LOS ANGELES, June 17 /PRNewswire-FirstCall/ -- Northrop Grumman Corporation (NYSE: NOC) announced today that its board of directors has authorized a new program to repurchase up to $2 billion of its outstanding common stock, which represents approximately 11 percent of the company's current market capitalization.
"Today's increase in our share repurchase authorization demonstrates our continuing commitment to a balanced cash deployment strategy that drives value creation by investing for the future, managing risk, and distributing cash to shareholders through share repurchases and dividends," said Wes Bush, Northrop Grumman's chief executive officer and president.
Share purchases will take place at management's discretion from time to time, depending on market conditions, in the open market and in privately negotiated transactions. As of May 31, 2010 Northrop Grumman had approximately 300 million shares outstanding.
Northrop Grumman Corporation is a leading global security company whose 120,000 employees provide innovative systems, products, and solutions in aerospace, electronics, information systems, shipbuilding and technical services to government and commercial customers worldwide. Please visit www.northropgrumman.com for more information.
Note: Certain statements and assumptions in this release contain or are based on "forward-looking" information that Northrop Grumman Corporation (the "Company") believes to be within the definition in the Private Securities Litigation Reform Act of 1995 and involve risks and uncertainties, and include, among others, statements in the future tense, and all statements accompanied by terms such as "continuing commitment" or variations thereof. This information reflects the Company's best estimates when made, but the Company expressly disclaims any duty to update this information if new data become available or estimates change after the date of this release.
A complete list of these uncertainties and risk factors is set out in the Company's filings from time to time with the Securities and Exchange Commission, including, without limitation, Company reports on Form 10-K and Form 10-Q.
SOURCE Northrop Grumman Corporation