Milwaukee, Wis. – On June
2, 2019, the Board of Directors of A. O. Smith Corporation
(NYSE-AOS) approved adding
3,000,000 shares of common stock to an existing discretionary share repurchase
authority. Including the additional
shares, the Company has 7,550,753 shares remaining on the board share
repurchase authority. The Company
increased the amount of its 2019 planned Rule 10b5-1 automatic trading plan and
opportunistic share repurchase program from its previously stated $200 million
to $300 million, depending on factors such as stock price, working capital
requirements and alternative investment opportunities.
“With
our cash position, strong balance sheet and confidence in our global business,
we are increasing our 2019 share repurchase program by 50 percent to $300
million,” noted Kevin J. Wheeler, president and chief executive officer.
Forward-looking statements
This release contains statements that the company believes
are “forward-looking statements” within the meaning of the Private Securities
Litigation Reform Act of 1995. Forward-looking statements generally can
be identified by the use of words such as “may,” “will,” “expect,” “intend,”
“estimate,” “anticipate,” “believe,” “forecast,” “continue,” “guidance” or
words of similar meaning. All forward-looking statements are subject to
risks and uncertainties that could cause actual results to differ materially
from those anticipated as of the date of this release. Important factors
that could cause actual results to differ materially from these expectations
include, among other things, the following: a further weakening of the Chinese
economy and/or a further decline in the growth rate of consumer spending or
housing sales in China; negative impact to the company’s businesses from international
tariffs and trade disputes; potential weakening in the high efficiency boiler
segment in the U.S.; significant volatility in raw material prices; inability
of the company to implement or maintain pricing actions; potential weakening in
U.S. residential or commercial construction or instability in the company’s
replacement markets; foreign currency fluctuations; the company’s inability to
successfully integrate or achieve its strategic objectives resulting from
acquisitions; competitive pressures on the company’s businesses; the impact of
potential information technology or data security breaches; changes in
government regulations or regulatory requirements; and adverse developments in
general economic, political and business conditions in key regions of the
world. Forward-looking statements included in this press release are made only
as of the date of this release, and the company is under no obligation to
update these statements to reflect subsequent events or circumstances. All
subsequent written and oral forward-looking statements attributed to the
company, or persons acting on its behalf, are qualified entirely by these
cautionary statements.
About
A. O. Smith
A. O.
Smith Corporation, with headquarters in Milwaukee, Wis., is a global leader
applying innovative technology and energy-efficient solutions to products
manufactured and marketed worldwide. Listed on the New York Stock Exchange
(NYSE), the company is one of the world's leading manufacturers of residential
and commercial water heating equipment and boilers, as well as a manufacturer
of water treatment and air purification products.