BURBANK, Calif., May 5 /PRNewswire-FirstCall/ -- Point.360 (NASDAQ:PTSX), a leading provider of integrated media management services, today announced that its Board of Directors had authorized a stock repurchase program. Under the stock repurchase program, Point.360 may purchase outstanding shares of its common stock on the open market at such times and prices determined in the sole discretion of management in an amount not to exceed 20% of the Company's net cash on hand (defined as cash less outstanding current and long-term debt).
Haig S. Bagerdjian, the Company's Chairman, President and Chief Executive Officer said: "The Board of Directors approved the stock repurchase program due to the large disparity between the perceived value of the Company and the prices at which our stock has recently traded. In addition, we believe the stock repurchase program reflects our continued confidence in the Company's prospects for the future and will benefit long-term shareholders." Mr. Bagerdjian concluded: "We will consider repurchases from time to time in light of alternate uses for our cash, including acquisitions and capital expenditures. Based on December 31, 2007 reported balances, our repurchase authorization is about $1.4 million." About Point.360 Point.360 is a leading integrated media management services company providing film, video and audio post-production, archival, duplication, computer graphics and distribution services to motion pictures studios, television networks, independent production companies and multinational companies. Point.360 provides the services necessary to edit, master, reformat and archive clients' audio and video content, including television programming, feature films and movie trailers.
Point.360's interconnected facilities provide service coverage to all major U.S. media centers. Clients include major motion pictures studios, advertising agencies and corporations.
Forward-looking Statements Certain statements in Point.360 press releases may contain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements include, without limitation (i) statements concerning the Company's projected revenues, earnings, cash flow and EBITDA; (ii) statements of the Company's management relating to the planned focus on internal growth and acquisitions; (iii) statements concerning reduction of facilities and actions to streamline operations; (iv) statements on actions being taken to reduce costs and improve customer service; (v) statements regarding new business and new acquisitions; (vi) statements of Point.360's management relating to the Spin-off and merger of its post-production and spot advertising distribution business, respectively; (vii) statements concerning expected operating efficiencies that may be achieved after the spin-off transaction and (viii) the potential creation of additional shareholder value after completing the transactions described in the preceding phrases. Such statements are inherently subject to known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievement of Point.360 to be materially different from those expected or anticipated in the forward-looking statements. Please also refer to the risk factors described in the Company's SEC filings, including its quarterly reports on Form 10-Q, its Form S-1 registration statement filed on July 26, 2007 and Form 10-K/T filed on November 12, 2007. Such statements are inherently subject to known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements of the Company to be materially different from those expected or anticipated in the forward-looking statements. In addition to the factors described in the Company's SEC filings, including its quarterly reports on Form 10-Q, its registration statement on Form S-1 and Form 10-K/T, the following factors, among others, could cause actual results to differ materially from those expressed herein: (a) lower than expected net sales, operating income and earnings; (b) less than expected growth; (c) actions of competitors including business combinations, technological breakthroughs, new product offerings and marketing promotional successes; (d) the risk that anticipated new business may not occur or be delayed; (e) the risk of inefficiencies that could arise due to top level management changes and (f) general economic and political conditions that adversely impact the Company's customers' willingness or ability to purchase or pay for services from the Company. The Company has no responsibility to update forward-looking statements contained herein to reflect events or circumstances occurring after the date of this release. DATASOURCE: Point.360 CONTACT: Alan Steel, Executive Vice President of Point.360, +1-818-565-1444 Web site: http://www.point360.com/
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