Lincoln Electric Announces New Share Repurchase Program and Declares Quarterly Dividend
April 20 2016 - 4:15PM
Lincoln Electric Holdings, Inc., (the "Company") (Nasdaq:LECO)
today announced that its Board of Directors has approved a new
share repurchase program authorizing the Company to repurchase, in
the aggregate, up to 10 million of its outstanding common stock.
The new program, in addition to the 2.8 million shares remaining
from the prior program, represents approximately 18% of the diluted
weighted average shares outstanding as of March 31, 2016.
Under the authorization program, Lincoln Electric may repurchase
shares on the open market or through privately negotiated
transactions from time to time, depending on market conditions and
subject to other factors.
Additionally, the board declared a quarterly cash dividend of
$0.32 per share, payable July 15, 2016, to holders of record as of
June 30, 2016.
“Our confidence in the Company’s strong cash flow generation and
balance sheet profile allows us to invest in growth and return cash
to shareholders through the cycle,” said Christopher L. Mapes,
Chairman, President and Chief Executive Officer. “In the last ten
years, we have returned over $1.6 billion in cash to shareholders
through dividends and share buybacks and have consecutively
increased our dividend payout rate for twenty years. This new
program provides flexibility in achieving our capital allocation
goals as part of our ‘2020 Vision and Strategy.’”
About Lincoln Electric
Lincoln Electric is the world leader in the design, development
and manufacture of arc welding products, robotic arc welding
systems, plasma and oxyfuel cutting equipment and has a leading
global position in the brazing and soldering alloys market.
Headquartered in Cleveland, Ohio, Lincoln has 48 manufacturing
locations, including operations and joint ventures in 19 countries
and a worldwide network of distributors and sales offices covering
more than 160 countries. For more information about Lincoln
Electric and its products and services, visit the Company’s website
at www.lincolnelectric.com.
Forward-Looking Statements
The Company’s expectations and beliefs concerning the future
contained in this news release are forward-looking statements
within the meaning of the Private Securities Litigation Reform Act
of 1995. These statements reflect management’s current expectations
and involve a number of risks and uncertainties. Forward-looking
statements generally can be identified by the use of words such as
“may,” “will,” “expect,” “intend,” “estimate,” “anticipate,”
“believe,” “forecast,” “guidance” or words of similar meaning.
Actual results may differ materially from such statements due to a
variety of factors that could adversely affect the Company’s
operating results. The factors include, but are not limited to:
general economic and market conditions; the effectiveness of
operating initiatives; completion of planned divestitures; interest
rates; disruptions, uncertainty or volatility in the credit markets
that may limit our access to capital; currency exchange rates and
devaluations, including in highly inflationary countries such as
Venezuela; adverse outcome of pending or potential litigation;
actual costs of the Company’s rationalization plans; possible
acquisitions; market risks and price fluctuations related to the
purchase of commodities and energy; global regulatory complexity;
and the possible effects of events beyond our control, such as
political unrest, acts of terror and natural disasters, on the
Company or its customers, suppliers and the economy in general. For
additional discussion, see “Item 1A. Risk Factors” in the Company’s
Annual Report on Form 10-K for the year ended December 31,
2015.
Contact
Amanda Butler
Director, Investor Relations
Tel: 216.383.2534
Email: Amanda_Butler@lincolnelectric.com
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