Attached files
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8-K - FORM 8-K - STEWART ENTERPRISES INC | h83208e8vk.htm |
Exhibit 99.1
CONTACT:
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Lewis J. Derbes, Jr. Stewart Enterprises, Inc. 1333 S. Clearview Parkway Jefferson, LA 70121 504-729-1400 |
FOR IMMEDIATE RELEASE |
STEWART ENTERPRISES INCREASES DIVIDEND AND STOCK REPURCHASE PROGRAM
NEW ORLEANS, LA June 28, 2011 . . . Stewart Enterprises, Inc. (Nasdaq GS: STEI) reported today that
its Board of Directors increased the annual cash dividend on its Class A and Class B Common Stock
by 17% to $0.14 per share, compared to the previous $0.12 per share, which would be paid quarterly
at a rate of $0.035 per share. In addition, the Board declared today a quarterly cash dividend of
$0.035 per share. The dividend is payable on July 28, 2011 to holders of record of Class A and
Class B Common Stock as of the close of business on July 14, 2011. Thomas M. Kitchen, President
and Chief Executive Officer, said, The Boards decision to increase the cash dividend reflects its
continued confidence in our solid balance sheet and our ability to generate strong cash flow. It
is the Boards intention to periodically re-evaluate the Companys dividend policy for potential
increases in the future. The declaration of quarterly dividends is at the discretion of the Board
of Directors and will depend on the Companys financial results, cash requirements, future
prospects and other factors deemed relevant by the Board.
Also today, the Company announced that its Board of Directors has increased the Companys $75
million stock repurchase program by $25 million to $100 million. This increases the Companys
current capacity under its stock repurchase program to $36.9 million.
The Company has approximately 91.1 million common shares outstanding, of which approximately 87.5
million are Class A shares and 3.6 million are Class B shares. The repurchases will be limited to
the Companys Class A common stock and will be made in the open market or in privately negotiated
transactions at such times and in such amounts as management deems appropriate, depending upon
market conditions and other factors.
Founded in 1910, Stewart Enterprises, Inc. is the second largest provider of products and services
in the death care industry in the United States. The Company currently owns and operates 217
funeral homes and 140 cemeteries in the United States and Puerto Rico. Through its subsidiaries,
the Company provides a complete range of funeral and cremation merchandise and services, along with
cemetery property, merchandise and services, both at the time of need and on a preneed basis.