MEMPHIS, TN, May 14, 2007 (MARKET WIRE via COMTEX News Network) -- Pinnacle Airlines Corp. (NASDAQ: PNCL) ("Pinnacle," or the
"Company") announced today that its Board of Directors authorized a
new share repurchase program to acquire up to $30 million of the
Company's outstanding common stock. Based on today's market closing
price of $16.72, this represents approximately 1.8 million shares of
common stock.
"A share repurchase program will complement Pinnacle's recently
announced growth initiatives," said Phil Trenary, Pinnacle's President
and Chief Executive Officer. "Our strong balance sheet and liquidity
provide us the opportunity to invest in our new partnerships with
Continental Airlines and Delta Air Lines, while also pursuing
repurchases of our common stock. The combination of earnings growth
and the commitment to return excess capital to shareholders provides
a strong foundation for increasing shareholder value over the
long-term."
Repurchases will be made in accordance with applicable securities
laws in the open market or in private transactions, from time to
time, depending on market conditions, and may be discontinued at any
time. Pinnacle has approximately 22.2 million shares of common stock
outstanding.
Pinnacle holds $42.5 million face amount of unsecured claims against
Northwest Airlines, and is evaluating options to monetize this
non-core asset. Pinnacle's Board of Directors may increase the amount
authorized under the share repurchase program in future periods,
depending on the Company's working capital needs and its ability to
monetize its remaining unsecured claims against Northwest.
This press release contains various forward-looking statements that
are based on management's beliefs, as well as assumptions made by and
information currently available to management. Although the Company
believes that the expectations reflected in such forward-looking
statements are reasonable, it can give no assurance that such
expectations will prove to have been correct. Such statements are
subject to certain risks, uncertainties and assumptions, including
those set forth in our filings with the Securities and Exchange
Commission, which are available to investors at our website or online
from the Commission. Should one or more of these risks or
uncertainties materialize, or should underlying assumptions prove
erroneous, actual results may vary materially from results that were
anticipated or projected. The Company does not intend to update these
forward-looking statements before its next required filing with the
Securities and Exchange Commission.
About Pinnacle Airlines Corp.
Pinnacle Airlines Corp., an airline holding company, is the parent
company of Pinnacle Airlines, Inc. and Colgan Air, Inc. Pinnacle
Airlines, Inc. operates 139 Canadair Regional Jets in the United
States and Canada under the name Northwest Airlink. Colgan Air, Inc.
operates as Continental Connection, United Express and US Airways
Express and operates a fleet of 40 Saab 340 and 10 Beech 1900
turboprop regional aircraft. For further information visit our
web-site at www.pncl.com.
Contact:
Philip Reed
901-348-4257
www.pncl.com
SOURCE: Pinnacle Airlines
http://www.pncl.com
