First American Announces Increase in Stock Repurchase Program and Declares Quarterly Cash Dividend
|May 19, 2005|
Board Authorizes Increase From $100 Million to $200 Million in FAF Stock
SANTA ANA, Calif.,-- The First American Corporation (NYSE: FAF), announced that its board of directors has authorized the increase of its May 18, 2004, $100 million buy-back plan to $200 million. To date, the company has purchased $63.9 million in First American stock under the plan.
Purchases of shares will be made from time to time in open market transactions at prevailing prices. The amount and timing of any share repurchases will depend on, among other factors, the market performance of the shares; the availability of, and alternative uses of, the company's funds; and Securities and Exchange Commission regulations.
First American also announced today that its board of directors has declared a regular quarterly cash dividend of 18 cents per common share.
The cash dividend is payable on July 15, 2005, to shareholders of record as of June 30, 2005. First American has paid a cash dividend for each of the last 96 years.
"Given our current stock price and growth prospects, we firmly believe that the continued repurchase of our shares represents an excellent investment opportunity," said Parker S. Kennedy, chairman and chief executive officer of The First American Corporation. "First American's board of directors has demonstrated its confidence in our future performance by approving this additional repurchase and our regular quarterly cash dividend. Both of these actions are consistent with our stated, long-term goal of maximizing shareholder value."
Source: The First American Corporation