This excerpt taken from the GVHR 8-K filed Feb 28, 2006.
Increasing Long-Term Shareholder Value
Gevitys achievements in 2005, combined with positive trends in early 2006, give confidence to the companys Board of Directors to authorize an additional share repurchase program and an increased dividend.
In January 2006, the company completed its previously announced share repurchase program. In total, the company repurchased 1.8 million shares at a cost of $50 million.
Under the new share repurchase program, the Board of Directors has authorized the purchase of up to 1.0 million additional shares. Share repurchases under the new program may be made through open market repurchases, block trades or in private transactions at such times and in such amounts as the company deems appropriate, based on a variety of
factors including price, regulatory requirements, market conditions and other corporate opportunities.
Gevity also announced today that its Board of Directors has approved an increased dividend on its common shares to a quarterly rate of $0.09 per share, or a 28.6% increase over the previous quarterly rate of $0.07 per share. This is the companys 21st consecutive dividend, payable April 28, 2006 to shareholders of record April 14, 2006.
Mr. Vonk stated, These actions demonstrate our confidence in Gevitys future and further validate our commitment to building long-term value and returns for our shareholders. Given our current cash position and expected cash flow generation, we will have the cash necessary to continue supporting our existing growth strategy, both organically and through acquisitions, while providing attractive returns to shareholders.