Air Transport Services Group, Inc. (NASDAQ:ATSG) today announced its Board of Directors has adopted a new common-share repurchase authorization in replacement for its largely exhausted prior authorization, allowing the Company, subject to specified conditions, to repurchase up to an additional $150 million of its common shares.
ATSG President and CEO Rich Corrado said, "ATSG’s Board of Directors believes that share repurchases, when used effectively as one component of a carefully considered capital allocation program, are in the best interest of all shareholders of ATSG."
ATSG disclosed that it had resumed share repurchases during October 2022 under a previous Board authorization, acquiring approximately 1.6 million of its shares, or approximately 2% of those outstanding as of September 30, 2022. Prior to October, ATSG had been prohibited from share buybacks under provisions of a federal grant program to offset pandemic effects on employment for passenger airline companies.
The Board’s share repurchase authorization does not require the Company to repurchase a specific number of shares, and the Board may terminate the repurchase program at any time. Repurchases may be made from time-to-time on the open market, or in privately negotiated transactions. The timing, price and volume of any such repurchases would be based on market conditions, relevant securities laws and other factors.