Pitney Bowes Seeks To Buy Back $375 Million Of Preferred Shares
September 30 2009 - 12:11PM
Dow Jones News
Pitney Bowes Inc. (PBI) announced a tender offer for the $375
million in voting preferred shares outstanding.
Holders are being offered face value, including a $3,000 early
premium per $100,000 of securities if tendered by 5 p.m. EDT Oct.
14, though that deadline is subject to change. The company said
cash on hand may not be sufficient to fund the repurchase effort,
which expires Oct. 28.
In July, Pitney Bowes posted an worse-than-expected 8.8% drop in
profit as revenue declined on the weak economic climate and the
stronger dollar. It also lowered it full-year outlook because it
didn't see any signs mail-intensive industries were turning around.
The company provides mail products and services.
Pitney Bowes shares were recently down 1.8% at $24.67 amid a
broad market decline. The stock is down 3% this year.
- By Joan E. Solsman, Dow Jones Newswires; 212-416-2291;
joan.solsman@dowjones.com