Monday, Aug 19, 2002
South San Francisco, Calif. -- August 19, 2002 --Genentech, Inc. (NYSE: DNA) today announced that its Board of Directors has authorized the extension of its current stock repurchase program for the repurchase of up to an additional $375 million of its common stock through June 30, 2003. To date, Genentech has made purchases of its common stock under the stock repurchase program at an aggregate cost of approximately $574 million. The Board initially approved $625 million for repurchases of common stock under the stock repurchase program in October 2001. Purchases may be made in the open market or in privately negotiated transactions from time to time at management’s discretion. Genentech also may engage in transactions in other Genentech securities in conjunction with the repurchase program, including derivative securities.
Genentech intends to use the repurchased stock to offset dilution caused by the issuance of shares in connection with Genentech’s employee stock plans. The goals of the company’s periodic stock repurchases are to make prudent investments of the company’s cash resources as well as to provide an effective mechanism to provide stock for the company’s employee stock plans. There are currently no other specific plans for the shares which may be purchased under the program.
As of August 16, 2002, Genentech had approximately 515,704,000 shares of common stock outstanding.
Genentech is a leading biotechnology company that discovers, develops, manufactures and commercializes biotherapeutics for significant unmet medical needs. Fifteen of the currently approved biotechnology products originated from or are based on Genentech science. Genentech manufactures and commercializes ten biotechnology products directly in the United States. The company has headquarters in South San Francisco, California, and is traded on the New York Stock Exchange under the symbol DNA.