Harris OKs Repurchase Program as Share Price Lifts

In the US, the Board of Harris Interactive has authorized a share repurchase program of up to $3m of the firm's common stock over the next 24 months, funded with cash generated from operations. The firm's share price passed the $1 mark this week for the first time in 10 months.

Repurchased shares will be 'retired' and returned to unissued status.

Last spring, following a 9% drop in quarterly revenue - to the lowest figure since 2004 - former COO Al Angrisani was brought back as Interim CEO to advise Harris on a turnaround strategy.

Last summer, the continuing lack of confidence in the company, resulted in the firm's share price dropping below the required $1 mark, which is required for Harris to remain active on the NASDAQ Stock Market. The company has since been granted a four-month extension to raise its share price, before being considered for delisting, and has been making headway - during February the share price climbed from below 70c to just below $1, and this week it has passed the crucial mark for the first time since April 2011 (currently $1.01 as of Friday evening GMT).

While Angrisani maintains that his turnaround strategy is beginning to pay off, the company recently reported Q2 revenues down 13% to $39.1m from $44.9m - however, net income for the quarter rose to $1.6m from $0.3m in the prior year period. The firm said that the downward revenue trend had been largely driven by declines in the UK and the impact of booking declines in its US operations.

Commenting on the share repurchase program, Angrisani - now appointed to the CEO role on an official basis - said: 'Although we still have a lot of work to do to successfully execute the turnaround program, I am pleased with the progress we have made to date. The share repurchase program allows the company flexibility to repurchase shares at its discretion while maintaining sufficient liquidity, and reflects our commitment to returning value to our stockholders.'

The program will take place in the open market or through privately negotiated transactions, it does not obligate the company to acquire any specific number of shares in any period, and may be modified, suspended, or discontinued at any time at the discretion of the Board.

Web site: www.harrisinteractive.com .

All articles 2006-23 written and edited by Mel Crowther and/or Nick Thomas, 2024- by Nick Thomas, unless otherwise stated.

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