TARRYTOWN, NY--(Marketwire -08/13/12)- SPAR Group, Inc. (SGRP) (the "Company" or "SPAR Group"), a leading supplier of retail merchandising and other marketing services throughout the United States and internationally, announced today that its Board of Directors has authorized the repurchase of up to 500,000 shares of its Common Stock. Purchases would be made from time to time in the open market and through privately-negotiated transactions, subject to general market and other conditions.
Mr. Gary Raymond, President and CEO of SPAR Group, stated, "We're pleased that the strength of our business fundamentals allows us to demonstrate our confidence through this stock repurchase program. This investment by the Company reflects our positive outlook on our cash-flow and earnings going forward. SPAR Group is dedicated to leveraging its strong capital structure to further improve shareholder value."
The Company's buyback program will be financed out of internally generated corporate funds. Shares acquired would be available, from time to time, for issuance under restricted stock awards or upon the exercise of stock options through its existing stock compensation plan, and for other corporate purposes. SPAR Group may terminate or limit the stock repurchase program at any time.
About SPAR Group
SPAR Group, Inc. is a diversified international merchandising and marketing services Company and provides a broad array of services worldwide to help companies improve their sales, operating efficiency and profits at retail locations. The Company provides merchandising and other marketing services to manufacturers, distributors and retailers worldwide, primarily in mass merchandiser, office supply, grocery, drug, independent, convenience, electronics, toy and specialty stores, as well as providing furniture and other product assembly services, in-store events, radio frequency identification ("RFID") services, technology services and marketing research. The Company has supplied these project and product services in the United States since certain of its predecessors were formed in 1979 and internationally since the Company acquired its first international subsidiary in Japan in May of 2001. Product services include restocking and adding new products, removing spoiled or outdated products, resetting categories "on the shelf" in accordance with client or store schematics, confirming and replacing shelf tags, setting new sale or promotional product displays and advertising, replenishing kiosks, providing in-store event staffing and providing assembly services in stores, homes and offices. Other merchandising services include whole store or departmental product sets or resets (including new store openings), new product launches, in-store demonstrations, special seasonal or promotional merchandising, focused product support and product recalls. The Company operates throughout the United States and internationally in 10 of the most populated countries, including China and India. For more information, visit the SPAR Group's website at http://www.sparinc.com/.
Certain statements in this news release are forward-looking, including (without limitation) expectations or guidance respecting the Company's business fundamentals, including its cash-flow and earnings going forward and its capital structure. Undue reliance should not be placed on such forward-looking statements because the matters they describe are subject to known and unknown risks, uncertainties and other unpredictable factors, many of which are beyond the Company's control. The Company's actual results, performance and trends could differ materially from those indicated or implied by such statements as a result of various factors, including (without limitation) the continued strengthening of SPAR Group's selling and marketing functions, continued customer satisfaction and contract renewal, new product development, continued availability of capable dedicated personnel, continued cost management, the success of its international efforts, success and availability of acquisitions, availability of financing and other factors, as well as by factors applicable to most companies such as general economic, competitive and other business and civil conditions. Information regarding certain of those and other risk factors and cautionary statements that could affect future results, performance or trends are discussed in SPAR Group's most recent annual report on Form 10-K, quarterly reports on Form 10-Q, and other filings made with the Securities and Exchange Commission from time to time. All of the Company's forward-looking statements are expressly qualified by all such risk factors and other cautionary statements.