IRVINE, Calif., Nov. 19, 2012 /PRNewswire/ -- CorVel
Corporation (the "Company"; CRVL — NASDAQ) announced that pursuant
to Board of Directors approval, the Company entered into a
pre-arranged stock trading plan on November 15, 2012 to spend
up to $20 million to repurchase
shares of its common stock commencing November 29, 2012 through February 25, 2013. The stock trading plan will be
in accordance with guidelines specified under Rule 10b5-1 and
Rule 10b-18 of the Securities and Exchange Act of 1934 and
consistent with CorVel Corporation's policies regarding stock
transactions. Rule 10b5-1 allows public companies to adopt
written, pre-arranged stock trading plans when they do not have
material, non-public information in their possession. All bids and
the amounts purchased shall at all times be consistent and
compliant with the pricing and volume limitations of Rule
10b-18.
CorVel initiated its stock repurchase program in the fall of
1996. From the program's inception through September 30, 2012, the Company has spent
$278 million to repurchase 15,112,047 shares, equal to
approximately 57% of the outstanding common stock had there been no
repurchases. These repurchases have been funded primarily from net
earnings. CorVel had 11,238,777 shares of common stock, net of
treasury shares, outstanding as of September
30, 2012.
The shares authorized to be repurchased under the repurchase
program may be purchased from time to time at prevailing market
prices, through open market, block trade or unsolicited negotiated
transactions, depending upon market conditions. There is no
guarantee as to the exact number of shares that will be repurchased
by CorVel, and the Company may discontinue repurchases at any time
that management determines additional repurchases are not
warranted. The repurchased shares may be used for general purposes,
including issuance under the Company's stock option and employee
stock purchase plans, although historically repurchased shares have
remained in treasury.
About CorVel
CorVel Corporation is a national
provider of industry-leading workers' compensation solutions for
employers, third party administrators, insurance companies, and
government agencies seeking to control costs and promote positive
outcomes. We apply technology, intelligence, and a human touch to
risk management so our clients can intervene early and often and be
connected to the critical intelligence they need to proactively
manage risk. With a robust technology platform at its core, our
connected solution is delivered by a national team of associates
who are committed to helping clients design and administer programs
that meet their organization's performance goals.
Safe Harbor Statement under the Private Securities Litigation
Reform Act of 1995
All statements included in this press
release, other than statements or characterizations of historical
fact, are forward-looking statements. These forward-looking
statements are based on the Company's current expectations,
estimates and projections about the Company, management's beliefs,
and certain assumptions made by the Company, and events beyond the
Company's control, all of which are subject to change. Such
forward-looking statements include, but are not limited to,
statements relating to the amount and timing of repurchases under
the Company's stock repurchase program. These forward-looking
statements are not guarantees of future results and are subject to
risks, uncertainties and assumptions that could cause the Company's
actual results to differ materially and adversely from those
expressed in any forward-looking statement.
The risks and uncertainties referred to above include, but are
not limited to, factors described in this press release and the
Company's filings with the Securities and Exchange Commission,
including but not limited to "Risk Factors" in the Company's Annual
Report on Form 10-K for the year ended March 31, 2012 and the
Company's Quarterly Report on Form 10Q for the quarter ended
September 30, 2012. The
forward-looking statements in this press release speak only as of
the date they are made. The Company undertakes no obligation to
revise or update publicly any forward-looking statement for any
reason.
http://www.corvel.com
SOURCE CorVel Corporation