JASPER, Ind., Sept. 08, 2016 (GLOBE NEWSWIRE) -- Kimball International, Inc. (NASDAQ:KBAL) announced the completion of the sale of its Idaho facility which was idled by the consolidation of the production from this facility into its existing Indiana facilities. Proceeds from the sale, after deducting selling costs and paying taxes on an estimated pre-tax gain of $2.1 million, were approximately $10 million and will be used towards funding up to $25 million in share repurchases over approximately the next 12-14 months.
Bob Schneider, Chairman and CEO, stated, “We have approximately 2.3 million shares remaining under a previously approved authorization from our Board to repurchase our common stock. As a reminder, we had previously disclosed our intent to repurchase shares to offset dilution from our incentive stock compensation plans. With the additional cash from the sale of our Idaho facility and our ability to generate operating cash flow, we plan to begin repurchasing up to $25 million in stock, which we believe will create further value for our share owners. With our strong balance sheet, we believe we will have sufficient capital available to complete this share repurchase plan and to continue to fund investments for future growth, including potential strategic acquisitions.”
The timing and amount of any shares repurchased will be determined by the Company's management subject to market conditions, applicable legal requirements and other relevant factors. Repurchases may also be made under a Rule 10b5-1 plan, which would permit shares to be repurchased when the Company might otherwise be precluded from doing so under insider trading laws. The repurchase plan may be suspended or discontinued at any time. Any repurchased shares will be available for use in connection with the Company’s stock plans and for other corporate purposes.
About Kimball International:
Kimball International, Inc. creates design driven, innovative furnishings sold through our family of brands: Kimball Office, National Office Furniture, and Kimball Hospitality. Our diverse portfolio offers solutions for the workplace, learning, healing, and hospitality environments. Dedicated to our Guiding Principles, our values and integrity are evidenced by public recognition as a highly trusted company and an employer of choice. “We Build Success” by establishing long-term relationships with customers, employees, suppliers, share owners and the communities in which we operate. To learn more about Kimball International, Inc. (NASDAQ:KBAL) visit: www.kimball.com.
Kimball International1600 Royal StreetJasper, IN 47549
For additional information contact:
Dennis Gerber, Investor Relations
Kimball International Inc.