WASHINGTON-InPhonic Inc.’s board of directors authorized a stock repurchase of up to $30 million of common stock during the next year.
The company said it can make repurchases under Rule 10b5-1, which permits shares to be repurchased when the company might otherwise be precluded from doing so by laws prohibiting insider trading or by self-imposed trading blackout periods. Several of the company’s top executives plan to suspend their 10b5-1 trading plans, which allowed each corporate officer to adopt written, pre-arranged stock trading plans when they were not in possession of material, nonpublic information.
“This program demonstrates our commitment to delivering value to our stockholders,” said David A. Steinberg, InPhonic’s chairman and chief executive officer. “We believe a stock repurchase program is an attractive investment opportunity for the company, based upon current market conditions and the confidence we have in our ability to scale and grow the business.”
