, Ms. Stryker again sold 14,000 shares to the tune of $1.16 million. According to media souces, she still holds over 174,000 shares with a value of around $14.5 million. At the same time, stock analysts are cautiously optimistic about the company's prospects and stock value, even while the number of Stryker hip lawsuits are increasing. As of 6 October, there were nearly 2,100 Stryker hip lawsuits pending before a federal court in New Jersey – over thirty of which had been filed in the previous eight weeks.

The company, which was founded as the Orthopedic Frame Company by Dr. Homer Stryker in 1941, had total revenues of over $9 billion in 2013. Given that, having to pay out $1 billion to settle lawsuits over injuries causes by its artificial hip devices is not going to hurt them much. Still, it is interesting that the company's director has been selling a healthy chunk of her own stock for the second year in a row.