Ryder System, Inc. (NYSE:R), a leader in transportation and supply chain management solutions, announced today that its Board of Directors has authorized a new share repurchase program to mitigate the dilutive impact of shares issued under the Company's various employee stock, stock option and employee stock purchase plans. The Company expects to begin purchasing shares under the program in early 2014.
Under the new anti-dilutive program, Ryder management is authorized to repurchase shares of common stock in an amount not to exceed the number of shares issued to employees under the Company’s various employee stock, stock option and employee stock purchase plans from December 1, 2013 through December 31, 2015. The program limits aggregate share repurchases to no more than two million shares of Ryder common stock. Share repurchases will be made periodically in open-market transactions using the Company's working capital, and are subject to market conditions, legal requirements and other factors. In addition, management has been granted the authority to establish a trading plan under Rule 10b5-1 of the Securities Exchange Act of 1934 as part of the repurchase program. As of November 30, 2013, the Company had 53.1 million shares of common stock outstanding.
Robert Sanchez, Ryder’s Chairman and Chief Executive Officer, said, “At the beginning of 2013, we temporarily ceased repurchasing shares under our anti-dilutive repurchase program to manage our leverage and allow us to maintain near-term balance sheet flexibility. Based on our current and expected leverage, we believe it is appropriate to resume repurchasing shares to address the dilution impact of shares issued under employee compensation plans.”
Ryder is a FORTUNE 500® commercial transportation, logistics and supply chain management solutions company. Ryder’s stock (NYSE:R) is a component of the Dow Jones Transportation Average and the Standard & Poor’s 500 Index. Inbound Logistics magazine has recognized Ryder as a top third party logistics provider and green supply chain partner. Ryder has also been ranked three years in a row as one of the top 250 U.S. companies in the Newsweek Green Rankings. In addition, Security Magazine has named Ryder one of the top companies for security practices in the transportation, logistics, supply chain, and warehousing sector. Ryder is a proud member of the American Red Cross Disaster Responder Program, supporting national and local disaster preparedness and response efforts. For more information, visit www.ryder.com and follow us on Facebook, YouTube, and Twitter.
Note Regarding Forward-Looking Statements: Certain statements and information included in this news release are "forward-looking statements" within the meaning of the Federal Private Securities Litigation Reform Act of 1995. These forward-looking statements, including those relating to the anti-dilutive impact of the program, are based on our current plans and expectations and are subject to risks, uncertainties and assumptions. Accordingly, these forward-looking statements should be evaluated with consideration given to the many risks and uncertainties that could cause actual results and events to differ materially from those in the forward-looking statements including those risks set forth in our periodic filings with the Securities and Exchange Commission. New risks emerge from time to time. It is not possible for management to predict all such risk factors or to assess the impact of such risks on our business. Accordingly, we undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.
- Investment & Company Information
David Bruce, 305-500-4999
Bob Brunn, 305-500-4053