RICHMOND, Va., May 18 /PRNewswire-FirstCall/ -- Genworth Financial, Inc.
(NYSE: GNW) announced that it has repurchased approximately 16.5 million
shares of its common stock from Merrill Lynch International using an
accelerated stock repurchase agreement for an initial purchase price of $600
million. The repurchase allows Genworth to mitigate the dilutive impact of the
common stock issued pursuant to the conversion of the company's equity units
on May 16, 2007. The repurchase was effected pursuant to the company's
previously announced $1.1 billion share repurchase program.
Under the terms of the agreement, Genworth may receive, or be required to
pay, a price adjustment based on the volume weighted average price of Genworth
common stock during the term of the agreement. Any price adjustment payable by
Genworth can be settled, at Genworth's option, in cash or in shares of its
common stock. Any price adjustment payable by Merrill Lynch International may
only be settled in shares. Genworth expects the price adjustment to settle
upon completion of the agreement in October 2007.
About Genworth Financial
Genworth is a leading financial security company meeting the retirement,
longevity, lifestyle protection, investment and mortgage insurance needs of
more than 15 million customers, with a presence in 25 countries. For more
information, visit genworth.com.
Caution Concerning Forward-Looking Statements
This document includes certain "forward-looking statements" within the
meaning of the Private Securities Litigation Reform Act of 1995. These
forward-looking statements include, but are not limited to our plans,
objectives, expectations and intentions and other statements contained in this
report that are not historical facts as well as statements identified by words
such as "expects," "anticipates," "intends," "plans," "believes," "seeks,"
"estimates," or words of similar meaning. These statements are based on our
current beliefs or expectations and are inherently subject to significant
uncertainties and changes in circumstances, many of which are beyond our
control. Actual results may differ materially from these expectations due to
changes in global political, economic, business, competitive, market and
SOURCE Genworth Financial, Inc.
CONTACT: Media: Tom Topinka, +1-804-662-2444,
Investors: Cass English, +1-804-662-2614,
both of Genworth Financial, Inc.