Alaska Air Group To Buy Back Up To $650 Mln Of Stock - Quick Facts

(RTTNews) - Alaska Air Group (ALK) said that it has approved a share repurchase program authorizing the company to buy back up to $650 million of its common stock. This share repurchase program represents approximately 10 percent of the market capitalization of the company.

The board also approved a quarterly cash dividend of 25 cents per share as part of Air Group's program to be a leader in returning capital to investors. The dividend to all shareholders of record as of May 20 will be paid on June 4.

The $650 million repurchase program will begin immediately after the existing $250 million buyback is completed.

"Air Group intends to finance the dividend and stock repurchases with cash on hand and cash flow from operations," CFO Brandon Pedersen said. "Air Group will maintain its strong cash and liquidity position and low leverage as we return capital to our owners."

This will be Alaska's eighth repurchase program since 2007. The company has spent $519 million buying back more than 21 million shares of its stock.