set plans to buy back up to $4 million of its common shares under a previously approved share repurchase authorization.
The Dallas-based roofing supplier said it will repurchase shares over the next few weeks pursuant to a "dribble-in" repurchase plan under Rule 10b-18 restrictions. The purchases will be executed by the company's agent within a range of prices established by the company, and at times and in amounts up to daily maximums within the rule's restrictions. Under the program, the purchases will be funded from available working capital, and the repurchased shares will be held in treasury.
The news comes just days after a soft outlook hammered the company's stock. At Dec. 31, Elk had 20.4 million shares outstanding.
"We are pleased to announce the reimplementation of our stock repurchase plan, which will provide us with treasury shares for our existing equity compensation programs," said CEO Thomas Karol. "We believe that our cash position and the current valuation of our stock make the reimplementation of our stock repurchase plan an attractive investment for the company, while enabling us to maintain sufficient resources to continue investing in our growth strategies."