Precision Castparts Board Approves $750M Share Buyback
The Board of Directors of Precision Castparts (NYSE: PCP) has approved a $750 million program to repurchase shares of PCP's common stock, effective immediately and continuing through June 30, 2015.
"This share repurchase program demonstrates our confidence in our growth and cash generation expectations," said Mark Donegan, chairman and chief executive officer of Precision Castparts Corp. "The program size will enable us to offset the dilution from the exercise of stock options and the operation of our employee stock purchase program, both of which are critical to our employee compensation plans. However, the primary use for our cash remains our continued pursuit of a full pipeline of strategic, value-creating acquisitions to complement our aerospace and power portfolios."
Repurchases under the Company's program will be made in open market or privately negotiated transactions in compliance with Securities and Exchange Commission Rule 10b-18, subject to market conditions, applicable legal requirements, and other relevant factors. This share repurchase plan does not obligate Precision Castparts Corp. to acquire any particular amount of common stock, and it may be suspended at any time at the Company's discretion. Precision Castparts Corp. had approximately 146.2 million shares of Common Stock outstanding