GREENSBORO, N.C., Jan. 22, 2013 /PRNewswire/ -- Unifi, Inc. (NYSE: UFI) today announced that its Board of Directors approved a new stock repurchase program to acquire up to $50 million of the Company's common stock. The new repurchase program replaces the existing program, which authorized the repurchase of up to 3,333,333 shares of common stock, but which had been suspended since November 2003.
Under the new repurchase program, the Company is authorized to repurchase shares at prevailing market prices, through open market purchases or privately negotiated transactions at such times, manner and prices as are determined by management, subject to market conditions, applicable legal requirements, contractual obligations and other factors. The Company expects that open market repurchases under the repurchase program will be structured to comply with Rule 10b-18 under the Securities Exchange Act of 1934, as amended, which sets certain restrictions on the method, timing, price and volume of open market stock repurchases.
Bill Jasper, Chairman and CEO of Unifi said, "We are pleased to announce our continued commitment to maximizing shareholder value through this new repurchase program. We will seek the right opportunities to repurchase our stock, while maintaining ample liquidity to support the operational needs and future growth opportunities of the business."Repurchases are expected to be financed through cash from operations and borrowings under the Company's revolving credit facility and are subject to applicable limitations and requirements set forth in the Company's credit facility. The repurchase program has no stated expiration or termination date. The Company may discontinue repurchases at any time that management determines additional purchases are not warranted. Under the repurchase program, there is no time limit for repurchase, nor is there a minimum number of shares intended to be repurchased or specific time frame in which the Company intends to repurchase.