...as to halt the share repurchase program in January. Have these guys NO faith in themselves? This is EXACTLY the time when they could be created long term value for shareholders, based on the strong balance sheet. Eliminate the dividend, for heaven's sake, and use all of that $50 million a year to buyback stock. (They could by in nearly 10% of the outstanding, just with the amount, annually, that they pay out in dividends!)
Frankly, the elimination of the buyback worries me. It shows that management thinks the business is "out of control." Sound financial management would call for buying back stock at these prices....especially if they at LEAST expect the company to remain merely free cash flow positive, on an annualized basis. (Maybe they don't?)
Longtime, Granted the suspension of the share repurchase was a kneejerk reaction and very fiscally conservative move, however remember that the $200,000,000 share repurchase is still authorized and approved for 2012 and the appropriate paperwork is already filed with the SEC, the company can still reinitiate the repurchase at any time they deem appropriate without notice!!!