announced its Board of Directors has authorized a new stock buy-back program for the repurchase of up to 2.5 million shares of the Company`s common stock.
“Based on the recent drop in markets overall and within our market segment in particular, we believe the current valuation of Pegasus Solutions` common shares makes the stock a solid investment and represents an attractive opportunity to enhance long-term shareholder value,” said John F. Davis III, Pegasus Solutions` chairman of the board and chief executive officer. “The buyback authorization expresses our continued confidence in the Company`s strategic plan for future growth and its sound business fundamentals.”
As of May 31, 2002, Pegasus Solutions had 24.8 million shares of common stock outstanding, excluding shares previously repurchased. Any repurchase is at the discretion of the Pegasus Board of Directors` Stock Repurchase Committee and may be made on the open market, in privately negotiated transactions or otherwise, depending upon market conditions, share price, share availability and other factors. Shares repurchased may be reserved for later reissue in connection with employee benefit plans and other general corporate purposes.
Through June 11, 2002, Pegasus has repurchased approximately $1.0 million or 71,500 shares of its outstanding common stock under this new stock buy-back program.