VocalTec Announces $12 Million Stock Buyback and Second Quarter Guidance

VocalTec Communications, Ltd. CALL, the inventor of VOIP and the softphone, with the goal of becoming the leading provider of global voice over many platforms, announced today that its Board of Directors has authorized a stock repurchase program that enables the Company to purchase up to $12 million of its common stock through the next 12 months. Stock purchased under the program would be acquired with positive cash flow from operations and $40 million in cash and securities on hand. Stock repurchases under this program may be made through any manner, including open market transactions, accelerated share repurchase agreements, or privately negotiated transactions with third parties, and in such amounts as management deems appropriate. The timing and actual number of shares repurchased, if any, will depend on a variety of factors including price, corporate and regulatory requirements, alternative uses of capital and other market conditions. The Company believes this is the optimum use of its cash at this time, as it continues to have positive operating cash flow.