This excerpt taken from the GPS 8-K filed Nov 19, 2009.
GAP INC. ANNOUNCES NEW $500 MILLION SHARE REPURCHASE PROGRAM
SAN FRANCISCO NOVEMBER 19, 2009 Gap Inc. (NYSE: GPS) today announced its Board of Directors authorized a new $500 million share repurchase program, effective immediately.
Todays announcement reflects Gap Inc.s strong cash generation and our ongoing commitment to return excess cash to our shareholders, said Sabrina Simmons, chief financial officer of Gap Inc.
In connection with the share repurchase authorization, Gap Inc. entered into agreements with individual Fisher family members to repurchase shares. The company expects that about $20 million (approximately 4 percent) of the $500 million share repurchase program will be purchased from these Fisher family members. The shares will be purchased each month at the same weighted average market price that the company is paying for share repurchases in the open market.
Todays announcement brings the companys total share repurchase authorizations to $7.25 billion since October 2004.