IRVINE, Calif., Sept. 17 /PRNewswire-FirstCall/ -- CorVel Corporation (Nasdaq: CRVL), reported that the Company's Board of Directors has approved a 1,000,000 share expansion to its existing stock repurchase plan, increasing the total number of shares approved for repurchase to 13,150,000.
CorVel commenced its share repurchase program in the fall of 1996. Since its inception through June 30, 2008, the Company has spent $166 million to repurchase 11,787,614 shares, equal to 46% of the outstanding common stock had there been no repurchases. These purchases have been funded primarily from net earnings. CorVel had 13,758,451 shares of common stock, net of treasury shares, outstanding as of June 30, 2008.
"CorVel continues to pursue expansion through both internal growth and acquisition. However, during periods when cash balances exceed internal needs, the Company will consider the repurchase of outstanding common stock," said Gordon Clemons, CorVel's Chairman.
The shares in the expanded repurchase program will be purchased from time to time at prevailing market prices, through open market or unsolicited negotiated transactions, depending upon market conditions. There is no guarantee as to the exact number of shares that will be repurchased by CorVel, and the Company may discontinue purchases at any time that management determines additional purchases are not warranted. The purchased shares will be used for general purposes, including issuance under the Company's stock option and stock purchase plans.
The Company also announced that pursuant to Board of Directors
approval, the Company entered into a pre-arranged stock trading plan on
September 16, 2008 to repurchase shares of its common stock. The stock
|SOURCE CorVel Corporation|
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