SCHAUMBURG, Ill., Sept. 11 /PRNewswire/ -- Insurance Auto Auctions, Inc.
(Nasdaq: IAAI), a leading provider of automotive salvage and claims processing
services in the United States, today announced it had received approval from
its Board of Directors for a share repurchase program initially authorizing
the Company to buy up to 1,500,000 shares of its common stock.
Under the plan, the Company may purchase common stock in the open market
as conditions dictate. The amount and timing of any purchases will depend
upon a number of factors, including the price and availability of the
Company's shares and general market conditions. The shares of common stock
will be kept as treasury shares and will be used for general corporate
purposes.
"Following the company's third quarter earnings warning, the Board of
Directors wanted to be in a position to take advantage of attractive stock
prices by approving a share repurchase plan," commented Christopher Knowles,
CEO. "Approval of the plan reflects the Board's confidence in the future of
the company and balances the company's capacity for leverage with its capital
needs for acquisitions and other growth."
About Insurance Auto Auctions, Inc.
Insurance Auto Auctions, Inc., founded in 1982, a leader in automotive
total loss and specialty salvage services in the United States, provides
insurance companies with cost-effective, turnkey solutions to process and sell
total-loss and recovered-theft vehicles. The Company currently has 56 auction
sites across the United States.
This press release contains forward-looking information that is subject to
certain risks, trends and uncertainties that could cause actual results to
differ materially from those projected, expressed, or implied by such
forward-looking information. In some cases, you can identify forward-looking
statements by our use of words such as "may, will, should, anticipates,
believes, expects, plans, future, intends, could, estimate, predict, potential
or contingent," the negative of these terms or other similar expressions. The
Company's actual results could differ materially from those discussed or
implied herein. Factors that could cause or contribute to such differences
include, but are not limited to, those discussed in the Company's annual
report, Form 10-K for the fiscal year ended December 31, 1999 and the
Company's quarterly report on Form 10Q for the quarter ended June 30, 2000.
Among these risks are: conducting business pursuant to the purchase agreement
method of sale; fluctuations in the actual cash value of salvage vehicles; the
ability to successfully renegotiate existing purchase agreement contracts; the
quality and quantity of inventory available from suppliers; the ability to
pass through increased towing costs; that vehicle processing time will
improve; that the Company's towing business will reach forecasted levels of
profitability; legislative or regulatory acts, changes in the market value of
salvage; competition; the availability of suitable acquisition candidates; the
ability to bring new facilities to expected earnings targets and the
dependence on key insurance company suppliers.
For additional information regarding Insurance Auto Auctions free of
charge via fax, dial 1-800-PRO-INFO and use the Company's stock symbol,
"IAAI."
Additional information about Insurance Auto Auctions, Inc. is available on
the World Wide Web at http://www.iaai.com .
SOURCE Insurance Auto Auctions, Inc.
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Related links:
http://www.iaai.com
CONTACT:
Steve Green, Chief Financial Officer of
Insurance Auto Auctions, 847-839-4156; or General, Jeff Wilhoit,
312-640-6757, or Media, Tim Grace, 312-274-2240, both of The
Financial Relations Board
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