Red Hat Announces $300 Million Stock Repurchase Program

RALEIGH, N.C. - —
Red Hat Inc. (NYSE: RHT), the world's leading provider of open source solutions, today announced that its Board of Directors has authorized the repurchase of up to $300 million of the Company's common stock from time to time on the open market or in privately negotiated transactions.
 
The new program replaces the previous $250 million repurchase program, the final $10 million of which was completed this month. "In the past year we repurchased over 10 million shares of Red Hat common stock, or about 5% of shares outstanding," stated Charlie Peters, Executive Vice President and Chief Financial Officer of Red Hat. "We are committed to providing value for our shareholders, and our repurchase program reflects our continuing confidence in the Company's financial strength and growth prospects."
 
The timing and the amount of any repurchases of common stock will be determined by the Company's management based on its evaluation of market conditions and other factors. Repurchases of common stock may also be made under a Rule 10b5-1 plan, which would permit common stock to be repurchased when the Company might otherwise be precluded from doing so under insider trading laws. The repurchase program may be suspended or discontinued at any time. Any repurchased common stock will be available for use in connection with the Company's stock plans and for other corporate purposes.
 
The repurchase program will be funded using the Company's working capital. As of February 28, 2010, the Company had cash and investments of approximately $970.2 million.
 
Red Hat had approximately 187.4 million shares of common stock outstanding as of February 28, 2010.
 
For more information about Red Hat, visit www.redhat.com. For more news, more often, visit www.press.redhat.com.
  • About Red Hat

  • Red Hat is the world’s leading provider of open source software solutions, using a community-powered approach to reliable and high-performing cloud, Linux, middleware, storage and virtualization technologies. Red Hat also offers award-winning support, training, and consulting services. As the connective hub in a global network of enterprises, partners, and open source communities, Red Hat helps create relevant, innovative technologies that liberate resources for growth and prepare customers for the future of IT. Learn more at http://www.redhat.com.



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