HOUSTON, Sept. 28, 2015 /PRNewswire/ -- Carriage
Services, Inc. (NYSE: CSV) announced today that its Board of
Directors has approved a $20 million
increase in its authorization for repurchases of the Company's
common stock. On May 21, 2015,
the Company announced that the Board had approved the repurchase of
up to $25 million of the Company's
common stock. Through September 25,
2015, the Company had used $23.9
million of that authorization to purchase approximately
1,044,000 shares of the Company's common stock, with $1.1 million remaining available for future
purchases. As a result of the Board's action, the Company has a
total of $21.1 million available for
future purchases.
The share repurchases may be made from time to time through open
market transactions or privately negotiated transactions and are
subject to market conditions, as well as corporate, regulatory, and
other considerations. The company intends to make all repurchases
in compliance with applicable regulatory guidelines and to
administer the plan in accordance with applicable laws, including
Rule 10b-18 of the Securities Exchange Act of 1934, as amended.
Commenting on the announcement, Melvin
C. Payne, Chief Executive Officer, stated "the Board's
action demonstrates our continuing confidence in the Company's
vision, strategy, growth opportunities and financial strength, but
most of all our confidence in the Being The Best quality of
the leaders and employees in our businesses and support
teams. We believe that the purchase of our shares during the
recent market volatility at prices that do not reflect the growing
cash earning power and intrinsic value of our company is a wise
allocation of the Company's capital and enhances long term value
for all remaining shareholders. Carriage continues to get
better as an operating and consolidation platform that has also
become a superior value creation investment platform. Yet
there has been a growing dichotomy between our increasing
performance metrics and declining performance valuation multiples,
i.e. a fundamental gap between performance and valuation that
remains the case. We will continue to prioritize the
allocation of our growing Free Cash Flow toward the acquisition of
the best remaining independent businesses in our industry, while
always remaining prudent with the use of leverage. We view
the repurchase of our shares at this time as a 'no brainer!',"
concluded Mr. Payne.
Certain statements made herein or elsewhere by, or on behalf of,
the Company that are not historical facts are intended to be
forward-looking statements within the meaning of Section 27A of the
Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act of 1934, as amended. These statements are
based on assumptions that the Company believes are reasonable;
however, many important factors, as discussed under
"Forward-Looking Statements and Cautionary Statements" in the
Company's Annual Report and Form 10-K for the year ended
December 31, 2014, could cause the
Company's results in the future to differ materially from the
forward-looking statements made herein and in any other documents
or oral presentations made by, or on behalf of, the Company. The
Company assumes no obligation to update or publicly release any
revisions to forward-looking statements made herein or any other
forward-looking statements made by, or on behalf of, the Company. A
copy of the Company's Form 10-K, and other Carriage Services
information and news releases, are available at
http://www.carriageservices.com.
Carriage Services is a leading provider of deathcare services
and merchandise in the United
States. Carriage operates 165 funeral homes in 27 states and
32 cemeteries in 11 states.
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SOURCE Carriage Services, Inc.