Facebook Stock Falls as Employees Begin Selling Shares

| by Michael Allen

Facebook’s stock price fell on Wednesday, which was the first day that Facebook employees were eligible to start selling their stock in the social media company.

CBS San Francisco reports that Facebook's stock is down 78 cents, or 3.6 percent, to $21.16.

A lock-up period that had prevented Facebook employee stock sales expired on Monday, but U.S. stock markets opened on Wednesday for the first time since Hurricane Sandy hit the East Coast.

On Wednesday, 234 million shares and stock options held by employees became eligible to sell on the market. CEO Mark Zuckerberg says he will not sell any of his stock until at least next September.

The next lock-up expiration comes on November 14, when 777 million shares and stock options will become eligible to be sold.

Facebook’s stock hasn’t done well since its IPO in May, when the price was $38 a share.