Updated from Nov. 19
shares rose modestly Thursday after the company set a $100 million stock buyback.
The move came just a week after the company got a grand jury subpoena last month about some of its vendors.
Securities and Exchange Commission
filing made late last week, DoubleClick -- once a bellwether of the Internet ad sales business, now a provider of technology and services for direct marketing and Internet advertising -- said the U.S. attorney's office for the Southern District of New York was seeking documents regarding certain vendors who provided services to DoubleClick from 1999 to 2001.
DoubleClick, which said in the filing that it was fully cooperating with the U.S. attorney's office, said the services provided by these vendors are unrelated to the products and services that DoubleClick provides to its customers.
"We are conducting an internal investigation and implementing remedial measures to improve our selection, use and oversight of our vendors," said DoubleClick in its filing.
Based upon the findings so far from the company's internal investigation, DoubleClick says it doesn't believe that "any overpayments made by us or other inappropriate payments, if any, relating to these vendors" are material to the time periods in question or the company's current financial condition.
A DoubleClick spokeswoman said the employee who supervised the vendor relationships at issue is no longer with the company. She declined to comment further.
The disclosure, which was made in DoubleClick's 10-Q quarterly filing, was picked up by the footnoted.org Web site, operated by Michelle Leder, author of the book
Financial Fine Print
DoubleClick rose to fame in the late-20th-century dot-com boom as a seller of advertising that ran on numerous Web sites; the company's shares rose as high as a split-adjusted $135.25 in January 2000. Since then, the company has exited the ad sales business, and its chief lines of business lie in providing consumer data to direct mail marketers and providing ad-serving technology to online advertisers and publishers.
Following an upgrade by Smith Barney Wednesday morning, DoubleClick's shares rose 76 cents Wednesday, or 10%, to $8.51. The stock then added 8 cents Thursday morning to $8.59.