Summary
This 8-K filing from Harris Corporation (now L3Harris Technologies) on May 8, 2007, reports the entry into an Enhanced Overnight Share Repurchase Agreement (OSR Agreement) with Bank of America. Under this agreement, Harris repurchased approximately $170 million worth of its own common stock (3,440,599 shares) on May 9, 2007, at the previous day's closing price. This transaction is part of a larger, newly approved $600 million share repurchase program. The OSR Agreement also stipulates that Bank of America will buy an equivalent number of shares in the open market by June 29, 2007. Harris has the option to settle the final difference in price (between the initial repurchase price and the volume-weighted average price of Bank of America's purchases, less a discount) in either cash or additional shares. The repurchased shares will be retired.
Key Highlights
- 1Harris Corporation entered into an Enhanced Overnight Share Repurchase Agreement (OSR Agreement) with Bank of America on May 8, 2007.
- 2On May 9, 2007, Harris repurchased 3,440,599 shares of its common stock for approximately $170 million.
- 3The share repurchase was funded by available cash on hand.
- 4This repurchase is part of Harris's new $600 million share repurchase program, announced earlier in May 2007.
- 5Bank of America is obligated to repurchase an equivalent number of shares in the open market by June 29, 2007.
- 6Harris has the option to settle the final price adjustment with Bank of America in cash or shares.
- 7All shares repurchased by Harris under the OSR Agreement will be retired and cancelled.