Mooresville, NC, August 21, 2006--The board of directors of Lowe's has approved an increase in its current share repurchase program of up to $2 billion through fiscal 2008, effective immediately.
Since 2004, the company has repurchased $3 billion of its shares which exhausted its prior repurchase authorization. This program is intended to be implemented through purchases made from time to time either in the open market or through private transactions, in accordance with Securities and Exchange Commission requirements. As of August 4, 2006 the company had 1.54 billion shares outstanding.
Additionally, the Board has declared a quarterly cash dividend of five cents ($0.05) per share, payable November 3, 2006, to shareholders of record as of October 20, 2006. Lowe's has paid a cash dividend each quarter since going public in 1961.
"With the strength of our balance sheet, we believe the most efficient way to return capital to our shareholders is through ongoing dividend payments and share repurchases," commented Robert A. Niblock, Lowe's chairman, president and CEO. "The increased authorization in the stock repurchase program further underscores our continued confidence in the company's prospects for long-term growth."
