Family Dollar authorizes buyback, names Morgan to board
Staff Staff -- Home Textiles Today, November 6, 2007
Matthews, N.C. – The board of directors of neighborhood discounter Family Dollar has authorized the purchase of an additional $150 million of the company’s common stock, noting that it expects to fund the stock repurchase with cash from operations.
The 6,400-store chain initiated its share repurchase program in October 2002. During the fiscal year ending Sept.1, 2007, it purchased approximately 8.2 million shares at a cost of about $257.5 million. During September, the company purchased the remaining 2.9 million shares available under previous authorizations.
Family Dollar also declared a regular quarterly cash dividend on the common stock of $0.115 per share, payable Jan. 15, 2008, to shareholders of record at the close of business on Dec.14, 2007.
The company also named Harvey Morgan as an independent director on its board of directors, bringing the total number of members to nine, seven of whom are independent directors.
Morgan is a managing director of Bentley Associates, an investment banking firm. He has more than 30 years of investment banking experience. His previous board experience includes: Burlington Coat Factory Warehouse Corporation, Clayton Homes and Rag Shops.