HP Board Authorizes Additional $10 Billion for Share Repurchases
by Business Wire
The HP (NYSE:HPQ) board of directors has approved the authorization of an additional $10 billion for share repurchases.
HP intends to use the additional authorization as part of its ongoing program to manage the dilution created by shares issued under employee stock plans and to repurchase shares opportunistically.
“HP has a strong balance sheet,” said Cathie Lesjak, HP chief financial officer and interim chief executive officer. “We plan to be active in repurchasing our shares, and we expect to repurchase at least $3 billion worth of our shares in our fiscal fourth quarter at current price levels. This increased authorization will ensure that we have sufficient capacity to continue to be active in repurchasing our shares prior to our fiscal fourth quarter earnings announcement in November.”
HP repurchased approximately $2.6 billion worth of its shares in its fiscal third quarter and, as of July 31, 2010, had approximately $4.9 billion of repurchase authorization remaining under the $8.0 billion repurchase authorization approved by the board in November 2009.
HP has approximately 2.3 billion shares of common stock outstanding.
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