May 13 2010
Medco Health Solutions, Inc. (NYSE: MHS) today announced that its Board of Directors has unanimously approved a new $3 billion share repurchase program.
"The Board's decision reflects its continued commitment to drive shareholder value while maintaining our flexibility to execute our clinically driven growth strategies that improve outcomes for our clients and members, and reduce overall healthcare costs," said Medco Chairman and Chief Executive Officer David B. Snow Jr.
Medco is nearing completion of its $3 billion share repurchase program authorized by the Board in October 2008. Since the inception of its first share repurchase program in 2005, the Company has repurchased more than 208 million shares to date.
Richard J. Rubino, chief financial officer, added: "Share repurchases have always been a component of Medco's capital allocation strategy. While we intend to repurchase shares opportunistically, our core priorities for the use of our cash on hand will continue to be investing in our core business, investing in future growth initiatives and in making Medco an even more agile enterprise."
Medco may repurchase shares in the open market or in privately negotiated transactions. The timing and extent of any repurchase will depend upon market conditions, corporate requirements and other factors. Medco's Board of Directors periodically reviews the Company's share repurchase programs and approves the associated trading parameters.
The share repurchase program does not obligate Medco to acquire any particular amount of shares and the share repurchase program may be suspended or discontinued at any time at the Company's discretion. Repurchases will be made in accordance with Rule 10b-18 under the Securities Exchange Act of 1934 and other applicable laws, rules and regulations.
Source:
Medco Health Solutions, Inc.