Gemstar International Group Limited Announces $150 Million Share-Repurchase Plan
April 13, 2000 09:03 AM Eastern Time
PASADENA, Calif.--(BUSINESS WIRE)--April 13, 2000--Gemstar International Group Limited GMST announced today that its board of directors has authorized the repurchase by the company of up to $150 million in shares of its common stock.
The purchases will be made, as or if appropriate, over the next 12 months in the open market at prevailing prices, or in privately negotiated transactions at then prevailing prices.
Henry C. Yuen, chairman and chief executive officer of Gemstar, said, "The company has been generating significant cash from its operations, and its current stock price level makes repurchasing shares a sound and attractive use of its cash."
Gemstar develops, markets and licenses proprietary technologies and systems aimed at making technology user-friendly for consumers. Gemstar's technology and intellectual property are licensed to major companies in the consumer-electronics, satellite, cable and personal computer industries, including Aiwa, Akai, America Online (AOL), Americast, Cox, Daewoo, Funai, GTE, Hitachi, Hughes Network Systems, JVC, LG Electronics (Goldstar), Matsushita (Panasonic, Quasar), Microsoft Corporation, Mitsubishi, Orion, Philips (Magnavox, Philips), Quadravision, Samsung, Sanyo, Sharp, Shintom, Sony, Southern New England Telephone, Thomson Multimedia (GE, Proscan, RCA, Thomson), Toshiba, Uniden, US West and Zenith.
Gemstar has more than 90 issued U.S. patents in the general area of audio-visual technologies with over 1,875 claims, and more than 90 issued foreign patents. The company continues to pursue a worldwide patent-prosecution program and has more than 120 pending U.S. patent applications and more than 320 pending foreign patent applications.
Gemstar is a leading provider of electronic program guide services, which allow a user to view a television program guide on screen, obtain details about a show, sort shows by themes or categories, and select shows for tuning or recording, all through the remote control. In the United States, data for Gemstar's electronic program guide services are carried on the ABC, Fox, CBS, NBC, UPN and PBS networks.
Gemstar's electronic program guide has been built into a number of models of new televisions, VCRs and TV/VCR combination units. Gemstar's electronic program guide is also licensed to cable, telco and MMDS service providers, and has been integrated into direct broadcast satellite receivers, digital and advanced analog cable set-top boxes, PCTV and other Internet devices, and computer operating systems such as Windows 98.
Gemstar's VCR Plus+(R) instant programming system is a world standard for VCR programming. The VCR Plus+ system allows a user to record a television show simply by entering a number -- the PlusCode(R) number -- printed in television program guides. The PlusCode numbers are published by more than 1,800 newspapers and television program guides worldwide, with a combined circulation of more than 330 million.
The VCR Plus+ system has been licensed to virtually every major television and VCR manufacturer and is now available in 40 countries and on six continents, including the United States, Canada, the United Kingdom, continental Europe, Japan, Southeast Asia, Australia, New Zealand, South America and South Africa.
On Oct. 4, 1999, Gemstar announced that it had entered into a merger agreement with TV Guide Inc. TVGIA in a stock-for-stock purchase transaction under which TV Guide will become a wholly owned subsidiary of Gemstar. The transaction is expected to close in the second quarter of 2000 subject to governmental approval.
Except for historical information contained here, the matters discussed in this news release contain forward-looking statements that involve risks and uncertainties, including the timely availability and acceptance of new products; the impact of competitive products and pricing; the management of growth; and the other risks detailed from time to time in the company's Securities and Exchange Commission reports, including the reports on Form 10-K and Form 10-Q.
Note to Editors: GUIDE Plus+, VCR Plus+ and PlusCode are trademarks of Gemstar. Other product names used herein are for identification purposes only and may be trademarks of their respective companies.
OJM/la
CONTACT: Gemstar International Group Limited, Pasadena Elsie Leung or Linda Lloyd da Silva, 626/792-5700
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