Landstar Announces Increase to Stock Purchase Program and Special Dividend
December 07 2022 - 3:25PM
Landstar System, Inc. (NASDAQ-LSTR), a worldwide, asset-light
provider of integrated transportation management solutions
delivering safe, specialized transportation logistics services,
announced that on December 6, 2022, its Board of Directors
increased the number of shares of its common stock that the Company
is authorized to purchase under its stock purchase program to
3,000,000. The increase to the share purchase program reflects a
new authorization to purchase 1,900,826 shares of Landstar System
common stock in addition to the remaining capacity under the
existing authorization to purchase 1,099,174 shares.
The Company also announced that its Board has
declared a special one-time cash dividend in the amount of $2.00
per share, payable on January 20, 2023, to stockholders of record
as of the close of business on January 6, 2023.
“Landstar’s strong balance sheet and free cash
flow generation enables us to continue to return value to our
stockholders through a significant increase to our stock purchase
program coupled with a special dividend,” said Landstar President
and Chief Executive Officer Jim Gattoni. “As previously reported,
the Company purchased a total of 1,900,826 shares of its common
stock at an aggregate cost of approximately $286.0 million
during the first three quarters of its 2022 fiscal year. The
Company also returned $115.7 million to stockholders in the form of
cash dividends paid on shares of its common stock during the 2022
fiscal year. As previously reported, as of September 24, 2022, the
Company had $228 million in cash and short-term investments. The
Company intends to continue to use its available free cash flow to
purchase its stock under its stock purchase program."
About Landstar: Landstar
System, Inc., a Fortune 500 company, is a worldwide,
technology-enabled, asset-light provider of integrated
transportation management solutions delivering safe, specialized
transportation services to a broad range of customers utilizing a
network of agents, third-party capacity providers and employees.
Landstar transportation services companies are certified to ISO
9001:2015 quality management system standards and RC14001:2015
environmental, health, safety and security management system
standards. Landstar System, Inc. is headquartered in Jacksonville,
Florida. Its common stock trades on The NASDAQ Stock Market® under
the symbol LSTR.
Forward Looking Statements
Disclaimer: The following is a “safe harbor” statement
under the Private Securities Litigation Reform Act of 1995.
Statements contained in this press release that are not based on
historical facts are “forward-looking statements”. This press
release contains forward-looking statements, such as statements
which relate to Landstar’s business objectives, plans, strategies
and expectations. Terms such as “anticipates,” “believes,”
“estimates,” “intention,” “expects,” “plans,” “predicts,” “may,”
“should,” “could,” “will,” the negative thereof and similar
expressions are intended to identify forward-looking statements.
Such statements are by nature subject to uncertainties and risks,
including but not limited to: the impact of the Russian conflict
with Ukraine on the operations of certain independent commission
sales agents, including the Company’s largest such agent by revenue
in the 2021 fiscal year; the impact of the coronavirus (COVID-19)
pandemic; an increase in the frequency or severity of accidents or
other claims; unfavorable development of existing accident claims;
dependence on third party insurance companies; dependence on
independent commission sales agents; dependence on third party
capacity providers; decreased demand for transportation services;
U.S. trade relationships; substantial industry competition;
disruptions or failures in the Company’s computer systems; cyber
and other information security incidents; dependence on key
vendors; changes in fuel taxes; status of independent contractors;
regulatory and legislative changes; regulations focused on diesel
emissions and other air quality matters; intellectual property; and
other operational, financial or legal risks or uncertainties
detailed in Landstar’s Form 10-K for the 2021 fiscal year,
described in Item 1A Risk Factors, Landstar’s Form 10-Qs for the
2022 first and second fiscal quarters, described in Item 1A Risk
Factors, and in other SEC filings from time to time. These risks
and uncertainties could cause actual results or events to differ
materially from historical results or those anticipated. Investors
should not place undue reliance on such forward-looking statements,
and the Company undertakes no obligation to publicly update or
revise any forward-looking statements.
Contact: Jim Todd
Landstar System, Inc.
www.landstar.com
904-398-9400
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