AOL Announces $150 Million Increase To Current Stock Repurchase Authorization, Closes A $250 Million Revolving Credit Facility
July 8, 2013 at 8:00 AM (PT)
AOL INC's Board of Directors has authorized an additional $150 million share repurchase authorization. Year-to-date, AOL has repurchased 1.4 million shares of common stock at an average price of $35.65, or $50 million in aggregate, bringing AOL’s total current available authorization to $200 million.
At the same time, AOL’s Board has authorized the Company to enter into a five-year secured $250 million revolving credit facility with a syndicated bank lending group, led by JP MORGAN CHASE BANK, N.A.
"Today’s announcement significantly strengthens AOL’s capital structure and marks another step forward in our financial progress," said AOL EVP/CFO KAREN DYKSTRA. "The oversubscribed credit facility underscores the debt market’s receptiveness to AOL and significantly improves our financial flexibility to allocate capital to our strategic priorities, as well as continue our track record of returning capital to our shareholders."