RockTenn (RKT) today reported that its board of directors has amended the company's share repurchase plan to allow for the repurchase of a total of 16.9 million shares of common stock, an increase from the 9.2 million shares previously authorized. The company now has 10.0 million shares available for repurchase after this amendment. These shares may be purchased from time to time in open market or privately negotiated transactions. Prior to this board action, the company had repurchased 1.9 million shares during the current fiscal quarter.
"The board's action to increase the share repurchase program speaks to our continued confidence in our outlook for the long-term profitability and cash flow generation of our business and demonstrates our commitment to return capital to our shareholders in context of our capital allocation strategy," said Steve Voorhees, chief executive officer.
The timing, manner, price and amount of repurchases will be determined by the company in its discretion based on factors including the market price of the company's common stock, general economic and market conditions and applicable legal requirements. The repurchase program may be commenced, suspended or discontinued at any time.
RockTenn (RKT) is one of North America's leading providers of packaging solutions and manufacturers of containerboard and paperboard. RockTenn's 27,000 employees are committed to exceeding their customers' expectations - every time. The company operates locations in the United States, Canada, Mexico, Chile and Argentina.