CHARLOTTE, N.C., Jan. 12, 2021 /PRNewswire/ -- Ally Financial
Inc. (NYSE: ALLY) today announced that, based on results of the
Federal Reserve Board (FRB) stress test process in December 2020, its board of directors has
authorized the company to repurchase up to $1.60
billion of the company's common stock in 2021. The company
will begin repurchasing shares in the first quarter, in accordance
with the FRB's modified restrictions that limit combined
repurchases and common dividends to an amount that does not exceed
the average net income of the four preceding calendar
quarters. Additionally, the board of directors declared a
quarterly cash dividend of $0.19 per share of the
company's common stock, payable on Feb. 12, 2021 to
stockholders of record on Feb. 1, 2021.
"The results of the Federal Reserve's stress test reflect the
strength of Ally's balance sheet and capital position, allowing us
to resume our share repurchase program, an important component of
Ally's capital allocation framework," said Ally Chief Executive
Officer Jeffrey J. Brown. "We enter
2021 with excess capital relative to both regulatory requirements
and internal targets, and are well positioned to continue
delivering long-term value for our customers, communities and
shareholders."
The repurchase program enables Ally to acquire shares through
open market purchases or privately negotiated transactions,
including through a Rule 10b5-1 plan, at the discretion of
management and on terms (including quantity, timing, and price)
that management determines to be advisable. Actions in connection
with the repurchase program will be subject to various factors,
including Ally's capital and liquidity positions, accounting and
regulatory considerations (including any restrictions that may be
imposed by the Federal Reserve), impacts related to the Coronavirus
disease 2019 pandemic, Ally's financial and operational
performance, alternative uses of capital, the trading price of
Ally's common stock, and general market conditions. The repurchase
program does not obligate Ally to acquire a specific dollar amount
or number of shares and may be extended, modified, or discontinued
at any time.
About Ally Financial Inc.
Ally Financial Inc. (NYSE:
ALLY) is a leading digital financial-services company with
$185.3 billion in assets as of
September 30, 2020. As a
customer-centric company with passionate customer service and
innovative financial solutions, we are relentlessly focused on
"Doing it Right" and being a trusted financial-services provider to
our consumer, commercial, and corporate customers. We are one of
the largest full-service automotive-finance operations in the
country and offer a wide range of financial services and insurance
products to automotive dealerships and consumers. Our award-winning
online bank (Ally Bank, Member FDIC
and Equal Housing Lender) offers mortgage lending, personal
lending, and a variety of deposit and other banking products,
including savings, money-market, and checking accounts,
certificates of deposit (CDs), and individual retirement accounts
(IRAs). Additionally, we offer securities-brokerage and
investment-advisory services through Ally Invest. Our robust
corporate finance business offers capital for equity sponsors and
middle-market companies.
For more information and disclosures about Ally, visit
https://www.ally.com/#disclosures.
Contacts:
Daniel Eller
Ally Investor Relations
704-444-5216
Daniel.Eller@ally.com
Jillian Palash
Ally Communications (Media)
704-644-6201
Jillian.Palash@ally.com
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SOURCE Ally Financial