Contact Information: AT SCHAWK, INC.: Timothy J. Cunningham Chief Financial Officer 847-827-9494 tim.cunningham@schawk.com AT DRESNER CORPORATE SERVICES: Investors: Philip Kranz 312-780-7240 pkranz@dresnerco.com
Schawk Announces Additional Stock Repurchase Program for up to Two Million Shares in 2009
| Source: Schawk, Inc.
DES PLAINES, IL--(Marketwire - December 1, 2008) - Schawk, Inc. (NYSE : SGK ), a leading
provider of brand point management services, enabling companies of all
sizes to connect their brands with consumers to create deeper brand
affinity, announced that, pursuant to authority from its board of directors
to repurchase, as conditions permit, up to two million shares of the
Company's common stock per calendar year, the Company expects to seek to
repurchase up to two million shares of the Company's common stock in 2009.
This additional stock repurchase program follows the Company's 2008
repurchase authorization, announced in February 2008, to repurchase up to
two million shares in 2008. Pursuant to the 2008 repurchase program, the
Company had purchased a total of 636,300 shares for a cost of $9.8 million
as of September 30, 2008, and expects to complete the 2008 purchase
authorization of two million shares before the end of December 2008.
As of September 30, 2008, the Company had 26,545,584 shares outstanding.
The 2009 share repurchase is expected to be funded using Schawk's existing
cash flow and its revolving credit facility, which had approximately $72
million of additional availability as of September 30, 2008.
The share repurchases may occur from time-to-time through open market
purchases, privately negotiated transactions and/or transactions structured
through investment banking institutions as permitted by securities laws and
other legal requirements. The Company expects to enter into one or more
10b5-1 purchase plans with respect to the 2009 program. Market conditions
will influence the timing of the buyback and the number of shares
repurchased. The program does not obligate the Company to repurchase any
specific number of shares and may be suspended or terminated at any time
without prior notice. Shares repurchased will be held as treasury shares.
David A. Schawk, president and chief executive officer, said, "With our
initial repurchase program of up to two million shares expected to be
completed by the end of this year, we are affirming our confidence and
optimism in the long-term future of the Company through this additional
repurchase program for 2009."
About Schawk, Inc.
Schawk, Inc. is the leading provider of brand point management services,
enabling companies of all sizes to connect their brands with consumers to
create deeper brand affinity. With a global footprint of more than 60
offices, Schawk helps companies create compelling and consistent brand
experiences by providing integrated strategic, creative and executional
services across brand touchpoints. Founded in 1953, Schawk is trusted by
many of the world's leading organizations to help them achieve global brand
consistency. For more information about Schawk, visit http://www.schawk.com
Safe Harbor Statement
Certain statements in this press release are forward-looking statements
within the meaning of Section 21E of the Securities Exchange Act of 1934,
as amended and are subject to the safe harbor created thereby. These
statements are made based upon current expectations and beliefs that are
subject to risk and uncertainty. Actual results might differ materially
from those contained in the forward-looking statements because of factors,
such as, among other things, unanticipated difficulties associated with
additional accounting issues, if any, which may cause our investors to lose
confidence in our reported financial information and may have a negative
impact on the trading price of our stock; our ability to remedy known
internal control deficiencies and weaknesses and the discovery of future
control deficiencies or weaknesses, which may require substantial costs and
resources to rectify; higher than expected costs, or unanticipated
difficulties associated with, integrating acquired operations; higher than
expected costs associated with compliance with legal and regulatory
requirements; the strength of the United States economy in general and
specifically market conditions for the consumer products industry; the
level of demand for Schawk's services; loss of key management and
operational personnel; our ability to implement our growth strategy,
rebranding initiatives and cost reduction plans and to realize anticipated
cost savings; the stability of state, federal and foreign tax laws; our
continued ability to identify and exploit industry trends and exploit
technological advances in the imaging industry; our ability to implement
restructuring plans; the stability of political conditions in Asia and
other foreign countries in which we have production capabilities; terrorist
attacks and the U.S. response to such attacks; as well as other factors
detailed in Schawk, Inc.'s filings with the Securities and Exchange
Commission.
For more information about Schawk, visit its Web site at
http://www.schawk.com