Packaging Corporation of America (NYSE: PKG) announced today that its
Board of Directors has authorized the repurchase of an additional $200
million of the company’s outstanding common stock. The company completed
repurchases under its previously-announced authorization earlier this
month.
Repurchases may be made from time to time in open market or privately
negotiated transactions in accordance with applicable securities
regulations. The timing and amount of repurchases will be determined by
the company in its discretion based on factors such as PCA’s stock price
and market and business conditions.
Commenting on the additional authorization, Mark W. Kowlzan, Chairman
and Chief Executive Officer of PCA, said, “Our substantial operating
cash flow provides us with an excellent opportunity to continue to
repurchase shares and return value to our shareholders. We have
repurchased 3.6 million shares since our last repurchase authorization
was announced on July 21, 2015, including 1.9 million shares since the
beginning of 2016.”
PCA is the fourth largest producer of containerboard and corrugated
packaging products in the United States and the third largest producer
of uncoated freesheet paper in North America. PCA operates eight paper
mills and 93 corrugated products plants and related facilities.
Some of the statements in this press release are forward-looking
statements. Forward-looking statements include statements about our
future intent to repurchase shares. Statements that contain words such
as “will,” “should,” “anticipate,” “believe,” “expect,” “intend,”
“estimate,” “hope,” or similar expressions, are forward-looking
statements. These forward-looking statements are based on the current
expectations of PCA. Because forward-looking statements involve inherent
risks and uncertainties, the plans, actions and actual results of PCA
could differ materially. Among the factors that could cause plans,
actions and results to differ materially from PCA’s current expectations
include the following: the impact of general economic conditions;
conditions in the paper and packaging industries, including competition,
product demand and product pricing; fluctuations in wood fiber and
recycled fiber costs; fluctuations in purchased energy costs; the
possibility of unplanned outages or interruptions at our principal
facilities; and legislative or regulatory requirements, particularly
concerning environmental matters, as well as those identified under Item
1A. Risk Factors in PCA’s Annual Report on Form 10-K for the year ended
December 31, 2014, filed with the Securities and Exchange Commission and
available at the SEC’s website at “www.sec.gov”.
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