Symantec chairman and CEO exercises options

In a Form 4 filed with the SEC Tuesday, John Wendell Thompson reported exercising the options on Monday for $4.32 to $7.33 apiece, then selling 50,000 shares on the same day for $20.20 apiece.

Thompson also surrendered 256 shares back to the company for $20.46 apiece. Insiders can surrender shares as a way to cover either taxes or the cost of exercising options.

The stock sale was conducted under a prearranged 10b5-1 trading plan, which allows a company insider to set up a program in advance for such transactions and proceed with them even if he or she comes into possession of material non-public information.

Insiders file Form 4s with the SEC to report transactions in their companies' shares. Open market purchases and sales must be reported within two business days of the transaction.

Symantec is based in Cupertino, Calif.