VALLEY FORGE, Pa.--(BUSINESS WIRE)--May. 19, 2009--
The Board of Directors of AmerisourceBergen Corporation (NYSE:ABC) today
announced a two-for-one stock split of the Company’s outstanding shares
of common stock. The Board also plans to increase the quarterly dividend
by 20 percent to $0.06 per common share on a post-split basis beginning
with the third fiscal quarter of 2009.
R. David Yost, AmerisourceBergen President and Chief Executive Officer,
said, “The two-for-one stock split and the planned 20 percent quarterly
dividend increase reflect our continued confidence in our performance
and our disciplined use of cash to deliver long-term value to our
shareholders.”
The split will be in the form of a stock dividend, whereby each
stockholder will receive one additional share for each share owned. The
new shares will be distributed June 15, 2009 to stockholders of record
at the close of business on May 29, 2009. The Company currently has
approximately 150.8 million shares of common stock outstanding. After
the split, the Company expects to have approximately 301.5 million
shares outstanding, excluding any share repurchase or option exercise
activity between now and the split date.
AmerisourceBergen reaffirmed its fiscal year 2009 expectations for
diluted earnings per share from continuing operations in the range of
$3.18 to $3.30, or $1.59 to $1.65 on a post-split basis, over the $2.89,
or $1.44 on a split-adjusted basis, in fiscal year 2008. The Company
also reaffirmed the assumptions supporting the fiscal 2009 diluted
earnings per share from continuing operations range: revenue growth of
between 1 percent and 3 percent; operating margin expansion in the low
to mid single digit basis point range; and free cash flow in the range
of $460 million to $535 million, which includes capital expenditures in
the $140 million range. Also unchanged is the expected repurchase of
approximately $350 million of AmerisourceBergen common shares in fiscal
2009.
About AmerisourceBergen
AmerisourceBergen is one of the world's largest pharmaceutical services
companies serving the United States, Canada and selected global markets.
Servicing both pharmaceutical manufacturers and healthcare providers in
the pharmaceutical supply channel, the Company provides drug
distribution and related services designed to reduce costs and improve
patient outcomes. AmerisourceBergen's service solutions range from
pharmacy automation and pharmaceutical packaging to reimbursement and
pharmaceutical consulting services. With more than $70 billion in annual
revenue, AmerisourceBergen is headquartered in Valley Forge, PA, and
employs approximately 10,000 people. AmerisourceBergen is ranked #26 on
the Fortune 500 list. For more information, go to www.amerisourcebergen.com.
FORWARD-LOOKING STATEMENTS
This news release contains forward-looking statements about
AmerisourceBergen’s future business and financial performance, estimates
and prospects. These statements are based on management’s current
expectations and are subject to uncertainty and changes in
circumstances. Actual results may vary materially from the expectations
contained in the forward-looking statements. The following factors,
among others, could cause actual results to differ materially from those
described in any forward-looking statements: changes in pharmaceutical
market growth rates; the loss of one or more key customer or supplier
relationships; changes in customer mix; customer delinquencies, defaults
or insolvencies; supplier defaults or insolvencies; changes in
pharmaceutical manufacturers’ pricing and distribution policies or
practices; adverse resolution of any contract or other dispute with
customers or suppliers; federal and state government enforcement
initiatives to detect and prevent suspicious orders of controlled
substances and the diversion of controlled substances; changes in U.S.
legislation or regulatory action affecting pharmaceutical product
pricing or reimbursement policies, including under Medicaid and
Medicare; changes in regulatory or clinical medical guidelines and/or
labeling for the pharmaceuticals we distribute, including certain anemia
products; price inflation in branded pharmaceuticals and price deflation
in generics; significant breakdown or interruption of our information
technology systems; our inability to implement an enterprise resource
planning (ERP) system to handle business and financial processes within
AmerisourceBergen Drug Corporation’s operations and our corporate
functions without operating problems and/or cost overruns; success of
integration, restructuring or systems initiatives; interest rate and
foreign currency exchange rate fluctuations; economic, business,
competitive and/or regulatory developments in Canada, the United Kingdom
and elsewhere outside of the United States; the impact of divestitures
or the acquisition of businesses that do not perform as we expect or
that are difficult for us to integrate or control; our inability to
successfully complete any other transaction that we may wish to pursue
from time to time; changes in tax legislation or adverse resolution of
challenges to our tax positions; increased costs of maintaining, or
reductions in our ability to maintain adequate liquidity and financing
sources; continued volatility and further deterioration of the capital
and credit markets; and other economic, business, competitive, legal,
tax, regulatory and/or operational factors affecting our business
generally. Our most recent annual report on Form 10-K, quarterly
reports on Forms 10-Q and current reports 8-K (which we may revise or
supplement in future reports filed to the SEC) provide additional
information about these risks, uncertainties and other matters. We do
not undertake to update our forward-looking statements.
Source: AmerisourceBergen Corporation
AmerisourceBergen
Michael N. Kilpatric, 610-727-7118
mkilpatric@amerisourcebergen.com