Peabody Energy Doubles Size of Share Repurchase Program to $1 Billionadmin
Peabody Energy announced that its board of directors has doubled the size of the company’s existing share repurchase program, raising the total authorized amount to $1 billion. The company has been repurchasing shares under this program, which was first authorized in 2005.
“This expanded repurchase program reflects our ongoing commitment to deliver shareholder value,” said Peabody Chairman and Chief Executive Officer Gregory H. Boyce. “We have a backdrop of record earnings, strong cash flows and ample liquidity. The fundamentals of the business are sound, and we maintain strong capacity to continue to grow the company.”
The company may purchase shares from time to time at prevailing prices as permitted by securities law and other requirements. The repurchase program does not have an expiration date and may be discontinued at any time. At Sept. 30, 2008, Peabody had 270.7 million shares outstanding.
Peabody Energy (NYSE: BTU) is the world’s largest private-sector coal company, with 2007 sales of 238 million tons and $4.6 billion in revenues. Its coal products fuel approximately 10 percent of all U.S. electricity generation and 2 percent of worldwide electricity.