DRAPER, Utah----June 26, 2001--HEADWATERS INC. (NASDAQ:HDWR) TUESDAY
ANNOUNCED ITS BOARD OF DIRECTORS HAS AUTHORIZED AN INCREASE IN THE FUNDS THE
COMPANY CAN SPEND IN CONNECTION WITH ITS STOCK REPURCHASE PLAN.
THE PLAN, WHICH WAS ORIGINALLY ANNOUNCED BY HEADWATERS IN A PRESS RELEASE
DATED MAY 23, 2000, AUTHORIZED AN AGGREGATE OF 20 PERCENT OF THE OUTSTANDING
COMMON STOCK, 3 MILLION SHARES OF COMMON STOCK, OR $10 MILLION, WHICHEVER IS
GREATER. UNDER THE REVISED PLAN, HEADWATERS' BOARD INCREASED TO $15 MILLION THE
CASH THAT COULD BE SPENT UNDER THE PLAN.
The company intends to continue to repurchase shares of its stock at
appropriate times and under the proper market conditions. To date, Headwaters
has repurchased approximately 2,210,000 shares. Most of the shares repurchased
have been cancelled. Some of the shares repurchased will be held as treasury
stock and used in connection with Headwaters' Employee Stock Purchase Plan and
other corporate purposes.
The company recently repurchased approximately 420,000 shares to reduce the
effect of the new shares that will be issued in connection with the recently
announced acquisition of Hydrocarbon Technologies Inc. ("HTI").
Steven G. Stewart, chief executive officer, stated, "We are pleased with
the continued improvement in Headwaters' operations and believe that the stock
repurchase program represents a good use of cash generated from our operations.
"We believe the Headwaters' stock repurchase program has been beneficial
for our shareholders and we intend to continue this program in the future as
deemed appropriate considering market conditions, available funds and
alternative investment opportunities." |
