Kimball Electronics extends stock repurchase plan

By Herald Staff

Kimball Electronics Inc. announced that its Board of Directors at the Nov. 10 meeting, authorized an extension of the current stock repurchase plan to allow the purchase of up to an additional $20 million of the company’s common stock. The plan was originally authorized in October 2015, and then separately extended in September 2016, August 2017 and November 2018, allowing a repurchase of up to an additional $20 million of common stock of the company with each extension. This current extension brings the total amount of authorized share repurchases under the plan to $100 million, with no expiration. The plan may be suspended or discontinued at any time.

Purchases may be made under various programs, including in open-market transactions, block transactions on or off an exchange, or in privately negotiated transactions, all in accordance with applicable securities laws and regulations, including Rule 10b-18 of the Securities Exchange Act of 1934, as amended. Repurchases may also be made under a Rule 10b5-1 program, which would permit shares to be repurchased when the Company might otherwise be precluded from doing so under insider trading laws.

The extent to which the company repurchases its shares, and the timing of such repurchases, will depend upon a variety of factors, including market conditions, regulatory requirements, and other corporate considerations, as determined by the company’s management team. The company expects to finance the additional purchases with existing liquidity.

“The authorization of the extension of our stock repurchase program demonstrates the Board’s confidence in our business model and continued strong cash flow generation,” said Donald Charron, chairman and chief executive officer. “Our balanced approach to capital deployment, supported by a solid balance sheet, gives us the flexibility to invest in our strategic growth initiatives while also returning capital to shareholders.”

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