Tempur-Pedic International Increases Share Repurchase Authorization to $220 Million

May 22, 2006  by in UnCategorized   

By Home Furnishings Business in Bedding on May 2006 Specialty bedding producer Tempur-Pedic International has increased the total authorization under the company’s share repurchase program by an additional $40 million for a total of $220 million.

Since inception of the Tempur-Pedic’s repurchase program through yesterday, the company has repurchased more than 15 million shares at a total cost of $180 million, resulting in it having repurchased the full amount of its prior authorization under the share repurchase program.

“We are very confident in the company’s future, our superior products and our ability to remain the market leader in the viscoelastic, premium mattress and premium pillow categories,” said Thomas Bryant, chief executive officer. “We are focused on driving our business model and optimizing our capital structure to improve the overall return to our shareholders. We continue to believe the share repurchase program is an attractive vehicle to significantly increase shareholder value over the long term, particularly in light of the strong cash flow generated by the company’s business model.”

Stock repurchases under this program may be made through open market transactions, negotiated purchases or otherwise, at times and in such amounts as management and a committee of the board of directors deem appropriate. The timing and actual number of shares repurchased will depend on a variety of factors including price, financing and regulatory requirements and other market conditions.