Published:
EMS Technologies Initiates Additional Share Repurchases
ATLANTA - (BUSINESS WIRE) - EMS Technologies, Inc. has announced that it is initiating share
repurchases under its previously announced authorization to purchase
shares costing up to an aggregate of $20 million, principally in
transactions involving substantial blocks. Of this authorization,
approximately $10 million has previously been expended. Specific
repurchase decisions will be based on market prices and conditions at
the time, and on continuing evaluation of alternative needs and
opportunities for cash usage.
John B. Mowell, Chairman of the Board, stated, "In view of the sharp
decline in the trading price of our shares following our November
5 announcement of lowered earnings expectations for the balance of this
year, our Board believes purchases would benefit the remaining
shareholders by reducing the number of outstanding shares at prices well
below the Company's book value.
"We believe our business and its long-term position is at least as sound
and valuable as it was earlier in the year, when market trading of our
shares was at a much higher price. Since the beginning of the year, we
have not achieved the earnings levels we had expected, but we have
nonetheless operated profitably and generated cash in a very difficult
economic environment. More important, we have significantly expanded our
positions in key growth markets for mobile connectivity, we have
introduced numerous promising new products, and we have streamlined our
business operations in ways that we believe are appropriate for the
current environment while preparing the Company to take advantage of
improved economic conditions in future periods. In short, as a Board,
while we regret that a number of our shareholders are reducing their
holdings of our shares, we feel we would be remiss not to use a portion
of our strong balance sheet to take advantage of current trading
activity for the benefit of our remaining shareholders."
About EMS Technologies, Inc.
EMS Technologies, Inc. (NASDAQ: ELMG) is a leading provider of
wireless connectivity solutions over satellite and terrestrial networks.
EMS keeps people and systems connected, wherever they are - on land, at
sea, in the air or in space. Serving the aeronautical, asset tracking,
defense, and mobile computing industries, EMS products and services
enable universal mobility, visibility and intelligence. EMS has three
operating segments:
-
Communications & Tracking supplies a broad array of terminals and
antennas that enable end-users in aircraft and other mobile platforms
to communicate over satellite and air-to-ground links; this segment
(formerly Satellite Communications) was renamed in 2009 to reflect
recent acquisitions and their highly complementary connectivity
products, including aeronautical wi-fi communications and data
storage, aeronautical voice and tracking, and satellite-based
machine-to-machine mobile communications;
-
Defense & Space supplies highly-engineered subsystems for defense
electronics and sophisticated satellite applications - from military
communications, radar, surveillance and countermeasures to commercial
high-definition television, satellite radio, and live TV for
innovative airlines; and
-
LXE is a leading provider of rugged terminals and wireless data
networks used for logistics applications such as distribution centers,
warehouses and container ports. LXE's automatic identification and
data capture products serve mobile information users at over 7,500
sites worldwide.
Visit www.ems-t.com
for more information.
EMS Technologies, Inc.
Gary B. Shell, 770-729-6512
Chief
Financial Officer
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