All American Announces Stock Buy Back MIAMI--(BUSINESS WIRE)--May 24, 1999--All American Semiconductor, Inc.
(Nasdaq:SEMI
- news), a leading national distributor of electronic components, today announced that its
board of
directors has authorized the repurchase of up to $2 million in purchase price of the
Company's
common stock. The stock repurchases may, at the discretion of the Company's
management, be
made from time to time at prevailing prices in the open market or through privately
negotiated
transactions. The Company's management will base its decision on market conditions, the
price of
the Company's common stock and other factors. The Company intends to make stock
repurchases
using available cash flow from operations and/or available borrowings under its credit
facility.
''This program reflects the board's confidence in our long-term prospects and our belief
that our
stock is currently undervalued,'' said Bruce M. Goldberg, President and Chief Executive
Officer of
All American.
All American is recognized as the nation's 6th largest distributor of semiconductors and
the 15th
largest electronic components distributor overall. The Company has offices in 32 strategic
locations
throughout North America.
To the extent that this press release discusses future performance, expectations, beliefs or
intentions,
or otherwise makes statements about our industry's or the Company's future, the
statements are
forward looking and are subject to a number of risks and uncertainties that could cause
actual
results, performance or achievements to differ materially from the statements made.
Factors that
could adversely affect the Company's future results, performance or achievements
include, without
limitation, the amount and timing of shipments of previously booked customer orders, the
effectiveness of the Company's business and marketing strategies, timing of delivery of
products from
suppliers, price increases from suppliers that cannot be passed on to the Company's
customers at
the same rate, the product mix sold by the Company, the Company's development of new
customers, existing customer demand as well as the level of demand for products of its
customers,
utilization by the Company of excess capacity, availability of products from and the
establishment
and maintenance of relationships with suppliers, price erosion in and price competition for
products
sold by the Company, the ability of the Company to enter or expand new market areas in
a cost
effective manner, the ability of the Company to expand its product offerings and to
continue to
enhance its service capabilities and the timing and cost thereof, the ability of the Company
to open
new branches in a timely and cost-effective manner, the availability of acquisition
opportunities and
the associated costs, management of growth and expenses, the Company's ability to
collect accounts
receivable, price decreases on inventory that is not price protected, gross profit margins,
including
decreasing margins relating to the Company being required to have aggressive pricing
programs,
increased competition from third party logistics companies and e-brokers through the use
of the
Internet as well as from its traditional competitors, availability and terms of financing to
fund capital
needs, the continued enhancement of telecommunication, computer and information
systems and the
cost thereof, the achievement by the Company and its vendors and customers and other
third parties
with which the Company has a business relationship of Year 2000 compliance in a timely
and cost
efficient manner, the continued and anticipated growth of the electronics industry and
electronic
components distribution industry, the impact on certain of the Company's suppliers and
customers of
economic or financial turbulence in off-shore economies and/or financial markets, change
in
government tariffs or duties, currency fluctuations, a change in interest rates, the state of
the general
economy, the success of the Company in avoiding the delisting of its common stock from
The
Nasdaq Stock Market, the success of the Company in buying back its common stock
pursuant to its
stock repurchase program, and the other risks and factors detailed in the Company's
filings with the
Securities and Exchange Commission (including reports on Forms 10-K and Forms
10-Q) and in its
other press releases. These risks and uncertainties are beyond the ability of the Company
to control.
In many cases, the Company cannot predict the risks and uncertainties that could cause
actual results
to differ materially from those indicated by the forward-looking statements.
Contact:
All American Semiconductor, Inc.
Bruce M. Goldberg, CEO
Howard L. Flanders, CFO
305/621-8282 x1417
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