8-KOther Events

Bank of New York Mellon Corp 8-K Report, Corporate Update (Dec 10, 2018)

Filed December 10, 2018For Securities:BKBK-PKBNYBNY-PK

Summary

The Bank of New York Mellon Corporation (BK) announced on December 10, 2018, that the Board of Governors of the Federal Reserve System has approved additional common stock repurchases through the second quarter of 2019, amounting to up to $830 million. This approval allows the company to continue its capital return program to shareholders. The company's Board of Directors has also independently approved a separate repurchase program of up to an additional $830 million of common stock, commencing immediately and extending through the second quarter of 2019. These new authorizations are incremental to the previously announced $2.4 billion repurchase program initiated in June 2018, demonstrating a consistent commitment by BK to enhance shareholder value through share buybacks. The repurchases can be executed through various market mechanisms, including open market purchases and accelerated share repurchases, subject to market conditions and regulatory compliance.

Key Highlights

  • 1Federal Reserve approval for up to $830 million in additional common stock repurchases through Q2 2019.
  • 2Company Board of Directors approved an additional $830 million in common stock repurchases, starting immediately through Q2 2019.
  • 3These new authorizations are in addition to a previously approved $2.4 billion share repurchase program.
  • 4The combined authorizations indicate a strong commitment to returning capital to shareholders.
  • 5Repurchases can be executed via open market purchases, private transactions, and structured programs like accelerated share repurchases.
  • 6The buyback program is designed to comply with Rule 10b-51, ensuring proper execution.
  • 7The filing contains forward-looking statements, subject to risks and uncertainties, which may cause actual results to differ materially.

Frequently Asked Questions

The company has received Federal Reserve approval for up to $830 million in additional common stock repurchases through the second quarter of 2019. Additionally, the Board of Directors has approved a separate repurchase of up to $830 million. These amounts are in addition to the $2.4 billion previously approved in June 2018, indicating a significant ongoing capital return program.

The repurchases approved by the Federal Reserve and the Board of Directors are authorized to continue through the second quarter of 2019.

This filing announces the company's intention to repurchase its own shares. Investors can buy or sell Bank of New York Mellon Corporation (BK) common stock through standard brokerage accounts on public exchanges like the New York Stock Exchange (NYSE).

Share repurchases can signal management's confidence in the company's financial health and prospects. They can also lead to an increase in earnings per share (EPS) by reducing the number of outstanding shares, potentially boosting the stock price. However, it's important for investors to consider the company's overall financial strategy and market conditions.