DaimlerChrysler Approves Share Buyback Program |
| News created: 21. september 2007 21:12 |
Stuttgart, Germany, August 29, 2007
DaimlerChrysler (stock-exchange abbreviation DAI) today decided on a share buyback program. In exercise of the authorization granted by the Annual Meeting of April 4, 2007, the Board of Management and the Supervisory Board approved a program for the company to acquire its own shares.
This is a logical step to take in view of the high net liquidity in the industrial business as well as the good prospects for earnings and cash flows in all divisions. Following the structural and strategic realignment of the core business, this decision will also optimize the company’s capital structure and make it more efficient.
The share buyback program will be executed through the stock exchange. Nearly 10% of the outstanding shares will be acquired for an amount of up to EUR 7.5 billion in exercise of the authorization granted by the Annual Meeting of April 4, 2007. This will fully utilize the volume authorized by the Annual Meeting. By the end of this year, treasury shares are to be acquired in a volume of approximately EUR 3.5 billion. By the end of August 2008, the acquisition of additional shares in a volume of up to approximately EUR 4 billion is planned, provided that the earnings situation is in line with expectations for full-year 2007. The period of the buyback program is limited until the end of August 2008.
The shares bought back are to be cancelled at a later date without any reduction in the capital stock. |
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