BJ's Wholesale Club, Inc. Board of Directors Expands Share Repurchase Plan to $100 Million.Business Editors NATICK, Mass.--(BUSINESS WIRE)--May 25, 2000 BJ's Wholesale Club BJ's Wholesale Club, Inc. NYSE: BJ is a membership-only warehouse club chain operating in the East Coast of the United States, as well as in the state of Ohio. History , Inc. (NYSE NYSE See: New York Stock Exchange :BJ) today announced that its Board of Directors approved an expansion of its current share repurchase Share Repurchase A program by which a company buys back its own shares from the marketplace, reducing the number of outstanding shares. This is usually an indication that the company's management thinks the shares are undervalued. authorization from $50 million to $100 million. Stock repurchases Stock repurchase A firm's repurchase of outstanding shares of its common stock. will be made from time to time at management's discretion, in the open market or in privately negotiated transactions. The company also announced it has repurchased 622,600 shares of stock since the end of its first quarter at an average price of $29.93 per share, or a total of $18.6 million. Year-to-date, BJ's has repurchased 824,600 shares of stock at an average price of $31.31 per share, or a total of $25.8 million. Including the additional $50 million authorization approved today by BJ's Board of Directors, there is $58.2 million remaining under the share repurchase program. From the inception of its repurchase activities in August 1998, BJ's has repurchased 3,708,904 common shares at an average price of $24.74 per share, or a total of $91.8 million. Jack Nugent, president and chief executive officer, said, "Our investment to date in BJ's stock has been beneficial to our shareholders. We believe that, at recent prices, BJ's stock continues to be undervalued Undervalued A stock or other security that is trading below its true value. Notes: The difficulty is knowing what the "true" value actually is. Analysts will usually recommend an undervalued stock with a strong buy rating. by the stock market." BJ's Wholesale Club, Inc. introduced the wholesale club concept to New England New England, name applied to the region comprising six states of the NE United States—Maine, New Hampshire, Vermont, Massachusetts, Rhode Island, and Connecticut. The region is thought to have been so named by Capt. in 1984. Since then, the chain has expanded its operations in the U.S. to states from Maine to Florida, and in the state of Ohio. BJ's currently operates 110 wholesale clubs compared with 96 clubs one year ago. BJ's press releases and filings with the Securities and Exchange Commission are available on the Internet at www.bjs.com. |
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