TORONTO, Aug. 2, 2013 /CNW/ - Celestica Inc. (NYSE, TSX: CLS), a global
leader in the delivery of end-to-end product lifecycle solutions, today
announced it has received approval from the Toronto Stock Exchange (the
TSX) to launch its previously announced Normal Course Issuer Bid (the
Bid).
Under the Bid, the Company may repurchase on the open market, at its
discretion during the period commencing on August 7, 2013 and ending on
the earlier of August 6, 2014 and the completion of purchases under the
Bid, up to 9,842,021 subordinate voting shares, representing
approximately 5.95% of the Company's outstanding subordinate voting
shares (5.34% of the subordinate voting shares and multiple voting
shares) and approximately 10% of the "public float" of the subordinate
voting shares (within the meaning of the rules of the TSX), subject to
the normal terms and limitations of such bids. Under the TSX rules,
daily purchases will be limited to 88,590 subordinate voting shares,
other than block purchase exceptions. The actual number of subordinate
voting shares which may be purchased pursuant to the Bid and the timing
of any such purchases will be determined by the management of the
Company, subject to applicable law and the rules of the TSX. In
accordance with the TSX rules, the maximum number of subordinate voting
shares which may be repurchased for cancellation under the Bid will be
reduced by the number of subordinate voting shares purchased for
security-based compensation plans.
Purchases are expected to be made through the facilities of the New York
Stock Exchange and the Toronto Stock Exchange, or such other permitted
means (including through other published markets), at prevailing market
prices or as otherwise permitted. The share repurchase program will be
funded using existing cash resources and any subordinate voting shares
repurchased by the Company under the Bid will be cancelled.
As of July 22, 2013, the Company had 165,320,977 issued and outstanding
subordinate voting shares and a "public float" (within the meaning of
the rules of the TSX) of 98,420,215 subordinate voting shares.
The Company believes that the purchases are in the best interest of the
Company and constitute a desirable use of its funds.
The Company previously implemented a normal course issuer bid for its
subordinate voting shares which expired on February 8, 2013. In the
past 12 months, the Company repurchased 13,336,381 subordinate voting
shares at a weighted average price of $8.52 per subordinate voting
share under its prior bid.
About Celestica
Celestica is dedicated to delivering end-to-end product lifecycle
solutions to drive our customers' success. Through our simplified
global operations network and information technology platform, we are
solid partners who deliver informed, flexible solutions that enable our
customers to succeed in the markets they serve. Committed to providing
a truly differentiated customer experience, our agile and adaptive
employees share a proud history of demonstrated expertise and
creativity that provides our customers with the ability to overcome any
challenge.
For further information on Celestica, visit its website at http://www.celestica.com. The Company's security filings can also be accessed at http://www.sedar.com and http://www.sec.gov.
Safe Harbor and Fair Disclosure Statement
This news release contains forward-looking statements related to the
Company's intention to commence the Bid and the timing and quantity of
any purchases of subordinate voting shares under the Bid. Such
forward-looking statements may, without limitation, be preceded by,
followed by, or include words such as "believes", "expects",
"anticipates", "estimates", "intends", "plans", "continues", or similar
expressions, or may employ such future or conditional verbs as "may",
"will", "could", "should" or "would", or may otherwise be indicated as
forward-looking statements by grammatical construction, phrasing or
context. For those statements, we claim the protection of the safe
harbor for forward-looking statements contained in the U.S. Private
Securities Litigation Reform Act of 1995 and applicable Canadian
securities laws.
Forward-looking statements are provided for the purpose of assisting
readers in understanding management's current expectations and plans
relating to the future. Readers are cautioned that such information may
not be appropriate for other purposes. Forward-looking statements are
not guarantees of future performance and are subject to risks that
could cause actual results to differ materially from conclusions,
forecasts or projections expressed in such statements, including, among
others, risks related to: our customers' ability to compete and succeed
in the marketplace with the products we manufacture; price and other
competitive factors generally affecting the EMS industry; managing our
operations and our working capital performance during uncertain
economic conditions; customer concentration and the challenges of
diversifying our customer base and replacing revenue from lost programs
or customer disengagements; changing commodity, material and component
costs, as well as labor costs and conditions; disruptions to our
operations, or those of our customers, component suppliers or logistics
partners, including as a result of world or local events outside our
control; non-performance by counterparties; our financial exposure to
foreign currency volatility; and increasing income taxes, increased
levels and scrutiny of tax audits globally, and defending our tax
positions or meeting the conditions of tax incentives and credits.
These and other risks are discussed in our public filings at www.sedar.com and www.sec.gov, including our Management's Discussion and Analysis of Financial
Condition and Results of Operations, our Annual Report on Form 20-F and
subsequent reports on Form 6-K filed with the U.S. Securities and
Exchange Commission, and our Annual Information Form filed with the
Canadian Securities Administrators.
The forward-looking statements contained in this press release are based on
various assumptions many of which involve factors that are beyond our
control. The material assumptions include those related to the
following: the Company's view with respect to the Company's financial
condition and prospects; the availability of cash for repurchases of
outstanding subordinate voting shares under the Bid; the existence of
alternative uses for the Company's cash resources which may be superior
to effecting repurchases under the Bid; and compliance with applicable
laws and regulations pertaining to the Bid. While management believes
these assumptions to be reasonable under the current circumstances,
they may prove to be inaccurate. Except as required by applicable law,
we disclaim any intention or obligation to update or revise any
forward-looking statements, whether as a result of new information,
future events or otherwise.
All forward-looking statements attributable to us are expressly
qualified by these cautionary statements.
SOURCE: Celestica Inc.
![](http://rt.newswire.ca/rt.gif?NewsItemId=C3302&Transmission_Id=201308021200CANADANWCANADAPR_C3302&DateId=20130802)