Tiffany & Co.’s board of directors has approved a new stock buyback program under which the jewelry retailer can repurchase up to $500 million of the company’s common stock.
Tiffanys’ announcement comes after it unveiled a 6-percent drop in total sales in the two months to December 31, with performance hit by a strong U.S. dollar and lower levels of tourist spending. The company’s share price slid 7.3 percent during the week to January 21.
Purchases are discretionary and will be made from time to time based on market conditions and the company’s liquidity needs, according to a statement January 21. The program will expire January 31, 2019.
The new repurchase program replaces the company’s existing stock repurchase program announced in March 2014 that authorized the group to buy back up to $300 million of its common stock. Approximately $61 million remained available for stock repurchases under this earlier authorization as of January 20, 2016, Tiffany said.
