As a result, there are laws and regulations that see to ensure that individuals do not benefit from a false market in shares – this occurs when a few individuals with access to important information on the Company profit from the fact that the market as a whole is not aware of this information.
There will be times when certain BAE Systems employees have access to information that has not been made public, and if it were made public, it would be likely to have a significant effect on the price of the Company’s shares, such information is termed Inside Information.
Employees must not deal in BAE Systems securities when they are in possession of Inside Information or if they believe that they may potentially possess such information. They must not deal in the securities of a company other than BAE Systems when they are in possession of Inside Information concerning that company that is held by virtue of their employment by BAE Systems.
Even if they have not been advised specifically by the Company that they are restricted from dealing, employees should only deal if they are satisfied that they do not possess Inside Information or information that is potentially Inside Information.
Acting in breach of this policy could result in an employee committing a serious offence for which he / she could be fined, lose his / her job and even go to prison.
