I am sure inserting the activist share holder board members helped get this long overdue decision done! The share holder buy back plan should have been reinstituted this summer when the stock started trading below $3.50!
This should send Wall Street a clear message that TLAB's is here to stay and believe in their future and they are going to invest in themselves if the "Street" currently believes the company has no value since we are trading near cash.
I doubt they will be able to pick too many shares off under $3 and probably not even too many under $3.25. Regardless, whoever is in charge should be patient and pick off as many shares as they can under $3 and not force the stock up buying too many shares too fast. The fiscal cliff fears and end of year tax loss selling will give them the best opportunity to get the cheapest share prices over the next 5 trading weeks.
Notice that just the announcement of the company buying back stock has bumped the stock up to $2.87 in the first hour of today's trading. Even if they were able to do the entire buy back at an average cost of $3.50 they would be taking out nearly 20% of the outstanding. This isn't going to happen IMO. If they were to try to do the entire buyback between now and the end of the year, they probably would run the stock price up to at least $5.
2.78 available right now, seems like plenty is available. Trick is to do what you announce, not announce that you may, but not. One is #$%$ the other has an impact, and a real effect on stockholders. Of course, as the crutch disappears, the guidance becomes the future, and the profits, sales, margins, all become real again, exposing the true value of the enterprise, not just the value of the cash. So if there were a strategy to buy back and then sell out, corporate parachutes open for the last day of our acquaintance.