Plantronics, Inc. (NYSE: PLT) today announced that its Board of
Directors has authorized the repurchase of up to 7,000,000 shares of
Plantronics’ outstanding common stock. Under the repurchase program, we
will, from time to time, purchase shares of our common stock, depending
upon market conditions, in open market or privately negotiated
transactions including accelerated stock repurchase programs.
The 7,000,000 share authorization is the largest in Plantronics’
history. In fiscal year 2011, we have repurchased approximately 3.3
million shares of our common stock in the open market through four
separate repurchase programs, returning over $100 million to our
stockholders. In the past three fiscal years, we have repurchased
approximately 6.3 million shares, returning $173 million to our
stockholders.
“Our philosophy has been to return to our stockholders cash in excess of
our operating needs, and stock repurchase programs are an excellent
means of executing on this philosophy,” stated Ken Kannappan, President
& CEO. “Our management team and Board of Directors have a strong
conviction in our growth prospects, business model and cash flow
generation capability, and believe that the stock represents an
attractive value relative to our future outlook. We are thus
substantially increasing our commitment to repurchase our stock.”
“We expect to enter into a revolving line of credit on attractive terms
to augment our financial flexibility as we execute this significant
stock repurchase program,” stated Barbara Scherer, Senior Vice President
and Chief Financial Officer of Plantronics.
Safe Harbor
This release contains forward-looking statements within the meaning of
Section 27A of the Securities Exchange Act of 1933, as amended, and
Section 21E of the Securities Exchange Act of 1934, as amended,
including statements that the Company will generate future cash flow,
repurchase of Company stock constitutes an opportunity to increase
stockholder value, cash on hand and future cash flows should provide
sufficient liquidity to support another share repurchase program, and
the repurchase of our stock represents an attractive investment. There
are important factors that could cause actual results to differ
materially from those anticipated by any such statements. These risks
include, but are not limited to: (1) failure to achieve the anticipated
levels of cash generation due to lower sales, increased costs, higher
inventories, slow collection of accounts receivable or other factors
including increased competition and negative macro economic conditions;
(2) increases in the yield which could be obtained from alternative
investment of the funds used to repurchase stock; and (3) an increased
need for cash reserves beyond the levels presently anticipated, as well
as other matters discussed in this press release that are not purely
historical data. Plantronics does not assume any obligation to update or
revise any such forward-looking statements, whether as the result of new
developments or otherwise.
This press release is neither an offer to purchase nor a solicitation of
an offer to sell any securities.
For more information concerning these and other possible risks, please
refer to the Company’s Annual Report on Form 10-K filed June 1, 2010,
quarterly reports filed on Form 10-Q and other filings with the
Securities and Exchange Commission as well as recent press releases.
These filings can be accessed over the Internet at http://www.sec.gov/edgar/searchedgar/companysearch.html.
About Plantronics
Plantronics is a global leader in audio communications for businesses
and consumers. We have pioneered new trends in audio technology for 50
years, creating innovative products that allow people to simply
communicate. From Unified Communication solutions to Bluetooth headsets,
we deliver uncompromising quality, an ideal experience, and
extraordinary service. Plantronics is used by every company in the
Fortune 100, as well as 911 dispatch, air traffic control and the New
York Stock Exchange. For more information, please visit www.plantronics.com
or call (800) 544-4660.
Plantronics, the logo design, and Clarity are trademarks or registered
trademarks of Plantronics, Inc. The Bluetooth name and the Bluetooth
trademarks are owned by Bluetooth SIG, Inc. and are used by Plantronics,
Inc. under license. All other trademarks are the property of their
respective owners.
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INVESTOR CONTACT:
Greg Klaben, 831-458-7533
Vice President of Investor Relations
or
MEDIA CONTACT:
Russell Castronovo, 831-458-7598
Director of Global Communications