Summary
McKesson Corporation (MCK) announced on August 29, 2005, that its Board of Directors has authorized a new share repurchase program. The company plans to buy back up to $250 million of its common stock. This new program follows the successful completion of a prior $250 million repurchase initiated in October 2003, indicating management's confidence in the company's financial health and its commitment to returning value to shareholders. The repurchased shares will be held as treasury stock for general corporate purposes. As of June 30, 2005, McKesson had approximately 308 million shares outstanding and a strong liquidity position with $2.4 billion in cash and marketable securities, providing ample resources to execute this buyback and manage ongoing operations.
Key Highlights
- 1McKesson's Board of Directors authorized a new share repurchase program.
- 2The company intends to repurchase up to $250 million of its common stock.
- 3The repurchase will occur in open market or private transactions.
- 4This new authorization follows the completion of a previous $250 million repurchase program approved in October 2003.
- 5Repurchased shares will be held as treasury stock for general corporate purposes.
- 6McKesson reported approximately 308 million shares outstanding as of June 30, 2005.
- 7The company possessed $2.4 billion in cash and marketable securities as of June 30, 2005.